People participate in the 2025 NYC Pride March in Manhattan, New York City, U.S., June 29, 2025. (Reuters/Angelina Katsanis)
- The U.S. State Department ordered a global review of aid programs under expanded rules that bar funding for groups working on family planning, diversity or what the Trump administration calls “gender ideology.”
- The expanded Mexico City Policy will affect about $30 billion in foreign aid and apply to more organizations, including U.S.-based groups.
- Aid groups warn the move could silence civil society and disrupt programs supporting women’s rights, gender-based violence survivors and other vulnerable populations.
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WASHINGTON, Jan 29 – The State Department has ordered U.S. missions worldwide to review all aid programs to ensure they meet stringent new rules that prohibit funding of groups working on family planning, diversity or what the Trump administration calls “gender ideology,” according to a cable seen by Reuters.
The Trump administration last week announced the expansion of the so-called Mexico City Policy, which opponents call the “global gag rule” because they say it silences abortion rights advocates.
The policy, previously focused on abortion, now also bars funding of groups that work on diversity, equity and inclusion; gender identity and transgender rights. It expands the amount of foreign aid affected to about $30 billion and targets more groups to include U.S.-based organizations.
The move has outraged aid groups that see it as another blow to the struggling sector and a move that effectively silences civil society in developing countries.
Department bureaus and posts should begin assessing the aid projects they oversee and consider identifying a focal point or forming a “tiger team” to work on the new rules, the cable, dated Wednesday, said.
The new rules, which go into effect on February 26, will be included in any new grants or cooperative agreements and added to existing projects when new funding is awarded, the cable said.
Officials expect some organizations will not comply with the policy and opt out of receiving U.S. funding, according to the cable, which included an internal email address to receive information on those organizations declining to comply.
Secretary of State Marco Rubio will issue limited waivers to ensure implementation of the new rules does not “unduly disrupt ongoing lifesaving programming, disaster response, and other critical priorities,” the cable said.
The State Department did not respond to a request for comment.
Restrictions
President Donald Trump eradicated the federal government’s main foreign aid agency USAID after returning to office last year, throwing the global aid sector into chaos. The administration has also aggressively closed programs relating to diversity initiatives and acceptance of transgender people.
Established by former President Ronald Reagan in 1984, the Mexico City Policy has been rescinded by each Democratic president since and reinstated when a Republican returns to the White House. Trump restored it a year ago before the expansion was announced by Vice President JD Vance at the March For Life anti-abortion rally in Washington on Friday.
Under the new rules, foreign NGOs are prohibited from using funding from non-U.S. donors as well as U.S. aid for the banned purposes. The restriction previously applied only to U.S. funds.
These are to “provide or promote abortion as a method of family planning; Promote gender ideology; Promote discriminatory equity ideology; or Engage in unlawful diversity, equity, and inclusion-related discrimination,” or provide financial support to other groups engaged in these activities, according to the cable.
U.S.-based NGOs were only restricted from using U.S. assistance for those purposes, it said.
‘Slash and Burn’
International Crisis Group’s Cristal Downing said the policy already required large amounts of paperwork from organizations, including those in conflict zones, and had been damaging to civil society, for instance negatively affecting groups working on women’s rights.
“This is an attempt at global social engineering, part of a slash and burn strategy targeting gender equality programming that started with last year’s aid cuts. It will affect access to safe spaces for survivors of gender-based violence, efforts to increase women’s representation in peacebuilding initiatives, and a host of other work,” said Downing, project director for gender and conflict at the think tank.
Talking points in the cable instructed U.S. diplomats to say the move was part of Trump’s foreign aid overhaul aimed at focusing “resources on programs that are designed to effectively and efficiently save lives, support allies, and create commercial opportunities that benefit the American economy.”
“Programs predicated upon advancing divisive social causes, globalism, and other radical ideologies have no place in our new foreign assistance architecture,” the talking points said.
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(Reporting by Humeyra Pamuk and Simon Lewis; Editing by Cynthia Osterman)
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