US cuts $39 million in funding to Nepal

Kathmandu, February 16 — The administration of US President Donald Trump has implemented strict budget cuts, halting funding to several countries, including Nepal, India, and Bangladesh.

According to a post on the micro-blogging platform X by billionaire businessman Elon Musk's Department of Government Efficiency (DOGE), the US has stopped $20 million in funding for Nepal under the name of fiscal federalism.

Additionally, the $19 million earmarked for biodiversity conservation efforts in Nepal has also been cut.

Musk's DOGE indicated that this move is part of broader reductions in international aid.

Trump had set up this department to oversee government spending cuts, with Musk at the helm.

Musk has been scrutinizing every US expenditure, including foreign aid, and has highlighted cuts as essential for fiscal responsibility.

This decision will also significantly impact India and Bangladesh.

The US had been contributing $21 million to increase voter participation in India's elections and had been providing $29 million to support political stability and democratic governance in Bangladesh.

Musk's recent moves signal a large-scale reduction in foreign assistance, affecting various nations, including Nepal.