The US Congress on Friday took a major step towards avoiding a government shutdown and risked the collapse of the UN agency for Palestinian refugees in the process.
As a shutdown loomed, the Republican-controlled House of Representatives narrowly passed a $1.2 trillion spending package in another last-minute save.
The Senate has until midnight to pass it, and President Joe Biden has said he would sign it into law immediately.
The bill includes almost $4 billion in funding for Israel's defence and solidifies Washington's pause on funding to UNRWA until at least the end of the year.
Israeli foreign minister Israel Katz thanked the US for the bill, describing it on platform X as a "clear testament to the strength of our alliance".
"As we mark 200 days to the barbaric October 7th terror attack by Hamas, Israel and the United States stand together in the fight against terrorism, defending democracy and our shared values."
UNRWA says that a cut in US aid would create “a huge gap” in the agency's funding, as humanitarian needs in Gaza reach disastrous levels amid an Israeli siege that has killed about 32,000 Palestinians, according to local health officials, and led to mass hunger.
“This will undermine the effort to assist starving Gazans and potentially further weaken regional stability,” the agency said in a statement on Wednesday.
Mr Biden halted US funding for the agency after Israel claimed that some of its staff members had been involved in the October 7 Hamas attack on Israel that led to the war in Gaza.
The UN has launched an internal as well as an independent investigation into the claims.
UNRWA was established in 1949 by the UN General Assembly. Its mandate is to provide assistance and protection for about 5.7 million registered Palestinian refugees in the Middle East, including in Jordan, Lebanon, Syria, the Gaza Strip and the West Bank, including East Jerusalem.
Pro-ceasefire progressives in Congress have condemned the bill's UNRWA provision, with Palestinian-American Representative Rashida Tlaib warning on the House floor that “members here, all of them, are now going to be contributing to the starvation of Palestinian families”.
The package also left out funding for Ukraine, which Mr Biden and his Democratic Party have been aggressively lobbying for.
Democratic Representative Steny Hoyer urged House Speaker Mike Johnson to bring Ukraine funding legislation to the floor for a vote after the body returns from recess, which starts next week.
“Today we took the responsible step of funding the people's government. Unfortunately, we did not however fund our allies in Ukraine,” he told the House after the vote.
“I urge all of us, as soon as we return, to defend freedom through our Ukrainian warriors.”
Republican infighting
The bill, which passed under suspended rules in a 286-134 vote, faced significant hurdles from far-right Republicans, including the Donald Trump-aligned Freedom Caucus.
Republicans in the House of Representatives, who blame the Biden administration for a mass migration crisis, have repeatedly blocked supplemental funding and larger Israel aid bills over claims they do not do enough to halt migration at the southern border with Mexico.
“Why are we in a rush to keep this government open?” Freedom Caucus member Representative Bob Good told reporters ahead of the vote.
Republican Representative Scott Perry added that if members of his party voted in favour of the funding bill, “they're saying to their constituents … what you saw at the border, that's fine with me”.
House Foreign Affairs Committee member Tim Burchett used apocalyptic language in voicing his opposition to the package, saying: “You are seeing the beginning of the end for the United States of America … We've got to make a stand. We got to take our country back.”
Right-wing Representative Marjorie Taylor Greene claimed in a speech on the House floor that the bill is a “Democrat-controlled” funding measure.
After the vote, she immediately filed a motion to remove Mr Johnson, a member of her own party, from his position as Speaker. That vote could happen when Congress returns from recess.
If successful, it would mark the second time that the Republican-controlled Congress has ousted its own speaker.
Republicans ousted Kevin McCarthy late last year, a first in American history, in all-too-similar circumstances.
Freedom Caucus member Matt Gaetz introduced the motion to force a vote on Mr McCarthy's removal in protest against the passage of a last-minute spending bill that averted a government shutdown in October.
GYAN’S ASIAN OUTPUT
2011-2015: Al Ain – 123 apps, 128 goals
2015-2017: Shanghai SIPG – 20 apps, 7 goals
2016-2017: Al Ahli (loan) – 25 apps, 11 goals
Living in...
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
What can victims do?
Always use only regulated platforms
Stop all transactions and communication on suspicion
Save all evidence (screenshots, chat logs, transaction IDs)
Report to local authorities
Warn others to prevent further harm
Courtesy: Crystal Intelligence
Our family matters legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
GAC GS8 Specs
Engine: 2.0-litre 4cyl turbo
Power: 248hp at 5,200rpm
Torque: 400Nm at 1,750-4,000rpm
Transmission: 8-speed auto
Fuel consumption: 9.1L/100km
On sale: Now
Price: From Dh149,900
Essentials
The flights
Etihad and Emirates fly direct from the UAE to Delhi from about Dh950 return including taxes.
The hotels
Double rooms at Tijara Fort-Palace cost from 6,670 rupees (Dh377), including breakfast.
Doubles at Fort Bishangarh cost from 29,030 rupees (Dh1,641), including breakfast. Doubles at Narendra Bhawan cost from 15,360 rupees (Dh869). Doubles at Chanoud Garh cost from 19,840 rupees (Dh1,122), full board. Doubles at Fort Begu cost from 10,000 rupees (Dh565), including breakfast.
