The abrupt funding pause of American aid has left the humanitarian world reeling, sparking immediate and profound uncertainty among those dependent on USAID-financed works. One consultant described the decision as “unexpected and shocking,” disrupting a range of vital programs, from youth empowerment initiatives to supporting refugees in camps and essential health services.
Consultants hired by non-governmental organisations working to equip young people with skills and opportunities, found themselves blindsided by the sudden withdrawal. One of these, earning 34,000 Br monthly, which had comfortably covered rent, school fees, and other essential expenses, now faces an uncertain future. His predicament captures the personal toll of a decision that has effectively upended many lives.
The funding halt comes as development partners recently boosted their commitments in Ethiopia. In the 2022/23 fiscal year, international donors collectively pledged 1.7 billion dollars and disbursed 4.9 billion dollars in humanitarian and development aid, a 50pc increase from the previous year. The scale of this investment proved how vital America’s largess has been. Its sudden suspension now leaves a vacuum that many fear will erode gains achieved over years of sustained international assistance.
Ethiopia received 2.3 billion dollars in aid from USAID in 2023, second to Ukraine, followed by Jordan and Afghanistan.
The implications are most acutely felt in the refugee camps, where lives and livelihoods have already been stretched thin. In Gambella, home to over 385,000 refugees, mainly from South Sudan, support has dwindled sharply; reports indicate a 35pc decline from 2023 to 2024, with an even steeper drop anticipated in the following year. In Melkadida, a sprawling camp near the borders of Kenya and Somalia that shelters more than 220,000 refugees, the loss is equally dire. Funding and supplies have fallen dramatically, leaving residents with reduced food rations and critical services, and forcing a retreat from long-term sustainable support initiatives.
For refugees, the funding freeze translates into a daily struggle for survival. After 15 years in the Melkadida camp, their words resonate with despair. “We don’t know where to go” is a widespread sentiment, as the interruption of aid not only diminishes basic sustenance but also undermines the fragile social fabric that holds these communities together.
The shockwaves extend into urban centres as well. Aid recipients with HIV/AIDS now face the grim reality of potentially losing subsidised medication, a lifeline that, if withdrawn, could have dire health consequences. Experts warn that the current ambiguity over humanitarian support demands the urgent need for Ethiopia to shift towards sustainable, domestic funding for essential services, lest future shocks erode the country’s hard-won progress.
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PUBLISHED ON
Feb 09,2025 [ VOL
25 , NO
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