Geneva — Two major Geneva-based institutions, the World Trade Organization (WTO) and the International Labour Organization (ILO), have quietly been spared from the latest round of U.S. foreign aid cuts after initially being marked for elimination.
Last week, the White House unveiled plans to cancel $4.9 billion in approved foreign assistance, framing the move as part of President Donald Trump’s effort to slash what the administration called “woke, weaponised, and wasteful” government spending. Among the dozens of international bodies targeted were the WTO and the ILO, facing proposed cuts of $29 million and $107 million respectively.
By midweek, however, the two organisations disappeared from the official list. A WTO spokesperson confirmed the agency is no longer subject to funding reductions, while the ILO acknowledged it too had been removed but said it is still seeking clarification from Washington on the implications.
The abrupt change follows months of uncertainty for both organisations, particularly the ILO, which saw U.S.-funded projects abruptly terminated after earlier executive orders. Out of 229 staff tied to American-backed initiatives, 190 were initially issued termination notices, though more than half were eventually reassigned.
The United States remains a central financial contributor to both institutions: covering roughly 11 percent of the WTO’s operating budget and more than one-fifth of the ILO’s. Yet Washington has not made its regular contributions for 2024 or 2025 — a delay that, while not unprecedented, has left the agencies bracing for further volatility.
For now, the immediate threat has been lifted. But without clarity on whether U.S. support will be restored in full or merely deferred, both the WTO and ILO remain on uncertain ground, caught between their global mandates and the shifting political winds in Washington.
