DW Weekly #199 – Trump vs USAID: the battle over US foreign aid
The United States Agency for International Development (USAID), a pillar of American humanitarian aid for over 60 years, now faces an uncertain future under President Donald Trump’s second term. With its employees locked out and a proposed merger with the State Department, the agency’s fate has raised concerns about the future of US foreign aid. USAID administers over $40 billion annually and is critical in global relief efforts, tackling famine and pandemics, and providing medical and infrastructure support in conflict zones. Its work includes aiding Ukrainian soldiers with prosthetics, demining war-torn regions, and containing Ebola outbreaks in Africa.
However, the Trump administration has criticised some of USAID’s expenditures as wasteful, pointing to projects like funding LGBTQ groups in Serbia and electric vehicle programs in Vietnam. While these claims have been contested as misrepresentations of broader development goals, Trump has remained vocal in his opposition to foreign aid spending. His recent Truth Social post calling USAID’s spending ‘totally unexplainable’ and advocating for its closure reflects his ‘America First’ agenda. His close ally, Elon Musk, has further fuelled the controversy, labelling USAID a ‘criminal organisation’ and suggesting its dissolution is imminent. However, neither has provided substantial evidence to support their claims.
Trump’s decision to freeze international aid spending for 90 days and move towards folding USAID into the State Department has sent shockwaves through the humanitarian sector. The abrupt halt of aid programmes has left vulnerable populations without essential support. For instance, Syrian prison guards tasked with securing thousands of Islamic State detainees nearly abandoned their posts due to funding disruptions, raising security concerns. Critics argue that dismantling USAID would damage US global influence and create instability in regions that depend on American aid.
Opposition to Trump’s plans is growing, particularly among Democrats and humanitarian organisations that call the freeze illegal and dangerous. USAID’s status is enshrined in US law, meaning its closure or restructuring would require congressional approval—an uphill battle despite the slim Republican majorities in both chambers. Trump’s push to align aid spending with national interests mirrors the 2020 merger of Britain’s Department for International Development with the Foreign Office, a move critics say undermined expertise and diminished the country’s global credibility.
Adding to the controversy, conspiracy theories surrounding USAID have gained ground. Musk and fringe media outlets have amplified claims that the agency funded Hollywood visits to Ukraine or engaged in corrupt activities despite USAID debunking these allegations. Therefore, the allegations could easily be part of a broader trend when misinformation is used to justify drastic policy shifts, making informed debate on USAID’s future more difficult.
The growing politicisation of the issue threatens to overshadow the agency’s humanitarian mission. As the largest provider of international aid, the USA plays a crucial role in global development, and a reduction in funding could leave a void that other nations or organisations may struggle to fill. Global repercussions could manifest if USAID’s role is diminished or absorbed into the State Department. Hundreds of programmes addressing health crises, food security, and conflict resolution could be severely impacted, particularly in Africa and Southeast Asia. Either way, the outcome of this debate will determine the future of USAID, the broader direction of US foreign policy, and its role on the global stage.
Heading news of the week:
French President Emmanuel Macron emphasised Europe’s focus on clean energy for AI, contrasting with the US’s fossil fuel reliance.
In other highlights of the week:
Musk bids $97.4 billion-dollar to reclaim control over OpenAI
Elon Musk has reignited his rivalry with OpenAI by leading a consortium in a staggering $97.4 billion bid to acquire the nonprofit that governs the ChatGPT creator.
France boosts AI industry with 109 billion euro investments
Marko and the Digital Watch team
Highlights from the week of 07-14 February 2025
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EU aims to cut red tape to boost development.
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Cairo’s pioneering space lab marks a shift in the global space race and Sino-African relations.
The investigation adds to growing legal scrutiny of Elon Musk’s social media platform.
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Cairo’s pioneering space lab marks a shift in the global space race and Sino-African relations.
Macron urged Europe to accelerate AI development to compete with the US and China.
An open-source machine translation benchmark will help assess AI performance in seven languages.
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