Brian F.

I’m sure by now, everyone has heard about the "stop-work" order issued by the U.S. State Department, pausing all new foreign assistance and halting obligations for existing programs to review if aid allocation was aligned with President Trump’s foreign policy. This sudden decision carries profound implications for the Egyptian development field & its key actors: - Many USAID-funded development programs in Egypt will face immediate disruptions due to stop-work orders and suspensions. This will delay progress in critical areas such as education, health, entrepreneurship, and governance. - NGOs, CSOs, and private sector contractors heavily reliant on USAID funding will face serious operational difficulties. These might include potential layoffs, paused activities and new hiring, and reduced capacity to deliver services. Layoffs, in particular, will create significant financial strain for employees, many of whom are highly skilled professionals. In a time when the Egyptian economy is already under pressure, such job losses will have a multiplier effect, on individuals who will suffer financially and psychologically, on organizations which will face weakened organizational and technical capacity, and on the sector as a whole which will face long-term disruptions. - Egyptian government entities that depend on U.S. development funding for capacity-building and infrastructure projects will likely experience delays in reform implementation and reduced efficiency in service delivery. If funding is ultimately reduced or redirected following the review, it’s likely there will be an increased focus on programs that align with U.S. strategic interests in the region, as usual. Unfortunately, this may come at the expense of Egypt’s local development priorities, which could further marginalize critical sectors like youth empowerment, gender equality, and sustainable development. Rather than reacting with confusion or frustration, development actors in Egypt should begin proactively preparing strategies to mitigate the impact of this funding freeze. It’s time to think beyond dependency on USAID and other politically driven external funding sources by seeking alternative funding streams. This includes exploring domestic resources, and forming partnerships with the private sector. During the review period, there is a great need to advocate for local priorities to make sure they are represented in the realigned strategy. Despite the short-term disruptions, I see what happens as a wake-up call and an opportunity for Egyptian development actors to reassess their resilience and explore alternative funding. Rather than asking, “Who moved my cheese?”, it’s time for us to find new paths and take charge of our development agenda. Let’s use this moment to innovate, collaborate, and build a stronger, more self-reliant foundation for Egypt’s future.

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