• The US government has entered a partial shutdown as Congress fails to pass a funding bill, impacting public services.
• Approximately 750,000 federal employees are expected to be furloughed, while essential workers will continue operating without pay.
• Key services such as Social Security, Medicare, and IRS operations will continue, though many others will be disrupted.
• The economic impact could be significant, with estimates suggesting a loss of $400 million daily due to furloughs.
• International effects include potential disruptions in global trade and financial markets.

The United States government has officially entered a shutdown as of midnight on October 1, 2025, due to Congress's failure to pass necessary funding bills, resulting in numerous federal agencies halting non-essential operations. This political deadlock stems primarily from disputes between President Donald Trump and Democratic lawmakers over healthcare funding cuts and Medicaid provisions, leading to a lack of consensus on a stopgap spending plan, according to Reuters and India Times.

The shutdown is expected to impact around 750,000 federal workers who may be furloughed daily, resulting in substantial economic losses that could total approximately $400 million per day. Essential services like air traffic control and military operations will continue, but many federal employees, especially those in non-essential roles, will not receive pay until the government reopens. Responses to similar past shutdowns highlighted the financial strain on affected families, who often rely on loans and other personal resources to navigate these tough periods, according to Al Jazeera and Reuters.

Critically, while mandatory programs such as Social Security and Medicare will continue to operate, many services that rely on annual appropriations, such as federal courts and national parks, may face significant disruption or closure. The U.S. Postal Service remains unaffected and will continue its operations, as it operates independently from congressional funding, according to Reuters and India Times.

Internationally, the shutdown could have ripple effects on global markets. The U.S. serves as a major economic actor, and disruptions in government operations can lead to market volatility, influencing trade relations and investor confidence worldwide. Economists have noted the potential for significant financial repercussions for trading partners as economic uncertainty often follows such political turmoil, as reported by India Times and TRT Global.

As the shutdown continues, pressure mounts on Congress to reach a compromise. The current situation underlines a trend of increasing partisan gridlock where fiscal disagreements pose significant risks not only to domestic functionalities but also to international economic stability, marking a concerning chapter in U.S. governance, according to India Times and Al Jazeera.