Donor Profile

US

Last updated: January 30, 2025

The Donor Tracker team is hard at work updating our US profile to be as current as possible with the rapidly evolving development landscape. Thank you for your patience!

Summary



ODA Spending


How much ODA does the US contribute?


The US is the largest donor country in absolute terms Relative to economic size, however, the USODA is low, at 0.24% of GNI in 2023, placing the US in 25th among OECD DAC members.


The US aligns with the DAC statistical directives and ODA definition. However, the US' definition of 'foreign assistance' is broader and includes non - ODA eligible items such as military assistance, although there are significant gaps in Department of Defense reporting. The difference between ODA and foreign assistance reporting is highlighted in this table.


How is US ODA changing?


The Trump administration plans to cut over 90% of USAID's programs, reducing US foreign assistance by nearly $60 billion, primarily impacting USAID (US$54 billion) and State Department grants (US$5.4 billion). Although it is still unclear how much of these cuts are reported as ODA, cutting this amount from US ODA would drop the US from the largest ODA donor to around the eighth-largest.


ODA held nearly steady in 2023. US$6.2 billion of funding went to in-donor refugee costs, equivalent to 9.7% of total ODA, a slight decline from the previous year. Bilateral support to Ukraine accounted for an additional 16% of total ODA in 2022. In April 2024, Congress passed a US$95 billion national security emergency funding bill for Ukraine, Israel, Taiwan, and Gaza and other partners, of which US$26.8 billion is for economic and humanitarian assistance.


The Biden administration’s March 2024 FY2025 budget request for the International Affairs Budget, released on March 12, 2024, was US$64.4 billion in discretionary funding (regular, non-emergency funding and base emergency funding). The final FY2024 enacted figure was US$60 billion, a US$3.7 billion (6%) cut from FY2023 levels.


With the reelection of former US President Donald Trump (Republican) in November 2024, who took office in January 2025, many development experts have speculated that US development funding will suffer. Many of Trump's previous decisions withdrawing support from the multilateral system and weakening development funding, such as budget cuts to USAID, were previously reversed by the Biden administration.


The US once again withdrew from the Paris Agreement and WHO upon Trump's inauguration in January 2025.



Interested in the future of US ODA? Read more about the future of USAID and a rapidly changing development landscape in this Donor Tracker publication.


Where is US ODA allocated?


The US channeled 90% of its total ODA bilaterally in 2023, far above the OECD DAC average of 59%. Historically, US Congress favors bilateral assistance as it allows congress to have greater control in how US foreign assistance is spent. FY2023 enacted levels, however, did provide for a small increase in multilateral funding.



Bilateral Spending


Since Russia’s 2022 invasion, Ukraine has become the largest recipient of ODA, with governance funding as USAID’s primary focus. Outside Ukraine, USAID’s next-largest sector is humanitarian aid, supporting crisis-hit nations like Ethiopia, Afghanistan, Yemen, and South Sudan. The withdrawal of US funding threatens essential services in these regions.


Food assistance has been particularly affected, with USAID previously supporting nutrition programs in Nigeria and Bangladesh. Cuts have halted food shipments to famine-prone areas like Sudan and Gaza, while US farmers have also lost revenue from food assistance exports.


The US funds nearly half of global humanitarian aid, supporting health, sanitation, and refugee care. Recent cuts have forced the closure of 60+ health facilities in Pakistan, affecting 1.7 million people, and shut down the only water source for 250,000 displaced people in the DRC. These losses put millions at risk, worsening global crises.


Biden’s FY2025 proposed budget cuts foreign assistance by about US$6 billion over his FY2024 request. Global health funding was cut by the largest amount due to cuts to the Global Fund (US$2 billion to US$1.2 billion) because of declining funding from other donors; US law limits US contributions to no more than one-third of all funding from other donors. Other heath funding levels were kept flat or slightly increased. Humanitarian and refugee assistance was set at US$10.3 billion and democracy, human rights, and governance levels were proposed at US$3 billion. Gender and PREPARE both came in at US$3 billion. The GCF received US$500 million, although Congress has not funded it at all in recent years.



Multilateral Spending and Commitments


As a result of its focus on promoting national interests and strengthening bilateral relationships, the US channels a lower share of its total ODA to multilateral organizations than other OECD DAC donors. Core contributions to multilaterals accounted for 14% of the US’ total ODA in 2022, well below the DAC average of 41%. In absolute terms, the US became the top provider of core contributions to multilaterals in 2021. The FY2024 final appropriations had a 7% increase in contributions to International Organizations, allowing the US to fully meet its obligations. The FY2025 budget proposal also includes full funding of US obligations. However, voluntary contributions from FY2023 to FY2024 received a cut of 14%. The FY2025 budget also requested a modest decrease.


