Ghana is set to experience a major financial setback following the United States’ decision to withdraw $138.7 million in aid, a move that threatens key sectors such as health (HIV/AIDS programs), education, governance, and economic growth.
The funding, originally requested under the USAID Foreign Assistance Discretionary Request Report, was expected to support essential programs, particularly in healthcare.
In previous years, Ghana received an average of $130 million annually from USAID, with last year’s assistance exceeding $150 million.
Healthcare Among Hardest Hit
One of the most affected areas will be the health sector, which was allocated $69.2 million in aid for malaria control, maternal and child health, reproductive health, nutrition, and disease prevention.
The abrupt withdrawal of funds raises concerns about the continuity of these critical programs.
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The fight against HIV/AIDS is also at risk. Since 2007, Ghana has benefited from the U.S. President’s Emergency Plan for AIDS Relief (PEPFAR), which has provided over $132 million to support HIV prevention, testing, and treatment.
With the funding cut, access to antiretroviral therapy and other HIV-related services may be severely impacted.
Economic and Developmental Implications
Beyond healthcare, the aid cut could affect Ghana’s economic growth and development initiatives, as USAID funding has traditionally supported agricultural programs, education, and governance reforms.
Experts warn that this loss of financial assistance could slow progress in key national development efforts.
As Ghana navigates this funding crisis, the government may need to seek alternative financial sources—both domestically and internationally—to prevent disruptions in critical public services.