Washington Announces Formal USAID Restructuring Plan

The administration of U.S. President Donald Trump formally announced on Friday its plan to restructure the United States Agency for International Development (USAID), significantly altering its role and operations.

In a statement, U.S. Secretary of State Marco Rubio said, “Today, the State Department and USAID have notified Congress of their intent to reorganize the agency, incorporating some of its functions into the State Department by July 1, 2025.”

Rubio further stated that the administration plans to shut down USAID programs that do not align with its foreign policy priorities. “Unfortunately, USAID’s programs have yielded minimal benefits while incurring extremely high costs. The agency has long deviated from its core mission,” he added.

Following his inauguration in January, President Trump signed an executive order freezing U.S. foreign aid for 90 days. This led to dramatic cuts across USAID programs, with only limited exemptions for critical humanitarian assistance.

The decision to halt funding has shocked and dismayed officials within USAID, an independent agency established by the U.S. Congress in 1961. The abrupt changes have left many of its programs in limbo.

Democratic senators on the Senate Foreign Relations Committee condemned the reorganization plan in a statement, warning, “This restructuring will not only make it nearly impossible for USAID to implement its programs, but it will also impose an overwhelming burden on the State Department, disrupting its core mission.” They called the move “illegal, dangerous, and misguided.”

Before these cuts, USAID managed an annual budget of approximately $43 billion, accounting for more than 40% of global humanitarian assistance. Following Trump’s inauguration, most of the agency’s workforce was placed on administrative leave.

According to various U.S. media reports, USAID employees received a letter on Friday informing them of planned job eliminations where legally permissible. In the letter, USAID Acting Administrator Jeremy Levin stated that the State Department intends to shut down most of USAID’s independent operations in the coming months.