The White House Office of Management and Budget on Wednesday rescinded a memo that froze federal grants and loans and created widespread confusion this week.

The White House budget office Wednesday rescinded the federal aid freeze, according to multiple media reports citing an administration memo.

The White House claiming the Wednesday move by the Office of Management and Budget (OMB) rescinding a controversial order that froze a wide swath of federal financial assistance is not actually an end to curbing government spending.

The OMB memo had directed federal agencies to pause grants and loans pending a review of compliance with the agenda of President Donald Trump.

Earlier this week, a federal judge in Washington issued a separate temporary restraining order against OMB’s instructions, minutes before the funding freeze had been set to take effect. The order, which is set to expire Monday, prompted the White House to walk back OMB’s memo, and DOJ has since asked the court to dismiss the case.

The White House Office of Management and Budget (OMB) is walking back the federal funding freeze memo that set off a day of chaos and confusion on Tuesday up until a judge paused the order right before it was set to take effect.

President Donald Trump's budget office on Wednesday rescinded a memo freezing spending on federal loans and grants, less than two days after it sparked widespread confusion and legal challenges across the country.

By Jeff Mason, Andrea Shalal and Andy Sullivan WASHINGTON - President Donald Trump's administration pulled back a proposed spending freeze that threatened to disrupt hundreds of billions of dollars in aid to U.

The White House reassured people receiving financial aid their benefits will continue during the administration’s freeze on grants and loans.