Policy Updates

On March 28, 2025, the US administration announced plans to merge USAID into the State Department, dissolving it as an independent agency and reducing staffing to a statutory minimum of 15 positions, and additionally detailed specific cuts to USAID grants and multilateral funding.

Congress must pass new legislation to officially eliminate the agency. The State Department will create an Office of Global Food Security to manage food security and humanitarian programs previously handled by USAID. The remaining global health programs will be supervised by the Bureau of Global Health Security and Diplomacy. Other programs will be managed by regional bureaus within the State Department.

Deputy administrator of policy and programs at USAID Jeremy Lewin informed staff that employment contracts would be severed by July 1 or September 2, 2025. By July 1, 2025, the State Department will fully take over USAID’s remaining programming. By September 2, 2025, USAID’s operations will transfer to State or shut down completely.

The administration also provided Congress with documents listing 5,341 terminated USAID programs and 898 active ones, detailing that 86% of programs have been terminated, slightly more than the 83% cut reported on March 10, 2025. The total value of terminated programs is US$75.9 billion, with US$48.2 billion already obligated and US$27.7 billion yet to be assigned.

UN institutions and other multilaterals saw steep cuts, with terminated awards totaling US$4.1 billion to 14 UN agencies, the IBRD, and Gavi.

On February 1, 2025, the UK government has announced GBP22 million (US$26 million) in additional humanitarian assistance for Myanmar in 2024-2025 to support nearly one million vulnerable people.

This funding will provide essential healthcare, nutrition assistance, and treatment for diseases such as tuberculosis and malaria. The support will also strengthen climate resilience by improving food security, water management, and disaster preparedness, helping communities withstand extreme weather events.

On January 17, 2025, JICA announced a new partnership with the AIIB which aims to support infrastructure development in Asia, with a focus on enhancing sustainable and resilient infrastructure to address regional challenges.

JICA and AIIB will jointly finance projects and share expertise to promote economic growth, environmental sustainability, and poverty reduction in Asia.

On December 9, 2024, the EC initiated the 9^th edition of the Raw Materials Week, an event that brings together stakeholders from industry, administration, civil society, research and academia to discuss policies and initiatives in the field of raw materials.

Experts from various strategic sectors discussed how to foster domestic capacities, finance and derisk projects, stimulate research and innovation and improve critical raw materials circularity. The participants discussed the implementation of the Critical Raw Materials Act, which aims to bring a secure and sustainable supply of materials for European industry by using strategic partnerships to diversify supplies.

The High-Level Conference on Raw Materials will take place on December 11, 2024, and will be streamed online. EC Executive Vice-President for Prosperity and Industrial Strategy Stéphane Séjourné will explain his vision for the EU's raw materials policy. On December 12, the EC will discuss raw materials projects in the Minerals Security Partnership Forum, which is a platform for cooperation on critical raw materials for the global green and digital transitions.

The week includes specific sessions on investment opportunities in Canada, Greenland, Australia, Brazil, Kazakhstan, Uzbekistan, Norway, Zambia, the Democratic Republic of Congo, and South Africa.

On December 3, 2023, US President Joe Biden pledged US$1 billion in assistance to address food insecurity and other needs of internally displaced persons and refugees across 31 countries in sub-Saharan Africa during his trip to Angola.

This announcement is part of Biden's 2022 commitment at the US-African Leaders Summit to help communities tackle food insecurity in sub-Saharan Africa.

The assistance, along with previous commitments by the US, offers a range of services, including emergency assistance, health, WASH, education, and shelter. This additional assistance brings the total humanitarian assistance in FY2024 to nearly US$6.6 billion.

During the same visit, Biden announced that USAID is elevating its presence in Angola to a USAID mission.

On December 3, 2024, South Africa announced that Norway will continue as a guest country during South Africa’s presidency of the G20.

Norway has served as a G20 guest country this year as well, following an invitation from Brazil. Norwegian Prime Minister Jonas Gahr Støre expressed gratitude, noting that South Africa’s invitation reflects significant trust in Norway’s contributions to the G20 process. This recognition underscores Norway’s global engagement and highlights the strong partnership between Norway and South Africa.

