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Wealthy nations slashed development aid in 2025 for second year in row, debt group says

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By Colleen Goko

JOHANNESBURG, April 8 (Retuers) - ‌Wealthy nations slashed their development aid in 2025, probably by ​record-breaking amounts, a debt group said, ahead of data set to be released on Thursday by the Paris-based Organisation ⁠for Economic Cooperation and Development.

The deep cuts, for a second consecutive year, are expected to reduce the total amount of official development aid globally to around $170-$190 billion - levels last ​seen during the COVID pandemic in 2020-21, the European Network on Debt and Development (Eurodad) said at a briefing ‌on Wednesday.

Those estimates compare with total official development aid of $223.7 billion in 2023 and $212.1 billion in 2024.

The decline contrasts sharply with defence spending, which stood at $1.4 trillion in 2025 across the ⁠32 member states of the NATO military alliance, which comprises the United ⁠States, most European nations and Canada.

The closure of the U.S. Agency for International Development last year and a drop in allocations from other developed countries have already hit developing economies, especially in Africa.

"The least developed countries and sub-Saharan Africa are expected to face disproportionate impacts, with official ‌development assistance cuts ranging from 13% to 28%," said Matthew Simons, senior policy and advocacy ⁠officer at Eurodad.

'BLANK CHEQUE FOR WAR'

Maria Jose Romero, Eurodad's policy and ‌advocacy manager, said the reductions in aid were undermining decades ​of development progress.

"Rich countries are writing a blank check for war while abandoning their long-standing commitment to deliver 0.7% of gross national income as development assistance," she said.

The North ‌Atlantic Treaty Organisation says all its 32 members are projected ​to have met the alliance's spending target ⁠of 2% of national output in 2025.

However, only three of the 34 ‌members and associates of the OECD's Development Assistance ⁠Committee - a grouping of main bilateral aid donors - are expected to meet the 0.7% benchmark for development aid. Eurodad did not identify the three nations.

The committee's ongoing self-review has raised ​concerns over legitimacy, with critics noting ‌that decision-making remains concentrated among wealthy donor nations.

Meetings of the World Bank and International Monetary ⁠Fund next week are expected to focus ​on how multilateral institutions can fill the gap left by declining bilateral aid, Eurodad ​said.

(Reporting by Colleen GokoEditing by Gareth Jones)

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