The Trump administration is planning to cut the State Department's budget by 48%, a move that could sharply reduce U.S. international spending and potentially end funding for NATO and the United Nations.
Massive Cuts to Humanitarian Aid and Global Health as USAID Faces Overhaul by DOGE
An internal memo shows that the White House Office of Management and Budget proposed reducing the combined budget of the State Department and USAID to $28.4 billion — a $27 billion, or 48%, cut from the amount approved by Congress for 2025, Guardian reported.
The proposed cuts of about $30 billion in fiscal 2026 are outlined in a so-called "Passback," the response by the White House budget office – the Office of Management and Budget (OMB) – to State Department funding requests for the upcoming fiscal year, which begins on October 1, Reuters reported.
USAID, the main agency for foreign aid, has already been mostly dismantled by Elon Musk's Department of Government Efficiency (DOGE). The proposed budget cuts would lead to major reductions in funding for humanitarian aid, global health programs, and international organizations.
According to the memo, humanitarian aid would be cut by 54% and global health funding by 55%. The memo also suggests that USAID, which used to operate independently before being targeted by the DOGE, would now be fully merged into the State Department.
Major Staff Cuts and 90% Slash in Support for NATO, UN, and Peacekeeping Missions
The State Department's workforce, which currently includes about 80,000 employees, would also face large reductions. Support for international organizations would be cut by 90%, ending funding for around 20 groups, including NATO and the United Nations.
Some targeted funding, like that for the International Atomic Energy Agency and the International Civil Aviation Authority, would continue. However, all support for international peacekeeping missions would stop, with the memo citing recent mission failures as the reason.
The proposed cuts would also severely reduce the foreign service travel budget and staff benefits. The Fulbright scholarship program, which was created in 1946 and has supported educational exchanges for over 40 future world leaders, would be eliminated.
Conflict Prevention Bureau to Shut Down Amid Cuts Facing Likely Pushback in Congress
The Bureau of Conflict and Stabilization Operations, which works to predict and prevent conflicts around the world, would also be shut down. These cuts are not final yet. They still need approval from within the administration and from Congress, where they are expected to face strong opposition — even from some Republicans.
The proposal needs to pass several rounds of review before it even gets to lawmakers, who in the past have amended and even rejected White House budget requests, Associated Press reported.
The memo outlining these proposals is dated April 10 and is signed by Douglas Pitkin, the State Department's director of budget and planning, and Peter Marocco, who recently served as director of foreign assistance and acting deputy director of USAID.
