(Ecofin Agency) - U.S. development aid is facing an uncertain future. At the center of the storm is USAID, a key player in global assistance programs, now at risk of being dismantled. The stakes are high, especially for Africa.

The United States is considering shutting down the U.S. Agency for International Development (USAID), according to a Feb. 3 statement by Elon Musk, who oversees government efficiency in the Trump administration.

The announcement comes as part of a broader effort to restructure U.S. foreign aid, following an executive order signed on January 25 dfthat freezes foreign assistance for 90 days—except for aid to Israel, Egypt, and emergency food relief.

USAID is a criminal organization.

Time for it to die. https://t.co/sWYy6fyt1k

— Elon Musk (@elonmusk) February 2, 2025

Musk did not provide details on how the potential closure of USAID would take place but noted that it had the approval of President Donald Trump. His statement coincides with another major development: Secretary of State Marco Rubio announced on Monday that he would temporarily take charge of USAID to address what he called "internal insubordination" that was preventing the administration from properly reviewing the agency. According to Rubio, USAID has been operating as an "independent non-governmental entity" and has, in many cases, been involved in programs that contradict the administration’s national strategy.

A Direct Impact on Africa

The possible shutdown of USAID is causing significant concern, particularly in Africa, where the agency plays a crucial role in funding essential programs in health, food security, education, and governance. The importance of this aid is evident in the commitments made in the months leading up to Trump’s election.

In August 2024, USAID announced $424 million in humanitarian assistance and support for vaccine distribution to combat mpox. During a visit to Angola in December 2024, former President Joe Biden pledged over $1 billion in humanitarian aid to address food insecurity in 31 African countries, with $823 million channeled through USAID. That same month, the agency launched a solar energy hub in Madagascar benefiting 1,200 households and allocated nearly $29 million to improve food security in Somalia.

It remains uncertain whether USAID will actually be shut down, and the coming weeks will be critical in determining the agency’s fate. However, even without a final decision, the potential consequences for Africa are already significant.