live World
What is USAID and why has it become a target for Trump and Musk?
People hold placards outside the USAID building after billionaire Elon Musk, who is heading US President Donald Trump's drive to shrink the federal government, said work is underway to shut down the US foreign aid agency USAID, in Washington, US, on Feb 3, 2025. (Photo: REUTERS/Kent Nishimura)
This audio is generated by an AI tool.
WASHINGTON: United States President Donald Trump's administration is considering merging the US international aid agency (USAID) into the State Department in a major revamp that would shrink its workforce and align its spending with Trump's "America First" policy.
Trump has entrusted Elon Musk, the billionaire heading his drive to shrink the federal government, to oversee the project. On Sunday (Feb 2), Trump said USAID had "been run by a bunch of radical lunatics, and we're getting them out", while Musk called it "a criminal organisation" without providing any evidence and said it was "time for it to die".
WHAT IS USAID & HOW IS IT FUNDED?
USAID was established in 1961 by Democratic President John F. Kennedy at the height of the Cold War with the aim of better coordinating foreign assistance, already a key platform of US foreign policy in countering Soviet influence.
