Why in News?
The United States of America’s Administration recently decided to put an end to United States Agency of International Development.
- USAID is the lead international humanitarian and development arm of the US government.
- The agency was established via an executive order by President Kennedy after the US Congress in 1961 passed the Foreign Assistance Act.
- The act mandated the creation of a single agency to administer foreign aid.
- The agency provides assistance to other countries primarily by funding non-governmental organisations (NGOs), foreign governments, international organisations, or other US agencies.
- Aim - To alleviate poverty, provide education and healthcare, among other things.
- Funding - The agency managed more than $43 billion in funds, and provided assistance to around 130 countries in FY2023.
- The top 10 recipients of USAID-managed funds in FY2023 (in descending order of funding).
- Ukraine, Ethiopia, Jordan, Democratic Republic of Congo, Somalia, Yemen, Afghanistan, Nigeria, South Sudan, and Syria.
- Employees - USAID employed more than 10,000 people in FY2023, according to CRS, with approximately two-thirds of this workforce serving overseas.
- USAID maintains more than 60 missions around the world.
- Significance for India - The US has provided development and humanitarian assistance to India since 1951, when President Harry Truman signed the India Emergency Food Assistance Act.
- Economic aid from the US has also helped establish 8 agricultural universities, the first Indian Institute of Technology, and 14 regional engineering colleges.
- It also strengthened India’s national programs on immunization, family planning, maternal and child health, HIV/AIDS, tuberculosis, and polio.
- In 2004, the Indian government decided to reject any foreign aid that comes with conditions. This has, over time, led to a decline in the quantum of such assistance.
Reference
The Indian Express | USAID