'USAID currently funds 7 projects in collaboration with Centre; none of these linked to political activities'
Amid criticism from former US President Donald Trump regarding USAID funding in India, a report from the Finance Ministry, led by Nirmala Sitharaman, has clarified that the $750 million assistance from the US agency was allocated exclusively for government projects related to food, agriculture, rural development, energy, and environmental initiatives in the 2023-24 financial year.
According to the Finance Ministry’s annual report, USAID currently funds seven projects in collaboration with the Indian government, and none of these are linked to political activities or election-related funding.
"At present, seven projects with a total budget of approximately $750 million are being implemented under USAID’s partnership with the Indian government," the report stated.
For the 2023-24 fiscal year, USAID allocated $97 million (approximately Rs 825 crore) toward these government-led initiatives, focusing on agriculture and food security, water and sanitation (WASH), renewable energy, disaster management, and healthcare. Additionally, funds were channeled into the Sustainable Forests and Climate Adaptation Programme and the Energy Efficiency Technology Commercialisation and Innovation Project, the report confirmed.
Trump previously sparked controversy by alleging that the Biden administration used USAID to direct $21 million toward voter turnout efforts in India, in an attempt to influence the country's elections.
Responding to these claims, External Affairs Minister S. Jaishankar acknowledged the concerns but assured that the Indian government is investigating the matter.
"Certain claims have been made by the Trump administration's people, and they are, of course, concerning. As a government, we are looking into the facts. USAID was allowed to operate in India in good faith, but now there are allegations suggesting misuse. If there is any truth to these claims, the country deserves to know who was involved," Jaishankar stated.
