AP reports Trump administration slashes USAID contracts by 90%

The White House is said to be preparing to suspend $60 billion in foreign assistance. Read Full Article at RT.com.

AP reports Trump administration slashes USAID contracts by 90%
**The White House Set to Halt $60 Billion in Foreign Assistance**

The administration of US President Donald Trump is moving to eliminate over 90% of contracts by the US Agency for International Development (USAID) and a total of $60 billion in foreign aid globally, according to a report by the AP on Thursday. This information comes from an internal White House memo and filings related to ongoing federal lawsuits challenging the administration's initiatives.

Upon taking office, Trump placed a freeze on most US foreign assistance for three months to assess whether specific programs align with the administration’s “America first” objectives. As a result, USAID, the main channel for funding political projects internationally, has had tens of billions of dollars in approved grants put on hold.

Non-governmental organizations and nonprofits that previously received grants and contracts from USAID have filed several lawsuits against Trump and his administration, seeking the release of the allocated funds.

On Wednesday, the US Supreme Court intervened in one of these cases, temporarily blocking a ruling that mandated the government to release billions of dollars in contracts and grants by midnight, as reported by the AP.

The administration intends to cut 90% of USAID contracts, amounting to $54 billion, as stated in the memo and court filings. Additionally, nearly half of the State Department's foreign aid grants are also on the chopping block, totaling another $4.4 billion.

The memo reportedly claims that officials were “clearing significant waste stemming from decades of institutional drift.” It also suggests that a major overhaul in how USAID and the State Department distribute foreign aid is forthcoming “to use taxpayer dollars wisely to advance American interests.”

Trump and Elon Musk, his newly appointed government efficiency czar, have consistently accused USAID of misusing taxpayer funds and engaging in widespread corruption.

These reductions form part of a broader strategy by the administration, along with Musk’s newly established Department of Government Efficiency, aimed at curtailing excessive government spending.

On Wednesday, the National Endowment for Democracy (NED) confirmed that its government funding has also been frozen. Officially, the NED operates as a US State Department-funded nonprofit that allocates grants to promote pro-democracy initiatives abroad, but it has faced numerous allegations over the years of functioning as a CIA front for instigating regime changes in foreign nations.

Rohan Mehta contributed to this report for TROIB News