The Trump administration has announced the termination of more than 90% of the US Agency for International Development’s (USAID) foreign aid awards, as revealed in a court filing on Wednesday. The filing stated that nearly 5,800 USAID awards were terminated, while over 500 were retained. The total value of the retained awards amounts to approximately $57 billion.
Additionally, around 4,100 State awards were terminated, with approximately 2,700 being retained. The administration noted that there are still 297 contracts pending review.
This significant reduction in foreign aid awards has had a profound impact on nonprofit organizations and contractors, leading to the suspension of aid programs worldwide. The funding freeze and review of billions of dollars in assistance have contributed to the halt in aid activities.
Furthermore, the Trump administration has either placed a majority of USAID’s workforce on leave or terminated their positions. These developments were disclosed in response to a lawsuit challenging the blanket foreign aid suspension.
Secretary of State Marco Rubio was reported to have made final decisions on each award individually, opting to either retain or terminate them based on their alignment with national interests and foreign policy. However, the plaintiffs in the lawsuit contested this claim, arguing that it would be impractical for one person or a group to thoroughly review all the contracts and awards in such a short timeframe.
