The White House Office of Management and Budget on Wednesday rescinded a memo that froze federal grants and loans and created widespread confusion this week.

The White House budget office on Wednesday rescinded an order freezing federal grants, according to a copy of a new memo obtained by The Washington Post, after the administration’s move to halt spending earlier this week provoked a backlash.

U.S. President Donald Trump will sign an executive order on Wednesday "addressing school choice, ending funding for public schools that support critical race theory and other divisive measures in their curriculums,

The freeze on hundreds of billions of dollars of federal grants had been temporarily halted by a judge on Tuesday.

The new memorandum, just two sentences long, will allow agencies to continue their normal operations after uncertainty over the impact of the initial directive caused widespread chaos across government. It followed a temporary injunction by a federal judge that prevented the original Office of Management and Budget memo from taking effect.

The Trump administration has put a hold on all federal financial grants and loans, affecting tens of billions of dollars in payments.