US Government Announces USAID Shutdown by July 2025

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Protesters in front of the USAID building in Washington, DC, after a memo instructed employees to work remotely on February 3, 2025. — Protesters gather outside the USAID building which has closed its doors to staff following a memo urging agency personnel to work from home, in Washington, DC, on February 3, 2025. — Reuters

WASHINGTON: The U.S. government has announced plans to shut down the international aid agency USAID by July 2025, a decision influenced by President Donald Trump’s initiative to reduce foreign aid funding, which has sparked significant backlash.

In a statement released on Friday, U.S. Secretary of State Marco Rubio indicated, “Today, the Department of State and the U.S. Agency for International Development (USAID) have informed Congress of their intention to reorganize, which will involve transferring specific functions of USAID to the Department by July 1, 2025.”

Rubio noted that the State Department also intends to “eliminate the remaining USAID functions that do not correspond with the Administration’s goals.”

He lamented, “Sadly, USAID has deviated from its original mission for quite some time. Consequently, the achievements have been limited while expenses have been substantial.”

Following his inauguration in January, President Trump enacted an executive order that froze U.S. foreign aid for 90 days.

This led to severe reductions in various USAID programs, although some exceptions were made for essential humanitarian assistance.

The aid freeze has left the independent agency, established by Congress in 1961, in a state of shock and disappointment.

Before the impending closure, USAID handled an annual budget close to $43 billion, representing over 40 percent of global humanitarian aid. Shortly after Trump’s presidency began, most of its staff were placed on administrative leave.

A memo distributed to USAID employees on Friday detailed plans to cut all positions that are not legally mandated, as reported by multiple U.S. news outlets.

In the memo, Jeremy Lewin, the acting administrator of the agency, mentioned that the State Department aims to phase out the majority of USAID’s autonomous operations in the near future.