US President-elect Joe Biden has announced a $1.9 trillion (€1.56 trillion) stimulus package to revitalize the country’s economy and speed up the nation’s response to the coronavirus pandemic.
President-elect Biden campaigned last year on a promise to take the pandemic more seriously than President Donald Trump and the package aims to put that pledge into action with an influx of resources for the coronavirus response and economic recovery.
“I lay out my first step, the American Rescue Plan that will tackle the pandemic and get direct financial assistance and relief to Americans who need it the most,” he said.
“Next month, in my first appearance before a joint session of Congress I will lay out my ‘build back better’ recovery plan. It will make historic investments in infrastructure, manufacturing, innovation, and research and development in clean energy.
“Our ‘rescue and recovery’ plan is a path forward with both serious of purpose and a clear plan, with transparency and accountability, with a call for unity that is equally necessary.
“It’s not hard to see that we’re in the middle of a once-in-several-generations economic crisis with a once-in-several-generations public health crisis. A crisis of deep human suffering is in plain sight and there’s no time to waste.
“We have to act, and we have to act now.”
Details of the aid package had been released by Biden’s transition team prior to his speech.
It includes $415bn to bolster the response to the virus and the release of COVID-19 vaccines, some $1 trillion in direct relief to households and roughly $440bn for small businesses and communities particularly hard hit by the pandemic.
Stimulus payment checks would be issued for $1,400 – topping up the $600 cheques issued under the last congressional stimulus legislation. Supplemental unemployment insurance would also increase to $400 a week from $300 a week and would be extended to September.
The president-elect went on to justify the huge price tag of his proposal during his speech.
“The return on these investments in jobs, racial equity will prevent long-term economic damage, and the benefits will far surpass the cost,” Mr Biden said. “In this moment of crisis… we cannot afford inaction.”
President-elect Biden is expected to face hurdles with his proposals especially from Republicans in Congress who have balked at the price tag of the stimulus plan.
However, he will be helped by the fact that his fellow Democrats will control the House and the Senate.
House Speaker Nancy Pelosi and Senate Democratic leader Chuck Schumer issued a joint statement saying they would move quickly to pass legislation and get it to Biden’s desk for his signature.
“After Congress passed the most recent emergency COVID relief bill in December, Democrats were clear that much more needed to be done,” the two top Democrats said.
“We are pleased the Biden-Harris package includes much of what congressional Democrats have been fighting for.”
The President-elect’s transition officials have also announced that the rescue package will be followed up with another recovery package in the coming weeks.
