Aid Cuts in Sub-Saharan Africa: What Happens Next

Bilateral foreign aid to sub-Saharan Africa fell by an estimated 16-28 percent in 2025, sharply straining budgets in a region where aid is often a crucial source of financing for health, education, and social services. With fiscal space already constrained, governments face hard tradeoffs as they seek to mitigate or replace the lost financing. Join CGD and the IMF for a discussion on the macroeconomic and fiscal implications of the aid cuts for sub-Saharan Africa. The event will feature a presentation from the IMF’s latest Regional Economic Outlook for Sub-Saharan Africa followed by a panel discussion on the policy choices facing governments and their partners. The conversation will examine urgent questions, including: How can countries maintain fiscal stability while minimizing humanitarian costs? What policy options are realistically available? And what do the cuts mean for the future of development finance in the region?