Obama hails stimulus bill as milestone to recovery

US president Barack Obama today hailed congressional approval of a $787 billion (€610 billion) economic stimulus bill as a "major…

US president Barack Obama today hailed congressional approval of a $787 billion (€610 billion) economic stimulus bill as a "major milestone on our road to recovery" and vowed to move swiftly to set the plan in motion.

"I will sign this legislation into law shortly, and we'll begin making the immediate investments necessary to put people back to work," Mr Obama said, savouring his biggest legislative victory since taking office on January 20th.

The Senate cast the final vote, 60-38, late last night, hours after the House of Representatives passed an identical bill, 246-183, capping weeks of arguing over how to best jolt the economy out of deep recession.

Mr Obama and his fellow Democrats who control Congress failed to win over many Republicans, falling short of the broad bipartisan support he sought for the massive package of increased spending and tax cuts.

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But Mr Obama brushed off partisan bickering over the stimulus bill as "healthy differences of opinion."

"Congress has passed my economic recovery plan - an ambitious plan at a time we badly need it," he said in his weekly radio address delivered during his first trip home to Chicago since assuming the presidency.

"This is a major milestone on our road to recovery."

Mr Obama, who had warned that economic crisis could turn to catastrophe without rapid government intervention, said the stimulus would "lay a new foundation" for lasting growth.

The White House has said it will take about a month for the money to start flowing. But a primary concern for economists is that the stimulus will come too late to do much good in 2009, when many forecasters think full-year output will contract.

Reuters