U.S. President Donald Trump is facing growing criticism over his proposal to give American citizens a $5,000 payment if Republicans retain control of Congress in the November midterm elections.
Trump unveiled the proposal at a Republican midterm convention in Dallas, presenting the payment as a potential reward for voters if the party emerges victorious.
The proposed initiative, which Trump has branded a “Trump dividend,” has triggered concerns among economists and some Republicans over its legality, cost and potential impact on the already strained US finances.
Critics estimate that a $5,000 payment to about 240 million adult Americans could cost the federal government roughly $1.2 trillion in a single year, raising questions about how the programme would be funded.
Republican Representative Chip Roy of Texas has questioned the feasibility of financing a payment of that scale, while Marc Goldwein of the Committee for a Responsible Federal Budget warned that the proposal could add substantially to the federal deficit if financed through additional borrowing.
Goldwein also cautioned that injecting another trillion dollars into the economy could increase inflationary pressures, particularly as the US continues to grapple with high debt-servicing costs and broader fiscal challenges.
The concerns come as America’s national debt surpassed $40 trillion for the first time in August, highlighting the growing pressure on government finances.
Goldwein further warned that such a policy could set a costly precedent, encouraging future political candidates to make increasingly expensive financial promises in an effort to win elections.
Democratic leaders have also criticised the proposal, accusing Trump of seeking to use government resources to influence voters ahead of the midterm elections.
