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Actually, the new federal budget may help states manage their increasing debt as the interest on federal unemployment loans are aimed to be deferred till 2014, as states are expected to have money at that time for repaying the installment loans. In fact, the supporters of this plan consider that states will be able to address their own budgetary needs, if the interest on the unemployment loans will be deferred as they won't have to be concerned as for the interest payments directed to the federal government.

In fact, unemployment is rather high now and states have paid out a lot with 99 weeks of available benefits. Thus, the federal government decided to provide particular loans for most states in order to fund the unemployment benefits. However, some states still look for creative solutions as the interest payments on these loans come due.

For the next two years states and companies dealing with high unemployment costs may get a little more support from Washington, according to CNN money. The Obama administration offers to waive the interest payments for 2 years on the $42.3 billion,