Supreme Court Orders USAID to Release $2 Billion in Frozen Foreign Aid

The U.S. Supreme Court has ruled against President Donald Trump’s freeze on foreign aid funds, ordering the immediate disbursement of up to $2 billion owed to contractors for previously completed projects.

In a 5-4 decision, the justices upheld a lower court ruling that required the U.S. Agency for International Development (USAID) and the State Department to release the funds. Chief Justice John Roberts and Justice Amy Coney Barrett joined the court’s three liberal justices in the majority, while Justices Samuel Alito, Clarence Thomas, Neil Gorsuch, and Brett Kavanaugh dissented.

The dispute arose after Trump’s administration halted payments for foreign aid projects, citing budgetary concerns and policy disagreements. Humanitarian groups, however, argued that the freeze jeopardized critical programs, including healthcare, infrastructure, and education initiatives in developing countries. They claimed that the delay forced USAID partner organizations to furlough thousands of workers and disrupted essential aid efforts.

U.S. District Judge Amir Ali had initially ordered the funds to be disbursed by February 13. However, after reports emerged that the administration had not complied, Ali issued a follow-up directive last week, giving officials 36 hours to release the payments. The Supreme Court’s latest decision reaffirmed that order while allowing the lower court to set a new deadline for disbursement.

Justice Alito, writing for the dissenting judges, expressed his “stunned” reaction to the ruling, arguing that the judiciary was overstepping its authority in matters of executive policy.

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For aid organizations, the ruling is a crucial victory. Many have warned that prolonged delays in funding could lead to increased disease outbreaks, food shortages, and economic instability in vulnerable regions.

With the court’s decision, the Biden administration is now expected to proceed with the payments, potentially reversing the disruptions caused by Trump’s freeze on foreign aid disbursement.