The European Union aims to significantly alter its approach to foreign aid distribution, ensuring a better alignment with political priorities.

According to Bloomberg, the European Commission seeks a more targeted strategy by reforming its funding mechanisms for partner countries.

The primary objective of these changes is to tailor foreign aid to reinforce the union's strategic interests, such as strengthening ties with allied nations, ensuring access to critical resources, and managing migration flows.

As per the draft document, the overall EU budget, traditionally around 1% of the bloc's GDP, is under strain due to a wide range of demands—from green initiatives to defense spending.

In the coming weeks, the Commission is expected to present ideas for enhancing its budget for the period 2028-2034.

This plan coincides with Trump's decision to dissolve the USAID, which allocates tens of billions of dollars annually for foreign assistance.

Together, the EU and its member states remain the largest donors of international aid, providing nearly 96 billion euros ($99 billion) in 2023, while the US spent around $72 billion on foreign support.

Also read: Which organizations will not receive funding due to the suspension of USAID? List

Reminder:

Mike Waltz, advisor to President Trump on national security, believes that cutting foreign humanitarian aid will not result in the U.S. conceding global control to China and Russia.

The Trump administration released a list of "waste and abuse" within USAID.