Foreign Policy

How a $48M Donation Masks the Real Damage Done by USAID Cuts

By Economics Desk | February 6, 2026

After Trump-era cuts gutted USAID’s Development Innovation Ventures, a $48 million philanthropic rescue seeks to continue its mission—but can private money truly substitute for America’s commitment to global leadership and national security?

When the Trump administration slashed funding and dismantled key parts of the U.S. Agency for International Development (USAID), it wasn’t just bureaucrats who felt the impact—it was the very foundation of American foreign aid that suffered a dangerous blow. One division, Development Innovation Ventures (DIV), known for pioneering cost-effective international development solutions, was erased in this sweeping budget freeze.Now reborn as an independent nonprofit buoyed by $48 million from private donors, DIV Fund is striving to carry on its mission outside government confines. But is this philanthropic lifeline enough to patch the hole left by Washington’s retreat?Is Private Philanthropy a...

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