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Mozambique
Tuesday, 25 March 2025 - 16:10

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Dutch government seeks clarity on €1.5 million in unspent USAID donations

The Dutch government is struggling to obtain answers from the U.S. Agency for International Development (USAID) concerning more than 1.5 million euros in contributions, BNR reports. These funds were intended for various development projects, but there is growing uncertainty about whether they have been allocated or are still unspent.

The Dutch government’s primary concern is that if USAID does not use the funds, they should be refunded. However, the Ministry has been unable to get any definitive information from the U.S. agency. A spokesperson for the Ministry shared with BNR News, “We still don’t know how much of the contribution is unspent and would need to be returned. At this point, we cannot predict when we will have more clarity.”

The money was designated for initiatives focused on water and energy consumption in the agricultural sectors of countries like Algeria, Egypt, Jordan, Iraq, Lebanon, Morocco, Tunisia, Sudan, and Yemen. Despite the funds being transferred, the Dutch Ministry of Foreign Trade and Development Cooperation has received no updates from USAID on their usage or the specific countries benefiting from the funds.

The lack of clarity comes amid substantial cuts to USAID’s budget, which began following U.S. President Donald Trump’s administration. Under these cuts, USAID programs were slashed, leading to the dismissal of 1,600 employees and the placement of 4,700 others on paid leave as of late February. This restructuring has been spearheaded by tech billionaire Elon Musk, who is overseeing the cost-reduction initiative known as "Doge."

In addition to the uncertainty surrounding the 1.5 million euros, the Netherlands is also waiting for a request for a separate contribution of 62,000 dollars for a program in Mozambique. The Dutch Ministry will not transfer the funds until USAID submits an official payment request.

The situation is not isolated to the Netherlands. According to the Associated Press, Sweden and Norway are also seeking to reclaim unspent USAID donations. Together, the three countries are awaiting clarification on a total of 15 million dollars in unallocated funds from USAID.

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