In a major policy move, U.S. Secretary of State Marco Rubio has instructed the State Department to stop nearly all foreign aid spending, except for military assistance to Israel and Egypt. This directive, outlined in an internal memo, has sparked widespread concern over the potential impacts on global humanitarian and development programs.
“No new funds shall be obligated for new awards or extensions of existing awards until each proposed new award or extension has been reviewed and approved … as consistent with President Trump’s agenda,” the memo stated.
This order affects a broad spectrum of aid, including development assistance and military support. Notably, it could include cuts to aid for Ukraine, which has been a significant recipient of U.S. military aid in its fight against Russian aggression under former President Joe Biden.
Aid Exceptions for Israel and Egypt
Despite the freeze, the memo explicitly exempts military aid to Israel and Egypt. Israel, which annually receives $3.3 billion in U.S. military financing, has seen its aid package expand following the recent Gaza war. Egypt, a key U.S. ally since signing a peace treaty with Israel in 1979, receives approximately $1.3 billion in defense funding each year.
The memo also notes that Secretary Rubio has issued waivers to ensure emergency food assistance and administrative expenses related to foreign military financing for these countries.
Concerns Over International Impacts Of Halts On Aid
The decision has faced backlash, particularly from experts and officials concerned about its effects on U.S. influence and global stability. Critics argue that freezing aid could lead partner nations to seek alternative funding sources, potentially aligning with U.S. adversaries.
“Freezing these international investments will lead our international partners to seek other funding partners – likely U.S. competitors and adversaries – to fill this hole and displace the United States’ influence the longer this unlawful impoundment continues,” a congressional source commented anonymously.
Disruption to Global Aid Programs
Humanitarian organizations are bracing for significant disruptions. A former senior USAID official described the situation as “manufactured chaos,” warning that critical services such as health care, nutrition programs, and education initiatives will be halted.
“Organizations will have to stop all activities, so all lifesaving health services, HIV/AIDS programs, maternal and child health initiatives, and agricultural work will be impacted,” the official said.
In Ukraine, ongoing U.S.-supported projects, including school aid and emergency health services like maternal care and childhood vaccinations, have been frozen. Rubio will review these programs over the next 85 days to decide their fate, with emergency waivers issued only on a case-by-case basis.
Military Assistance to Other Nations Under Review
Beyond Israel and Egypt, U.S. foreign military financing requests under Biden’s administration had included support for countries like Ukraine, Taiwan, Georgia, and several Baltic and Southeast Asian nations. The goal was to strengthen these nations’ defense capabilities against regional threats, including Russian and Chinese aggression.
The request also aimed to bolster Lebanon’s military, aiding its efforts to mitigate instability and counteract Iranian influence. However, with the new order, such programs remain in limbo until further review.
The halt comes amid heightened humanitarian needs worldwide. A ceasefire in Gaza has increased the urgency for humanitarian aid in the region, while other crises, such as hunger in Sudan, demand immediate attention. The ripple effects of this decision could weaken U.S. leadership in addressing global challenges, leaving vulnerable populations at risk.