Josey Agency

US Foreign Aid Programs Under Immediate Review

By : Lloyd Mahachi

The United States has issued a halt on all existing foreign assistance and paused new aid, according to a leaked internal memo sent to officials and US embassies abroad. This move follows President Trump’s executive order issued on Monday for a 90-day pause in foreign development assistance pending a review of efficiencies and consistency with his foreign policy.

 

The US is the world’s biggest international aid donor, spending $68 billion in 2023, according to government figures. The State Department notice appears to affect everything from development assistance to military aid, with exceptions only for emergency food aid and military funding for Israel and Egypt.

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The leaked memo’s contents have been confirmed by the BBC. It states that “no new funds shall be obligated for new awards or extensions of existing awards until each proposed new award or extension has been reviewed and approved.” US officials have been instructed to “immediately issue stop-work orders, consistent with the terms of the relevant award, until the secretary shall determine, following a review.”

 

A wide-scale review of all foreign assistance is to be completed within 85 days to ensure the aid adheres to President Trump’s foreign policy goals. Secretary of State Marco Rubio has previously stated that all US spending abroad should take place only if it makes America “stronger”, “safer”, or “more prosperous”.

 

The move has been met with concern from former officials, with one describing the impact on foreign aid programs as “potentially huge”. Josh Paul, a former senior State Department official, noted that humanitarian programs, such as de-mining efforts, could be significantly affected.

 

Dave Harden, a former USAID mission director, described the move as “very significant”, highlighting its potential impact on critical development projects, including water, sanitation, and shelter. He noted that the pause would affect not only new projects but also existing contracts that are already funded and underway.

 

The funding freeze could also potentially affect Ukraine, which received billions of dollars in weapons under Trump’s predecessor Joe Biden. Rubio’s memo justified the freeze, citing the need to assess whether existing foreign aid commitments align with President Trump’s foreign policy.

 

Rubio has issued waivers for emergency food assistance and foreign military financing for Israel and Egypt. The State Department has been approached for comment on the matter.

Editor : Josephine Mahachi 

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