Kenya is now among the African countries most affected by foreign aid cuts under the government of former United States President Donald Trump. A new study by the Center for Global Development (CGD) has revealed that Kenya’s strong dependence on American financial support puts it in a difficult position as the U.S. reduces foreign aid budgets. The report pointed out that reductions in funding through agencies like USAID and health initiatives such as the President’s Emergency Plan for AIDS Relief (PEPFAR) are likely to create serious problems for Kenya’s economy, food security, and healthcare delivery.
The CGD report stated that up to 20 percent of Kenya’s official development assistance (ODA) comes from the United States. Although other African countries like Somalia and South Sudan are more aid-dependent in terms of Gross National Income (GNI), Kenya’s exposure is still significant due to its relatively stable economy and its large portfolio of development programs funded by the U.S. government.
One of the most immediate effects of the U.S. aid cuts was felt at the Kakuma refugee camp in north-western Kenya. In March 2025, the World Food Programme (WFP) was forced to cut food rations for over 300,000 refugees, reducing them to only 3 kilograms of rice and very little protein per person each month. Many of the refugees are now facing hunger, and humanitarian organisations have warned that malnutrition rates are rising quickly. The camp, which houses displaced people from countries like South Sudan and the Democratic Republic of Congo, is one of the largest refugee settlements in Africa.
The healthcare sector is also suffering. PEPFAR, which had supported HIV prevention and treatment programs for years in Kenya, has experienced funding cuts that are disrupting operations. Several clinics offering free HIV testing and Pre-Exposure Prophylaxis (PrEP) have scaled back services or shut down. Mary, a former outreach worker based in Nairobi, said she lost her job due to funding shortages. She now struggles to support her eight children, one of whom is HIV positive. Her story mirrors that of many others whose livelihoods depend on donor-supported health programs.
Another major concern raised in the report is the U.S. government’s decision to merge USAID operations under the U.S. State Department. This structural change may limit the effectiveness and accountability of aid delivery, as it places more focus on diplomatic interests than humanitarian needs. Analysts fear that this move could affect how quickly and efficiently aid reaches the people who need it most.
The impact of these aid cuts could be severe. A Lancet study has already warned that the funding reductions could lead to 14 million preventable deaths globally by 2030. In Kenya, this means rising maternal and child mortality, more disease outbreaks, and an increase in poverty levels. Some East African countries like Uganda and Tanzania are already exploring alternative sources of funding or increasing domestic allocations to fill the gap left by the U.S.
The Trump administration’s new “America First” policy is shifting attention from traditional foreign aid to business partnerships. U.S. ambassadors are now being judged by their ability to secure trade deals rather than support humanitarian causes. While this trade-focused approach might benefit African countries in the long run, it is creating immediate challenges in areas that still rely heavily on direct aid.
Kenya’s government is now looking for ways to reduce its reliance on American aid. Officials are working to increase domestic funding for health and social programs, while also appealing to other donors such as the European Union, Japan, and the World Bank. There is also a renewed push to strengthen regional trade within Africa and deepen collaboration with African financial institutions.
Policy experts believe that this situation is a wake-up call for Kenya and other African countries to start building more resilient systems. By investing in local health services, food supply chains, and emergency response mechanisms, countries can reduce their vulnerability to sudden shifts in foreign policy from donor nations.
Kenya’s exposure to U.S. aid cuts has exposed weak spots in its national development plan. The government must now act fast to close funding gaps, prevent a deeper humanitarian crisis, and avoid over-reliance on a single foreign partner. While trade and private-sector development are important, the basic needs of vulnerable citizens—such as food and health—must not be forgotten
