KEY POINTS
- President Mahama orders urgent action on USAID funding shortfall.
- Trump’s plan to shut down USAID creates uncertainty for global aid.
- Ghana faces a $78.2 million gap in key health programs.
President John Dramani Mahama has instructed Finance Minister Dr. Cassiel Ato Forson to urgently address the financial shortfall caused by the suspension of USAID’s international funding program.
The directive follows concerns over a $156 million funding gap, with $78.2 million specifically threatening essential programs in malaria prevention, maternal and child health, reproductive health, and HIV/AIDS treatment.
In a statement issued on Tuesday, February 11, the President’s Spokesperson Felix Kwakye Ofosu emphasized the government’s commitment to protecting vulnerable populations from the effects of the funding cut.
According to Graphic Online, Mahama has ordered swift measures to ensure that essential health programs continue without disruption.
Trump administration’s move to shut down USAID
The funding crisis follows a controversial decision by U.S. President Donald Trump to shut down USAID, the United States’ primary international aid agency.
The administration is moving to merge USAID with the U.S. Department of State, citing the agency’s spending as “wasteful” and aligning foreign aid policy with Trump’s “America First” agenda.
Trump announced the decision on Truth Social, stating that USAID’s spending was “totally unexplainable” and advocating for its closure.
Thousands of employees currently work in a locked-out state at USAID and international missions have initiated the recall of their workers and declared mandatory leave.
Elon Musk who supports budget cuts with the White House administration has called USAID a “criminal organization” and stated President Trump agrees to disband it.
Experts predict that the reduced financial support will result in severe adverse effects on worldwide humanitarian aid programs that operate across Africa, Asia, and Eastern Europe.
USAID’s global impact and financial breakdown
The USAID organization formed in the 1960s, directs various humanitarian activities which span from famine assistance and wellness measures to stopping disease outbreaks.
USAID operates across more than 60 countries utilizing approximately 10.000 workers where two-thirds of its personnel work abroad.
In 2023, United States international aid received $68 billion in funding and USAID received an allocation of over $40 billion which amounted to almost 0.6 percent of the entire federal budget.
USAID distributes most of its budget to sub-Saharan Africa, Asia, and Ukraine to support health, educational and infrastructure developments.
The Trump administration considered numerous assistance programs needless expenses.
The three key projects that received criticism for being wasteful included electric vehicle funding in Vietnam, tourism in Egypt, and an LGBTQ support group based in Serbia.
The White House is moving ahead with USAID’s closure as numerous aid-dependent nations including Ghana rush to locate new funding sources, that will enable their health and development programs to continue.
