Almost $38 billion for energy, humanitarian aid, and budget support. Will Ukraine cope without assitance frozen by Trump?
On his first day back in the White House, President Donald Trump issued an order to freeze U.S. foreign aid for 90 days. During this period, foreign aid programs will be reviewed for their effectiveness and alignment with U.S. foreign policy.
The order states that many U.S. foreign aid programs do not align with American interests and, in many cases, contradict American values.
"They serve to destabilize world peace by promoting ideas in foreign countries that are directly inverse to harmonious and stable relations internal to and among countries," the document explained.
To implement the order, the U.S. State Department has suspended all foreign aid funded by the department and the U.S. Agency for International Development (USAID), notifying embassies accordingly.
The State Department echoed Trump's words, stating that the U.S. will no longer "blindly dole out money."
"Every dollar we spend, every program we fund, and every policy we pursue must be justified with the answer to three simple questions: Does it make America safer? Does it make America stronger? Does it make America more prosperous?" said new Secretary of State Marco Rubio.
For many years, Republicans have criticized USAID and advocated for reducing its budget. In September 2023, a group of Republican lawmakers in the House of Representatives, led by Matt Gaetz, even proposed eliminating USAID due to its support for LGBTQ+ communities abroad.
The review of foreign aid is part of Trump's "America First" plan, although the order does not mention the dissolution of USAID.
History and role of USAID
USAID was established in 1961 by President John F. Kennedy to consolidate several U.S. foreign aid programs under one administration.
During President Dwight D. Eisenhower's tenure in the 1950s, the U.S. expanded its non-military foreign aid programs due to economic and geopolitical situations worldwide. For instance, South Korea needed economic aid post-war. Additionally, the U.S. and the Soviet Union competed for influence in "Third World" countries.
Thus, the primary goal of the newly established USAID was to promote long-term socio-economic development in developing countries, focusing on economics, health, education, and other sectors to lay the foundation for stability and prosperity in these nations.
Today, USAID's programs also include support for democratic institutions, independent media, and civil society.
USAID operates under the direction of the President, Secretary of State, and the National Security Council, with Congress providing oversight.
In 2024, the budget for USAID's foreign aid programs was approximately $22 billion. For 2025, the Biden administration requested $28 billion for USAID programs, including $482 million for Ukraine.
However, the final budget for USAID for 2025 remains uncertain following Trump's election.
USAID's work in Ukraine
USAID has over 60 regional missions worldwide and operates in about 120 countries.
Since 1992, USAID has worked in Ukraine to support economic development, healthcare, anti-corruption efforts, free press, and civil society. During the war, USAID has also supported Ukraine's critical infrastructure and provided humanitarian aid.
According to USAID's official website, from February 24, 2022, they have allocated $2.6 billion for humanitarian aid, $5 billion for economic development, and $30 billion as direct budget support.
In October 2024, USAID provided $825 million to support Ukraine's energy system and $237 million for humanitarian aid. Additionally, nearly $1.75 billion was invested in supporting Ukrainian farmers.
Three days before Trump signed the order, on January 17, USAID announced the provision of 20 vacuum therapy devices to a hospital in Rivne Oblast.
The list of what Ukrainian communities have purchased with grants or received directly from USAID over the past few years includes combine harvesters, seeders, excavators, first aid kits, ambulances, medical equipment, and generators.
Additionally, USAID's support in Ukraine includes modernizing border crossing points, opening business centers, printing school textbooks, enhancing cybersecurity, and more.
Has military aid been stopped?
No, military aid has not been suspended. The suspension only applies to humanitarian programs. Both the President of Ukraine, Volodymyr Zelenskyy, and the Center for Countering Disinformation under the National Security and Defense Council have emphasized this.
At the same time, dozens of projects are being implemented in Ukraine at the expense of the United States to support businesses, critical infrastructure, healthcare, free media, and more.
Consequences and impact
The U.S. Embassy in Kyiv confirmed receiving the order to suspend all projects and funding for 90 days. This means that funding for existing and new USAID programs in Ukraine will not be implemented for three months.
The Veteran Hub network, which supports veterans and their families, has already announced an indefinite suspension of its operations in Vinnytsia and its special "Support Line."
As of January 2025, approximately 40 long-term programs and projects funded by USAID in Ukraine are at risk. Among them is the Rehab4U initiative, aimed at providing rehabilitation services in at least 15 oblasts of Ukraine.
The agricultural and rural development program "AGRO," designed to increase the income of small and medium-sized agricultural enterprises in Ukraine, is also under threat.
Media outlets have reported that American diplomats have requested Marco Rubio to make an exception for the USAID mission in Ukraine and continue funding. However, the State Department has not yet commented on this request.
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