New Delhi: Amid ongoing political disputes regarding the alleged influence of the US Agency for International Development (USAID) on Indian elections, the finance ministry’s latest annual report has revealed that the agency financed seven projects totaling $750 million for the fiscal year 2023-24.
“At present, USAID is executing seven projects in collaboration with the Government of India, with a combined budget of approximately $750 million. For the financial year 2023-24, USAID has committed to disbursing a total of $97 million (approximately Rs 825 crore) across these projects,” the ministry’s annual report for 2023-24 stated.
This report coincides with recent political uproar earlier this month when the Elon Musk-led Department of Government Efficiency (DOGE) announced the cancellation of a $21 million grant intended to enhance ‘voter turnout’ in India. Meanwhile, former US President Donald Trump repeatedly asserted that USAID, under the previous Biden administration, allocated the same amount to India for ‘voter turnout’ initiatives.
The Department of Economic Affairs within the Union finance ministry, which oversees bilateral funding arrangements, also provided insights into the funded projects for 2023-24 in the report. Throughout the year, there was no funding aimed at increasing voter turnout; instead, funding was directed towards initiatives related to agriculture & food security, water, sanitation, and hygiene (WASH), renewable energy, disaster management, and health.
Furthermore, the report indicated that funds were allocated for sustainable forestry and climate adaptation efforts, as well as projects focused on energy efficiency technology commercialization and innovation. The United States’ bilateral development assistance to India commenced in 1951 and is predominantly managed through USAID. Since its inception, USAID has contributed over USD 17 billion to India across more than 555 projects.
External Affairs Minister S. Jaishankar expressed concern over the claims made by the Trump administration and mentioned that the government is investigating the matter. He noted that USAID was permitted to operate in India ‘in good faith to carry out beneficial projects,’ while there are insinuations emerging from America suggesting the presence of ‘bad faith activities,’ as Jaishankar articulated.
In contrast, the Congress party accused the BJP on Sunday of engaging in “anti-national actions” by promoting “false news from America,” insisting that Prime Minister Narendra Modi and External Affairs Minister S. Jaishankar must explain the government’s silence in the face of repeated insults directed at India by US President Donald Trump and Elon Musk.
Congress General Secretary Jairam Ramesh stated, “The BJP is a procession of liars and illiterates. The report regarding the $21 million, which had the BJP and their supporters so excited, has been debunked. The funding in 2022 was not meant for ‘voter turnout’ in India; it was allocated for Bangladesh.”
