The U.S. Agency for International Development is on the brink of being closed following days of speculation over the future of the agency after its funding was frozen and dozens of its employees were put on leave.
“With regards to the USAID stuff, I went over it with (the president) in detail and he agreed that we should shut it down,” Musk said in a X Spaces conversation early Monday.
Musk said he checked with Trump “a few times” and Trump confirmed he wants to shut down the agency, which dispenses billions in humanitarian aid and development funding annually.
Around 60 senior USAID staff were put on leave last week on accusations of attempting to circumvent Trump’s executive order to freeze foreign aid for 90 days.
Congress annually appropriates money for USAID to spend, primarily for foreign aid and internationally focused charities. Its budget for the 2023 fiscal year was about $40 billion, according to a report last month from the Congressional Research Service.
What is United States Agency for International Development?
The United States Agency for International Development (USAID) is an independent agency of the United States government that is primarily responsible for administering civilian foreign aid and development assistance. With a budget of over $50 billion, USAID is one of the largest official aid agencies in the world and accounts for more than half of all U.S. foreign assistance – the highest in the world in absolute dollar terms.
Congress passed the Foreign Assistance Act on September 4, 1961, which reorganized U.S. foreign assistance programs and mandated the creation of an agency to administer economic aid. USAID was subsequently established by the executive order of President John F. Kennedy, who sought to unite several existing foreign assistance organizations and programs under one agency.
USAID has missions in over 100 countries, primarily in Africa, Asia, Latin America, the Middle East, and Eastern Europe.
