The State Department has announced a comprehensive freeze on nearly all new funding for U.S. foreign assistance, with exceptions made only for emergency food initiatives and military support for Israel and Egypt. This decision threatens to bring many multimillion-dollar projects around the world to a standstill, impacting U.S.-funded initiatives that focus on health, education, job training, anti-corruption, security, and other areas.
In 2023, the United States allocated around $60 billion for foreign aid, which represents about 1% of its total budget, marking it as the largest provider of such aid internationally. Secretary of State Marco Rubio’s directive, communicated through a cable to U.S. embassies, highlights the exemption for emergency food programs aimed at addressing the humanitarian crisis in conflict-stricken Sudan. However, the cable also outlines how this freeze aligns with an executive order signed by President Donald Trump earlier in the week.
Humanitarian organizations expressed disappointment that the order did not provide exemptions for essential health programs, such as vaccination efforts and clinics. Notably, the President’s Emergency Plan for AIDS Relief (PEPFAR), recognized globally for its role in combating HIV, is affected by this funding freeze, despite its significant impact in saving millions of lives since its inception.
Some aid organizations interpreted the cable as an effective stop-work order for U.S.-funded projects worldwide, prompting many to consider halting their operations imminently to avoid incurring additional expenses. Abby Maxman from Oxfam America highlighted the potential life-and-death implications of suspending foreign development assistance, emphasizing the detrimental effects this decision may have on vulnerable communities.
At the United Nations, deputy spokesperson Farhan Haq recognized the bilateral nature of these decisions but underscored the importance of nations capable of funding development assistance continuing their support. Although military aid for Israel and Egypt has been exempt from the freeze, there are no reassurances regarding U.S. military support for Ukraine. The previous administration had expedited military aid to Ukraine before leaving office, but approximately $3.85 billion in congressional funding remains available, pending Trump’s decision on its allocation.
This initiative reflects a commitment from Trump and his Republican colleagues to reassess U.S. aid programs. Concurrently, the State Department’s refugee and resettlement agency notified associated organizations that they must immediately cease all operations tied to foreign aid funding, lacking clear guidelines on the scope and duration of this suspension.
Rep. Brian Mast, the new chair of the House Foreign Affairs Committee, announced plans for a thorough examination of the State Department’s budget, asserting that every dollar and diplomat will be scrutinized to confirm alignment with their criteria for essential expenses. The freeze is promoted as a measure to ensure that appropriations are not redundant, are effective, and align with Trump’s foreign policy priorities.
Guidelines for reviewing the foreign assistance program are anticipated within the next month to ensure compliance with the current administration’s agenda, with a comprehensive review expected to conclude within three months, leading to a report with recommendations for the president.