Kuala lumpur: Australian Foreign Minister Penny Wong announced on Thursday a development fund exceeding A$1 billion for ASEAN countries to offset the impact of USAID funding cuts. This initiative is part of Australia’s commitment to fostering lasting economic prosperity, climate resilience, and regional stability and security.
According to BERNAMA News Agency, Wong emphasized that there is uncertainty in development funding due to global cuts. At a special talk organized by the Malaysian think tank Institute of Strategic and International Studies (ISIS) and the Australian High Commission Malaysia, she stated, ‘Australia is directing a A$1.28 billion development programme in Southeast Asia to meet your highest needs.’
The announcement was made on the sidelines of the 58th ASEAN Foreign Ministers’ Meeting (AMM) and related meetings, taking place from July 8 to 11. Wong highlighted several humanitarian programmes that will benefit from the funding, such as vaccination and HIV/AIDS initiatives in the Philippines and free meal programmes for children and pregnant women in Indonesia.
Additionally, Australia has increased its humanitarian assistance to Myanmar and Rohingya refugees, including host country Bangladesh, to A$16 million. The Trump administration had previously slashed over 80 per cent of USAID programmes, citing a reduction in ‘wasteful spending.’ The United States, previously the United Nations’ biggest funder, was responsible for at least 38 per cent of its humanitarian assistance last year.
A study published in The Lancet estimates that these cuts could lead to an additional 14 million avoidable deaths by 2030, including 4.5 million children under the age of five. Wong reiterated Australia’s commitment to remain a strategic partner in ASEAN and the Indo-Pacific region.
Wong, who was born in Kota Kinabalu, Sabah, underscored the importance of international and regional alliances in addressing shared challenges. She emphasized building resilience by integrating economies and improving defence and security cooperation while respecting the sovereignty, choices, and independence of nations.
On Malaysia-Australia relations, Wong noted the shared history and similar challenges faced by both countries, suggesting that collaborative efforts can lead to powerful solutions. Malaysia is the largest source of international students in Australia, while Australia ranks as the fourth-largest tech investor in Malaysia.