Elon Musk, the head of the Department of Government Efficiency in President Donald Trump’s administration, has announced plans to dismantle the United States Agency for International Development (USAID), the world’s largest foreign aid agency. This decision comes amid a freeze on most U.S. foreign aid as part of Trump’s “America First” policies. USAID’s mission is to provide assistance to countries recovering from disasters or poverty, promoting democratic values, and advancing a free and prosperous world.
In fiscal year 2023, USAID disbursed $72 billion worldwide for various initiatives, including women’s health, clean water, HIV/AIDS treatments, energy security, and anti-corruption efforts. With a staff of over 10,000, the agency plays a crucial role in international development and disaster assistance.
Funded by Congress, USAID received over $44 billion in federal funding in fiscal year 2024, accounting for 0.4% of the entire federal budget. Established as an independent agency in 1961, USAID may potentially be folded into the State Department under the Trump administration’s plans, which could impact the agency’s ability to provide aid outside of diplomatic relationships.
As the future of USAID remains uncertain, the agency’s vital work in saving lives, reducing poverty, and promoting democratic governance hangs in the balance amidst Musk and Trump’s intentions to shut it down. This development raises questions about the future of U.S. foreign aid and global humanitarian efforts.