President Trump’s Executive Order 14169 paused USAID for 90 days, citing wasteful spending. USAID, a $40 billion agency, funds global aid programs. Employees were sent on leave, and operations halted. While abolishing USAID requires Congress, merging it with the State Department could proceed without congressional approval, reshaping U.S. foreign aid.
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President Trump issued Executive Order 14169, requiring a 90-day pause on the United States Agency for International Development (USAID) and all US foreign development assistance programs.
It is an independent agency of the United States government that is mainly responsible for administering civilian foreign aid and development assistance.
It is one of the largest official aid agencies in the world and accounts for more than half of all U.S. foreign assistance – the highest in the world in absolute dollar terms.
It was established in the 1960s, it employs around 10,000 people, with two-thirds working overseas.USAID operates in over 60 countries and funds a wide range of programs, including famine detection, health initiatives like polio vaccinations, and disaster relief.
It also supports projects in education, clean water, and economic development.
The Trump administration has criticized USAID for what it sees as wasteful spending and misalignment with U.S. policy priorities.
Trump has described senior USAID officials as "radical lunatics" and has questioned the value of overseas aid for American taxpayers.
The administration is reportedly considering merging USAID with the State Department to streamline operations and ensure that aid spending aligns more closely with U.S. national interests.
USAID’s budget is approximately 40 billion, which is more than half of the 68 billion the U.S. spends annually on international aid. This represents about 0.6% of total U.S. government spending.
The U.S. is the world’s largest aid donor, far surpassing other countries. For example, the UK, the fourth-largest donor, spent around £15.3 billion in 2023, which is roughly a quarter of what the U.S. provides.
Thousands of employees were sent on leave, and the agency’s website went offline. Programs providing essential services, such as medication for the world’s poorest and clean water installations, were paused.
The situation has created uncertainty and operational challenges for humanitarian efforts worldwide.
The agency was established by Congress through the Foreign Assistance Act of 1961 and later confirmed as an independent executive agency in 1998. Abolishing USAID would likely require congressional approval, which could face significant legal and political challenges.
The administration is considering merging USAID with the State Department, which could be done without congressional action.
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