The US Congress and the Bush administration have finally agreed on the language of the $ 700 billion legislation intended to bail out institutions reeling under the massive financial crisis after a marathon session streching several hours, Hindu reported.
Though the government and lawmakers have agreed on the broad outlines of legislation after sitting through the package last night, with lawmakers refusing to give the entire $ 700 billion to the Treasury at one go.
All eyes now are on the House Republicans, who had expressed deep reservations but had almost to be brought to the table kicking and screaming.
The timing of the announcement of the finer details of the legislation was said to be critical all throughout the day keeping in mind the opening of the financial markets in the Asia-Pacific region.
The House of Representatives is expected to debate and vote on the package tomorrow but the Senate, which is breaking away on account of the Jewish holiday can attend to the package as early as Wednesday.
The $ 700 billion, however, will not be given to the Treasury in one go to bail out the troubled financial institutions and the distribution of money will come about in three stages, the first of which will be in the magnitude of $ 250 billion followed by a tranche of $ 100 billion and finally of $ 350 billion.
Senior lawmakers are stressing that although the Treasury Secretary will be given authority and flexibility, there will be tough oversight by the Congress, something the Bush administration wanted to avoid.