The $62 billion aid machine just broke
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The $62 billion aid machine just broke
"While hundreds of humanitarian organizations suspended programs because of the U.S. foreign assistance freeze, Rocket Learning, an education tech platform in India, is reaching 3 million children across 10 states and territories at $1.50 per child per year, a fraction of comparable traditional early childhood programs. This dichotomy was reflected in two types of conversations I heard during the United Nations General Assembly week in September 2025. In one, senior leaders from development agencies were genuinely grappling with an existential moment,"
"That system was built for a world with more money than innovation. We now live in a world with more innovation than money. Layers of oversight, risk-averse funding cycles, and multiple intermediaries mean the infrastructure can't move at the speed or cost-efficiency the moment demands. In 2024, the United Nations Office for the Coordination of Humanitarian Affairs (OCHA) estimated that 305 million people worldwide would need humanitarian assistance by 2025."
"Earlier this year, while the U.S. government was cutting billions in foreign aid, a refugee education program called Yeti Confetti did something remarkable: It took a single grant and scaled from serving 35 to 1,400+ students in Lebanon and NYC. They anticipate doubling that within the next few months. While hundreds of humanitarian organizations suspended programs because of the U.S. foreign assistance freeze, Rocket Learning, an education tech platform in India,"
A few technology-driven education initiatives rapidly scaled despite large cuts in U.S. foreign aid, reaching thousands of children at far lower per-child costs. Senior development leaders face an aid shortfall and existential funding challenges while frontline implementers focus on delivery and scaling. The long-standing humanitarian infrastructure provided essential expertise but now struggles because its operating system was designed for plentiful funding rather than rapid, low-cost innovation. Oversight layers, conservative funding cycles, and many intermediaries slow responses even as climate disasters, conflict, and displacement increase demand. Funding gaps persist despite growing need.
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