The Department of Government Efficiency (DOGE) of the US government has announced the cancellation of $39 million to be received as aid to Nepal. This includes $20 million for fiscal federalism and $19 million for biodiversity conservation programs. The decision is in line with a broader retreat on foreign aid of all kinds globally. Other nations affected by these cuts include Bangladesh, Serbia, and Cambodia.
The US also cut gender equality funding ($40 million) and learning outcomes funding across Asia ($47 million), not only in Nepal. This move is part of a wider reassessment of overseas programs funded with United States taxpayer money and signals a tightening of the country’s foreign aid posture.