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USAID Funding Controversy: Nigeria and India Launch Investigations

TFIGLOBAL News Desk by TFIGLOBAL News Desk
March 21, 2025
in Africa, South Asia
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On Wednesday, several outlets informed that two big nations, Nigeria and India, have opened investigations into the activities of more than a dozen non-profit groups in connection with accusations that USAID, Washington’s main organization for transferring funds to causes overseas, funded terrorism in the West African nation. The probes cast suspicion on the transparency of foreign aid and its possible misappropriation, such as links to terrorism and meddling in internal affairs of nations.

Nigeria’s Inquiry: Concerns Over Terror Funding

Nigeria’s House of Representatives has opened an investigation into more than a dozen non-governmental organizations (NGOs) after allegations that USAID has been funding terrorist organizations, including Boko Haram (The largest Islamic terrorist organization active in East Africa). The investigation, spanning financial activities between 2015 and 2024, seeks to examine the sources of funding and expenditure patterns of the organizations.

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The row began when US Congressman Scott Perry claimed that USAID was indirectly supporting extremist and terrorist groups in Nigeria. Richard Mills, the US ambassador to Nigeria, however, dismissed the claims. Nigerian legislators feel the claims are too serious to be ignored. Legislators contend that with the country’s long history of fighting terrorism, there is a need for accountability in foreign aid expenditure. US President Donald Trump and Elon Musk, the head of the Department of Government Efficiency (DOGE), have constantly blamed USAID for wasting taxpayers’ money and perpetuating corruption.

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Notably, terrorist activities have increased in Africa, especially in the Sahel and the East African region over the decade. The source of funding was opaque to these terrorist organizations, but after the release of the information about USAID by the DOGE under Elon Musk, the speculation and chances of getting funds from USAID have increased. The volatile situation in these regions helps get resources; terrorism and extremism are good areas to fund to keep the resource-rich region disturbed to benefit.

Similar scrutiny has also been launched in India too.

India’s Inquiry: Examining Foreign Influence

India has also been firm in its approach to examining USAID activities. The Indian Foreign Ministry has called for detailed records of USAID funding and project spending for the last ten years. The demand comes after fears that USAID-supported programs may be engaged in activities against India’s interests. The investigation will provide clear and transparent information about whether foreign money is being used in India or not.

External Affairs Minister S. Jaishankar indicated that USAID had been operating in India with government approval, but emerging information suggested possible misuse of funds. The Enforcement Directorate, India’s financial investigation agency, has already conducted raids at eight locations linked to USAID and Open Society Foundations, an organization backed by billionaire George Soros. A money trail of $3 million linked to various NGOs has been flagged for investigation.

The government is focusing on transparency, ensuring that foreign aid does not influence India’s domestic policies. With USAID funding projects worth $750 million in India, including in agriculture, renewable energy, and healthcare, the Indian government wants greater oversight of these funds. However, information also emerged that indicated these funds have been used to increase voter participation in the recent Lok Sabha election in order to favour Congress, the main opposition party of India.

Implications of the Investigations

These inquiries in Nigeria and India reflect growing scepticism toward foreign aid programs. Such funding is often directed at development and humanitarian efforts. However, concerns remain about its potential misuse, either for political influence or unintended support of extremist activities. It also highlights that there is some serious concern over foreign money being used in any sector, and it needs to be investigated thoroughly before letting it operate in countries

While USAID has denied wrongdoing, these inquiries highlight the need for transparent and accountable aid distribution. Foreign funding should align with the host country’s priorities while avoiding undue influence or unintentional harm. The results of these investigations will shape how countries regulate foreign aid in the future.

 

Tags: Africa ExtremismDOGENigerian Government Investigation on USAIDOpen Society FoundationsUDAIDUSAID Funding
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TFIGLOBAL News Desk

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