SpaceX CEO Elon Musk had some choice words from President Donald Trump regarding the U.S. Agency for International Development (USAID). Reportedly, Musk said on Feb. 3 that President Trump agreed USAID needs to be “shut down,” following days of speculation over the future of the agency after its funding was frozen and dozens of its employees were put on leave.
“With regards to the USAID stuff, I went over it with [the president] in detail and he agreed that we should shut it down,” Musk said in a X Spaces conversation early Monday.
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What is USAID?
USAID, which stands for the U.S. Agency for International Development, is a U.S. government agency that provides foreign aid to promote global development, improve living conditions, and advance democratic governance.
Established in 1961, USAID focuses on key sectors like health, education, economic development, and humanitarian assistance. It works with local governments, NGOs, and international partners to tackle challenges such as poverty, disease, and lack of education.
USAID’s efforts include addressing global health issues like HIV/AIDS and malaria, fostering economic growth through agriculture and trade, and supporting democratic institutions. The agency also provides disaster relief and humanitarian aid during crises.
USAID’s funding comes from the U.S. government, with its programs aligned to enhance U.S. foreign policy objectives and global stability. By improving lives worldwide, USAID plays a crucial role in addressing development challenges and building long-term partnerships with countries in need.
Reportedly, Musk said he checked with Trump “a few times” and Trump confirmed he wants to shut down the agency, which dispenses billions in humanitarian aid and development funding annually.
What Trump plans to do to USAID?
If Trump does not shut down USAID, then he could further cut USAID’s budget and focus foreign aid on countries that align with U.S. strategic interests, particularly in security and economic growth.
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Trump might prioritize private-sector partnerships over traditional aid models and continue advocating for “self-reliance” in recipient countries. He could also reinstate policies like the “Mexico City Policy,” limiting aid to organizations involved in abortion services.
Overall, Trump’s approach would likely focus on reducing U.S. foreign assistance, making it more conditional and driven by national interests, rather than traditional development goals.