Egypt's Higher Education Braces for Impact of 90-Day USAID Funding Pause

USAID Funding Halt: Resilience and Adaptability in Egyptian Higher Education

Egyptian students funded by USAID and studying at public and private universities will continue receiving financial support from their universities after President Trump decides to pause foreign development aid for three months. However, certain groups, such as Bridge Year students and new Spring 2025 students, will not receive financial support for the rest of the academic year.

The 90-day pause on US development aid announced on 20 January, will affect 1,077 Egyptian higher education students receiving USAID scholarships for the 2024-25 academic year. This includes 200 students from the American University in Cairo (AUC), which offers four- or five-year scholarships. Other participating universities include Cairo, Ain Shams, Alexandria, Assiut, Mansoura, Al Alamein International, Badr, and the Arab Academy for Science, Technology & Maritime Transport. The USAID scholarship program supports Egypt's development in water, energy, agriculture, and nursing. Since 2020, 788 students have benefited, with 84 graduating. In response to the funding pause, Egypt's Higher Education Ministry announced on 29 January that universities will cover USAID's financial support, including tuition fees, until the end of the semester, and remain committed to assisting students with future challenges.

Ain Shams University responded swiftly to the paused USAID program by announcing at the end of January that it would cover tuition fees for all scholarship students, contingent on academic performance and discipline. University president Mohamed Diaa Zain El-Abedeen assured students that academic support and accommodation would be provided at the same standard they were accustomed to. On 2 February, AUC President Ahmad Dallal informed the university community that 113 staff members managing the suspended scholarship programs had their positions suspended. To assist them, AUC will cover their basic salaries for three months as they seek alternative roles within or outside the university.

Ahmad Dallal, AUC President assured 200 affected students that the university would cover their tuition, housing, and educational expenses for Spring 2025 through budget savings and fundraising. However, he expressed regret over being unable to accommodate 125 students who were either accepted for this semester or part of the English-language bridge program due to limited financial resources. In response, these students launched the hashtag Uncertain_Future_for_AUC_Students to raise awareness and seek a solution.

The President praised the support from alumni, faculty, staff, and friends, leading to the launch of the Emergency Student Assistance Fund. Meanwhile, the AUC Student Union Representation Committee, in collaboration with the Office of Advancement, announced efforts to secure external funding and sustainable solutions for affected students, promoting a crowdfunding initiative to support them throughout their studies. Dr Lee Rensimer, Deputy Director of the Centre for Global Higher Education, noted that Egypt is the largest recipient of US higher education aid in Africa, receiving about 48% of the total US aid to the continent, or US$13.3 million annually. This funding supports scholarships and scientific research, including centres of excellence in energy, agriculture, and water. Rensimer emphasized that the discontinuation of US aid would significantly impact Egypt, which relies heavily on this support, as the US is the fourth-largest global donor to higher education, contributing US$200 million annually.

The suspension of USAID funding also affects several civil society organizations and social programs in Egypt, including the USAID Egyptian Pioneers program. This initiative, which offers scholarships to government professionals for advanced studies and training, has been halted due to the funding freeze. The program, aimed at strengthening key sectors of Egypt’s economy, contributes to the broader educational disruption caused by the suspension of US aid. Despite the challenges, Egyptian universities and students continue to show resilience and adaptability in the face of funding disruptions.

Editor's Note:

The recent pause in USAID funding has had a major impact on higher education in Egypt, showing how vulnerable educational systems can be when they rely too much on foreign aid. However, the quick responses from universities like Ain Shams and the American University in Cairo (AUC) show their strong commitment to supporting students during this challenging time. It’s impressive how these institutions have managed to mobilize resources and ensure students can continue their studies, despite financial challenges. AUC’s creation of the Emergency Student Assistance Fund and its efforts to find alternative funding show a proactive approach to helping affected students. This situation highlights the need for education systems to become more self-reliant and resilient, so they are less affected by changes in international aid. Moving forward, it's important to focus on funding models that can protect students' futures, even in times of uncertainty.

Skoobuzz believes that this situation serves as a wake-up call for educational institutions worldwide. By creating financial resilience, institutions can ensure that students’ education remains uninterrupted, regardless of geopolitical shifts.