The Trump administration is considering merging USAID into the State Department, aligning foreign aid spending with its “America First” policy. Elon Musk, leading Trump’s federal cost-cutting drive, called USAID a “criminal organization”, as critics warn of global humanitarian risks.
The U.S. Agency for International Development (USAID), the country’s main foreign aid body, may be merged into the State Department under a major restructuring plan by President Donald Trump. The move is part of a broader effort to reduce federal spending and reshape U.S. foreign policy.
Trump has tasked Elon Musk, the billionaire overseeing the administration’s government efficiency drive, to lead the project. On Sunday, Trump criticized USAID, calling it “run by radical lunatics,” while Musk claimed, without evidence, that the agency was “a criminal organization.”
Founded in 1961 under President John F. Kennedy, USAID administers 60% of U.S. foreign assistance, disbursing $43.79 billion in 2023. It operates in about 130 countries, focusing on poverty reduction, humanitarian aid, and economic development.
Top recipients of USAID assistance in 2023 included Ukraine, Ethiopia, Jordan, Somalia, Yemen, Afghanistan, and Syria. The agency is funded by Congress, with budget requests submitted by the administration.
In 2023, the U.S. allocated $72 billion in foreign aid, accounting for 42% of all global humanitarian aid. Historically, U.S. aid spending was around 0.33% of GDP, far below Cold War-era levels, where it reached 3% during the Marshall Plan.
Despite leading in total dollar contributions, the U.S. ranks among the lowest in foreign aid as a percentage of national income, contributing just 0.24% in 2023—lagging behind Norway (1.09%), and multiple European nations.
Foreign aid has traditionally enjoyed bipartisan backing, though Republicans have often pushed for reductions. Trump previously attempted to cut foreign aid by one-third, but those efforts were blocked by Congress.
In June 2024, 80% of the Republican-led House of Representatives rejected a proposal to eliminate foreign aid from the 2025 budget, signaling continued support despite Trump's opposition.
Trump’s January 20 executive order paused most foreign aid for 90 days, claiming the U.S. aid system is “not aligned with American interests.” His administration has warned USAID workers against resisting the restructuring, threatening disciplinary action for noncompliance.
The move has raised alarm among humanitarian organizations, the United Nations, and foreign governments, as USAID plays a critical role in food security, health programs, and crisis response.
A source familiar with USAID operations warned that folding the agency into the State Department would limit humanitarian assistance, especially in countries without diplomatic ties to the U.S., such as Iran and North Korea.
As Trump pushes forward with restructuring, concerns grow over the future of U.S. humanitarian influence and global development efforts.
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A blast at a fireworks factory in China's Hunan province has killed dozens of people and injured more than 60, prompting President Xi Jinping to call for a thorough investigation, state media reported on Tuesday.
Turkish Energy Minister Alparslan Bayraktar has warned that global energy supply disruptions caused by the ongoing Middle East conflict are likely to persist.
One of the region’s largest defence and aerospace exhibitions has opened in Istanbul, bringing together companies, officials and industry experts from around the world.
The eighth European Political Community summit brought dozens of world leaders to Yerevan, signalling Europe’s deepening interest in the South Caucasus.
A 77-year-old man and a 63-year-old woman were killed on Monday (4 May), after a man drove a car into a crowd on a pedestrianised street in the the eastern German city of Leipzig, authorities said.
Iran warned Armerican forces on Monday (4 May) not to enter the Strait of Hormuz, after the U.S. said it had launched a mission to try and reopen the sea passage. Meanwhile, Iran's Foreign Minister said there was no military solution to the Middle East conflict.
The United Arab Emirate said it was dealing with missile and drone attacks from Iran for the second day in a row on Tuesday (5 May), despite denials from authorities in Tehran who threatened a "crushing response" if the UAE retaliated.
Medics are working to evacuate two people with symptoms of the deadly respiratory illness, hantavirus, from a luxury cruise ship being held off West Africa, after three people died and several others fell ill, officials have said.
Uzbekistan has unveiled a series of major economic and regional initiatives as more than 4,000 delegates from over 100 countries gather in Samarkand for the 59th Annual Meeting of the Asian Development Bank (ADB), held under the theme “Crossroads of Progress.”
A Russian overnight missile and drone attack on Ukraine’s gas production facilities has killed five people, including two rescue workers, Ukrainian officials said, as Kyiv and Moscow exchanged competing ceasefire proposals.
Sudan’s armed forces have accused the United Arab Emirates and Ethiopia of carrying out a drone attack targeting Khartoum airport, as a renewed wave of strikes shattered months of relative calm in the capital nearly three years into the civil war.
Start your day informed with the AnewZ Morning Brief. Here are the top stories for the 5th of May, covering the latest developments you need to know.
The International Atomic Energy Agency (IAEA) said on Monday (4 May) that meteorological monitoring equipment at the Zaporizhzhia nuclear power plant in south-eastern Ukraine had been damaged by a drone.
A blast at a fireworks factory in China's Hunan province has killed dozens of people and injured more than 60, prompting President Xi Jinping to call for a thorough investigation, state media reported on Tuesday.
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