Trump banks on having millions to spend on wall
Donald Trump is planning to reduce foreign aid and state department financing and increase spending on defence and the construction of the wall on the Mexican border according to his budget proposal for the 2020 fiscal year (starting October 1). The proposal includes 8.6 billion dollars for the wall and a 5% cut in domestic spending, all on the basis of an estimated economic growth of 3.2% this year. In terms of state departments, defence is the only one to receive more funding; it has been alloted 750 billion dollars, 4.7% more than in 2019. The proposal reads more like a declaration of priorities than an actual budget, since it does not have much chance of getting through a divided congress with Republicans controlling the senate and Democrats controlling the house of representatives. Indeed democrat leaders have warned the president that the congress war over financing the wall, which led to a five-week partial closure of the federal administration, could happen again.
The proposals’ calculations are based on optimistic projections: they count on an estimated growth of 3.2% this year, 3.1% next year and 3% for 2021. And these estimates contrast with those of the Federal Reserve, which predict a gradual slowdown in the economy this year (2.3%) and in 2020 (2%) .