The United States will cut $50 million in annual medical aid to Zambia starting January 2026, following concerns over widespread theft and illegal sale of donated medicines.
The decision comes after years of urging Lusaka to address the issue, with little meaningful progress.
The aid cut was confirmed by US ambassador Michael Gonzales, who said the American government had lost confidence in Zambia’s ability to protect US-funded health resources. According to the embassy, life-saving drugs for malaria, HIV, and tuberculosis were being stolen from government stocks and sold in private pharmacies across the country.
The problem was first discovered in late 2021, but recent inspections of over 2,000 pharmacies revealed that a large number were selling stolen supplies, including medicines donated by the US and other international donors such as the Global Fund. Despite these findings, Zambian authorities have only arrested a few mid-level officials, and have failed to trace the higher-level networks responsible for the theft.
The US, which contributes about a third of Zambia’s public health budget, had repeatedly warned the government that inaction would lead to funding consequences. Gonzales stressed that while ordinary Zambians deserve medical support, the lack of accountability has made continued aid hard to justify to American taxpayers.
Zambia, a country of 21 million people, has struggled with deep-rooted corruption and poverty for decades. Despite being rich in natural resources like copper, more than 60 percent of the population lives in poverty. President Hakainde Hichilema came to power in 2021 with promises to fight corruption and revive the economy. His government initially made headlines by arresting former officials and seizing illicit assets, but progress has since stalled.
So far, the health ministry has not commented on the aid cuts. The US emphasized that this decision is separate from the broader foreign aid review being conducted under President Donald Trump’s administration, and is directly tied to Zambia’s failure to prevent the misuse of health aid.
When asked whether the funding could be restored, the ambassador said the US had given Zambia several opportunities over three years to act decisively, and that this decision was now final unless major changes were made.
The aid reduction is expected to affect key health programs and put additional strain on Zambia’s already struggling healthcare system. It also signals growing impatience among donor nations over corruption in aid-reliant countries, and a warning that accountability must accompany assistance.