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The future of US foreign aid and development assistance

Oxfam’s blueprint for how the US can support countries in shaping their own futures and moving beyond aid

Last updated November 6, 2026

The future of aid is about laying the foundation for a world without the need for it.

Now is the time to start building that world. Recent cuts to U.S. lifesaving aid have broken a global aid system that has now shifted to increasingly prioritize short-term political interests over the lived experiences of communities in need.

In a world where aid can become a bargaining chip rather than a powerful way to alleviate suffering, effective aid must save lives today and help communities build the conditions to thrive tomorrow.

Only then can countries use aid to shape their own futures, and we can realize a vision of a world without aid.

“I am an advocate for women’s rights. I encourage women to organize and take power. They have the right to express themselves about what is good for their communities."

Joy Lumawod, from Oxfam partner Center for Disaster Preparedness in the Philippines

Who decides what aid is for?

When news headlines talk of flash floods in Nepal, deadly earthquakes in Venezuela, or rising hunger in Somalia, many people’s first instinct is to think about what happens next. How many people died? Who was saved? What do they need? How can I help?

But transforming the global aid system requires consideration of a separate set of equally important questions: Who has the power to decide who aid serves? Who has the decision-making authority to decide what kind of aid is needed? And what happens if the people in need don’t have the power?

Oxfam America's research team reviewed hundreds of studies covering seven decades of U.S. and international aid. We see a consistent pattern: When aid follows donors' interests, timelines, and conditions, it doesn’t work as well. Though communities receiving that aid get a seat at the table, they rarely get a vote.

This evidence also shows what's in place when aid works well: Direct, predictable funding; real country ownership of aid projects; as well as support that is accountable to communities. We're turning that evidence into principles for a future system, built on one question: Who gets to make decisions about aid?

 Atsede Bere meets with Nurse Bethlehem Feleke in the part of the health clinic Oxfam helped to rebuild, with funding from Global Affairs Canada. The facility now has an office and waiting area, and an exam room for consultation and treatment.
Atsede Bere meets with Nurse Bethlehem Feleke in the part of the health clinic Oxfam helped to rebuild, with funding from Global Affairs Canada. The facility now has an office and waiting area, and an exam room for consultation and treatment. Petterik Wiggers/Oxfam

“The people here are brave and can face any kind of emergency. Inequality can turn a natural hazard like a cyclone or a virus into a catastrophe for everyone but the rich. And the disasters themselves deepen the divide between rich and poor.”

Mostafa Nuruzzaman, director of Oxfam partner Shushilan in Bangladesh

Oxfam’s principles for the future of aid

Our principles are informed by this forthcoming research and Oxfam’s eight decades of humanitarian and development work. They show how the U.S. can support a global aid system that is more effective, accountable, and responsive to the people it is meant to serve.

1) End transactional aid—and prioritize serving the interests of those most in need

Aid should respond directly to the needs of people affected by poverty and injustice. It should not be used to secure short-term political concessions, as evidenced in a recent U.S. deal to tie $2 billion in health assistance to access to critical minerals in Zambia. This is important as donor budgets shrink, and global needs continue to grow.

  • Humanitarian aid must be provided impartially, according to need.

  • Women’s rights organizations and those representing marginalized populations must be central to these decisions. They are disproportionately affected by disasters and often excluded from the systems that determine who is protected and who receives assistance. Centering their knowledge and capacities improves both the quality of humanitarian response and the fairness of who benefits.

  • Development assistance should likewise prioritize specific country needs and long-term progress, with attention to people who are marginalized or excluded from essential services.

When aid is grounded in need, it can reduce suffering and inequality while contributing to a safer, healthier, and more stable world.

2) Harness aid to strengthen organizations and institutions at the local and national level, including local leaders

People affected by poverty and injustice have the right to shape the decisions that affect their lives. When disaster strikes, local organizations and community leaders are the first to respond, and they remain long after international responders leave. They understand local risks, institutions, and priorities, making their leadership essential not only to emergency response but also to preparing for and recovering from crises.

  • U.S. foreign assistance should support priorities identified by national and local actors, as well as provide resources to partner governments and local organizations rather than solely relying on international NGOs.

  • Aid can support national governments to provide and manage public resources, raise revenue, as well as invest in health, education, and preparation for future crises.

  • Civil society organizations must also have the resources to reach people who public institutions may exclude.

Shifting power means more than directing additional funding to local organizations. It means giving national and local actors authority to set priorities, manage resources, and adapt for durable, long-term impact.

3) Invest before, during, and after crises

The most effective aid doesn't begin after a disaster strikes. By investing in early warning systems, climate adaptation, and community preparedness, aid can help people reduce risks, protect livelihoods, and save lives before a crisis becomes a catastrophe.

  • Aid should provide local actors with funding and meaningful authority to assess risk, coordinate responses, and lead long-term recovery.

  • International organizations still have an important role, but that role should be to provide support, share expertise, mobilize resources, and help remove barriers.

4) Provide more flexible funding

Aid funding has been overly restrictive, making it harder for U.S. foreign assistance to support countries and their long-term development goals.

  • Development assistance funding should more closely mirror humanitarian assistance in its flexibility. That means these critical resources could be used to implement long-term development plans aligned with countries’ needs to address the greatest constraints to countries taking over their own development.

  • For example, U.S. foreign assistance should work with national governments on the issue of debt relief. Today, many countries face a stark choice: pay creditors or invest in their people. When governments must direct billions toward debt payments, they have fewer resources for health care, schools, social protection, and climate preparedness. That makes it harder to reduce poverty, respond to crises, and build long-term economic stability.

5) Build toward a more equal future in which aid is no longer needed

The goal of development assistance should not be to fund the same activities indefinitely. It should help countries finance their own priorities and withstand future shocks with less dependence on aid.

Aid succeeds when communities and countries have greater power over their futures and when the need for outside support declines because inequality and poverty have declined, not because donors have walked away.

Oxfam is leading the way to help make these principles a reality. Learn more about our local humanitarian leadership work, how we are helping communities anticipate crisis before disasters strikes, and how women’s leadership is a central part of our vision for the future.

 Salama Taga holds a poster with information about Ebola virus. He leads a youth organization in Rwampara, in Ituri province. He is helping to raise awareness of Ebola, and sharing information about prevention of the virus.  Azaria Muhongya / Oxfam
Salama Taga leads a youth organization in Rwampara, in Ituri province. He is helping to raise awareness of Ebola, and sharing information about prevention of the virus. Azaria Muhongya / Oxfam Azaria Muhongya/Oxfam

"We will not accept anyone preventing healthcare workers from doing their job in the face of [Ebola] that is ravaging our communities."

Salama Taga, a youth organizer in the Democratic Republic of the Congo