Trump's Decision to Close USAID Could Impact Social and Environmental Projects in Cape Verde

The Donald Trump administration has announced plans to discontinue the United States Agency for International Development (USAID), the country's main humanitarian assistance arm. The move, part of a wider government reform, could directly affect critical initiatives in Cape Verde, which received around US$3.06 million in US aid in 2023, according to official figures.

USAID has earmarked $44 billion for 160 countries in fiscal year 2023, with a focus on fighting poverty, health and crisis response. Cape Verde, although not among the largest beneficiaries (such as Ukraine and Israel), depends on specific projects funded by the agency, mainly in areas such as agriculture, health and civil society.

The USAID has allocated US$ 44 billion to 160 countries in fiscal year 2023.

Of the US$ 3.06 million received by the archipelago, most came from other agencies, such as the Department of State (US$ 2.8 million for operational expenses and military training) and the Department of Defense (US$ 80 thousand for anti-narcotics programs).

The USAID, however, financed smaller but strategic projects, totaling US$ 58,999:

• Health: Rehabilitation of basic units (US$ 9,000).
• Agriculture: Strengthening production in rural communities (US$ 7,870) and supplying inputs (US$ 8,893).
• Civil Society: Training in project management (US$ 7,400) and encouraging local enterprises, such as candle and soap production (US$ 8,843).
• Environment: Protection of sea turtles in Boa Vista (US$ 52,000), financed by the Department of the Interior, not USAID.

The end of USAID could disrupt grassroots initiatives that are essential for vulnerable communities. "Small-scale projects are vital for reducing inequalities and strengthening local resilience," analyzes a development expert. Despite this, the bulk of American support - such as security cooperation - will remain intact, as it is managed by other agencies.

Trump called USAID "run by radical lunatics", while Elon Musk, head of the Department of Government Efficiency (DOGE), justified the closure as part of a "bureaucratic downsizing". Two USAID employees were dismissed after denying access to DOGE representatives, intensifying the internal conflict.

While the direct financial impact is limited, the closure of USAID symbolizes a step backwards in human development cooperation. Cape Verde, which is seeking to diversify its economy and tackle climate challenges, could lose crucial tools for social progress, dependent on long-term international partnerships.

Sources: U.S. Foreign Assistance Report (2023), Official Statements, Data Analysis.