Trump administration officials are considering a revamp of U.S. foreign aid programs, using blockchain technology to boost accountability by tracking aid distribution. The plan would see the U.S. Agency for International Development (USAID) renamed as the U.S. Agency for International Humanitarian Assistance, subject to the authority of the Secretary of State.
The proposal stems from a document suggesting a modern, performance-based approach of securing and tracing distributions using blockchain technology, which will significantly enhance security, transparency and traceability. This comes at a time when USAID’s future looks unsure, following the State Department’s action to put agency staff on administrative leave and stop payment to partner organizations in January.
The suggested blockchain use is part of wider reforms aimed at establishing tighter controls on aid distribution, moving away from self-reporting to measurable outcomes via third party metrics. The restructuring reduces USAID’s global health, food security, and disaster response focus, making U.S. foreign aid initiatives more concise.
The proposal, subject to Congressional authorization for significant structural changes, suggests a new, three-pillar organizational structure led by the Secretary of State, to make the nation “Safer, More Prosperous, and Stronger.”
Such views align with contemporary thoughts on the potential of blockchain technology for public good. An earlier article in the Journal for Humanitarian Action mentioned the technology’s inherent features for eliminating corruption by facilitating absolute transparency and accountability.