Is Geneva Prepared For Trump's And Others' Cuts To Foreign Aid?

(MENAFN- Swissinfo) Geneva is bracing for an economic blow as US President Donald Trump cuts off foreign aid funding. The move could also affect the city's status as a centre for multilateral cooperation unless donors and governments step up to fill the gap. This content was published on March 22, 2025 - 10:15 7 minutes Claire-Marie Dikanska

Barely sworn into office in January, the Trump administration announced an 83% cut to the US foreign aid budget of $71.9 billion (CHF63.4 billion). The cuts, many of which took effect immediately, have already had ramifications on Geneva, which is home to hundreds of NGOs, many of them dependent on the US for funding.

The US is the largest public donor to Geneva-based organisations, accounting for over a quarter (26.3%) of all donations.

To cope with the crisis, organisations in Geneva are firing staff and refraining from renewing short-term contracts. They have also downsized office space and shifted events online – changes that will significantly impact the city's economy.

The International Organization for Migration (IOM), for example, has said it is laying off 20% of its 1,000 staff in Geneva. Ricardo, a consultant at IOM who spoke to SWI swissinfo on condition of anonymity, was expecting his contract to be renewed at the end of the month. He has learnt that it won't be.

“Since early February, many contracts have simply been cancelled,” he says.“The atmosphere at work is terrible. The uncertainty is weighing on everyone.”

If he fails to secure another job, Ricardo will have to return to his home country in Latin America within three months. Like him, many non-permanent residents – crucial elements of international Geneva's workforce – may be forced to leave once their permit expires.“Geneva is a privileged bubble, but when a crisis hits, depending on your nationality, your situation can become precarious,” Ricardo says.

External Content More More International Geneva in numbers

This content was published on Oct 15, 2024 In the last decade, the number of multinationals in Geneva has doubled, while the number of NGOs has also increased considerably.

Read more: International Geneva in number

MENAFN23032025000210011054ID1109346398