America’s foreign aid landscape just saw a seismic shakeup with Secretary of State Marco Rubio announcing the complete shutdown of the U.S. Agency for International Development (USAID) on Tuesday, as The Hill reports.
Since President Donald Trump’s return to the White House, the rapid dismantling of USAID has culminated in this controversial closure, sparking fierce debate over its global impact and alignment with American priorities.
The unraveling began swiftly as the Trump administration moved to freeze foreign assistance, issue stop-work orders to USAID staff, and lock employees out of their workstations and email accounts.
Chaos, cuts in aid community
This aggressive overhaul left the aid community reeling, with lawsuits claiming that the chaos has put countless lives at risk across the globe.
Of the $120 billion in contracts active at the start of January, only about $69 billion in programming was spared, according to a detailed analysis by the New York Times.
That retained funding covers 580 humanitarian efforts, 167 health initiatives, 65 economic development projects, and 79 other programs, but the rest? Gone in a flash.
Dire warnings emerge
A chilling study published Monday in the Lancet medical journal warns that U.S. aid cuts could lead to over 14 million additional deaths worldwide, including 4.5 million children. Turns out, pulling the plug on aid isn’t just paperwork — it could be a life-and-death gamble.
Rubio, however, stood firm on Tuesday, declaring USAID would no longer handle foreign assistance, with the State Department stepping in to steer funds according to administration goals. He promised delivery with “more accountability, strategy, and efficiency,” a line that sounds great if you trust the execution.
In a blog post, Rubio wrote, “Development objectives have rarely been met.” Well, critics might argue that scrapping the whole system isn’t exactly a proven fix either.
Supporters, critics clash
The Trump administration has framed this shutdown as a long-overdue purge of “waste, fraud, and abuse,” aiming to ensure American dollars yield tangible benefits. Some of President Trump’s staunch Make America Great Again supporters in Congress echoed this sentiment, with the Republican majority of the House Foreign Affairs Committee posting on X, “America First: Every Dollar.” A catchy slogan, but does it hold up under scrutiny?
Democrats, predictably, have slammed the move as both unconstitutional and heartless, with former Biden ambassador to China, R. Nicholas Burns, calling it a “historic mistake” on X that could weaken U.S. standing against global rivals like China. Hard to ignore that kind of warning, even if you’re skeptical of the old aid model.
The American Foreign Service Association didn’t hold back either, stating, “The actions of this administration will haunt our country far longer than any of us can foresee.” That’s a gut-punch of a prediction, though one wonders if the old system was truly haunting us with inefficiency already.
Farewell ceremony, lingering questions
On June 30, former President George W. Bush attended a ceremony to honor USAID staff on their final day, spotlighting the uncertainty around his signature HIV/AIDS prevention program, which has saved an estimated 25 million lives. During the event, Bush said, “Is it in our interest that 25 million people who would have died now live?” Tough to argue with results like that, no matter your politics.
Elon Musk, during his stint leading the Department of Government Efficiency, couldn’t resist a jab, however, bragging about putting USAID through the “wood chipper.” A bit theatrical, sure, but it captures the no-nonsense attitude driving this policy shift.
As the dust settles, the real question looms: will the State Department’s takeover of aid distribution truly deliver the promised efficiency, or are we trading one flawed system for another? Only time will tell, but for now, the world watches — and waits — with bated breath.
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Author: Mae Slater
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