A pedestrian near the US Capitol during sunrise on November 5, the day the government shutdown became the longest in history. Getty Images / AFP
A pedestrian near the US Capitol during sunrise on November 5, the day the government shutdown became the longest in history. Getty Images / AFP
A pedestrian near the US Capitol during sunrise on November 5, the day the government shutdown became the longest in history. Getty Images / AFP
A pedestrian near the US Capitol during sunrise on November 5, the day the government shutdown became the longest in history. Getty Images / AFP

US government shutdown becomes longest in history


Thomas Watkins
  • English
  • Arabic

The government shutdown that has hobbled Washington, risks mass disruption to flights and has brought misery to hundreds of thousands of federal workers is now the longest in US history.

On Wednesday, the shutdown marked 36 days since it went into effect on October 1, passing the previous longest government closure of 2018-19 that lasted 35 days.

US President Donald Trump accused “kamikaze” Democrats of being prepared to destroy the country as the shutdown continues and demanded Republican senators end the filibuster, a Senate rule that requires 60 of the 100 members to pass most legislation.

Ending the filibuster has long been known as the “nuclear option” in US politics as it would mean ruling parties have zero need to form consensus with the opposition. Most senators are against the move because they fear what would happen when the opposing party eventually reclaims power.

About 1.4 million federal workers, from air-traffic controllers to park wardens, remain on enforced leave or are working without pay. Some courts are using emergency funds to stay open, and warning that operations could slow if the shutdown drags on.

On Tuesday, the Trump administration sounded the alarm over turmoil at airports nationwide if the crisis drags on until next week.

“You'll see mass cancellations, and you may see us close certain parts of the airspace, because we just cannot manage it because we don't have the air-traffic controllers,” Transportation Secretary Sean Duffy told a news conference in Philadelphia.

More than 60,000 air-traffic controllers and Transportation Security Administration (TSA) officers are working without pay and many airport workers calling in sick. Similar disruption was a major factor in Mr Trump bringing an end to the 2018-19 shutdown in his first term.

Federal agencies have ground to a halt since Congress failed to approve funding past September 30, and the pain has been mounting as welfare programmes – including assistance for millions of Americans to buy food – hang in the balance.

A volunteer prepares to distribute a box of donated food items to a furloughed federal worker at a Capital Area Food Bank distribution site in Hyattsville, Maryland. Bloomberg
A volunteer prepares to distribute a box of donated food items to a furloughed federal worker at a Capital Area Food Bank distribution site in Hyattsville, Maryland. Bloomberg

The shutdown fight centres on federal subsidies for certain types of health insurance. The Republicans want to end pandemic-era help; the Democrats want to keep it in place. If the cuts happen, as many as four million people could lose their coverage as insurance premiums rocket, according to the Congressional Budget Office.

Neither the Democrats nor the Republicans seem willing to compromise but pressure is mounting to get something done, particularly ahead of the Thanksgiving holiday later this month that is expected to bring record air travel.

Mr Trump sees ending the filibuster as a way out of the crisis. He has held firm on refusing to negotiate, telling CBS News in an interview broadcast on Sunday that he would “not be extorted”.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Profile

Company: Justmop.com

Date started: December 2015

Founders: Kerem Kuyucu and Cagatay Ozcan

Sector: Technology and home services

Based: Jumeirah Lake Towers, Dubai

Size: 55 employees and 100,000 cleaning requests a month

Funding:  The company’s investors include Collective Spark, Faith Capital Holding, Oak Capital, VentureFriends, and 500 Startups. 

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Updated: November 05, 2025, 3:48 PM