The recent executive order halting USAID funding to organizations outside the United States has sent shockwaves through Nigeria’s development sector. Many local organizations that depend solely on USAID funding are now forced to lay off staff, halt programme activities, and abandon life-saving interventions, raising fears of a humanitarian and economic crisis.

However, African nations received a contrasting development when a U.S. federal judge blocked Trump’s executive order restricting birthright citizenship, marking a legal victory against one of his most controversial immigration policies.

The Impact of USAID Fund Freeze on Nigeria

Stakeholders have expressed grave concerns about the USAID funding freeze, emphasizing that the most vulnerable Nigerians will bear the brunt of these cuts. Others view the situation as a wake-up call for Nigeria and other African nations to become more self-reliant.

Vanguard reports indicate that the suspension of funding has left USAID-affiliated non-governmental organizations (NGOs) in Nigeria in a state of uncertainty, with some shutting down operations pending further directives from their funders.

For instance, a family planning training programme scheduled for Abuja was abruptly cancelled just two days before its launch due to funding restrictions. USAID’s programmes in Nigeria play a crucial role in promoting economic growth, food security, health, governance, gender equality, renewable energy, and stability in conflict-affected areas.

Nigeria’s Heavy Dependence on USAID Funding

Nigeria ranks sixth among the top global beneficiaries of USAID funding, receiving approximately $1.02 billion in 2023. Through various initiatives, USAID supports:

• Agriculture and Food Security: The Feed the Future Initiative improves agricultural productivity and market access for Nigerian farmers, increasing income and food security.
• Trade and Infrastructure: USAID aids Customs reform, enhances transportation networks, and boosts private sector capacity for exports.
• Water and Sanitation: The E-WASH project provides access to clean water and improved sanitation in six states.
• Healthcare: USAID funds essential health programmes, including immunization, reproductive health services, and tuberculosis treatment.

Disruptions Across Key Sectors

Dr. Ejike Orji, Chairman of the Management Committee Association for the Advancement of Family Planning, highlighted that the abrupt freeze has derailed critical programmes. “With no notice, staff salaries will be cut, advocacy campaigns halted, and vital training initiatives scrapped. The ripple effects will be felt across communities,” Orji warned.

Health services are among the hardest hit. Nigeria, which has one of the highest numbers of people on anti-retroviral drugs in Africa, risks a surge in HIV-related deaths and new infections due to supply disruptions. Furthermore, the halt in family planning funds could lead to increased birth rates, worsening poverty and straining public resources.

Agriculture, another sector heavily reliant on USAID, is also at risk. The loss of funding for agricultural programmes threatens to push already vulnerable communities deeper into poverty, according to development experts.

Concerns Over the Economic and Health Fallout

Prof. Oliver Ezechi, Director of Research at the Nigerian Institute of Medical Research (NIMR), noted that the sudden withdrawal of USAID support could lead to gaps in essential services. “The risks of increased morbidity and mortality are high, as the absence of funding could lead to a resurgence of diseases. This crisis could also strain Nigeria’s already fragile healthcare system, resulting in higher costs and loss of productivity,” Ezechi explained.

A Push for Self-Sufficiency?

Despite the challenges, some experts argue that the withdrawal of USAID funds could serve as a catalyst for African nations to assume greater responsibility for their development. This situation might encourage governments to allocate more resources and seek alternative funding sources from international organizations, NGOs, and private investors.

To mitigate the crisis, the Federal Executive Council (FEC) has approved $1.07 billion for healthcare sector reforms under the Human Capital Opportunities for Prosperity and Equity (HOPE) programme. Additionally, N4.8 billion has been earmarked for HIV treatment, demonstrating Nigeria’s commitment to sustaining health initiatives despite the funding setback.

A newly launched multi-ministerial committee is also working on a transition and sustainability plan for USAID-funded health programmes during the 90-day halt. The committee, comprising officials from the ministries of finance, health, and environment, aims to secure alternative financial support to prevent disruptions in critical services, especially for HIV, tuberculosis, and malaria patients.

Judge Blocks Trump’s Birthright Citizenship Order

In a separate but significant legal ruling, a U.S. federal judge has indefinitely blocked Trump’s executive order aimed at restricting birthright citizenship. The decision, issued by District Judge Deborah Boardman, emphasized that the order contradicts the 14th Amendment of the U.S. Constitution, which guarantees citizenship to all individuals born on American soil.

“No court in the country has ever endorsed the president’s interpretation,” Boardman stated, reinforcing the century-old legal precedent protecting birthright citizenship. The ruling follows a similar stay granted by another federal judge in Washington, further complicating Trump’s efforts to alter long-standing immigration laws.

Telecom Tariff Hike Sparks Outrage

In a separate development, the Nigerian government’s recent 50% increase in telecom tariffs has sparked widespread criticism. Many experts argue that the tariff hike disproportionately affects low-income individuals who rely on affordable communication services for their livelihoods.

Human rights advocate Susan Kelechi warns that the increase will widen the digital divide and hinder accessibility, especially for persons with disabilities. Similarly, entrepreneur Olademeji Ayodele calls on the government to reconsider the decision, stating that the hike will place further financial strain on the masses.

Legal practitioner Esaigun Akpobome acknowledges that while increased revenue from the tariffs could improve telecommunications infrastructure, the policy risks pushing many small businesses into financial distress. Administrator Ashaolu Praise describes the move as inconsiderate, given the current economic climate and high inflation rates affecting Nigerians.

Human rights advocate Emmanuel Ikule urges the government to explore alternative revenue-generation methods instead of overburdening citizens with excessive taxes. He suggests reviving defunct national telecom companies like NITEL or developing new state-backed alternatives.

Conclusion

Trump’s executive order on USAID funding has sent shockwaves through Nigeria’s development sector, disrupting critical programmes and threatening jobs. However, the crisis also presents an opportunity for Nigeria to explore alternative funding sources and take greater ownership of its development initiatives. Meanwhile, Trump’s attempt to revoke birthright citizenship has been dealt a significant legal blow, reinforcing constitutional protections for immigrants. Lastly, Nigeria’s telecom tariff hike has drawn criticism, with experts warning of the economic strain it places on already struggling citizens