Canada is facing criticism for reducing its role as a leader in international development following the announcement in the Liberal government’s budget to cut $2.7 billion in foreign aid over the next four years. The budget indicated that these cuts would impact Canada’s contributions to global health programs and transfers to international financial institutions without providing specific details.
Doctors Without Borders’ Adam Houston expressed disappointment, stating that Canada had made significant strides in global health funding, and stepping back now could have negative repercussions following the actions of other countries. Houston emphasized the importance of maintaining leadership in global health funding.
These cuts by Canada come in the wake of the Trump administration merging USAID with the State Department while reducing funding. Germany and the United Kingdom also made substantial cuts to their foreign aid budgets in the same year.
Houston highlighted that while his organization predominantly relies on private donations, collaborating with other aid groups is crucial in providing health services in developing nations. He noted that many aid groups had withdrawn due to funding cuts from other countries, leaving gaps that organizations like Doctors Without Borders are now filling.
Paul Farran, director of policies and advocacy at Cooperation Canada, representing numerous Canadian aid groups, expressed concern over Canada’s decision to retreat from its active role in international development at a critical time when global needs are escalating.
One major concern raised by aid groups was the lack of clarity in the government’s announcement regarding the budget cuts. The mention of Global Affairs Canada and foreign aid in the extensive budget document was limited to a single page, outlining a 15% reduction in the budget over the next three years, particularly affecting global health programs.
Oxfam Canada’s Diana Sarosi pointed out the uncertainty surrounding the impact of these cuts on sexual and reproductive health programs in developing countries, emphasizing the potential devastating consequences, especially for women and children worldwide.
The budget revealed a $3.6 billion reduction in GAC’s overall budget over the next four years, with the recalibration starting with a $470 million cut in 2026-27. Despite Prime Minister Mark Carney’s pledge to maintain international development assistance at a minimum of $800 million annually, the budget cuts raise concerns about the future of health initiatives and humanitarian programs.
The announcement of reducing funding due to Canada’s disproportionate contributions compared to similar economies has raised questions among experts. They argue that pulling back on health funding undermines Canada’s leadership role and disregards the lessons learned from the pandemic on the importance of global health cooperation.
Canada’s commitment to the Global Fund to combat major diseases will be tested at the upcoming summit, determining whether the government’s cuts are broad or targeted at specific programs. Houston stressed the need for clear answers regarding the impact of these decisions on global health initiatives.
