Trump Administration Axes 83% of USAID Programs in Historic Shakeup
Secretary of State Marco Rubio announced on X that the Trump administration has canceled 83% of all programs at the United States Agency for International Development.
The administration eliminated approximately 5,200 contracts following a six-week review that concluded earlier than the initially planned 90 days. “The 5,200 contracts that are now cancelled spent tens of billions of dollars in ways that did not serve the core national interests of the United States,” Rubio declared.
He added that some programs actually harmed American interests, though he provided no specific examples. The remaining 1,000 programs will move under direct State Department control.
This represents a significant consolidation of foreign assistance operations and fulfills President Trump‘s campaign promise to reduce government spending.
President Trump ordered the immediate suspension of all foreign aid on January 20, his first day back in office. The Department of Government Efficiency, led by Elon Musk, spearheaded the evaluation process alongside State Department officials.
Rubio specifically thanked Musk’s team for what he called “this overdue and historic reform.” The two men had reportedly clashed over the scope of cuts during a White House meeting last week but now appear aligned on the agency’s future.
USAID Budget Cuts
The administration claims these cuts will save approximately $58 billion in total. USAID previously operated in over 100 countries with programs addressing global health, disaster relief, and economic development.
Health experts warn these reductions could have devastating consequences. One internal memo suggested a yearlong pause in USAID work would increase malaria deaths by 40% and tuberculosis cases by nearly 30%.
The cuts face ongoing legal challenges. Chief Justice John Roberts temporarily halted a lower court’s order requiring the administration to resume payments on existing grants, giving officials more time to comply with payment obligations.
Critics argue these cuts undermine decades of bipartisan consensus on foreign assistance as a tool of American influence. Meanwhile, the administration maintains that remaining programs will operate “more efficiently” under State Department oversight.
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