Elon Musk declared that President Donald Trump has agreed to shut down the US Agency for International Development (USAID) in response to funding freezes and employee suspensions. Musk emphasized the president’s approval during a conversation hosted by X Spaces. The decision to close the agency, which annually disburses significant humanitarian aid and development funding worldwide, followed allegations of radicalism within USAID by Trump. The controversy escalated as top USAID security officials were placed on leave for resisting a probe by the Department of Government Efficiency (DOGE), prompting Musk and his associates to confront USAID personnel physically.

Musk criticized USAID as irreparable and excessively partisan, advocating for its closure. The agency, established in 1961 under President Kennedy, plays a crucial role in US foreign policy by addressing poverty, diseases, and disasters globally. Nevertheless, Trump allies, including Stephen Miller, have accused USAID of left-leaning bias. Amid speculations of merging USAID with the State Department, concerns arose about the potential compromise of sensitive information and national security.

As USAID staff faced layoffs and program suspensions due to Trump’s executive order pausing foreign aid, aid officials warned against dismantling the agency. They argued that the State Department lacks the expertise to continue USAID’s projects effectively, risking the loss of valuable soft power. Former USAID officials raised apprehensions about the administration’s approach, emphasizing the agency’s unique ability to engage deeply in foreign territories. The unfolding situation underscores the complex challenges and implications of restructuring USAID within the changing landscape of US foreign assistance.