WASHINGTON (AP) — The U.S. Agency for International Development (USAID) has been at the center of significant changes under President Donald Trump's administration, causing concern among aid organizations worldwide. Established by President John F. Kennedy during the Cold War in 1961, USAID was created to provide foreign assistance and counter Soviet influence abroad.
Since Trump took office, USAID has faced a freeze on foreign assistance, resulting in the shutdown of thousands of programs globally and forcing furloughs and layoffs. The administration's aim is to review programs that align with America's interests in safety, strength, and prosperity.
Republicans and Democrats have historically debated the agency's funding and policy control, with Republicans advocating for more State Department oversight and Democrats supporting USAID autonomy.
Elon Musk's Department of Government Efficiency (DOGE) has targeted USAID, accusing the agency of funding harmful programs and labeling it a 'criminal organization.'
The aid freeze is impacting regions like Sub-Saharan Africa, where vital programs are being disrupted, and Latin America, where services for migrants and vulnerable populations are being cut. The aid community is struggling to assess the full extent of the shutdowns and layoffs.
In the 2023 fiscal year, the U.S. spent approximately $40 billion on foreign aid, making it the largest global provider of humanitarian assistance. However, public opinion in the U.S. shows a perception of overspending on foreign aid, with many Americans believing more should be allocated to domestic issues.
There are concerns about the potential dissolution of USAID, with legal battles looming over the president's authority to eliminate the agency. The Impoundment Control Act has been cited as a safeguard against unilateral budget cuts to foreign programs.