On July 1, 2025, U.S. Secretary of State Marco Rubio announced the closure of the U.S. Agency for International Development (USAID). This decision is part of President Donald Trump's "America First" policy. It aims for a more focused approach to foreign aid. It is noted that all assistance programs that do not contradict the current US government policy will now be implemented directly by the State Department, not USAID.
USAID, established in 1961, was a key part of U.S. foreign policy. It provided humanitarian aid, promoted economic development, and supported global health initiatives. The closure followed Executive Order 14169, signed in January 2025, which paused all U.S. foreign development assistance for review.
Secretary Rubio stated that future U.S. assistance would be limited and targeted. It will focus on empowering self-sufficient countries through trade and investment, particularly involving American private sector interests. This is intended to counter global rivals such as China.
The dismantling of USAID has raised concerns among global health experts and humanitarian organizations. A study in The Lancet warned that funding cuts could result in over 14 million preventable deaths by 2030. The agency's programs are credited with preventing approximately 91.8 million deaths from 2001 to 2021.
Former Presidents George W. Bush and Barack Obama have criticized the closure. They called it a "tragedy" and counter to America's global responsibilities. Obama highlighted USAID's role in promoting global health and development.
The Trump administration's decision reflects a reevaluation of U.S. foreign policy. While the administration argues it will lead to more efficient aid, critics say it undermines progress in global health and development.