The U.S. State Department has halted all existing foreign aid and halted new aid, according to an internal memo sent to foreign officials and U.S. embassies.
The leaked notice follows President Trump’s executive order issued on Monday calling for a 90-day pause in foreign development aid until a review of efficiency and the consistency of its foreign policy is conducted.
The United States is the world’s largest international aid donor in 2023, spending $68 billion According to government figures. The State Department announcement appears to affect everything from development aid to military aid.
It made exceptions only for emergency food aid and military funding for Israel and Egypt. The BBC has confirmed the contents of the leaked memo.
“No new awards or new funding for existing awards will be obligated until each proposed new award or extension has been reviewed and approved,” the memo said.
It added that U.S. officials “should immediately issue a qualifier order consistent with the terms of the relevant award until such time as the Secretary determines upon review.”
It also ordered a massive review of all foreign aid to be completed within 85 days to ensure the aid adheres to President Trump’s foreign policy goals.
Secretary of State Marco Rubio – the top US diplomat – has previously said that all of us spending abroad will only do so if it makes the United States stronger, more secure or more prosperous. .
A former senior State Department official told the BBC that the notification meant a “potentially huge” impact on US-funded foreign aid programs.
Josh Paul said: “One could imagine, for example, that humanitarian strips around the world were suddenly told to stop working. That’s a big deal.”
Dave Harden, director of missions at United States International Aid in the Middle East (USAID), told the BBC while the review was underway.
He said this could impact a wide range of key development projects, including water, sanitation and shelter.
“Implementing partners or (NGO) staff will be able to get paid, but I think the actual help needs to stop,” Mr Harden said.
“I’ve been through (aid) many times when I was director of missions in the West Bank and Gaza, but that’s the specificity of this account. It’s global… It’s very broad,” he said.
He added: “It’s not just suspending aid, it’s ordering ‘stop work’ orders on existing funding and existing contracts that are ongoing. It’s very broad.”
AFP reported that the frozen funds could also affect Ukraine, which received billions of dollars in weapons under Trump’s predecessor, Joe Biden.
Rubio’s memo defended the freeze, saying it would be impossible for the new administration to evaluate whether existing foreign aid commitments are “non-duplicative, effective, and consistent with President Trump’s foreign policy.”
The memo shows Rubio has exempted emergency food aid.
It comes amid a surge in humanitarian aid in the Gaza Strip, following a ceasefire between Israel and Hamas and a number of other hunger crises around the world, including in Sudan.
The memo also says that exemptions have so far been approved by Rubio for “foreign military financing of Israel and Egypt and covering salaries, including those necessary to cover foreign military financing.”
The State Department has been approached for comment.