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    Devex Dish: WFP faces impossible decisions with US funding in doubt

    World Food Programme’s funding shortfalls to go from bad to worse amid the U.S. aid freeze. Plus, Brazil takes the lead on battling deforestation ahead of COP30.

    By Ayenat Mersie // 12 March 2025
    Sign up to Devex Dish today.

    It’s Week 7 of the Trump administration — long enough for a crop of cherry tomatoes to ripen or for the World Food Programme’s funding shortfalls to go from bad to worse. The U.S. has historically been the agency’s biggest donor, but with aid freezes, shifting priorities, and broader budget cuts, it’s becoming increasingly clear that WFP, and the millions who depend on it, can’t rely on that support as they once did.

    The numbers speak for themselves. Last year, WFP appealed for $21.1 billion to assist 150 million food-insecure people but secured just $9.75 billion — less than half of what it needed, and below the 60% norm for U.N. agencies. That came on the heels of 2023, when the agency faced its worst funding gap, receiving just $8.3 billion of its $23.5 billion request. Meanwhile, hunger levels remain stubbornly high, with twice as many people facing acute food insecurity today compared to 2019.

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    Sign up to this weekly newsletter to get the inside track on how agriculture, nutrition, sustainability, and more are intersecting to remake the global food system.

    The funding shortfalls aren’t just numbers on a spreadsheet. WFP is already making brutal trade-offs — ration cuts in Bangladesh, Kenya, and Djibouti; the closure of its South Africa office; and hiring freezes at headquarters. “In many places, we are giving less because we don't have the money," WFP Chief Economist Arif Husain told Devex last year. "In other places, we are giving less because we don't have the access. Bottom line, we are giving less."

    Even before U.S. President Donald Trump’s foreign aid freeze, donor support was falling across the board. In January, Executive Director Cindy McCain made it clear that WFP needs to look elsewhere for cash. “I can no longer rely on governments around the world to support WFP in any way,” she said at Davos. “They have the ability to do some, but the truth is the problems are too big. We need the private sector.”

    The U.K., Germany, and several European Union states have announced major cuts, and WFP now expects to receive just $8 billion of the $16.9 billion it says it will need to assist 123 million people this year. The agency is increasingly looking to the private sector and multilateral development banks, but while private contributions have tripled since 2019, they still only make up 3.5% of WFP’s funding.

    One of the starkest examples of how these shortfalls are playing out is in Kenya’s Kakuma refugee camp, where thousands of refugees — already living on reduced food rations — protested last week after learning of further ration cuts. The demonstration turned violent when Kenyan police used live ammunition and tear gas to disperse the crowds, and at least four people were reportedly injured. “I feel neglected and lost because I have no other way to survive,” one refugee tells The Guardian.

    Meanwhile, WFP staff worldwide are bracing for more budget-driven downsizing, with sources telling Devex that nearly every country operation has already undergone, is undergoing, or is preparing for cuts. The U.S. has pushed for permanent cuts to WFP programs tied to gender; diversity, equity, and inclusion; and climate efforts, and similar funding battles are playing out at UNICEF and the International Organization for Migration.

    Read: Already strapped for cash, WFP faces post-USAID future

    Related: The Trump administration's flip-flop on treating malnourished children (Pro)

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    Fresh off the grill

    Our team continues to track the impact of the foreign aid freeze, massive cuts to the U.S. Agency for International Development, and the Trump administration’s policy shifts. Here’s a roundup of this week’s biggest stories:

    • A federal judge has once again ordered the Trump administration to pay USAID partners for billions in completed foreign aid work, emphasizing that the president does not have “unbounded power” in foreign affairs..

    • U.S. Secretary of State Marco Rubio announced that 5,200 USAID programs — 83% of the agency’s portfolio — have been terminated in recent weeks, citing their failure to serve U.S. national interests. The Trump administration will retain about 1,000 programs under tighter State Department oversight. Rubio thanked Elon Musk’s Department of Government Efficiency for its role in the effort to slash government spending.

    • Staff from the Department of Government Efficiency and a U.S. marshal took over the U.S. African Development Foundation last week, locking some personnel out of treasury systems. Now, Trump has nominated Project 2025 architect Russell Vought to the board of both USADF and the Inter-American Foundation, which is in a similar predicament.