The two nations co-led the global ACT-A initiative during the COVID-19 pandemic, working to accelerate the development, production, and equitable distribution of vaccines. They have also partnered on issues such as gender equality, UN reforms for peace and reconciliation efforts.

On December 2, 2024, the Council of the EU endorsed 46 Global Gateway flagship projects for 2025, which focus on the areas of digital, climate and energy, transport, health, education, and research.

Every year, new flagship projects are selected and added to the Global Gateway flagships list which includes 218 initiatives from 2023-2024. The list serves as a strategic communication and visibility tool for the EU and its member states.

Out of 46 newly selected flagship projects:

• 25 projects focus on climate and energy, including investments in climate resilience for land and water use, sustainable agricultural practices in Africa, and boosting renewable energy including hydro, solar, and wind;
• Six projects focus on digital, for example boosting digital connectivity in the Pacific or the EU-AU space partnership;
• Four projects focus on education such as boosting skills, rebuilding schools, and supporting entrepreneurship in Africa, Asia, Ukraine, and the Middle East;
• Six projects focus on health, increasing sanitation and healthcare in Africa and Europe; and
• Five projects focus on increasing global transport links.

On December 1, 2024, the Norwegian government and the SV reached an agreement on the 2025 state budget with a notable focus on domestic issues, particularly climate initiatives and social welfare programs.

The ODA budget for 2025 is set at NOK53 billion (US$4.9 billion), marking a slight increase from the NOK52.9 billion (US$4.7 billion) proposed in October. Although the overall allocation for ODA remains relatively unchanged, there are modest increases in specific areas, including civil society initiatives, disarmament and nuclear safety efforts, peace organizations, and humanitarian initiatives.

Domestically, the SV achieved significant gains, securing NOK7 billion (US$644 million) in additional funding for social welfare programs and climate initiatives. The largest portion of this funding is allocated to increasing child benefits, reflecting the SV’s focus on supporting families. Importantly, these new investments are financed through increased use of oil revenues, avoiding budgetary cuts to other programs or services.

On November 25, 2024, AOI, the network of the major NGOs working in international cooperation, published a report marking one year since the official launch of the Mattei Plan,.

The report highlighted the Mattei Plan's major issues:

• Resource constraints: The EUR5.5 billion (US$6 billion) allocated to the Mattei Plan are mainly derived from existing funds. AOI denounces the lack of additional investment and recalls the importance of allocating significant resources to address African challenges;
• Assistance reduction: In 2023, Italy cut bilateral funds for African countries by 32% and humanitarian assistance by 36%, starkly contrasting the continent's growing needs; and
• Migration: AOI  called the idea that more development leads to less migration into question, pointing out that migration does not necessarily decrease correlated to economic growth. Instead, the organization recommended promoting regular and well-managed migration pathways and highlighted diasporas and remittances as tools for development.

AOI outlined recommendations to improve the implementation of the Mattei Plan, including:

• Place local communities at the center of development policy;
• Implement a transformative approach to addressing gender inequality, including promoting the rights of women and girls, with a focus on SRHR and countering GBV and harmful practices such as child marriage and forced genital cutting;
• Invest in renewable energy, reducing dependence on fossil fuels;
• Improve access to clean water and sanitation, as they are crucial for health and sustainable development;
• Invest in youth training and employment;
• Ensure transparency in managing financial resources and avoid actions perceived as neocolonialist or predatory; and
• Reinforce the pivotal role of the Italian CSOs representing a strategic bridge between Italy and Africa.

On November 22, 2024, the Norwegian government allocated NOK26 million (US$2 million) to the Crop Trust Endowment Fund to support the long-term preservation of crop seeds.

This initiative underlines the critical role seed conservation and development play in ensuring global food security, safeguarding crops against climate change, disease, and other challenges.

The Crop Trust, an international organization dedicated to protecting seed diversity, ensures farmers worldwide have access to resilient seed varieties. Norway’s contribution supports the maintenance of vital infrastructure, including the Svalbard Global Seed Vault, which acts as a backup for global crop diversity, and international gene banks operated by the CGIAR research network.

According to Norweigan Minister of International Development Anne Beathe Tvinnereim, the Crop Trust plays a pivotal role in securing the global system for preserving agricultural biodiversity, with Norwegian leadership also represented on its Board by Dagfinn Høybråten.