The U.S. Agency for International Development (USAID) is also facing huge funding crises. In reaction, private philanthropy is rushing to fill the gap to keep key aid programs running overseas. Following a series of budget cuts and the Trump administration’s freeze on foreign assistance, the agency’s ability to provide necessary support has been jeopardized. Arts organizations and national private funders have come together to defend these essential arts programs. As of today, they’ve mobilized over $125 million in only eight months!
USAID has long been a pivotal player in funding thousands of programs worldwide, including nutrition initiatives and treatments for neglected tropical diseases. Recent cuts to the agency’s budget have brought those concerns to a new level. Famed aid transparency advocate Jacob Ma-Weaver aptly underscores the potential negative impact, which can be as severe as avoidable deaths. In Nigeria, a successful nutrition program with an annual budget of $7 million was slashed. The proposal included making that very small amount of funding even smaller, reducing it to only $1.5 million.
The Trump administration was delighted to see this happen at USAID, believing that the future lay with a revitalizing trade and investment. At the same time, the times became more desperate. No one has illustrated this point better than Senator Marco Rubio. He encourages the State Department to get away from traditional aid models with nonprofits and contractors to direct agreements with countries. This transition has raised alarm bells. Development practitioners fear its harmful effects on advancing development objectives and the peace and stability of areas reliant on U.S. aid.
“We were fortunate enough to be in connection with and communication with some very strategic donors who understood quickly that the right answer for them was actually an answer for the field.” – Sasha Gallant
Beyond USAID’s work, partners like Global Fund have been important in mobilizing resources. Helen Keller Intl implements a number of USAID-funded programs. They have proven indispensable in delivering nutritional support and treatment for neglected tropical diseases. Rob Rosenbaum, a major architect of these fundraising efforts, emphasized the need for precision in timing and targeting with donors.
“That time that we were able to buy has been absolutely invaluable in our ability to reach more people who are interested in stepping in.” – Rob Rosenbaum
And those amazing collective fundraising efforts have already paid off! Project Resource Optimization is proud to say that each of its programs has awarded more than $110 million in charitable grants. Of PRO’s recommendations, GiveWell was the biggest single contributor at $34 million — with $1.9 million of that specifically going to one of PRO’s recommended initiatives.
Private donors wasted no time in filling the need to immediately raise money. It became evident to us that we had a moral urgent imperative to act. Ma-Weaver expressed her unease at the new framing around simply handing out cash. She noted how difficult it is for our society to have an honest conversation about philanthropy.
“It’s actually very uncomfortable in our society — maybe it shouldn’t be — to tell the world that you’re giving away money.” – Jacob Ma-Weaver
Despite the challenges posed by reduced government funding and shifting priorities within the U.S. administration, the response from private donors reflects a commitment to humanitarian efforts. This urgent context has led many of the special contributors to reconsider how they plan to give going forward.
“It was an opportunity for us and one that I think motivated us to accelerate our lifetime giving plans, which were very vague and amorphous, into something tangible that we could do right now.” – Jacob Ma-Weaver
Private contributions have helped keep deeply needed programs afloat. Experts warn that we need longer-term solutions to address the causes of instability and maintain U.S. influence abroad. Dean Karlan, chief economist at USAID, emphasized that some stakeholders are afraid to engage in aid-related work. In doing so, they worry that it will open the door to moral hazard.
“You have to realize there’s also a fair amount of reluctance, rightly so, to clean up a mess that creates a moral hazard problem.” – Dean Karlan
Private donors are already rising to the occasion to fill gaps in international aid. Their diligent persistence reflects a well-deserved reverence for its significance, despite continual changes in political landscapes. More than $125 million has already been mobilized. This remarkable sum is a testament to the passion of citizens and cross-sector actors determined to make a positive impact in places affected by violence, deprivation, and the COVID-19 pandemic.