    + Catch up on the latest news, in-depth analysis, and exclusive insights on how the Trump administration’s policies are reshaping global development.

    Green carpet

    This week, Devex’s Kate Warren is in Austin, Texas, for the South by Southwest, or SXSW, conference and festivals, often known for star-studded movie premieres and up-and-coming bands. But beyond the glitz, the conference has become a hub for tech and innovation leaders tackling the world’s biggest challenges, including food.

    One recurring theme? Food systems need capital — a lot of it. Elysabeth Alfano, CEO of VegTech Invest, emphasized the need to tap major investors. “If you don’t address Wall Street, you’re not going to be able to shift food system transformation.” Her firm launched the EATV exchange-traded fund to back companies innovating in sustainable food and agriculture.

    But investment alone isn’t enough. Vanessa Mukhebi, senior communications manager at ReFED, wants to change perceptions about farming. “The average age of the African farmer is 63 years old,” she notes. If agriculture is going to attract young people, “we need to change the narrative.”

    One example? “Don’t Lose the Plot,” a reality TV series Mukhebi spearheaded, which took a Big Brother-style approach to farming. The show challenged young Kenyans and Tanzanians to turn a one-acre plot into a profitable, sustainable farm. The winner walked away with a $10,000 agricultural investment and the land itself.

    Looming over the entire conference were concerns about USAID — which funded the TV show — and the future of U.S. foreign aid writ large. “Americans will not realize the deep implications of that demise for the next five to ten years … and by then, it’ll be too late,” says Wanjiru Kamau-Rutenberg, the managing director for Africa at the Alliance of Bioversity International and CIAT.

    She offers a fresh perspective: “As an African, this could be a really good thing. We're facing a tremendous opportunity as a continent — if we can get our shit together — because for too long, USAID has been plugging the holes that our governments have left. And what the demise of USAID does is it forces our governments to face their actual job.”

    Cash for canopy

    Brazil is set to launch the inaugural permanent fund for tropical forest conservation, with plans to reward countries for preserving forests rather than just avoiding deforestation. A closed-door meeting in London this week was convened to determine the fund’s first donors, which multilateral development bank will host it, and finalize key structural details. The Tropical Forest Forever Facility aims to leverage $25 billion in sovereign capital to attract up to $100 billion in debt financing. Countries meeting strict monitoring standards will receive fixed payments per hectare preserved, with 20% allocated to Indigenous communities.

    Deforestation remains largely driven by agriculture, which accounts for 90% of global forest loss, according to the Food and Agriculture Organization. More than half of that is due to cropland expansion, while nearly 40% stems from livestock grazing.

    With Brazil significantly reducing deforestation under President Luiz Inácio Lula da Silva, forests and biodiversity are expected to be central to the U.N. COP30 climate conference in Belém. This week’s meeting will help determine whether the fund can be up and running by November.

    Scoop: Brazil hammers out details of forest fund ahead of COP30
    Further reading: How did Brazil slash deforestation — and can others recreate the win?

    Lunchroom to grow

    Bringing home the bacon
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    Tomorrow, March 13, is the International Day of School Meals. And while their critical role in tackling hunger and improving educational outcomes is well-known, gaps remain — only 13% of children in low-income countries receive school meals, compared to 48% in high-income nations, according to a survey on school meal programs.

    Funding is a challenge. The survey showed that $67.2 billion was allocated in 2022, but inflation has shrunk per-child budgets, forcing some governments to cut portions or reduce feeding days.

    ICYMI: 5 things to know from the latest global survey on school meal programs

    Chew on this

    Severe acute malnutrition cases among Rohingya refugee children in Bangladesh rose 27% year on year in February. Malnourishment levels in the camps — over 15% of children — are now the highest recorded since the 2017 mass displacement. [UNICEF]

    FAO and UNICEF now share custody of a new SDG indicator on minimum dietary diversity, adopted to track progress on malnutrition and guide better nutrition policies. [FAO]

    U.S. President Donald Trump is asking American growers to bear with him as tariffs threaten to hurt their business. [Bloomberg]

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    About the author

    • Ayenat Mersie

      Ayenat Mersie

      Ayenat Mersie is a Global Development Reporter for Devex. Previously, she worked as a freelance journalist for publications such as National Geographic and Foreign Policy and as an East Africa correspondent for Reuters.

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