EU to Revise Foreign Aid Strategy: A Shift in Focus
The European Union is preparing to reassess its multibillion-dollar foreign aid program to better align with its geopolitical interests.
This is reported by Bloomberg.
The European Commission aims to reform its aid system, making it more targeted towards its partners.
The bloc intends to restructure foreign aid to safeguard its strategic interests, including strengthening alliances with like-minded countries, ensuring resource access, and managing migration flows.
A draft document, which may still be modified, indicates that the EU's overall budget, traditionally around 1% of its GDP, is under pressure due to a wide array of demands — from the green transition to defense.
In the coming weeks, the Commission will present ideas to enhance its next seven-year budget for the period from 2028 to 2034.
This plan coincides with Trump’s decision to dismantle the U.S. Agency for International Development (USAID), which distributes foreign aid worth tens of billions annually.
The EU and its member states together remain the largest donors of international aid worldwide, providing nearly €96 billion ($99 billion) in 2023, while the U.S. spent nearly $72 billion on foreign support.
Also read: Which government agencies and organizations will not receive funds due to the suspension of USAID financing? List
Reminder:
Mike Waltz, advisor to U.S. President Donald Trump on national security, believes that cutting foreign humanitarian aid will not lead to the U.S. conceding global influence to China and Russia.
The Trump administration has released a list of "abuses and waste" within USAID.
