Trump Reverses Federal Funding Freeze Amid Legal and Political Turmoil

Tue Jun 17 2025 08:16:45 GMT+0300 (Eastern European Summer Time)
Trump Reverses Federal Funding Freeze Amid Legal and Political Turmoil

The White House retracts President Trump's controversial order to freeze trillions in federal funds following a judicial intervention, highlighting ongoing disputes over healthcare and immigration policy.


After widespread confusion and a federal judge's intervention, President Trump's administration reversed its order to freeze federal grants and loans, a move celebrated by Democratic leaders and which had significant implications for healthcare services.

In a surprising turn of events, the White House announced yesterday that President Trump has rescinded his controversial order to freeze trillions of dollars in federal grants and loans. The decision follows a federal judge's ruling earlier in the week, which temporarily blocked the order due to the chaos it created nationwide. Affected sectors included the Medicaid program, which serves millions of low-income Americans reliant on federal funding for healthcare services.

Karoline Leavitt, the press secretary for the White House, took to social media to clarify the administration's stance, stating, “This is NOT a rescission of the federal funding freeze.” Despite the rescindment of the directive, she emphasized that existing executive orders regarding federal funding would remain "in full force and effect."

This significant policy reversal has sparked a reaction from Democratic leaders, who have praised the administration's decision to backtrack. Meanwhile, the implications of Trump's decisions extend beyond funding, as the hearings for his health secretary pick, Robert F. Kennedy Jr., stirred controversy. Kennedy faced intense scrutiny over his previous skepticism towards vaccines and his promotion of unconventional diets, raising questions about his suitability for the critical health position.

In another controversial development, Trump has directed his administration to prepare for housing 30,000 “criminal aliens” at the U.S. Naval Station at Guantánamo Bay. This announcement comes on the heels of the detention of approximately 40,000 immigrants under increasingly stringent federal policies, emphasizing the administration's hardline stance on immigration and detention practices.

As tensions rise and policies shift, the implications of these developments will resonate within the political and public health landscape for the foreseeable future.

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