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Trump moves to cut $5bn in foreign aid already approved by Congress

August 29, 2025

The Trump administration has initiated a rare fiscal maneuver called a pocket rescission to cut $5 billion in previously approved foreign aid. This controversial action aims to claw back funds allocated by Congress earlier this year, including $3 billion for USAID, $900 million in State Department funds, $800 million for international peacekeeping, and over $300 million for promoting democracy abroad. The White House justified the cuts as part of efforts to address "woke, weaponised, and wasteful" government spending, though the legality of this approach has been questioned by experts and lawmakers who view it as bypassing Congress's constitutional power over federal spending.

Who is affected

  • Foreign aid recipients
  • USAID programs and their beneficiaries
  • International peacekeeping operations
  • Countries receiving democracy promotion funding
  • State Department programs and their international partners

What action is being taken

  • The Trump administration is using a pocket rescission to cut $5 billion in allocated foreign aid
  • The White House Office of Management and Budget has officially announced the cuts
  • The administration is applying the Impoundment Control Act mechanism which allows presidents to request cancellation of approved funds
  • Some lawmakers and government accountability experts are questioning the legality of the maneuver

Why it matters

  • The move effectively bypasses Congress's constitutional "power of the purse"
  • The timing could cause the funds to lapse if Congress doesn't act before the fiscal year ends on September 30
  • This represents a significant reduction in U.S. foreign aid and peacekeeping commitments
  • It continues Trump's policy of reducing international aid that he considers wasteful
  • The approach hasn't been attempted by any president in nearly 50 years
  • It could potentially lead to a government shutdown according to Senate Democratic Leader Chuck Schumer

What's next

  • No explicit next steps stated in the article

Read full article from source: BBC

Trump moves to cut $5bn in foreign aid already approved by Congress