On Tuesday, January 28, White House Press Secretary Karoline Leavitt announced that the Trump administration had frozen a $50 million federal disbursement as part of a broader effort to reevaluate U.S. foreign aid spending. The move reflects President Trump’s commitment to ensuring that taxpayer dollars are used efficiently and align with the administration’s policy priorities.
Leavitt stated that the Office of Management and Budget (OMB) and the newly created Department of Government Efficiency (DOGE) identified the pending disbursement and recommended halting it. “The president has made it clear that every dollar spent by the federal government must serve the interests of the American people,” she told reporters. “This review uncovered $50 million in funding that was set to go out the door without proper justification, and the administration decided to freeze it pending further assessment.”
The decision comes amid a broader review of U.S. financial commitments overseas. Since taking office, President Trump has ordered a pause on multiple foreign aid programs while agencies conduct a top-down analysis of their effectiveness. The White House has not disclosed which specific program was affected by the latest freeze, but officials emphasized that all aspects of foreign assistance are under scrutiny.
Critics argue that freezing aid could disrupt humanitarian programs and strain diplomatic relationships with key allies. Some lawmakers have called on the administration to clarify its strategy for foreign assistance, warning that abrupt funding cuts could have unintended consequences. However, Leavitt defended the move, stating, “The American people deserve to know where their money is going. We are taking a responsible approach by ensuring every dollar is spent wisely.”
In addition to foreign aid, the administration is also reviewing domestic grant programs and other federal expenditures. Trump’s push for spending efficiency has led to increased scrutiny of agencies like the State Department and USAID, which oversee billions in annual aid disbursements. The administration has signaled that further cuts or reallocations may be forthcoming as part of its broader fiscal policy.
As the spending review continues, the White House has indicated that no final decisions have been made regarding long-term funding for specific programs. However, officials maintain that any future disbursements must align with the administration’s goal of prioritizing American interests.