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Impact Analysis of the USAID Freeze on LGBTI+ Organisations

Kaleidoscope Trust

The abrupt suspension of USAID funding in early 2025 has had far-reaching consequences for LGBTI+ civil society worldwide. A Kaleidoscope Trust survey found that 29 of 43 organisations were directly affected, losing an estimated USD $8.67 million in income. Many lost over half their funding, forcing them to shut down or scale back essential services such as health care, mental health support, legal aid, and safe spaces. These cuts have left LGBTI+ communities—particularly in Africa and the Pacific—more vulnerable to violence, discrimination, and economic hardship, accelerating a global rollback of LGBTI+ rights.

With support from the UK’s Foreign, Commonwealth & Development Office (FCDO), Kaleidoscope Trust distributed over £600,000 in grants to help partners sustain their vital work. Interviews with grantees revealed three key impacts: acute financial strain leading to layoffs and closures, widespread service disruptions, and long-term damage to advocacy and donor trust. These findings form the basis of Kaleidoscope Trust’s new report, which urges policymakers, donors, and civil society to commit to sustainable funding models that can secure the future of global LGBTI+ movements.

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