Elon Musk, the world’s richest man and CEO of Tesla, claimed on Monday that U.S. President Donald Trump has agreed to shut down the U.S. Agency for International Development (USAID).
Musk made the remark during a live session on X Spaces, according to the Associated Press .
Claiming to have discussed USAID in detail with Trump, Musk said, “He agreed we should shut it down.”
“It became apparent that it’s not an apple with a worm in it,” Musk was quoted as saying. “What we have is just a ball of worms. You’ve got to basically get rid of the whole thing. It’s beyond repair. We’re shutting it down.”
Musk, who heads the Department of Government Efficiency (DOGE), also labeled USAID a “criminal organization” after two security officials reportedly denied members of his cost-cutting task force access to restricted areas at the agency’s headquarters in Washington, D.C. According to Al Jazeera, the officials have been placed on leave.
Responding to a post on X, which he owns, Musk said , “USAID is a criminal organization. Time for it to die.”
The Trump administration has recently taken a more critical stance on USAID, freezing all new foreign aid—except for military assistance to Israel and Egypt—last week. The decision has led to the suspension of all USAID-funded projects worldwide, including in Nepal , for three months.
USAID has notified the Nepalese government that four projects under the Development Objective Agreement (DOAG), signed on May 5, 2022, have been suspended for 90 days. These include the USAID Health Direct Financing Project, USAID Agricultural Direct Financing Project, USAID Education Direct Financing Project, and USAID Inclusive Policy Direct Financing Project.
A statement issued by Nepal’s Ministry of Finance on January 26 instructed all relevant agencies to refrain from creating any liabilities under these projects during the suspension period.
Shortly after assuming office on January 20, President Trump ordered a 90-day pause on foreign aid to reassess its alignment with U.S. foreign policy. On January 24, the U.S. State Department issued a “stop-work” order on foreign assistance worldwide, with exceptions for emergency food programs but not health services, according to Reuters.
The U.S. is the world’s largest provider of foreign aid, distributing $72 billion across nearly 180 countries in 2023. More than half of this was funneled through USAID, Al Jazeera reported.
Trump has also criticized USAID, saying it has been “run by a bunch of radical lunatics,” according to media reports . There are also reports that he is considering placing USAID under the State Department.
Democrats have strongly criticized Trump’s and Musk’s remarks on USAID, raising concerns over Musk’s growing influence in the administration.