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Senator Ernst Exposes USAID's Questionable Spending on Ukrainian Businesses

USAID allocated millions of U.S. taxpayer dollars to Ukrainian companies for projects that included pet apps, fashion trips, and luxury goods, while resisting congressional oversight.

Overview

  • Senator Joni Ernst's investigation revealed USAID funded projects such as a pet tracking app, designer furniture, and fashion trade missions in Ukraine using taxpayer money.
  • USAID's Competitive Economy Program and Investment for Business Resilience program awarded grants of up to $2 million to Ukrainian businesses, including a custom carpet manufacturer and a specialty confectionery company.
  • Some grants supported non-essential ventures, such as sending Ukrainian designers and models to international events like Paris Fashion Week and South by Southwest.
  • Ernst accused USAID of obstructing congressional oversight by misclassifying spending data as classified and limiting access to records.
  • The findings have intensified scrutiny of USAID's management of foreign aid, with Ernst calling for greater accountability in how taxpayer funds are spent abroad.

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