NEW DELHI: On Wednesday, the Trump administration announced a significant reduction in foreign aid, cutting more than 90% of the U.S. Agency for International Development (USAID) contracts and slashing $60 billion in global assistance. This decision marks a dramatic rollback of U.S. development and humanitarian aid efforts, signaling a shift in the countryโs foreign policy.
President Donald Trump announced during a press conference at the White House, emphasizing the need to prioritize domestic issues and reduce government spending. โWe are putting America first,โ Trump stated. โOur focus should be on rebuilding our own country and addressing the needs of our citizens.โ
The decision was influenced by key figures within the administration, including Secretary of State Marco Rubio and Elon Musk, who leads the Department of Government Efficiency. Both have been vocal critics of foreign aid, arguing that it advances a liberal agenda and is a waste of taxpayer money. The cuts were detailed in an internal memo obtained by The Associated Press and court filings related to ongoing legal battles with nonprofits and contractors affected by the funding freeze.
The cuts will have far-reaching consequences, affecting thousands of USAID-funded projects worldwide. The administration plans to eliminate 5,800 of 6,200 multiyear USAID contracts, totaling $54 billion, and 4,100 of 9,100 State Department grants, amounting to $4.4 billion. This reduction will significantly shrink USAIDโs operations, leaving only a handful of projects intact.
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The rollback of U.S. development and humanitarian aid is expected to have severe implications for global health, education, and economic development. Programs that provide essential services, such as the Presidentโs Emergency Plan for AIDS Relief (PEPFAR) and the Bureau of Humanitarian Assistance (BHA), will be particularly affected. The cessation of critical foreign aid will exacerbate existing humanitarian crises, destabilize fragile regions, and undermine decades of progress in development.
The announcement has sparked widespread criticism from humanitarian organizations and international development experts. Critics argue that the cuts will harm vulnerable communities and damage the United Statesโ reputation as a reliable partner in global development. โThis decision is a step backward for U.S. foreign policy,โ said a spokesperson for a leading humanitarian organization. โIt undermines our efforts to promote stability and prosperity around the world.โ
The Trump administrationโs decision to slash USAID foreign aid contracts and cut $60 billion in global assistance represents a significant shift in U.S. foreign policy. While the administration argues that the cuts are necessary to prioritize domestic issues, the impact on global development and humanitarian efforts will be profound and long-lasting. As the world grapples with the consequences of these cuts, the debate over the role of foreign aid in U.S. policy is likely to continue.
