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The Guardian - AU
The Guardian - AU
World
Kate Lamb

Trump’s funding freeze temporarily blocked by court – what we know so far

US President Donald Trump holds a signed executive order in the Oval Office.
Donald Trump holds a signed executive order in the Oval Office. The president’s directive has sparked concerns it could affect Medicaid, FAFSA and other federally funded programs. Photograph: Kevin Lamarque/Reuters

A federal judge has temporarily blocked a move by US president Donald Trump to pause trillions of dollars in federal loans, grants and other financial assistance, moments before it was due to take effect.

Trump’s acting head of the office of management and budget (OMB), Matthew Vaeth, had earlier instructed all federal agencies to “temporarily pause all activities related to obligations or disbursement of all federal financial assistance” in a two-page internal memo. The directive was seen as part of Trump’s desire to unravel programs related to diversity, equity and inclusion (DEI).

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