USAID to be shut in cost-cutting drive

Billionaire Elon Musk, who is heading US President Donald Trump's drive to shrink the federal government, gave an update on the effort early yesterday, saying work is underway to shut down the US foreign aid agency USAID.
Musk, who is also CEO of Tesla and SpaceX, discussed the Department of Government Efficiency (DOGE) in a social media talk yesterday on X, which he also owns. Trump has assigned Musk to lead a federal cost-cutting panel.
The conversation, which included former Republican presidential candidate Vivek Ramaswamy and Republican Senators Joni Ernst and Mike Lee, began with Musk saying they were working to shut down the United States Agency for International Development (USAID).
"It's beyond repair," Musk said, adding that President Trump agrees it should be shut down.
Meanwhile, most USAID staffers were told not to report to the agency's headquarters in Washington yesterday and to work remotely, according to a copy of an email to personnel reviewed by Reuters. "Further guidance will be forthcoming," the note said.
On Sunday, Reuters reported the Trump administration removed two top security officials at USAID during the weekend after they tried to stop DOGE representatives from gaining access to restricted parts of the building, three sources said.
Trump later on Sunday told reporters that USAID has "been run by a bunch of radical lunatics," adding: "We're getting them out, and then we'll make a decision."
USAID is the world's largest single donor. In fiscal year 2023, the US disbursed $72 billion of assistance worldwide on everything from women's health in conflict zones to access to clean water, HIV/AIDS treatments, energy security and anti-corruption work. It provided 42 percent of all humanitarian aid tracked by the United Nations in 2024.
The website of USAID appeared to still be offline on Saturday and some users could not access it on Sunday. USAID has a staff of more than 10,000 people.
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