The US primarily channels its ODA bilaterally, but in 2023, it still contributed US$5.5 billion—about 10% of its total ODA—to multilateral institutions. However, recent policy shifts have seen the Trump Administration withdraw from key multilateral organizations, reduce funding commitments, and avoid high-level G20 meetings.


The Global Fund has historically received the largest share of US multilateral assistance, but its funding has been reduced from US$2 billion to US$1.2 billion due to a decline in contributions from other donors. Similarly, the Biden Administration pledged US$4 billion to the IDA in December 2024, but it remains uncertain if the Trump Administration will honor this commitment. While a full US withdrawal from MDBs is unlikely, an exit from institutions like the EBRD and the:abbrIBRD would significantly impact their operations.


In global health, the US withdrew from the WHO on January 20, 2025, despite previously being its largest donor, contributing US$1.3 billion in the 2022–2023 budget cycle. The administration has also canceled US$4 billion in pledged funding to the GCF, marking the first time a country has withdrawn previously committed funds. Additionally, Gavi’s upcoming replenishment round seeks to raise US$9 billion for 2026–2030, but there is growing uncertainty about whether the US will follow through on its US$1.58 billion pledge. These cuts and withdrawals have weakened global funding for health, climate, and development, leaving many critical programs at risk.



Politics & Priorities


What is the current state of US politics?


The US is a constitutional federal republic, where powers reserved for national government are shared between independent branches of government: the executive branch, which is headed by the president; the US congress, and the judiciary. The president, currently Donald Trump (Republican) since January 2025, sets overarching policy orientations for US foreign assistance, including for development. Development policies and priorities are also defined by the US congress, including the two chambers, the House of Representatives and the Senate, which have a final say on federal spending, including foreign assistance.


Within the executive branch, the US Department of State is responsible for foreign policy and diplomacy and works with USAID on development policy setting. USAID is largely responsible for implementation of US global development programs. Under President Biden, development was given a more elevated role alongside defense and diplomacy, including naming the USAID Administrator as a principal in the NSC, though this is not likely to be continued under the current administration.


Former US President Donald Trump (Republican) won reelection in November 2024 and took office in January 2025. The House and the Senate were also won by the Republican Party in November 2024, giving the president significant congressional support at least until the midterm elections in fall 2026.


Main Actors



What are the US' development priorities?


The Trump administration paused all foreign assistance for 90 days upon his inauguration in January 2025, announcing in an executive order that "foreign aid industry and bureaucracy are not aligned with American interests and in many cases antithetical to American values." The pause caused significant confusion within USAID and amongst its partners.


On February 27, 2025, it was reported that the administration plans to cut over 90% of USAID’s contracts (about 5,800) and reduce US foreign assistance by nearly $60 billion overall. The cut is made up primarily of cuts to USAID (US$54 billion) and the State Department grants (US$5.4 billion). With many USAID staffers receiving official termination notices, even those working for projects that had initially received a life-saving waiver, the administration signaled the premature end of the ostensible 90-day review period and quashed hopes of any meaningful resumption of USAID activities.


By issue

Global health: The US is historically the largest donor to global health. However, overall budget constraints, small cuts to global health security, and lower donor contributions to the Global Fund have resulted in overall decreases in global health in FY2024. US funding to the Global Fund is capped at no more than a third of all total funding, which can constrain contributions.


The US, previously its largest contributor, withdrew from the WHO in January 2025.


Read more about US’ ODA to Global Health


Climate: Funding for climate programs in the International Affairs Budget, which are largely cross-cutting, is not detailed. However, funding levels between FY2023 and FY2024 remained essentially flat, including for the Clean Technology Fund and the Global Environmental Fund. There was no specific allocation for the Green Climate Fund, but the State Department is permitted to make a US contribution. The upcoming Trump administration's priorities are yet to be determined.


Read more on US' ODA for Climate Change


Gender equality: The first-ever US National Strategy for Gender Equity and Equality, which applies to both US domestic and international policy, was released in 2021. FY2024 funding to gender remained essentially at FY2023 levels, including US$250 million for GBV, US$150 million for Women, Peace, and Security Strategy, and US$200 million for the Gender Equity and Equality Action Fund. The FY2025 budget requested a 15% increase in gender accounts.


The Trump administration has taken a hostile stance towards gender equality, mandating that all federal programs, including foreign aid programs, eliminate their DEI practices upon his inauguration in January 2025.


