How will freeze on USAID affect the world?
(Source – The Hindu, International Edition – Page No. – 10)
| Topic: GS2 – International Relations – Effect of policies and politics of developed countries on India’s interests |
| Context |
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| USAID and Its Functions |
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Global Impact of the Freeze
- Top countries receiving USAID aid include Ukraine, Ethiopia, Jordan, Somalia, Congo, Afghanistan, Nigeria, Syria, Yemen, and South Sudan.
- The funding freeze could force the cancellation of essential projects, affecting millions of people.
- The United Nations estimates that over six million people could die from HIV/AIDS in the next four years if global funding is cut.
- While aid to Haiti was paused, a waiver allowed $40.7 million to be sent to its police department.
- USAID has stated that exceptions will be made for mission-critical functions, but no details have been provided.
- Reports suggest only 294 of 10,000 employees will remain active, with limited personnel in Africa and Asia.
USAID’s Role in India
- India’s funding from USAID has reduced over the years due to government concerns over grant conditions.
- Over the past decade, India received about $1.5 billion from USAID, accounting for 0.2% to 0.4% of the agency’s total funding.
- USAID’s involvement in India began in 1951, initially focusing on food aid and later expanding to infrastructure, economic reforms, and healthcare.
- In 2024, the agency allocated $79.3 million to healthcare projects in India, including HIV/AIDS, tuberculosis, maternal and child health, and immunization.
- While India may not face a significant impact from the freeze, the suspension of USAID projects could affect ongoing healthcare initiatives.
- USAID has directed all organizations in India implementing its projects to suspend operations temporarily.
| Practice Question: Analyze the implications of the recent freeze on USAID funding for global humanitarian aid and its potential effects on development projects in India. (150 Words /10 marks) |
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