US State Department announces $54 billion cut in international development and aid initiatives.
Upon taking office on January 20, US President Donald Trump enacted an executive order imposing a freeze on all US foreign aid for 90 days. This period was intended for a comprehensive review by upper-level political appointees to identify and discontinue programs that were not in line with the President’s “America First” policy.
As part of the review, the US Agency for International Development (USAID) examined multiyear foreign assistance contracts. The State Department spokesperson noted that nearly 5,800 contracts, totaling $54 billion, were identified for elimination as they did not align with the “America First” objectives.
In addition, the review covered over 9,100 grants involving foreign assistance, amounting to more than $15.9 billion. Of these, 4,100 grants, worth approximately $4.4 billion, were recommended for elimination, reflecting a 28 percent reduction.
According to the State Department spokesperson, these strategic reductions will enable the departments to concentrate on continuing programs, discover additional efficiencies, and tailor future programs to align more closely with the Administration’s “America First” priorities.
Some programs, such as food assistance, life-saving medical treatments for diseases like HIV and malaria, and support for specific countries including Haiti, Cuba, Venezuela, and Lebanon, were exempted from the cuts, as per the spokesperson.