Exclusive: Zambia Faces $500 Million Blow as US Aid Freeze Takes Hold

President Donald Trump’s second term has begun with extensive executive orders,  including the controversial Reevaluating and Realigning United States Foreign Aid. This directive has placed an immediate 90-day pause on all foreign aid, triggering widespread alarm among aid-dependent nations. For Zambia, the impact could be catastrophic, with one aid sector worker warning that the country stands to lose an estimated $500 million in crucial funding.

This financial shock threatens Zambia’s already fragile health system, which relies heavily on US aid to provide essential services. USAID currently funds critical programmes supporting good governance, rural poverty reduction, sustainable natural resource management, quality healthcare, water and sanitation, social protection, and primary education. Cuts to these programmes will not only slow Zambia’s development efforts but also endanger millions who depend on them.

Particularly concerning is the inclusion of the US President’s Emergency Plan for AIDS Relief (PEPFAR) in the funding review. PEPFAR provides lifesaving antiretroviral treatment to 20 million people globally, and any disruption could mean disaster for Zambia’s fight against HIV and AIDS. Dr. Jean Kaseya, Director-General of the Africa Centres for Disease Control and Prevention, has warned that the aid freeze poses a "huge risk to poor countries and the entire world.”

Charities on the ground have described the situation as “a matter of life or death.” The coming weeks will be crucial as Zambian authorities, NGOs, and international partners work to mitigate the fallout. Stakeholders must remain united to ensure health systems remain resilient and sustainable, even as one of Zambia’s largest funding sources is in question.