Trump administration drafts sweeping foreign aid reform - Reuters
Photo: US President Donald Trump (Getty Images)
The administration of US President Donald Trump proposes to change the system of foreign aid distribution, with plans to relaunch USAID as part of the reform, Reuters reports.
According to the agency, a memorandum states that the current structure of US foreign aid is too broad, expensive, and does not reduce the dependence of some countries on US aid.
The document states that funding should be directed to a narrow strategic focus.
"This blueprint proposes a re-imagined US international assistance structure and set of operating principles that promise measurable returns to America while also projecting American soft power, enhancing our national security; and countering global competitors including China," the memo says.
A source familiar with the document said the internal memorandum would be sent to US Secretary of State Marco Rubio for review.
While it remains unclear which parts of the proposal will be approved, it represents one of the most detailed reviews of how the Trump administration intends to reform USAID.
The proposal includes shutting down nearly two dozen USAID bureaus and renaming the agency as the US Agency for International Humanitarian Assistance.
Trump had previously ordered a 90-day suspension of all US foreign aid on his first day in office.
That decision, along with subsequent funding freezes that halted many USAID programs worldwide, significantly disrupted the delivery of humanitarian assistance.
USAID was largely disbanded, with most of its staff on leave or fired. Additionally, over 80% of its grants were terminated.
These changes had a significant impact on Ukraine. USAID canceled a $75 million grant agreement with Ukraine's Energy Support Fund.
Furthermore, the suspension of funding affected projects in the healthcare sector.
