By Nabil S. Mikhail
The scope of the ramifications of the Trump Administration’s 90-day freeze on American aid to many countries remains debatable. The foreign nations receiving U.S. assistance have not yet figured out how to replace the aid they receive from America, potentially leading to the discontinuation of many ongoing projects. Contractors are also trying to determine whether they will secure more contracts or if no new contracts will be signed on their behalf by the United States Government.
Secretary of State Marco Rubio sent a widely circulated telegram in foreign policy circles and official correspondence, announcing the foreign aid freeze. Many commentators speculate that this hold and unexpected measure might signal the U.S. withdrawal from the international scene. Others argue that the Trump Administration is restructuring development programs to better serve U.S. interests while aiming to eradicate corruption that has seeped into foreign aid agencies abroad, making them more effective and purposeful. The best logical approach for reforming foreign aid would be to continue it based on the genuine needs of recipient countries while also advocating for serious reforms in the operations and mechanisms of the World Bank.
On February 3rd, the White House published a list of “waste and abuse” at USAID, which included: $2 million for “sex changes and ‘LGBT activism'” in Guatemala, a $1.5 million program to “advance diversity, equity, and inclusion in Serbia’s workplaces and business communities,” $70,000 for a “DEI musical” in Ireland, $47,000 for a “transgender opera” in Colombia, and $32,000 for a “transgender comic book” in Peru, among other cases. These programs were indicative of the left-wing leanings of the Biden Administration.
However, in its second term, the Trump Administration should leverage American aid to counter China’s gains in developing countries. It had a commendable record during its first term concerning foreign aid provision. There was the Clean Network initiative, which challenged CCP-controlled telecommunications equipment from companies like Huawei, known for enabling espionage by the Communist Party of China. Additionally, there was the Infrastructure Transaction Advisory Services, launched in 2019 to help American firms combat the influence of China’s state-owned enterprises and the Belt and Road Initiative in areas like the Pacific Islands, Southeast Asia, sub-Saharan Africa, and Latin America.
The Trump Administration must be fully aware of China’s manipulation of foreign aid policy and politics. According to Newsweek, “Shortly after the USAID freeze, the Cambodian Mine Action Centre announced a $4.4 million grant from China to fund landmine clearance across seven provinces for a year. Meanwhile, in Nepal, a senior official from the main opposition Communist Party of Nepal said Chinese officials had reassured them that Beijing is ‘willing to assist if Nepal faces challenges in humanitarian aid, health, and education.'”
President Trump should make exceptions to the aid freeze policy, ensuring Taiwan is never cut off from U.S. aid, as it relies on American support to bolster its defense against China. He should also resume several aid programs in return for recipient countries pledging not to rely on China for economic assistance. Utilizing reports from watchdog agencies in foreign governments could help prevent corruption by officials receiving U.S. aid.
Food assistance should continue to be provided as a display of American generosity. Moreover, Trump’s envoy to the Middle East estimates that Gaza will need at least fifteen years for reconstruction, suggesting the U.S. should increase aid to Palestinians given their dire conditions. It would also be wise to shift more aid from monetary to goods, services, and technology to reduce theft and abuse of American funds.
The Trump Administration should also review the current state of the World Bank, conducting a cost-benefit analysis to assess which countries effectively utilize provided resources. There are many powerful bureaucrats there perpetuating their control.
Finally, the Trump Administration should educate the American public about the U.S. Agency for International Development (USAID). Most Americans are unaware of its operations, and greater awareness could lead to more public support for rationalizing U.S. aid based on facts and mutual benefits.
References:
1.https://search.app/cJyYN4PvxAmTA2JCA
2.”Beijing ‘will move quickly to replace the U.S. in many countries,’ a former director of the agency told Newsweek.” Source: Newsweek
https://search.app/uMSMfS5wCtDQWTxx9
3.”USAID Should Be Retooled, Not Destroyed” by Michael Sobolik, February 5, 2025, Providence Magazine
https://providencemag.com/2025/02/usaid-should-be-retooled-not-destroyed/
