Senator Warns of Fallout

The suspension of foreign aid by the Trump administration for 90 days has left hundreds of Kenyans facing joblessness, prompting concerns about the implications for the country's economy. A US Senator has warned that this could open the door for increased Chinese influence in Africa. As the situation unfolds, the aid cutoff could lead to significant consequences for development and employment in Kenya.

Some Chinese officials see Washington’s retreat from foreign aid as a strategic misstep. One official described the US pullback as "self-sabotage," warning that it risks isolating Washington from potential allies.

China has been making an effort to improve its influence in Africa, establishing a new foreign aid agency in 2018. The Asian giant is Kenya’s largest multilateral lender with loans over Ksh1 trillion of Kenya’s Ksh10 trillion debt.

Even before the aid halt, China had been positioning itself as a champion of the developing world, aiming to counterbalance US trade policies and expand its economic influence.

At last year’s Group of 20 summit in Brazil, Beijing outlined a series of initiatives to strengthen ties with the Global South. The proposals included boosting technological connectivity, improving food security, and tackling climate change—areas China sees as key to fostering deeper partnerships.

Trump’s executive order, which halted humanitarian assistance to most third-world countries, caused unexpected disruptions. Kisii County was forced to send more than 500 workers on compulsory leave, and Kisumu and Homa Bay counties halted projects funded by USAID.

A similar situation was witnessed at the University of Nairobi (UoN), where an unknown number of Kenyan employees working with the USAID were sent on unpaid leave.