Read more on US' ODA for Gender Equality


The end of Roe v. Wade?


While agriculture and education are key sectors for the US, they are typically not considered top-level priorities. Food security has consistent bipartisan congressional support. However, FY2024 enacted levels cut international food programs by 6% compared to the previous year.


Read more about US’ ODA for Agriculture


Read more about US’ ODA for Education


By region

See charts under the Bilateral Spending section for greater recipient and regional distribution detail.


The US concentrates its bilateral ODA on sub-Saharan Africa. Between 2018-2022, the US provided an average of US$11.8 billion (35% of bilateral ODA) to the region per year, followed by the MENA region, with US$4.2 billion or 13% of bilateral ODA during that time, and Asia, with US$3.8 billion or 11% of bilateral ODA during that time.


The US - Africa Summit in December 2022 brought together a number of African leaders and US officials to create and expand partnerships across the African continent to cover a range of issues including food security, climate change, health care and pandemic preparations, inclusive economies, good governance, human rights, and peace and security. The summit resulted in a total of US$55 billion in commitments to the continent from the US over 2022-2025.


Since the beginning of the Russian invasion of Ukraine on February 24, 2022, the US has provided over US$13 billion in direct budget support, including for healthcare, education, and emergency response. In addition, US$1.4 billion has been provided in humanitarian assistance and over US$800 million in development assistance, which will bolster Ukraine’s energy grid, governance institutions, agricultural production, small businesses, and civil society. In total, Europe received 19% of US ODA in 2022, up from 2% in 2021.


The FY2024 appropriations and the FY2025 budget proposal continued to support efforts to implement the Administration’s Indo-Pacific strategy and efforts to counter and out compete China, both of which saw an increase from FY2023 levels. The FY2025 budget proposal also includes US$1 billion to the IBRD in loan guarantees and grants for the World Bank to offset what is considered 'coercive lending' by China.


The Trump administration withdrew from the Paris Agreement in January 2025 and has taken a hostile stance towards climate-related endeavors.


Budget


What are the details of the US' ODA budget?


FY2024 enacted totals for development were US$57.5 billion for non-emergency funding and US$2.5 billion in base-emergency funding.


In Biden’s FY2025 budget request, global health faced the largest cuts with the US' contribution to the Global Fund cut down from US$2 billion to US$1.2 billion, largely because US law limits US contributions to no more than one-third of all funding from other donors. Other key areas, such as humanitarian, economic and development spending, and security assistance, were largely held flat, while funding to counter China and Russia received additional funding. Food security, climate change, and gender all received increases.


The FY2025 budget proposal totals include US$64.4 billion in non-emergency funding. The FY2025 budget should have been enacted by September 30, 2024, however, the US instead ran a continuing resolution keeping funding at FY2024 levels until December 20, 2024. Another continuing resolution extended funding through March 2025. The Trump administration plans to cut over 90% of USAID's programs, reducing US foreign assistance by nearly $60 billion, primarily impacting USAID (US$54 billion) and State Department grants (US$5.4 billion).


The US does not have a dedicated ODA budget. Rather, the federal budget is divided into budget ‘functions’ that include all spending on an issue, sourced from various appropriations bills. Almost all development-related spending is within Budget Function 150, commonly referred to as the IAB, which includes ODA-accountable funding and non - ODA money, such as operating embassies, military assistance, and promotion of US exports.

ODA spending does not necessarily reflect the most current obligations and expenditures for US foreign assistance. A good source of detailed funding is ForeignAssistance.gov, which allows analysis of funding by agency, sector, type of funding, region, and other breakdowns.


The vast majority of funding included under international affairs comes from the SFOPS appropriations bill, with the remainder sourced primarily from the agricultural appropriations bill for food security and food-assistance funding.


The SFOPS bill is divided into ‘titles,’ each covering a different budget envelope (see the table below). The money in these envelopes is mainly, but not exclusively, managed by the State Department and USAID. Relevant titles related to global development include:

  • Title I: Department of State and Related Agency largely funds the management and running of the State Department. It also contributes to the US’ assessed contributions to 44 international organizations, including the UN regular budget and its specialized agencies.
  • Title II: Administration of Foreign Assistance provides operational funds for USAID.
  • Title III: Bilateral Economic Assistance covers much of the US’ foreign assistance and development activities, accounting for just under half of the entire SFOPS. The largest share goes to global health. Programs funded under Title III are jointly managed by the State Department and USAID. Most funding is channeled through the ‘Development Assistance’ envelope, which is broadly intended to foster economic progress and social stability in partner countries, and the ESF, which provides assistance to allies and countries in transition to democracy, support the Middle East peace process, and finance economic stabilization programs.
  • Title V: Multilateral Assistance includes money for US voluntary contributions to various multilateral organizations, including to the World Bank and global environmental funds.


