February 23rd 2025.
New Delhi has been caught up in a heated political debate surrounding USAID's alleged involvement in influencing Indian elections. The finance ministry's latest annual report has revealed that the agency has funded seven projects with a total budget of USD 750 million in the fiscal year 2023-24.
The annual report, released by the finance ministry, states that USAID and the Government of India are currently working together on these seven projects. As of now, the US Agency for International Development has committed to a total of USD 97 million for the fiscal year 2023-24.
The Department of Economic Affairs, which is responsible for managing bilateral funding arrangements, has also shared the details of the projects that were funded in the fiscal year 2023-24. The report clarifies that the funds were not allocated for enhancing voter turnout, but for projects related to agriculture and food security, water, sanitation and hygiene, renewable energy, disaster management, and health.
Additionally, the report mentions that funds have also been allocated for the Sustainable Forests and Climate Adaptation Program and the Energy Efficiency Technology Commercialization and Innovation Project.
The United States of America has been providing bilateral development assistance to India since 1951, mainly through USAID. Over the years, the agency has contributed more than USD 17 billion for over 555 projects in various sectors.
Earlier this month, a political controversy arose in the country when the DOGE, led by Elon Musk, claimed to have cancelled a USD 21 million grant to India for increasing voter turnout. US President Donald Trump also made repeated claims that the previous administration, led by Joe Biden, allocated USD 21 million for voter turnout in India.
External Affairs Minister S Jaishankar addressed the issue by stating that the information released by the Trump administration is concerning, and the government is currently investigating the matter. He also added that USAID was allowed to operate in India with good intentions and that it is concerning that there are suggestions of activities being carried out in bad faith.
Meanwhile, the Congress party has accused the BJP of engaging in anti-national activities by spreading fake news from America. Congress general secretary in-charge Jairam Ramesh has stated that the news about the USD 21 million grant, which the BJP and their supporters were celebrating, turned out to be false. He clarified that the funds were not allocated for voter turnout in India but for Bangladesh.
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