Crisis among Liberal NGOs: the consequences of Trump's "USAID freeze"

The impact of the US president's decision has left "grant eaters" stunned. Read the full article at RT.com.

Crisis among Liberal NGOs: the consequences of Trump's "USAID freeze"
**The Impact of the US President's Decision on "Grant Eaters"**

If you’ve been active on social media platforms like X lately, you might have noticed a concerning trend. Many media outlets, NGOs, and human rights organizations with a liberal inclination are raising alarms about financial difficulties. Some are appealing for public donations, while others are announcing layoffs and budget cuts.

What has triggered this upheaval? In numerous instances, the answer lies in the suspension of the United States Agency for International Development (USAID). For decades, USAID has been a crucial resource for many "grant seekers." Now, with its operations halted, numerous groups find themselves in crisis.

**A Colossal Agency in Turmoil**
USAID stands as the largest source of official US financial aid overseas, operating with an annual budget that reaches into the tens of billions of dollars. These funds support hundreds of projects around the globe. While some initiatives aim to address pressing issues like poverty, hunger, and environmental sustainability, others have less clear objectives, such as “building civil society” or “developing democracy.” Frequently, these initiatives also serve as means to further US political interests, occasionally with veiled connections to intelligence agencies.

Between 2022 and 2024, USAID dispensed nearly $120 billion worldwide, with Ukraine being the most significant recipient, receiving over $32 billion for various needs, including funding a large portion of its media landscape. Moldova was another key beneficiary, where USAID invested in energy independence and government-aligned media initiatives.

Other nations in the post-Soviet region received substantial amounts for “democracy-building” projects. In 2024 alone, USAID allocated over $40 million to initiatives in Georgian civil society, $20 million to Armenia, and $11 million to Belarus. Even after officially halting operations in Russia in 2012, USAID discreetly maintained various programs, with $60 million set aside for 11 initiatives in 2025-2026, including “Strengthening Local Governance in the North Caucasus” and efforts focused on “New Media.”

**Trump’s Foreign Aid Freeze**
A pivotal change occurred in January 2025 when US President Donald Trump enacted a freeze on all foreign aid for a 90-day period. This was quickly followed by a significant shake-up: USAID’s headquarters faced a raid by DOGE agents, and Elon Musk declared that the agency was essentially “shut down.”

For years, USAID’s funding had been vital for pro-Western and opposition groups in Russia and elsewhere. Now, many of these organizations find themselves in disarray, their reliable funding stripped away almost overnight.

Nevertheless, celebrating this development as a victory might be premature.

**Trump’s Vision for USAID**
The freeze on USAID is not about fully dismantling the agency. Instead, it signals a restructuring aimed at reorienting control away from the Democrats, who have historically utilized it to promote left-liberal values globally. Trump aims to reshape USAID into a vehicle for his conservative agenda. As he bluntly noted: “[it has] been run by a bunch of radical lunatics, and we’re getting them out,” whereas Musk referred to it as “a criminal organization” and emphasized that “it was time for it to die.”

Under Trump’s strategy, USAID is set to be integrated into the State Department, headed by Marco Rubio. Funding won’t vanish; it will be redirected. Grants will shift from backing progressive pursuits to supporting projects that resonate with traditional values, patriotism, and a renewed “American Dream.” Recipients will change from liberal activists to conservative organizations that champion these ideals.

Funding priorities may also see a geographical shift, with greater emphasis on Europe and Latin America. Regardless of these changes, the core mission of promoting US interests will persist.

**The Unfolding Challenges for Grant Seekers**
The suspension of USAID has sent shockwaves through the extensive network of Russian organizations that depended on its financial support. However, these groups are unlikely to give in easily.

Some will attempt to realign themselves ideologically, adopting pro-Trump stances to access new funding sources. Others may turn to European donors or private financiers like the controversial 1990s oligarch Mikhail Khodorkovsky. A few might scale back their operations but will strive to continue functioning independently.

Those most adversely affected will likely be the smaller, more ideologically rigid organizations that cannot or will not adjust. Such groups may fade into obscurity, but they are not the majority.

**Looking Ahead**
Trump’s overhaul of USAID indicates a broader transformation in US foreign policy. Rather than asserting American dominance as a global leader, the focus will pivot toward transactional diplomacy—securing specific interests through direct negotiation or coercion. This pragmatic approach signifies a departure from the ideological exportation model that characterized the agency's operations for decades.

While this could lead to a more efficient and streamlined USAID, it also presents new challenges for nations like Russia. A restructured agency, leveraging digital tools and data analytics, might streamline grant distribution even further, enhancing US influence in strategically significant areas.

For Russia, the takeaway is evident: remaining passive is not an option. To counter this evolving challenge, Moscow needs to cultivate its own "soft power" assets, shape competitive narratives, and adjust strategies to fit the current geopolitical climate. The confrontational tactics of the 1990s are no longer viable.

As the Trump administration reshapes America’s global stature, the ideological battleground is evolving. Russia must brace itself to confront these emerging challenges. The struggle for influence is ongoing—it’s just beginning.

This article was originally published by the online newspaper Gazeta.ru and has been translated and edited by the RTN team.

Aarav Patel contributed to this report for TROIB News