The United States has enacted a sweeping 92% cut to its foreign development and aid programmes under the United States Agency for International Development (USAID), slashing $54 billion from multi-year contracts as part of President Donald Trump’s “America First” agenda.
The cuts impact nearly 5,800 identified foreign aid contracts, focusing on programmes not aligned with the administration’s priorities. According to the U.S. State Department, the move is aimed at saving up to $60 billion in development and humanitarian assistance.
Trump had previously signed an executive order freezing all U.S. foreign aid for 90 days to facilitate a review of overseas spending. Despite a federal judge’s order to unfreeze the funds, the administration secured an emergency stay from the U.S. Supreme Court, halting the lower court’s directive.
Secretary of State Marco Rubio personally reviewed many of the aid tranches, with the cuts primarily affecting multi-year USAID contracts. The review also targeted over 9,100 grants valued at $15.9 billion, leading to the elimination of 4,100 grants worth nearly $4.4 billion—a 28% reduction.
“These commonsense eliminations will allow bureaus to focus on remaining programmes, find efficiencies, and align with America First priorities,” the State Department said.
While the cuts are extensive, the administration maintained funding for critical initiatives such as food assistance, life-saving medical treatments for diseases like HIV and malaria, and support for countries including Haiti, Cuba, Venezuela, and Lebanon.
The dramatic reduction in aid spending is expected to reshape U.S. involvement in global humanitarian and development efforts, raising concerns among international partners and aid-dependent nations.
