President Trump has initiated a rare fiscal maneuver to cancel approximately $5 billion in congressionally approved foreign aid, utilizing a “pocket rescission” strategy that has not been employed in nearly 50 years. The move, disclosed by the White House, involves blocking funds slated for international development, democracy programs, and peacekeeping initiatives.

The rescission includes $3.2 billion in U.S. Agency for International Development (USAID) development assistance, $322 million from the USAID-State Department Democracy Fund, $521 million in State Department contributions to global organizations, $393 million for peacekeeping activities, and $445 million in separately budgeted peacekeeping aid. These allocations were previously paused by the White House Office of Management and Budget (OMB) and faced legal challenges after a lawsuit filed by the Global Health Council.

The U.S. District Court of Appeals lifted an injunction in the case, enabling Trump to proceed with the rescission. The administration has criticized specific projects, including $24.6 million for “climate resilience” in Honduras, $2.7 million for the South African Democracy Works Foundation—which published controversial racial content—and $3.9 million to support LGBTQ+ democracy initiatives in the Western Balkans. Another allocation of $1.5 million was directed toward promoting Ukrainian women’s art.

OMB Director Russ Vought had previously indicated the administration’s consideration of a pocket rescission, emphasizing its potential to address what officials describe as wasteful spending. The Justice Department also sought Supreme Court intervention to block a federal judge’s order requiring the administration to finalize the aid distribution by the fiscal year’s end. Solicitor General John Sauer argued that Congress, not courts, holds authority over such decisions under the 1974 Impoundment Control Act.