KAMPALA – The suspension of funding to the United States Agency for International Development (USAID) by U.S. President Donald Trump administration has sent shockwaves across the globe. Many are left wondering what follows next after activities of the behemoth entity were frozen for 90-days, and its staff around the world are unsure of what to expect
Matters were made worse when the Elon Musk-led Department of Government Efficiency (DOGE) exposed several instances of wasteful USAID spending, including millions allocated to Diversity, Equity, and Inclusion (DEI) initiatives, LGBTQ+ projects, and environmental programs worldwide.
Uganda, like many other less developed countries, has also been impacted, with both the government and Non-Governmental Organisations (NGOs) forced to shut down projects that relied on USAID’s funding. The most affected sector is healthcare, which had been receiving substantial financial support to supplement government efforts in combating chronic diseases, along with the NGO sector, which had long depended on U.S. taxpayer generosity.
This phenomenon, which has surprised many who do not closely follow global politics, has sparked widespread disappointment toward President Trump, with critics accusing him of diminishing U.S. influence, long symbolised by USAID. However, this move appears to be a strategic masterstroke that may have been in the works for years, awaiting the perfect moment for implementation.
If you recall, one of the largest foreign aid agencies operating in Uganda was the Department for International Development (DFID), the UK equivalent of USAID, which shut down in 2020 and was merged into the Foreign, Commonwealth & Development Office (FCDO). Similarly, in the UK, it was then-Prime Minister Boris Johnson—whose leadership style closely resembled that of Trump—who oversaw its closure.
This is not mere coincidence—it is a recognition that the global order is shifting, and those truly in control have adopted new strategies beyond the neo-colonial-era unipolar system of using foreign aid to dominate poorer nations. China, the ‘new kid on the block’, has reshaped international relations while the West remained complacent. Beijing’s Belt and Road Initiative introduced a new global dynamic, moving away from the traditional model of dispensing aid for political leverage. Instead of simply handing out money to poorer nations in exchange for influence, China offered an alternative through trade. By focusing on connectivity and economic integration, the Belt and Road Initiative strategically addressed the structural challenges of developing nations, particularly in the Global South, creating new trade routes and markets in the process.
This positioned China as a more influential partner than the U.S. and its Western allies, whose carrot-and-stick approach was losing effectiveness worldwide, forcing the U.S. to rethink its strategy.
A report titled “Money Pit: The Monstrous Failure of USAID in Afghanistan” by Joel Brinkley, a Pulitzer Prize-winning journalist and professor at Stanford University, exposed USAID’s massive failure in 2013—11 years after the war against the Taliban began. USAID was tasked with developing a plan for Afghanistan, a country where the average age was 25 and life expectancy was just 49. The agency, in its wisdom, decided to address the challenges faced by Afghanistan’s “disenfranchised,” unskilled, uneducated, and neglected population—those most vulnerable to Taliban recruitment—by launching a $50 million program aimed at training them to become productive members of society. However, two years into the project, there was little evidence of progress. This failure is emblematic of many donor-funded initiatives in less-developed countries, and the collapse of the U.S.-backed Afghan government in 2021—culminating in the Taliban’s return to power—further demonstrated the shortcomings of the USAID model, underscoring the need for a new approach.
The visit by former U.S. President Joe Biden to Angola on December 2—his first to Sub-Saharan Africa—perhaps offered a glimpse into the new U.S. approach and how it intends to engage with the African continent moving forward. This was a result of the need to counter the ever-growing China influence on the continent with the latter dominating the mining sector in an age where access and demand for critical minerals such as copper, cobalt, and lithium is surging, driven by their essential role in powering electronics and advancing green energy technologies. Leveraging and controlling international trade and markets is essential. His trip was reaffirming the US commitment and its G20 allies to the funding and development of the Lobito Corridor project. The corridor is intended to connect Zambia and the Democratic Republic of the Congo to the Angolan port of Lobito via rail. About $3 billion has already been mobilized as the first step toward a new transcontinental railway linking the Atlantic and Indian oceans.
This is the U.S.’s countermeasure to China, which is far ahead in the race. By shifting focus from aid to investments that promote trade, commerce, and access to private finance, economic growth is expected to follow on the continent. Ultimately, even after the 90-day period allotted for the forensic audit of USAID’s operations, business may not return to usual. USAID could end up becoming just another department under the U.S. State Department, much like DFID.
The Author, Yusuf Masaba is a student of International Relations and Corporate Affairs Officer at Petroleum Authority of Uganda
Email; ymasaba7@gmail.com
