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    Congress Targets Centre Over USAID Funding, Cites Finance Ministry Report as Evidence

    Congress Targets Centre Over USAID Funding, Cites Finance Ministry Report as Evidence


    Finance Outlook India Team | Monday, 24 February 2025

    On Monday, Congress used a Union finance ministry report to criticize the Centre over claims regarding USAID funding to India.

    Congress leader Jairam Ramesh took to X, accusing the government of lying and stressing that the seven projects listed in the report had no link to "voter turnout."

    "None other than the Union finance ministry has thoroughly exposed the lies of the PM and his jhoot brigade, including his dapper External Affairs Minister. As stated in the Finance Ministry's annual report for 2023-24, USAID is currently implementing seven projects in collaboration with the Government of India, with a combined budget of approximately $750 million," Jairam Ramesh said in a post on X.

    "Not a single of these projects has to do with voter turnout. ALL of them are with and through the Union government," he added.

    Earlier this month, a political controversy sparked in the country after the Elon Musk-led DOGE (Department of Government Efficiency) announced it had canceled a $21 million grant to India aimed at boosting "voter turnout."

    US President Donald Trump has consistently claimed that during Joe Biden's previous administration, USAID allocated $21 million in funding to India for "voter turnout," describing it as a "kickback scheme."
    External Affairs Minister S. Jaishankar addressed the claims, stating that the information released by the Trump administration is "worrying" and is currently under investigation.

    The USAID was allowed in India "in good faith, to do good faith activities", and suggestions are being made out of America that "there are activities which are in bad faith," Jaishankar had said.

    The finance ministry's annual report stated that India was carrying out seven projects worth $750 million in collaboration with USAID.

    In 2023-24, $97 million (about Rs 825 crore) was allocated to these projects, which focused on agriculture, forest and climate adaptation, water and sanitation, renewable energy, health, and disaster management.

    The previous report outlined the same projects but did not mention the funding amount for 2022-23.

    The projects have remained consistent in recent years, with around $70 million allocated for FY22 and FY21. The ministry also highlighted that US bilateral development assistance, mainly through USAID, began in 1951 and has provided $17 billion for 555 projects across various sectors over the past 73 years.



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