Few regrets

“Take your money with you,” said Colombia’s President Gustavo Petro, when told about Trump’s plans to cut aid to Latin America, “it’s poison.”

USAID (US Agency for International Development) spends around $2 billion annually in Latin America, which is only 5% of its global budget. The temporarily closed-down agency’s future looks bleak, while reactions to its money being cut have been wide-ranging. Only a few were as strong as Petro’s and many condemned the move. For example, WOLA (the Washington Office on Latin America), a leading “liberal” think tank which routinely runs cover for Washington’s regime-change efforts, called it Trump’s “America Last” policy.

While USAID does some good – such as removing landmines in Vietnam (themselves a product of US wrongdoing) – as an agency of the world’s hegemon, its fundamental role is aligned with projecting US world dominance. Not unexpectedly, the corporate media have largely come to the rescue of USAID. They try to give the impression that they are mainly concerned that some countries would be badly effected by its loss. In fact, the follow-the-flag media understand that USAID is part of the imperial toolkit.

Both the Los Angles Times and Bloomberg suggested that USAID’s shutdown would “open the door” to China. The Associated Press described the withdrawal of aid as a “huge setback” for the region; the BBC echoed these sentiments. The NYT and other mainstream media point to the irony that many of its programs help stem outward migration from Latin America, an issue which is otherwise at the top of Trump’s agenda.

Weaponization of humanitarian aid: The corporate media, not surprisingly, give a one-sided picture. It’s true, of course, that an aspect of USAID’s work is humanitarian. But, as Jeffrey Sachs explained, “true, and urgent, humanitarian aid” was only one element in a larger “soft power” strategy. From its inception, USAID’s mission was more than humanitarian.

A year after President John Kennedy created USAID in 1961, he told its directors that “as we do not want to send American troops to a great many areas where freedom may be under attack, we send you.”

The organization is “an instrument of [US] foreign policy …a completely politicized institution,” According to Sachs. It has mainly benefitted US allies as with the program to limit hurricane damage in Central America, cited by the NYTwhich omits Nicaragua, hit by two devasting storms in 2020. Needless to say, Nicaragua is not a US ally.

Although USAID provides about 42% of all humanitarian aid globally, the Quixote Center reports that most of the funds are spent on delivering US-produced food supplies or on paying US contractors, rather than helping local markets and encouraging local providers. The Quixote Center argues that “a review of USAID is needed,” though not the type of review which Trump or Elon Musk probably have in mind.

Indeed, the dumping of subsidized US food products undermines the recipient country’s own agriculturalists. While hunger may be assuaged in the short-term, the long-term effect is to create dependency, which is the implicit purpose of such aid in the first place. In short, the US globally does not promote independence but seeks to enmesh countries in perpetual relations of dependence.

Regime change: The third and most controversial element, identified by Sachs, is that USAID has become a “deep state institution,” which explicitly promotes regime change. He notes that it encourages so-called “color revolutions” or coups, aimed at replacing governments that fail to serve US interests.

The State Department is sometimes quite open about this. When a would-be ambassador to Nicaragua was questioned by the US Senate in July 2022, he made clear that he would work with USAID-supported groups both within and outside the country who are opposed to Nicaragua’s government. It is hardly surprising that Nicaragua refused to accept his appointment. The progressive government has since closed down groups receiving regime-change funding.

The history of US regime-change efforts in Latin America is a long one, much of it attributable to covert operations by the CIA. But since 1990, USAID and associated bodies like the National Endowment for Democracy have come to play a huge role. For example, they have spent at least $300 million since 1990 in trying to undermine the Cuban Revolution.

Regime-change efforts in Cuba involved a vast organization known as Creative Associates International (CREA), later shown by Alan MacLeod to be directing similar USAID programs across Latin America. Currently, CREA is working in Honduras whose progressive government is under considerable pressure from the US government. Yet CREA is only one of 25 contractors which, in 2024, earned sums ranging from $32 million to a whopping $1.56 billion.

Excerpted: ‘The Demise of USAID: Few

Regrets in Latin America’.

Courtesy: Counterpunch.org