Abstract

The United States Agency for International Development (USAID) was created to help underprivileged and developing countries address essential needs such as combating diseases, educating young people, ensuring access to clean water, and supporting various development projects. However, the recent administration under President Trump has opted to reduce funding for these vital programs, citing concerns over the misuse and misallocation of funds.

This blog explores the consequences of these funding cuts and supports the decision to withdraw financial assistance from African nations. It argues that this move encourages these countries to explore alternative funding options, which could ultimately empower them to make better use of their own resources and promote sustainable development.

• This blog explores the immediate and long-term effects of the withdrawal of funding from the United States Agency for International Development (USAID) in Africa. It will discuss the misuse of USAID resources, the repercussions of cutting aid, and the potential paths for growth and development that African nations can pursue.
• The conversation will examine the complexities involved in ending USAID support, focusing on the challenges that recipient countries encounter as well as the opportunities that may emerge from this change. By looking into these aspects, the blog seeks to offer a thorough understanding of the diverse impacts of USAID funding withdrawal on the African continent.

What is USAID?

• USAID is an independent agency that utilizes taxpayer funds to administer foreign aid and development assistance with the aim of alleviating poverty, helping developing countries recover from disasters and engage in democratic reforms [5]. It was rooted in the post-World War II era when the United States provided economic and humanitarian relief to war-torn Europe and other developing countries [4]. Events such as the Marshall Plan (1948), the Foreign Assistance Act of 1948, the Point Four Program (1949, Mutual Security Act of 1951, and Foreign Assistance Act of 1961 to, name a few, are programs that gave rise to what is known as the United States Agency for International Development (USAID) [4]. Unfortunately for the United States and for African countries, this aid is often misused and abused. This discussion will concentrate on the African countries.

Disadvantages of USAID Withdrawal

• USAID can offer the United States strategic advantages in initiatives that benefit African countries as well as the U.S., however, giving the U.S. a competitive edge and access to valuable resources. The saying “there is no free lunch” highlights the idea that financial aid often comes with expectations of reciprocity, which can lead to kickbacks for project managers of the project or the recipient nations.
• This situation may create a dependency on aid, making it difficult for these countries to develop self-sustaining solutions. As a result, reliance on external support can stifle innovation and discourage efforts toward economic independence, creating a cycle of dependency instead of promoting long-term growth and self-reliance.
• The withdrawal of aid offers Western nations a significant chance to focus on their own domestic issues, such as inflation, homelessness, and ongoing drug addiction crises. By turning their attention inward, these countries can strengthen their societal structures instead of getting involved in the affairs of developing nations.
• This change in focus enables Western nations to dedicate resources and attention to urgent problems impacting their citizens, promoting a more stable and prosperous society. By emphasizing internal development rather than external engagement, they can establish a more sustainable model for governance and social welfare.
• During a recent House Hearing, Congressman Scott Perry made a shocking claim, stating that USAID has funneled money to groups like Al-Qaeda, the Taliban, and ISIS [3]. This raises concerns that these terrorist organizations could be used to foster instability in Africa [3]. A relevant case is Boko Haram in Nigeria, which highlights the ongoing turmoil the country faces due to insurgency [3]. Furthermore, an individual named Shellenberger has exposed serious corruption within USAID, alleging that it financed false evidence intended to impeach the 47^th President of United States, Donald J. Trump [2].
• According to a White House release, for many years, the United States Agency for International Development (USAID) has operated without proper accountability to taxpayers, directing large amounts of money toward questionable — and often harmful — projects favored by entrenched bureaucrats, all with minimal oversight. A few examples of the waste and abuse are as followed [1]:
• $1.5 million to “advance diversity equity and inclusion in Serbia’s workplaces and business communities” [1]
• $70,000 for production of a “DEI musical” in Ireland [1]
• $2.5 million for electric vehicles for Vietnam [1]
• $47,000 for a “transgender opera” in Colombia [1]
• $32,000 for a “transgender comic book” in Peru [1]
• $2 million for sex changes and “LGBT activism” in Guatemala [1]
• $6 million to fund tourism in Egypt [1]
• Hundreds of thousands of dollars for a non-profit linked to designated terrorist organizations — even AFTER an inspector general launched an investigation [1]
• Millions to EcoHealth Alliance — which was involved in research at the Wuhan lab [1]

