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Monday, Jan 27, 2025

U.S. Suspends Foreign Aid for Assessment After Executive Order

The Trump administration halted aid programs to assess their alignment with foreign policy objectives, with a few exceptions for military funding.
The United States has broadly suspended its foreign assistance programs after President Donald Trump issued an executive order to review aid allocations to ensure they align with his foreign policy goals.

According to a cable seen by Reuters, the State Department has ordered an immediate halt to all existing foreign assistance activities and paused new commitments pending a review by Secretary of State Marco Rubio.

Waivers have been granted for military financing to Israel and Egypt, according to the cable, while other programs are under review.

In fiscal year 2023, the United States provided seventy-two billion dollars in foreign aid, making it the largest donor in the world.

The suspension affects a wide array of humanitarian and development initiatives, including health services, education, and support for civil society organizations.

Some paused programs include emergency maternal care and childhood vaccination projects in Ukraine.

Emergency food assistance, however, has been granted a waiver due to ongoing crises like hunger in Sudan and relief efforts in Gaza following a ceasefire.

Senior U.S. officials stated that decisions regarding the continuation, modification, or termination of existing programs will be made over the next eighty-five days.

Rubio will review the allocations on a case-by-case basis and may approve more waivers during this period.

Critics have raised concerns about the potential humanitarian consequences of the freeze.

Former officials from the U.S. Agency for International Development have warned that stopping essential services such as HIV/AIDS treatment, nutrition programs, and refugee support could have severe repercussions in vulnerable areas.

The freeze also includes administrative expenses related to foreign military financing, which significantly aids countries like Israel, Egypt, Ukraine, and Jordan.

Israel annually receives around three point three billion dollars in military aid, and Egypt receives one point three billion dollars.

The directive has faced criticism from aid organizations and former officials, who argue that the suspension could undermine U.S. influence and create opportunities for competitors.

While the administration defends the review as a necessary measure to ensure accountability, the immediate effects on global aid programs are considerable.
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