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US Pulls Back on Foreign Aid as Trump Orders Comprehensive Review

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US Pulls Back on Foreign Aid as Trump Orders Comprehensive Review

Credited from: REUTERS

The United States has significantly curtailed its foreign assistance programs following a directive from President Trump, who ordered a comprehensive review of such spending to ensure alignment with his administration's foreign policy objectives. According to a leaked memo from the State Department, a "stop-work" order was issued for all existing foreign aid and a halt on new aid allocations, with only military funding for Israel and Egypt exempted (BBC). This pause affects critical support across various sectors, including humanitarian aid that the U.S. has provided globally.

Trump's executive order articulated a 90-day suspension of foreign development assistance, prompting immediate actions by officials, particularly Secretary of State Marco Rubio. The memo specifies that no new funds are to be obligated for foreign assistance until each outstanding proposal is reviewed and approved in accordance with the administration's new agenda. With the U.S. being one of the largest contributors to international aid—having disbursed around $68 billion in 2023 alone—this freeze could have wide-ranging implications (The Guardian).

Critics and former officials have strongly condemned the freeze as potentially devastating, particularly in light of the humanitarian crises in regions such as Gaza and Sudan. Jeremy Konyndyk, a former USAID official, remarked that the implications of this action could be dire, stating that “this will kill people,” as ongoing health services and educational support will be interrupted during the review period. Furthermore, many humanitarian organizations face an unprecedented need to cease operations, leading to a placeholder of life-saving activities, which could see health and nutrition programs grind to a halt (South China Morning Post).

The memo indicates that Rubio retains the authority to approve waivers for certain urgent needs, including emergency humanitarian aid. However, the suspension of funds will likely disrupt projects across numerous nations, including Ukraine, which has received substantial military assistance amid its ongoing conflict (Reuters).

In summary, Trump's order represents a substantial shift in U.S. foreign policy that could redefine America's role in global aid distribution, compelling partner nations to seek alternative funding sources. Without significant changes to the current policies in place, the U.S. risks losing influence as countries navigate this newfound uncertainty in aid reliability and availability.


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