The impact on Africa alone could be catastrophic, as nearly 5 million people may die due to a lack of medical care and nutrition. Luxembourg’s Minister for Foreign Affairs and Minister for Development Cooperation and Humanitarian Affairs, Xavier Bettel, believes the Trump administration may aim to save approximately $50 billion in the short term, but these savings will come with severe long-term consequences.
“Sure, you will save a lot today, but tomorrow’s costs will be far too high. And eventually someone will have to come up with a solution, with less safety, more diseases, more insecurity, more fanaticism, more people who will thrive from causing more instability. Look at the medium-term and long-term consequences. Short-termism in politics may appeal to voters, but it doesn’t help matters much.’'
What is certain though is that Europe and the European Union alone will not be able to fill the gap left behind by USAID. According to the Foreign Minister, the EU should be able to jump in and provide an alternative to USAID, but only with the means the EU has in its arsenal. He continued: “Once a country is subjected to rules, such as not being allowed to have a large deficit, etc., the European Commission, designed to make sure that rules and regulations are followed, cannot act like a Hail Mary and suddenly stop following rules themselves. This is why there are limits to what the EU can do. But international solidarity counts for something. Regretfully, however, at the moment I mostly see people sticking their heads in the sand, rather than coming together to find a solution.”
The USAID freeze will have repercussions on the work of NGOs in Luxembourg too. Sebastian Weier from the Cercle de Cooperation du Luxembourg explains why:
“Luxembourgish NGOs, including LuxDev, the development cooperation agency of the Luxembourg government, have worked extensively with USAID and its funded partners. The full impact of the freeze is still unclear, as even USAID’s partners are uncertain about their situation. Many are hesitant to communicate their funding cuts, as doing so could lead to the termination of their projects and force them to seek new partners. While it’s evident that there will be an impact due to USAID’s significant role, it’s still impossible to fully quantify the consequences in the near future.”
He went on to emphasise that Trump’s actions would have an immediate impact. He explained that if there were a queue for life-saving vaccinations, those already in the room would still receive them, but those waiting outside would be turned away. He highlighted the consequences for 20 million people, including 500,000 children, who would lose access to medical care. Additionally, he pointed out that food donations already in transit, meant for around 36 million people, would no longer be delivered, with perishable goods likely to spoil in ships or harbors, the effect of these actions would be immediate and devastating.
Sebastian Weier also pointed out that shutting off USAID could have an impact on the US’ own economy. He explains that through USAID, the US purchases food from American farmers, which then is exported. This revenue will now no longer exist either.
