Overview:
Global foreign aid has plunged to its lowest level on record, according to new data from the Organisation for Economic Co-operation and Development, with tens of billions of dollars withdrawn by major donors. As countries like the United States, United Kingdom, Japan and France scale back contributions, experts warn of devastating global consequences—while Australia ranks among the least generous donors.
CANBERRA, 13 APRIL 2026 (AAP) — New figures confirm the exodus of tens of billions of dollars in foreign aid last year, led by major powers the United States, United Kingdom, Japan and France.
The Organisation for Economic Co-operation and Development (OECD) has reported worldwide giving fell by US$56.7 billion in 2025, or 23 percent, making it the worst year on record for aid cuts.
The shortfall will have meant hundreds of thousands of preventable deaths across much of the developed world, with millions more likely to die as a result.
The United States, which shut down USAID as one of the first acts of Donald Trump’s second presidency, was responsible for three-quarters of the decline alone.
Multi-billion-dollar cuts by other major donors — the UK (down 11 percent), Japan (5.6 percent) and France (10.9 percent) — have exacerbated the global crisis in development assistance.
The US retreat from supporting the world’s poorest and most in-need populations meant that for the first time, Germany was the top foreign aid provider last year in real terms.
Germany’s development assistance hit US$41 billion in 2025, ahead of the United States by almost US$200m. In terms of percentage of a country’s gross national income (GNI), Norway was the most generous, giving 1.03 percent.
Australia, by contrast, is of below-average generosity, ranking 25th of 32 donor nations, giving 0.18 percent of GNI, behind the UK (0.43 percent) and New Zealand (0.27 percent).
Wealthy countries, including Australia, have signed up to a United Nations goal of giving 0.7 percent of GNI — or US$0.70c in every US$100 from each nation’s budgets — to lesser developed nations.
Just four nations did so in 2025: Norway, Luxembourg, Sweden and Denmark, with an average of 0.26 percent.
Oxfam Australia said the figures should spur Australia to step up it is global giving to fill gaps left by others, helping to combat diseases like HIV/AIDS and malaria.
“Oxfam analysis found that global aid cuts mean a child under five could die every 40 seconds by 2030. If this trend continues, aid cuts could kill over nine million people by 2030,” head of humanitarian Lucia Goldsmith said.
“The governments of wealthy nations are turning their backs on the lives of millions of women, men and children in the Global South through severe aid cuts.”
Oxfam research from January found a child under five years old could die every 40 seconds due to the US aid cuts.
Another study published by global health publication Lancet last year suggested aid cuts — at 21 percent — would kill almost 700,000 people last year, and cumulatively 9.4 million people by the decade’s end.
Australia’s Department of Foreign Affairs and Trade (DFAT) has budgeted $5.1 billion (US$3.57 million) in official development assistance this financial year, with a small increase in line with inflation…. PACNEWS