The administration of U.S. President Donald Trump proposed on Friday a $163 billion reduction in federal spending for the next year, which would eliminate more than one-fifth of non-military spending excluding mandatory benefit programs.

The proposed budget will increase defense spending by 13% and increase spending on homeland security by nearly 65% compared to 2025 levels, while non-defense discretionary spending will be cut by 23% to its lowest level since 2017, according to a statement from the White House Office of Management and Budget.

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