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THE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & LifestyleTHE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & Lifestyle

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The MacArthur Foundation will increase giving by $150 million over the next two years after Trump pulled the plug on foreign aid: ‘This is a major crisis for our sector’

**Excerpt:**

In early 2025, the global humanitarian community was rocked by the Trump administration’s decision to shut down the U.S. Agency for International Development (USAID). Announced on February 5, the move left thousands of employees in limbo and disrupted vital aid programs worldwide. Amid the fallout, the MacArthur Foundation stepped forward, pledging an additional $150 million over two years to help bridge the gap left by the government. This bold commitment underscores the growing reliance on private philanthropy to address crises when government support falters. The closure sparked protests at the U.S. Capitol, with advocates emphasizing USAID’s critical role in conflict prevention, humanitarian aid, and foreign policy. While the MacArthur Foundation’s intervention offers hope, it also highlights the limitations of private funding in replacing government-scale resources. This pivotal moment raises urgent questions about the future of foreign aid and the balance of responsibility between public and private sectors in addressing global challenges.

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In early 2025, the global humanitarian community faced an unprecedented challenge when the Trump administration announced the closure of the U.S. Agency for International Development (USAID). The decision, made public on February 5, 2025, sent shockwaves across the sector, leaving thousands of employees in limbo and disrupting critical aid programs worldwide. In the wake of this abrupt withdrawal, the MacArthur Foundation emerged as a key player, pledging an additional $150 million over the next two years to help address the gap left by the government. This bold move highlights the growing reliance on private philanthropy to fill voids when government support falters.

The closure of USAID sparked immediate backlash. On the day of the announcement, employees, advocates, and supporters gathered at the U.S. Capitol in Washington, DC, to protest the decision. The rally was a powerful display of solidarity, with attendees emphasizing the agency’s critical role in conflict prevention, humanitarian aid, and foreign policy. Renowned photographer Chip Somodevilla captured the emotional scenes, showcasing the determination of those fighting to preserve USAID’s mission. The images served as a stark reminder of the human impact behind policy decisions, as many employees faced uncertainty after dedicating their careers to helping vulnerable communities.

The MacArthur Foundation’s decision to increase its funding was a direct response to what it described as a “major crisis for our sector.” A spokesperson for the foundation stressed the urgency of the situation, noting that the sudden withdrawal of government support had left countless communities without access to essential services. The $150 million commitment aims to mitigate the immediate fallout and ensure that critical programs in areas like disaster relief, healthcare, and economic development can continue despite the political upheaval. While the foundation’s intervention is significant, it also underscores the limitations of private philanthropy in fully replacing government-scale funding.

This moment raises important questions about the future of foreign aid and the balance of responsibility between governments and private entities. USAID’s closure not only threatened jobs but also jeopardized decades of progress in addressing global challenges. The MacArthur Foundation’s response offers a glimmer of hope, but it also serves as a call to action for other philanthropic organizations to step up. Policymakers, too, must consider the long-term consequences of their decisions, as the ripple effects of such actions extend far beyond borders.

The closure of USAID and the MacArthur Foundation’s response remind us of the interconnected nature of global challenges. Whether through government programs or private initiatives, the need to support vulnerable communities remains urgent. As we navigate this new reality, collaboration and compassion are more important than ever. The fight for a more equitable and stable world continues, and every effort—big or small—counts.


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