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Trump Administration Eliminates 83% of USAID Programs Following Review

Secretary of State Marco Rubio announces the cancellation of 5,200 contracts, citing misalignment with U.S. national interests, as remaining programs shift to the State Department.

A view shows the Ronald Reagan Building after laid-off USAID workers cleared out their desks and collected personal belongings, during a sendoff in Washington, D.C., U.S., February 27, 2025.
Terminated U.S. Agency for International Development (USAID) employee Caitlin Harwood gestures as she hugs her cousin Samantha Kent after laid-off USAID workers cleared out their desks and collected personal belongings, during a sendoff in Washington, D.C., U.S., February 27, 2025.
U.S. Secretary of State Marco Rubio would assume control of the remaining contracts, “in consultation with Congress.” (JACK GUEZ/Pool via REUTERS)
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Overview

  • Secretary of State Marco Rubio declared the conclusion of a six-week review resulting in the termination of 83% of USAID's programs, totaling 5,200 contracts.
  • Rubio stated the canceled programs, costing tens of billions of dollars, failed to align with or even harmed U.S. national interests.
  • Approximately 1,000 remaining USAID programs will now be managed under the State Department for increased efficiency, though details on these programs were not provided.
  • The move follows President Donald Trump's executive order to freeze foreign assistance funding and review all USAID operations, part of a broader effort to reduce federal spending.
  • The decision has led to lawsuits from aid organizations alleging contract violations and unpaid funds; a federal court has ordered the administration to pay $671 million in overdue payments.