Kenya: Govt to Cut Development Budget to Fund Critical Programs Affected By Trump's Foreign Aid Freeze

3 February 2025

Nairobi — National Treasury Cabinet Secretary John Mbadi has announced that Kenya will slash its development budget to fund critical programs affected by a potential freeze on US foreign aid.

Mbadi stated that if US President Donald Trump follows through on his directive to suspend aid, Kenya will have to rely on domestic financing. However, he noted that the government is still awaiting official communication from Washington on the matter.

"We will have no alternative but to redirect part of the development budget to sustain crucial programs that could be starved of funds if the US halts foreign aid," said Mbadi.

He assured Kenyans that measures are already being put in place to ensure that key health programs, particularly those dependent on donor support, remain operational.

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"Health programs such as HIV treatment are essential for saving lives, and the government will ensure they continue uninterrupted," he added.

Trump's Stop-Work Order, signed last month, has temporarily suspended all US foreign assistance programs for 90 days, pending a policy review. The move affects over 20 million people globally, including Kenyans under the President's Emergency Plan for AIDS Relief (PEPFAR) and USAID programs.

In Kenya, the freeze could impact thousands on HIV treatment and leave over 25,000 medics and community health workers temporarily jobless.

Despite this, the Ministry of Health has assured Kenyans of sufficient HIV medication stocks for at least six months and is engaging development partners, international agencies, and private sector stakeholders to secure alternative funding.

"We have enough HIV commodities, including antiretrovirals and testing kits," said Director General for Health Dr. Patrick Amoth, urging those on treatment to continue accessing their medication.

Kenya relies heavily on US donor funding for health and security programs, and Mbadi acknowledged that any withdrawal of aid would be a significant setback.

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