USAID Explained
What is USAID?
The United States Agency for International Development (USAID) is the U.S. government agency responsible for providing foreign aid and development assistance. It funds projects in some 120 countries aimed at fighting epidemics, educating children, providing clean water and supporting other areas of development.
Established in 1961, USAID works to promote economic growth, democracy, health, education, and humanitarian aid. Its goals include reducing poverty, advancing human rights, responding to crises, and fostering sustainable development.
USAID partners with governments, nonprofits, and private sector organizations to implement projects in areas such as global health, food security, climate change, and disaster relief. The agency also supports initiatives that strengthen democratic governance and economic resilience worldwide.
By providing technical and financial assistance, USAID aims to create a more stable, prosperous, and democratic world while advancing U.S. foreign policy interests.
What is the USAID budget used for?
As of fiscal year 2023, the U.S. Agency for International Development (USAID) disbursed approximately $72 billion in foreign assistance.
It employs around 10,000 people, two-thirds of whom work overseas, according to the Congressional Research Service. It has bases in more than 60 countries and works in dozens of others. However, most of the work on the ground is carried out by other organizations that are contracted and funded by USAID.
This funding supports a variety of programs aimed at promoting global development and humanitarian efforts. Key allocations include:
- Global Health: A significant portion of USAID’s budget is dedicated to health initiatives, including combating infectious diseases, improving maternal and child health, and supporting global health security.
- Economic Development and Humanitarian Assistance: USAID invests in economic growth, agriculture, and food security programs to reduce poverty and hunger. Humanitarian assistance is also a major component, providing emergency aid in response to natural disasters and conflicts.
- Democracy, Human Rights, and Governance: Funding supports efforts to promote democratic institutions, human rights, and good governance practices in partner countries.
- Education and Environmental Programs: USAID allocates resources to improve educational access and quality, as well as to address environmental challenges such as climate change and natural resource management.
These allocations reflect USAID’s commitment to fostering sustainable development and addressing global challenges through targeted investments.
What are the major departments of USAID?
The United States Agency for International Development (USAID) was set up in the early 1960s to administer humanitarian aid programs on behalf of the US government.
It employs around 10,000 people, two-thirds of whom work overseas, according to the Congressional Research Service. It has bases in more than 60 countries and works in dozens of others. However, most of the work on the ground is carried out by other organizations that are contracted and funded by USAID.
The range of activities it undertakes is vast. For example, not only does USAID provide food in countries where people are starving, it also operates the world’s gold-standard famine detection system, which uses data analysis to try to predict where food shortages are emerging.
USAID’s budget is around $40bn – that’s about 0.6% of total US annual government spending of $6.75tn.
The vast majority of USAID money is spent in Asia, sub-Saharan Africa and Europe – primarily on humanitarian efforts in Ukraine.
Spending less than 1 percent of the total federal budget, USAID works in over 100 countries to:
- Promote broadly shared economic prosperity;
- Strengthen democracy and good governance;
- Protect human rights;
- Improve global health,
- Advance food security and agriculture;
- Improve environmental sustainability;
- Further education;
- Help societies prevent and recover from conflicts; and
- Provide humanitarian assistance in the wake of natural and man-made disasters.
SOURCE: https://2012-2017.usaid.gov/who-we-are
USAID budget: https://www.usaspending.gov/agency/agency-for-international-development?fy=2025
Which member of Congress oversee USAID?
Senate subcommittee on
State Department & USAID Management, International Operations, & Bilateral International Development
The subcommittee’s responsibilities include all matters involving State Department, USAID, Millennium Challenge Corporation, and Peace Corps management and international operations, bilateral international development policy, and bilateral foreign assistance. This jurisdiction includes the general oversight responsibility for management and operations of the Department of State, USAID, the U.S. Agency for Global Media, and the Foreign Service, as well as public diplomacy matters.
This subcommittee will have responsibility for reviewing the budget and operations of the State Department and USAID.
Republican Members