This table excludes emergency funding.


How does the US determine its ODA budget?


The US fiscal year runs from October 1 to September 30. The budget process begins 12 to 14 months, or more, prior to the start of the fiscal year. Most federal spending consists of ‘mandatory spending’ and ‘discretionary spending;' foreign assistance falls under discretionary spending. The budget process for discretionary spending can be categorized into three separate phases: 1) development of the president’s budget request, 2) congressional budgeting, and 3) congressional appropriations.


This timeline has become increasingly variable in recent years due to political deadlocks, often resulting in continuing resolutions that extend the fiscal year and that keep the government funding running while an agreement is reached.


Phase 1: Development of the president’s budget request (May - February) Government departments and agencies begin developing budgets in May and submit funding requests in September/October: From May to September, departments and agencies develop their budgets and set broad parameters for spending on specific programs. The USAID and the State Department, for example, negotiate major funding levels and policy decisions for each budget line and then share the proposal with the White House’s OMB. From September to November, OMB negotiates funding levels with the heads of government departments and agencies. Engagement with OMB from August to September is important. At this time, it can receive external input to inform its engagement and negotiation with departments and agencies.


Under normal circumstances, negotiations can take between two and four weeks before the OMB officially passes back the budget request for agency review. In recent years, this stage has taken months rather than weeks, delaying the release of the budget request.


OMB works to finalize budget request in late fall and president submits it in February: In November/December, the OMB finalizes the budget request before the president signs off in late December/early January. Traditionally, the president submits his budget request to Congress the first Monday in February. This date is often delayed, particularly when a new administration takes office.


Phase 2: Congressional budgeting (February - April) Congress sets spending limits for main budget areas: Once the president’s budget request is submitted to Congress, the CBO evaluates the request. The House and Senate then each develop, debate, and (in theory) pass a joint congressional budget resolution before April 15. The resolution sets the overall level of discretionary funding for the next fiscal year. This ceiling or “budget cap” is sent to the House and Senate Appropriations Committees. Unlike the president’s budget request, which is a detailed proposal – the budget resolution is a short, high-level document. It is not a bill that is signed into law, but instead provides the binding budget cap that appropriators use to allocate discretionary spending. The president’s budget request is a key opportunity for advocates to engage in discussion on the foreign affairs budget with key stakeholders including with Congress, government agencies and departments, and the White House, through meetings, letters, and media outreach.


Phase 3: Congressional appropriations (April - September) Congress considers appropriations bills that allocate funding to government functions, including foreign assistance, from April 15 to September: After the final budget resolution is agreed upon, or after April 15 (whichever comes first), Congress must draft, debate, and pass 12 different appropriations bills, which correspond to different government functions. This includes the appropriations bill for SFOPS, which funds most development programs (see ‘Budget’). During the spring, each of the relevant committees and subcommittees hold several hearings on the president’s budget request to debate, amend, and rewrite or “mark-up” the appropriations bills. Prior to this phase, there are several advocacy opportunities, including meetings on Capitol Hill, letters to Appropriations Committee chairs, events, and participation in hearings.


House and Senate negotiate final budget; president signs: Once an appropriations bill has passed the House and Senate, a conference committee is formed with representatives from the Appropriations Committees to negotiate the differences between the House‐ and Senate-passed bills. If the House and Senate cannot find an agreement by the end of September, Congress needs to enact an emergency short-term measure – usually a ‘continuing resolution’ – to provide temporary funding to ensure the government continues to operate while the appropriations bills are finalized. Any spending bills are then sent to the president for approval or for veto; vetoes are rare and require an override from two-thirds of both chambers of Congress.  


The Donor Tracker team, along with many DAC donor countries, no longer uses the term "foreign aid". In the modern world, "foreign aid" is monodirectional and insufficient to describe the complex nature of global development work, which, when done right, involves the establishment of profound economic and cultural ties between partners.


We strongly prefer the term Official Development Assistance (ODA) and utilize specific terms such as grant funding, loans, private sector investment, etc., which provide a clearer picture of what is concretely occurring. “Foreign aid” will be referenced for accuracy when referring to specific policies that use the term. Read more in this Donor Tracker Insight.

Our US Experts

Zoe Welch

Zoe Welch

Associate Consultant