Advantages of the USAID Withdrawal

• The recent withdrawal of USAID will create significant financial hurdles for African nations, resulting in a noticeable financial shortfall that will be quickly evident in their economic data. While this presents a tough situation, it also opens up opportunities for these countries to seek alternative funding avenues, such as engaging the public through the sale of Treasury bills or bonds, which can provide long-term interest returns.
• Additionally, this situation enables African nations to strategically evaluate their future directions, utilizing their rich natural resources to draw in investments. By making the most of these resources, they can promote economic sustainability and create job opportunities, ultimately transforming a difficult scenario into a springboard for growth and development.
• The withdrawal of external aid offers a crucial chance for African nations to devise strategies and make effective use of their own resources. When confronted with challenges and a lack of support, countries are driven to leverage their available assets. Africa boasts a wealth of natural resources, such as gold, silver, lithium, and bauxite, which can be utilized to promote development and improve its position in the world. However, many leaders on the continent have often aligned themselves with Western interests, swayed by the financial benefits that come with aid distribution. This alignment often leads to a hesitance to confront external pressures, as leaders tend to prioritize personal gain over the advancement of their nations. Simply put, the West knows it cannot exist without Africa!
• The end of aid can also motivate African nations to support one another, fostering a collaborative spirit among them. Countries that have managed to stay debt-free can offer financial help to those struggling with debt, thus enabling internal solutions to their economic issues. This cooperative strategy not only strengthens regional connections but also cultivates a sense of unity and shared responsibility among African nations, allowing them to tackle their financial challenges more effectively.
• Moreover, the decrease in external aid empowers African countries to set their own terms and negotiate from a position of strength. This newfound independence allows them to engage more fairly in international discussions, ensuring their voices are heard and their interests are prioritized. By taking charge of their economic futures, African nations can strive for a more equitable and fair representation on the global stage, ultimately paving the way for sustainable development and growth.

References

[1]         “At USAID, Waste and Abuse Runs Deep.” The White House, 4 Feb. 2025, www.whitehouse.gov/articles/2025/02/at-usaid-waste-and-abuse-runs-deep/.

[2]         Shellenberger, Michael . “USAID Censorship and Disinformation Operations Aimed at the American People.” THE UNITED STATES SENATE COMMITTEEE on HOMELAND SECURITY and GOVERNMENTAL AFFAIRS, 13 Feb. 2025, www.hsgac.senate.gov/wp-content/uploads/Testimony-Shellenberger-2025-02-13.pdf. Accessed 17 Feb. 2025.

[3]         ET Online. ““USAID Funded Al-Qaeda, Taliban, ISIS…”: US Congressman Scott Perry Drops Bombshell at House Hearing.” The Economic Times, Economic Times, 14 Feb. 2025, economictimes.indiatimes.com/news/international/world-news/usaid-funded-al-qaeda-taliban-isis-us-congressman-scott-perry-drops-bombshell-at-house-hearing/videoshow/118259066.cms?from=mdr. Accessed 19 Feb. 2025.

[4]         “The Power of 1% and Global Health: Saving Lives, Improving Economic Opportunity, Promoting Security.” Usaid.gov, 6 Aug. 2014, 2017-2020.usaid.gov/news-information/fact-sheet/power-1-and-global-health-saving-lives-improving-economic-opportunity-promoting-security.

[5]         KRUESI, KIMBERLEE. “A Look at USAID’s Global Impact as Trump Moves to Shut It.” AP News, 5 Feb. 2025, apnews.com/article/usaid-hiv-humanitarian-assistance-disease-spending-20f9cb969ffb6773e57886e34bf69165.

[6] https://www.usaid.gov