Trump Administration Moves to Shut Down USAID Under Elon Musk’s Oversight
WASHINGTON:
The United States Agency for International Development (USAID) shut its headquarters to staff on Monday following efforts by Elon Musk’s Department of Government Efficiency (DOGE) to assume control over the foreign aid organization.
Elon Musk, a billionaire entrepreneur and key figure in President Donald Trump’s federal downsizing initiative, provided an update on the administration’s cost-cutting measures. Speaking on social media platform X, Musk confirmed that shutting down USAID is actively in progress.
During the discussion, which included former Republican presidential candidate Vivek Ramaswamy and Senators Joni Ernst and Mike Lee, Musk stated that USAID is “beyond repair” and that Trump fully supports its closure.
USAID Staff Ordered to Work Remotely
On Monday, most USAID employees were instructed to stay away from the agency’s Washington headquarters and work remotely until further notice. An internal email obtained by Reuters assured staff that additional guidance would be provided soon.
The move follows reports that, over the weekend, two senior security officials at USAID were dismissed after attempting to prevent DOGE representatives from accessing restricted areas within the agency’s offices. President Trump later told reporters that USAID had been “run by radical lunatics” and that his administration was working to “clear them out” before making a final decision on its fate.
Impact of USAID’s Shutdown on Global Aid
The United States is the largest single donor of international aid, having allocated $72 billion in 2023 alone to support various initiatives, including women’s health in conflict zones, clean water access, HIV/AIDS treatment, and anti-corruption programs. In 2024, the U.S. contributed 42% of all humanitarian assistance tracked by the United Nations.
However, Trump’s “America First” approach has led to a freeze on most foreign aid programs, raising concerns about the impact on global humanitarian efforts. Projects such as refugee medical facilities in Thailand, landmine clearance programs, and life-saving treatments for diseases like HIV are now at risk of being discontinued.
Musk’s Cost-Cutting Plans and Controversy
Musk, who is leading the administration’s cost-reduction efforts, claimed the government could save $1 trillion next year by eliminating fraud and unnecessary expenditures. He alleged that “professional foreign fraud rings” have been exploiting federal aid systems by creating fraudulent digital identities to siphon funds. However, he did not provide specific evidence to support these claims.
Musk’s involvement in federal operations has sparked political backlash. Concerns have been raised about his team’s access to sensitive government databases, including the Treasury system responsible for distributing over $6 trillion in annual federal payments. Senator Peter Welch criticized Musk’s influence, calling it a “gross abuse of power” and questioning why an unelected individual was granted such authority.
Despite the controversy, Trump defended Musk’s role, stating, “He’s a big cost-cutter. We may not always agree with him, but I think he’s doing a great job.”
Musk’s Expanding Influence Over Federal Agencies
Since Trump’s inauguration, Musk’s team has taken control of multiple government agencies. Reports indicate that his associates have gained authority over the Office of Personnel Management (OPM), which oversees federal employment. Some career civil servants have reportedly been locked out of key systems containing sensitive employee data.
As Musk continues to reshape government operations under Trump’s directive, the future of USAID and other federal agencies remains uncertain. Meanwhile, officials and international aid organizations brace for the potential ripple effects of the administration’s aggressive cost-cutting agenda.