The tours
Amar Grover travelled with Wild Frontiers. A tailor-made, nine-day itinerary via New Delhi, with one night in Tijara and two nights in each of the remaining properties, including car/driver, costs from £1,445 (Dh6,968) per person.
'Lost in Space'
Creators: Matt Sazama, Burk Sharpless, Irwin Allen
Stars: Molly Parker, Toby Stephens, Maxwell Jenkins
Rating: 4/5
Lexus LX700h specs
Engine: 3.4-litre twin-turbo V6 plus supplementary electric motor
Power: 464hp at 5,200rpm
Torque: 790Nm from 2,000-3,600rpm
Transmission: 10-speed auto
Fuel consumption: 11.7L/100km
On sale: Now
Price: From Dh590,000
Traits of Chinese zodiac animals
Tiger:independent, successful, volatile
Rat:witty, creative, charming
Ox:diligent, perseverent, conservative
Rabbit:gracious, considerate, sensitive
Dragon:prosperous, brave, rash
Snake:calm, thoughtful, stubborn
Horse:faithful, energetic, carefree
Sheep:easy-going, peacemaker, curious
Monkey:family-orientated, clever, playful
Rooster:honest, confident, pompous
Dog:loyal, kind, perfectionist
Boar:loving, tolerant, indulgent
Islamophobia definition
A widely accepted definition was made by the All Party Parliamentary Group on British Muslims in 2019: “Islamophobia is rooted in racism and is a type of racism that targets expressions of Muslimness or perceived Muslimness.” It further defines it as “inciting hatred or violence against Muslims”.
Infiniti QX80 specs
Engine: twin-turbocharged 3.5-liter V6
Power: 450hp
Torque: 700Nm
Price: From Dh450,000, Autograph model from Dh510,000
Available: Now
How to play the stock market recovery in 2021?
If you are looking to build your long-term wealth in 2021 and beyond, the stock market is still the best place to do it as equities powered on despite the pandemic.
Investing in individual stocks is not for everyone and most private investors should stick to mutual funds and ETFs, but there are some thrilling opportunities for those who understand the risks.
Peter Garnry, head of equity strategy at Saxo Bank, says the 20 best-performing US and European stocks have delivered an average return year-to-date of 148 per cent, measured in local currency terms.
Online marketplace Etsy was the best performer with a return of 330.6 per cent, followed by communications software company Sinch (315.4 per cent), online supermarket HelloFresh (232.8 per cent) and fuel cells specialist NEL (191.7 per cent).
Mr Garnry says digital companies benefited from the lockdown, while green energy firms flew as efforts to combat climate change were ramped up, helped in part by the European Union’s green deal.
Electric car company Tesla would be on the list if it had been part of the S&P 500 Index, but it only joined on December 21. “Tesla has become one of the most valuable companies in the world this year as demand for electric vehicles has grown dramatically,” Mr Garnry says.
By contrast, the 20 worst-performing European stocks fell 54 per cent on average, with European banks hit by the economic fallout from the pandemic, while cruise liners and airline stocks suffered due to travel restrictions.
As demand for energy fell, the oil and gas industry had a tough year, too.
Mr Garnry says the biggest story this year was the “absolute crunch” in so-called value stocks, companies that trade at low valuations compared to their earnings and growth potential.
He says they are “heavily tilted towards financials, miners, energy, utilities and industrials, which have all been hit hard by the Covid-19 pandemic”. “The last year saw these cheap stocks become cheaper and expensive stocks have become more expensive.”
This has triggered excited talk about the “great value rotation” but Mr Garnry remains sceptical. “We need to see a breakout of interest rates combined with higher inflation before we join the crowd.”
Always remember that past performance is not a guarantee of future returns. Last year’s winners often turn out to be this year’s losers, and vice-versa.
The biog
Name: Mohammed Imtiaz
From: Gujranwala, Pakistan
Arrived in the UAE: 1976
Favourite clothes to make: Suit
Cost of a hand-made suit: From Dh550
Timeline
2012-2015
The company offers payments/bribes to win key contracts in the Middle East
May 2017
The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts
September 2021
Petrofac pleads guilty to seven counts of failing to prevent bribery under the UK Bribery Act
October 2021
Court fines Petrofac £77 million for bribery. Former executive receives a two-year suspended sentence
December 2024
Petrofac enters into comprehensive restructuring to strengthen the financial position of the group
May 2025
The High Court of England and Wales approves the company’s restructuring plan
July 2025
The Court of Appeal issues a judgment challenging parts of the restructuring plan
August 2025
Petrofac issues a business update to execute the restructuring and confirms it will appeal the Court of Appeal decision
October 2025
Petrofac loses a major TenneT offshore wind contract worth €13 billion. Holding company files for administration in the UK. Petrofac delisted from the London Stock Exchange
November 2025
180 Petrofac employees laid off in the UAE
The National Archives, Abu Dhabi
Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.
Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en
Our Time Has Come
Alyssa Ayres, Oxford University Press
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions