Amid a heated political row over USAID’s alleged role in influencing Indian elections, the Finance Ministry’s latest annual report has revealed that the agency funded seven projects worth $750 million in 2023-24. "Currently, seven projects worth a total budget of $750 million (approx.) are being implemented by USAID in partnership with Government of India," the report stated.
For the financial year 2023-24, USAID obligated a total of $97 million (approximately ₹825 crore) under these seven projects, according to the Finance Ministry’s report.
The Department of Economic Affairs, which oversees bilateral funding arrangements, outlined that these projects focused on agriculture and food security, water, sanitation and hygiene (WASH), renewable energy, disaster management, and health. Additional funding was allocated to the Sustainable Forests and Climate Adaptation Program and the Energy Efficiency Technology Commercialization and Innovation Project, as per a PTI report.
Contrary to recent allegations, the report confirmed that no USAID funding was directed towards enhancing voter turnout in India, the report said.
Since its inception in 1951, USAID has provided over $17 billion in economic assistance to India, supporting more than 555 projects across various sectors.
The USAID controversy gained momentum after Elon Musk-led DOGE (Department of Government Efficiency) claimed it had scrapped a $21 million grant to India intended to boost "voter turnout." Former US President Donald Trump further fueled the debate, alleging that USAID, under the Biden administration, had allocated the funds for this purpose.
On February 22, External Affairs Minister S Jaishankar termed these claims "concerning" and stated that the government is investigating the matter. He emphasized that USAID was permitted to operate in India "in good faith" and warned against misrepresenting its activities.
Meanwhile, Congress accused BJP of spreading "fake news from America" and questioned the government's silence over repeated "insults" from Trump and Musk. Congress leader Jairam Ramesh dismissed the controversy, clarifying that the $21 million grant in 2022 was designated for Bangladesh, not India.