In a sharp critique, US President Donald Trump has denounced USAID’s funding in India. However, the Finance Ministry’s annual report, led by Nirmala Sitharaman, highlights that the $750 million assistance provided by the US agency during 2023-24 was directed towards government projects focused on food, agriculture, rural development, energy, and the environment.
The Finance Ministry’s annual report for 2023-24 states that none of these projects are related to political funding in India. “Currently, seven projects worth a total budget of $750 million (approx.) are being implemented by USAID in partnership with the Government of India,” the report reveals.
For the financial year 2023-24, the US Agency for International Development (USAID) has committed a total of $97 million to seven projects, according to the Finance Ministry report. These projects include agriculture and food security programs, water, sanitation, and hygiene (WASH), renewable energy, disaster management, and health. Additionally, funds were allocated to the Sustainable Forests and Climate Adaptation Programme and the Energy Efficiency Technology Commercialisation and Innovation Project.
President Trump has sparked controversy by accusing the Biden administration of using USAID to allocate $21 million for voter turnout in India to influence the elections.
In response, External Affairs Minister S. Jaishankar stated, “Some information has been put out there by the Trump administration people, and obviously, that is concerning. I think, as a government, we’re looking into it. My sense is that the facts will come out. USAID was allowed here in good faith, to do good faith activities; now, suggestions are being laid out from America that there are activities which are in bad faith. It’s worrisome, and if there’s something to it, then the country should know who the people are involved in it.”
The Congress party has demanded a white paper on the funds received in India from developmental agencies and aid mechanisms.