Rubio says USAID will be part of state, face deep cuts

Secretary of State Marco Rubio stated he had formally canceled 83% of USAID’s contracts and that his company will administer its few remaining applications.

“The 5200 contracts that at the moment are cancelled spent tens of billions of {dollars} in ways in which didn’t serve, (and in some circumstances even harmed), the core nationwide pursuits of the US,” Rubio posted on X early Monday.

The secretary stated the State Division would assume management of the remaining contracts, “in session with Congress.”

Rubio stated the cuts come after a six week assessment of all USAID applications ordered at first of President Donald Trump’s second time period. The overseas assist company was an early goal of Elon Musk’s effort to slash authorities spending generally known as DOGE.

In its first days in workplace, the Trump administration shuttered the USAID workplaces and froze all spending pending the assessment, interrupting applications world wide.

“Thanks to DOGE and our hardworking workers who labored very lengthy hours to attain this overdue and historic reform,” Rubio wrote.

The US Supreme Court docket final week reinstated a decrease court docket order that requires the short disbursement of as a lot as $2 billion owed to contractors for already accomplished work.

© 2025 Bloomberg

Observe Moneyweb’s in-depth finance and enterprise information on WhatsApp here.