USAID allocates USD 750 million for 7 initiatives in India in FY24, no funding for ‘voter turnout’: FinMin report

USAID allotted USD 750 million for seven initiatives in India in FY24, specializing in sectors like agriculture, well being, and renewable vitality, with no funding for voter turnout.
Amid rising political controversy over the alleged position of the USA Company for Worldwide Growth (USAID) in influencing Indian elections, the most recent annual report from the Ministry of Finance has revealed that USAID funded seven vital initiatives price USD 750 million within the fiscal yr 2023-24.
In accordance with the Finance Ministry’s annual report, “At present, seven initiatives price a complete price range of USD 750 million (roughly INR 6,000 crore) are being applied by USAID in collaboration with the Authorities of India.” These initiatives, which span a spread of sectors, have been a part of a continued partnership between India and the U.S., relationship again to 1951. Within the 2023-24 fiscal yr alone, USAID allotted a complete of USD 97 million (about INR 825 crore) for these initiatives.
Breakdown of funded initiatives
The Division of Financial Affairs, which handles bilateral funding preparations, additionally shared detailed details about the initiatives funded by USAID in 2023-24. Whereas there was no funding allotted for voter turnout-related initiatives, the main target was on essential sectors reminiscent of agriculture and meals safety, water, sanitation, and hygiene (WASH), renewable vitality, catastrophe administration, and well being. Moreover, funds have been earmarked for packages associated to sustainable forests, local weather adaptation, and vitality effectivity expertise commercialization.
USAID, which has supplied over USD 17 billion in help to India since its inception, has been concerned in additional than 555 initiatives throughout numerous sectors, contributing considerably to India’s growth over the a long time.
Controversy surrounding alleged election affect
The political debate surrounding USAID’s involvement in India intensified earlier this month after Elon Musk’s firm, DOGE (Division of Authorities Effectivity), claimed it had cancelled a USD 21 million grant aimed toward rising voter turnout in India. This declare was additional amplified by former U.S. President Donald Trump, who repeatedly alleged that USAID beneath the Biden administration allotted funding to India for a similar function.
Exterior Affairs Minister S. Jaishankar responded to the allegations, calling the claims “regarding” and emphasising that the federal government was trying into the matter. He reassured that USAID’s presence in India was welcomed “in good religion,” with the company initially being permitted to hold out actions for developmental functions. Jaishankar expressed considerations over options that some actions weren’t carried out in good religion, particularly in mild of the latest allegations.
Political backlash from opposition
The controversy additionally prompted a robust response from the opposition, notably the Congress social gathering. Congress leaders accused the ruling Bharatiya Janata Social gathering (BJP) of spreading “faux information” from the USA and participating in “anti-national work.” Congress Common Secretary Jairam Ramesh criticized the BJP for leaping to conclusions primarily based on unverified info, including that the USD 21 million grant was meant for voter turnout initiatives in Bangladesh, not India. Ramesh additionally aimed toward Prime Minister Narendra Modi and Jaishankar, questioning their silence within the face of repeated allegations from figures like Trump and Musk.
Ramesh remarked, “The BJP is a procession of liars and illiterates. The USD 21 million grant was by no means meant for voter turnout in India however for Bangladesh. The BJP should clarify why it’s amplifying such baseless claims.”
Because the political debate continues, the difficulty highlights the challenges surrounding overseas help and its potential affect on home political processes. Each the Indian authorities and USAID will seemingly face additional scrutiny because the state of affairs unfolds, and the federal government might have to handle the broader implications of overseas funding on Indian elections.
This ongoing controversy underscores the complexity of worldwide help, notably when it intersects with delicate points like nationwide elections. With each political events in India voicing robust opinions, the federal government’s response might be carefully watched as it really works to resolve the state of affairs and preserve transparency in its dealings with overseas businesses.
(Inputs from PTI)