Wednesday, January 14, 2026

Aid Freeze: PPDC loses U.S. funding, scales down operations

Mr Trump, upon assuming office, ordered a halt to nearly all U.S. foreign development assistance to countries.

• December 14, 2025
Lucy Abagi, chief executive officer of PPDC
Lucy Abagi, chief executive officer of PPDC

The Public and Private Development Centre (PPDC) says the suspension of foreign aid announced by United States President, Donald Trump, has significantly disrupted its operations and forced it to lay off workers.

Lucy Abagi, chief executive officer of PPDC, a leading Nigerian governance and justice-sector reform organisation, made this known in an interview with journalists on Sunday in Abuja,

Ms Abagi said that the development created serious funding gaps for projects supported by United States agencies.

Mr Trump, upon assuming office, ordered a halt to nearly all U.S. foreign development assistance to countries across the globe, including Nigeria.

The directive, according to Ms Abagi, had far-reaching consequences for civil society organisations whose programmes depend heavily on international development funding.

She explained that several PPDC projects were funded by the U.S. Bureau of International Narcotics and Law Enforcement Affairs (INL), and the sudden freeze led to the suspension, reduction, or outright termination of ongoing contracts.

“When Trump became President of the United States, there was a halt on all development funds.

“If you look at global aid funding, the United States accounts for more than 60 per cent of it.

“So, not just Nigeria, but many countries, especially underdeveloped countries in Africa were massively affected.

“Contract projects were stopped, some were terminated or reduced. We had to stop work for about three months,” she said. 

According to her, the funding shortfall forced PPDC to lay off several contract staff members engaged on donor-funded projects, retaining only about 11 personnel during the period of inactivity.

“We experienced serious operational hitches. There was practically no work for at least one month, and we had to 

disengage some staff members,” she added.

Despite the setback, Ms Abagi said the organisation has intensified internal strategies over the past year to ensure sustainability and continuity of its mission, even in the absence of foreign donor support.

“We have adopted different strategies and built subsidiaries that are into business ventures, so we can begin to generate profit to support PPDC’s work.

“We are also exploring ways to operate independently.

“We are focusing on shared interests, partnerships and commitments to ensure that our work does not depend solely on foreign aid,” she said. 

Ms Abagi noted that PPDC is now prioritising low-cost, sustainable approaches to continue delivering its programmes and interventions.

Speaking on justice sector reforms, Ms Abagi highlighted the organisation’s impact in protecting vulnerable citizens and improving access to justice.

“Through our projects, supported by partners, we have worked to reduce the inmate population and protect the rights of the most vulnerable within the justice system.

“We are currently providing pro-bono legal representation to over 20,000 individuals who are unjustly held without trial, and we have digitised about 48 courts in the Federal Capital Territory,” she said. 

PPDC is a non-governmental organisation committed to strengthening good governance, accountability and transparency in Nigeria.

Its core mandate is to improve citizens’ participation in governance processes in ways that enhance the integrity of public institutions.

The organisation works across key sectors including justice reform, anti-corruption, public procurement monitoring, access to information, and civic engagement. 

(NAN)

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