Trump’s USAID Shutdown Strikes Blow to African Startups, Halting Critical Funding
- President Trump's executive order has halted USAID funding, affecting vulnerable populations and startups.
- USAID's Development Innovation Ventures invested over $100 million in Kenyan startups over the past decade.
- Kenyan startups received grants from USAID ranging from $500,000 to $6 million to scale operations.
The shutdown of USAID funding is a critical blow to the Kenyan startup ecosystem, which has relied heavily on such support for innovation and growth. The potential cuts to other funding sources like the DFC could exacerbate the situation, stifling the development of promising startups, particularly in the climate tech sector. It is essential for stakeholders to advocate for alternative funding mechanisms to ensure the sustainability of these ventures.
