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Deal reached on US budget

Published:Saturday | April 9, 2011 | 1:03 PM

Republicans and Democrats have reached a deal on the US budget, an hour before a deadline that would have forced the government to close many services.



They have passed a stop-gap spending bill which will allow the government to keep running while the wider budget plan is finalised.



The parties have agreed to slash about 38 billion dollars from spending for the year until September 30.



President Barack Obama said the cuts would be difficult but necessary.