Former Presidents Obama and Bush condemned Trump’s dissolution of USAID, triggering abrupt terminations of thousands and raising fears of global humanitarian setbacks.
At a Glance
- USAID operated independently for 64 years since its founding in 1961.
- President Trump ordered the absorption of USAID into the State Department on June 30, 2025.
- Over 3,500 USAID staffers were laid off or locked out on its final day.
- Barack Obama warned the move threatens projects that saved millions of lives.
- George W. Bush highlighted PEPFAR’s role in combating HIV/AIDS since 2003.
Shock and Outrage
On June 30, 2025, USAID ceased to exist as an independent agency when President Trump signed an executive order to merge it into the State Department under the “America First” banner (Al Jazeera report). Within hours, more than 3,500 career aid workers across 60 countries had their systems access revoked and office doors locked without notice.
Barack Obama decried the decision as a “travesty” that risks unraveling decades of health, education and economic development programs. George W. Bush, who championed PEPFAR—a USAID-led initiative that has provided antiretroviral treatment to over 25 million people—called the overhaul a “profound mistake” that could reverse critical gains in global health.
Humanitarian Fallout Looms
Analysts warn the abrupt dissolution jeopardizes famine relief in South Sudan, vaccination drives in the Democratic Republic of the Congo and emergency response in Yemen, where USAID funded over $1 billion in aid in 2024, according to Time’s analysis of global aid impact. The World Health Organization estimates that without uninterrupted support, preventable diseases could cause an additional 14 million deaths by 2030, as detailed in the WHO fact sheet on preventable diseases.
Feed the Future, USAID’s flagship agriculture program that helped raise incomes for 18 million smallholder farmers, now faces immediate suspension. In Haiti, where USAID supplied clean water to more than 2 million residents after the 2010 earthquake, NGOs report that cholera prevention efforts are already being scaled back.
Administration Defends Restructuring
The State Department, led by Secretary Marco Rubio, argues the merger will “streamline foreign assistance” and improve oversight by aligning aid programs with diplomatic objectives. Officials point out that USAID’s $30 billion annual budget will remain intact under the new structure.
Critics counter that USAID’s specialized technical expertise—ranging from disaster response logistics to public health program design—cannot be easily replicated within diplomatic corps. Former USAID Administrator Samantha Power testified before Congress that embedding aid functions into embassies risks politicizing relief and diminishing U.S. soft power in strategic regions.
As foreign governments and international organizations scramble to fill the void, emergency UN development talks in Seville have been convened to coordinate replacement funding. The sudden eradication of a six-decade institution marks one of the most dramatic shifts in U.S. foreign policy history, with potentially catastrophic consequences for millions worldwide.
