The Liberian government has suffered a significant financial setback as the United States Agency for International Development (USAID) has frozen or canceled development projects worth approximately $51 million. This drastic aid cut comes as part of broader U.S. policy decisions, affecting multiple sectors critical to Liberia’s development.
Finance and Development Planning Minister Augustine K. Ngafuan confirmed that Liberia has effectively lost over $50 million in funding, disrupting key programs across the country. The aid freeze has halted initiatives in health, education, elections, and domestic revenue collection, which were heavily dependent on USAID support.
Among the most severely affected projects is the $23.4 million Education System Strengthening Project, designed to improve the country’s struggling education sector. Another major program impacted is the $15.9 million Elections and Democracy Support Program, aimed at strengthening electoral processes and democratic governance. Additionally, the Local Empowerment and Decentralization Project, valued at $17.9 million, has been put on hold, affecting efforts to enhance local governance and community-based development.
The freeze has also disrupted critical public health and welfare initiatives, including an $11 million fund allocated for COVID-19 awareness and immunization, which was expected to strengthen Liberia’s pandemic response.
The school feeding program, which had a budget of $20 million to provide nutritional support for schoolchildren, particularly in rural areas, has also been halted, raising concerns about food security among students. Speaking before the Liberian Senate Ad Hoc Committee, Minister Ngafuan revealed that the number of frozen projects has increased, with three additional cancellations confirmed during his testimony.
He stated that the government is still assessing the full scope of the aid loss and its long-term implications. The minister also emphasized that the suspension of USAID-funded projects will significantly impact Liberia’s ability to achieve its $1 billion domestic revenue goal, as some of these initiatives were tied to tax system transitions and economic growth efforts.
