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05 February 2025

USAID Faces Closure Amid Budget Cuts Under Trump

Insiders reveal plans to restructure agency, alarming advocates for global aid.

USAID, the U.S. Agency for International Development, faces unprecedented changes under the Trump administration, which is actively considering significant cuts to international aid and the potential closure of its offices worldwide. Established more than six decades ago, USAID has long been emblematic of America's soft power and has provided humanitarian assistance to millions of individuals across the globe during crises.

Since President Trump took office, there has been growing scrutiny over the budget allocated to USAID and other international aid initiatives. Trump and his administration have openly criticized American foreign aid programs, arguing they do not serve U.S. interests and asserting the need to adopt their 'America First' policy. This sentiment has gained momentum after influential billionaire Elon Musk labeled USAID as a 'criminal organization' and called for its cessation.

Reportedly, on February 4, 2021, the State Department directed the closure of USAID offices abroad, which has provoked alarm among humanitarian experts and organizations reliant on U.S. assistance. Reports indicate Secretary of State Marco Rubio conveyed to Congress the need to restructure USAID, with some offices likely integrating with the State Department and others potentially facing elimination.

Under the supervision of Peter Marocco, recently appointed by Trump to oversee USAID's operations, staff across various departments were instructed to return to the U.S. by February 7. This abrupt recall, attributed to the administration's cost-cutting approach, has disrupted numerous programs—some of which provide food, medicine, and vaccines to underserved regions globally.

Many experts warn of dire consequences should USAID cease its operations or be drastically downsized. Matthew Kavanagh, an international policy analyst, commented, 'Ending the agency threatens America's ability to achieve humanitarian and foreign policy goals.' He echoed concerns about the tangible impact on vulnerable populations, particularly those living through disasters or conflicts, such as individuals affected by the crises in Ukraine or Syria, or nations grappling with the ramifications of poverty across Africa.

During its years of service, USAID has catered to millions, helping alleviate poverty, providing disaster relief, and tackling public health crises, such as widespread vaccination campaigns against polio. If the agency were to be transformed significantly or dissolved, millions globally could face the immediate consequences of lost humanitarian support. Experts estimate the withdrawal of U.S. aid could lead to severe shortages of food, vaccines, and medical services for populations most at risk.

Critics of the proposed closures argue this would not only affect the lives of those currently benefiting from U.S. assistance but would also damage America's standing and commitments on the world stage. The perception of U.S. aid as unreliable or politically motivated could severely impair diplomatic relations and strategic partnerships, rendering the U.S. increasingly isolated on global humanitarian matters.

With such fundamental changes being considered, this situation encapsulates not merely financial adjustments but raises broader questions about the direction of U.S. foreign policy. While the administration insists on cutting spending, experts highlight the long-term costs of withdrawing American assistance from global humanitarian efforts, potentially fostering environments of instability and conflict.

The financial implications of these changes are staggering, as U.S. philanthropic initiatives play a pivotal role globally, mediatory efforts require funding, and support infrastructures depend on the presence of dedicated organizations like USAID. The looming cessation threatens to dismantle decades of hard-earned progress.

What remains unclear is whether the American public understands the rippling effects of these changes, both domestically and globally. Ongoing discussions and public feedback may prove pivotal as the debate continues. The enduring question remains—will the U.S. maintain its commitment to aiding vulnerable populations, or will it retreat from its role as a global leader? Only time will tell as the situation develops.