U.S. cuts foreign aid by $54 billion under Trump’s ‘America First’ agenda
The United States has dramatically reduced its overseas development and aid programs, slashing multi-year contracts by 92%, amounting to a $54 billion cut, the State Department announced Wednesday.
The sweeping reductions stem from an executive order signed by President Donald Trump on his first day in office, which froze all U.S. foreign aid for 90 days. The freeze was intended to allow the administration to review overseas spending and eliminate programs that did not align with Trump’s “America First” agenda.
The U.S. Agency for International Development (USAID) bore the brunt of the cuts, with nearly 5,800 foreign assistance contracts eliminated. Additionally, the administration reviewed over 9,100 grants totaling $15.9 billion and identified 4,100 grants worth $4.4 billion for termination, a 28 percent reduction.
“These commonsense eliminations will allow bureaus to focus on remaining programs, find additional efficiencies, and tailor subsequent programs more closely to the Administration’s America First priorities,” a State Department spokesperson said.
Despite the cuts, the government stated that food assistance, life-saving medical treatments for diseases such as HIV and malaria, and aid for countries including Haiti, Cuba, Venezuela, and Lebanon would remain intact.
The Trump administration’s actions sparked legal challenges, leading to a federal judge ordering the immediate unfreezing of all aid. However, on Wednesday night, U.S. Supreme Court Chief Justice John Roberts granted a petition to put a hold on the lower court’s order, according to U.S. media reports.
The cuts have also led to significant job losses at USAID, which had over 10,000 employees before the freeze. The agency announced on February 23 that it was laying off 1,600 workers in the U.S. and placing most remaining staff on administrative leave.
During his campaign, Trump vowed to slash federal government spending and reduce bureaucracy, a task he assigned to billionaire Elon Musk, his top donor and close advisor, under the newly created Department of Government Efficiency (DOGE).
With the foreign aid rollback now in effect, global aid organizations and affected nations are bracing for the long-term impact of the dramatic funding cuts.
