The administration of U.S. President Donald Trump is terminating over 90% of USAID contracts worth $60 billion for assistance to other countries. Additionally, the government has reviewed other state funding programs.
This is reported by writes CNN. The publication states that the documents presented by the administration indicate that nearly 5,800 USAID grants have been canceled overall, while more than 500 grants have been retained. The total limit on the contracts that were not cut amounts to about $57 billion.
Besides USAID grants, the government has also reviewed other state funding programs. It is reported that approximately 4,100 state grants have been canceled, while 2,700 remain in effect.
Later, the administration clarified in a statement that "there are still 297 contracts that need to be reviewed."
CNN reports that the significant reduction in foreign aid is a blow to the operations of non-profit organizations and contractors. Aid programs worldwide have come to a halt due to the extensive freeze on funding and the review of billions of dollars in assistance.
The changes are part of a broader policy of the Trump administration, which previously sent a significant portion of USAID staff on leave or dismissed them.
The reduction in USAID funding occurred against the backdrop of a lawsuit challenging the administration's decision to suspend foreign aid. In response to this lawsuit, Secretary of State Marco Rubio stated that he made decisions on each grant individually, considering the alignment of programs with U.S. national interests.
However, the plaintiffs questioned this statement, noting that it was impossible to thoroughly review such a large number of contracts in a short period.
As a reminder, at the end of January, U.S. President Donald Trump announced a suspension of all foreign aid programs for three months. The USAID branch in Ukraine also suspended project implementation and funding.
It should be added that in Ukraine, numerous projects in various fields have been implemented with USAID support for several decades, so this decision significantly impacted Ukraine as well.
Earlier, "Telegraph" reported on what assistance Ukraine has lost from the U.S. and also mentioned that Trump was mandated to resume USAID funding.