Bangladesh lost $700m in aid as USAID halted most projects

Fifty-five out of 59 USAID-funded projects in Bangladesh were shut down following a "stop-work" order issued by the Trump administration in January this year, said a platform of development professionals, who lost their jobs as a result of the order.

Over 50,000 professionals involved in these projects and linked organisations lost their jobs, and Bangladesh lost development assistance worth $700 million. These projects were linked to education, health, food security, climate change, good governance, and skills development, said Zinat Ara Afroze, convener of the Association of Unemployed Development Professionals (AUDP), at a press conference at Dhaka Reporters Unity.

The platform also placed a six-point demand, including formal recognition of the unemployment crisis caused by the USAID cuts and acknowledgement of the contributions of development professionals.

It also urged the government to carry out a national survey to accurately determine the number of laid-off development workers, promptly publish the findings, and hold dialogue with them to explore solutions.

Until April 2025, a total of 59 USAID projects were underway in Bangladesh. However, excluding a few projects in the emergency food and humanitarian assistance sectors, 55 of these projects were shut down, said Afroze.

Due to this, along with the withdrawal of support from some other donor agencies, many large and small international and local NGOs faced a severe financial crisis, she added.

According to an assessment by AUDP, the total number of development workers who lost their jobs could be over 50,000.

"Despite the loss of so many jobs, there was no official statement from the government. Yet, we spent years of our lives working with the government through these USAID-funded projects to improve the lives of millions of underprivileged people in Bangladesh," she said.

Almeer Ahsan Asif, former deputy chief of party of the USAID Bijoyee Project, said he had been leading a team to help 2,00,000 young people find pathways to employment.

"But that endeavour has come to a halt," he said.

As a result, Bangladesh's development momentum has come to a standstill, he added.

Alal Uddin, former upazila coordinator of the USAID Esho Shikhi Project, said the development professionals have dedicated their lives to bringing change to others.

"But today, we are in deep crisis. I don't know how I will manage my children's education, my parents' medical expenses, and the daily needs of my family," he said.

Kakoli Gomes, who had been working as a driver, said, "As a single mother of two daughters, I am struggling to make ends meet. My savings have nearly dried up."

AUDP's other demands include -- carrying out an economic impact assessment to evaluate the broader economic consequences of the crisis; amending existing laws to ensure tax refunds for laid-off workers for this fiscal year and waivers of advance income tax for the next year; and developing a national integrated talent retention strategy to create employment opportunities for laid-off professionals in the private, corporate, business, and investment sectors.