StudyReport

PRESS RELEASE - ETF publishes landmark analysis on USAID withdrawal: Global education and skills development at risk

Turin, 23 April 2025 – The European Training Foundation (ETF) has published today a new report analysing the global implications of the United States Agency for International Development (USAID) withdrawal from international education and skills development. The study, Impact of USAID Withdrawal on Global Education and Skills Development, highlights the unprecedented scale and scope of disruption to official development assistance (ODA) and calls for urgent, coordinated action from international stakeholders.

With over $1 billion in annual allocations for education, USAID was the world’s largest bilateral donor in the sector. Its abrupt withdrawal in early 2025, following Executive Orders from the incoming US administration, has triggered the cancellation of 396 education programmes across 58 countries. The report documents the severe implications for access, quality, and equity in education worldwide, particularly for girls, refugees, and marginalised communities.

Key findings include:

  • USAID previously accounted for 30% of global ODA to education, with more than half channelled through USAID-managed programmes.
  • The most affected countries include Jordan, Egypt, Lebanon, Afghanistan, and Malawi -where USAID played a crucial role in system reform, refugee education, and girls’ access to training.
  • The withdrawal risks reversing progress towards Sustainable Development Goal 4 (SDG4), widening gender gaps, and deepening youth unemployment.
  • Geopolitical shifts may follow, with other actors like China potentially expanding their influence in education aid.

The report outlines a strategic path forward for the international community, including the European Union. Recommended actions take into account the Global Gateway Initiative (€300 billion) and the Team Europe approach, and include scaling up funding, reinforcing multilateral coordination, safeguarding vulnerable learners, and investing in innovative financing mechanisms such as social impact bonds.

The report calls on national governments, private foundations, civil society, and academia to mobilise collectively in response to the funding shortfall. It stresses the importance of protecting education as a cornerstone of stability, economic development, and peace.

This study was conducted by Elena Walls under the request of the ETF. It represents a critical contribution to understanding the intersection of foreign aid policy and human capital development, and the role of the EU in safeguarding global education futures.

The full report is available on the ETF website.

Background

The European Training Foundation (ETF), headquartered in Turin, Italy, is the EU agency dedicated to supporting reforms in education, training, and labour markets across 28 partner countries surrounding the European Union, with a focus on EU enlargement and neighbourhood policies.

Press contact

Daria Santucci, +39 366 9639638, mediarelations@etf.europa.eu