Trump’s foreign aid cuts disrupt education, leaving AUC students without scholarships. Over 100 students face uncertainty as funding halts amid a 90-day suspension.

The American University in Cairo (AUC) has announced the suspension of scholarships for more than 100 students enrolled in a preparatory language program, following U.S. President Donald Trump’s recent decision to halt foreign aid. This sudden move has left students stranded, unsure how to proceed with their academic plans for the 2024/25 academic year.
The freeze will affect education and health, possibly severely impacting Egypt’s social welfare programs. Already, the controversy has angered Egyptian students, faculty members, and politicians who had high hopes for these U.S. programs to improve their conditions.
Students Frozen in AUC Limbo With Scholarship Freeze;
Unexpected Announcement Causes Shock
Over the weekend, students on the AUC’s language camp, an essential preparatory course before commencing their academic programs, received an abrupt notice that their scholarships were being put on hold. At 12:20 AM, an email confirmed funding was being indefinitely placed on hold.
Email: Two choices
- Self-Funding: Cost would be met by the student for tuition and living expenses
- Exploring Alternatives: Alternative not clearly defined.
Many students took to social media to express themselves as the devastating impacts of this decision would potentially strip their lives of hope and futures.
Higher Education Ministry’s Response
As a way of damage control, Egypt’s Higher Education Ministry stated that they would be paying the tuition fees for continuing scholarship students. Nevertheless, this is not the case with the new students who are going to be affected by the funding freeze.
Wider Impact of Trump’s Aid Suspension
Students on Scholarship in all of Egypt Affected
110 students at AUC are a small portion of 370 students in higher education in Egypt who received scholarships in the next year from USAID. These funds covered ten different universities, including public and private ones, on tuition, living, and studying.
Beyond scholarships
this funding freeze has profound implications:
Primary and Secondary Education: More school programs are some that will bear the fall-out of the USAID grants.
Family Planning and Healthcare: Very important social programs that rely heavily on U.S. funding might face operational interruptions.
Job Loss: Many development workers, teachers, and administrative staff funded through these USAID programs now face losing their source of income.
Scholarship Winner Searches for Solution
Students May Quit School
For many students, the idea of attending AUC without financial aid is impossible. Given that it is too late in the semester to reapply to public universities, they face the possibility of missing an entire semester, thereby potentially putting the whole degree track at risk.
One scholarship winner explained his disappointment:
Right now, I am not enrolled in any university. If the suspension is not lifted, my academic journey may end before it even begins.
Concerns Over Career Prospects
Missing a semester due to the funding freeze could have long-term career consequences. Some students worry that their academic records will reflect an incomplete year, potentially affecting future job opportunities.
One student explained:
Even if I graduate with honors, missing this semester may disqualify me from future teaching positions.
Many affected students are now desperately searching for alternative funding sources, but options remain limited.
Legal and Institutional Responsibilities

Can AUC or the Egyptian Government Step In?
Nada Nashaat, a lawyer at the Center for Egyptian Women’s Legal Assistance (CEWLA), argues that AUC and the Egyptian government should take action:
Alternative Funding: Either AUC or the International Cooperation Ministry should step in to cover the student’s tuition fees.
Crowdfunding Efforts: The university could collaborate with private sector donors or social entities to raise funds for affected students.
Failing to provide that, she explained, “leads to class discrimination,” preventing poor students from joining higher institutions of learning.
These students earned their scholarships based on merit, not financial need. Denying them education due to funding cuts is unjust.
Legal Challenges Against the Suspension
Some advocates say AUC review its agreement with USAID to determine whether the U.S. government can unilaterally withdraw funding without due notice.
Nashaat underscored,
“The U.S. is a nation of institutions, not a one-man rule. If agreements were violated, legal action should be considered.”
Universities React to the Crisis
Ain Shams University Steps Up
Unlike AUC, Ain Shams University announced that it would cover all tuition fees for students affected by the funding cut, provided they meet academic standards.
AUC’s Partial Commitment
AUC Student Union confirmed that the university would cover tuition fees for currently enrolled USAID-funded students for the second semester. However, the status of bridge-year and newcomer students remains uncertain.
One student expressed skepticism:
The decision is beyond Egypt’s control. We are not expecting the grant to return.
The Bigger Picture: Development Programs at Risk
Thousands of Jobs in Jeopardy
The freeze in USAID funding goes beyond education, affecting several development programs. Diana al-Deba, Senior Communication Advisor at Workforce Egypt, said that close to 2,000 employees working on USAID-funded projects were told their contracts were suspended.
This sudden decision could leave many families without an income source as several development organizations may have to shut down completely.
Trump’s Rationale for the Cuts
The Trump administration has framed the move as an effort to cut what they consider “wasteful” spending. White House Press Secretary Karoline Leavitt defended the decision, saying taxpayer money should not be spent on foreign aid programs.
She said controversially:
“Why should hard-working Americans pay for projects abroad, including education programs in Egypt?”
However, this course of action has sparked backlash, with many arguing that foreign aid is important for maintaining global stability and economic partnerships.
Conclusion
Trump’s suspension of foreign aid put the academic futures of hundreds of Egyptian students in limbo. Although universities have risen to the defense of several affected students, AUC’s partial commitment did not extend to help several of the scholarship recipients.
Beyond education, the funding freeze is affecting employment, healthcare, and social programs, raising the question of the long-term impact of such a sudden policy change.
Students and development workers, with no promise that the suspension will be lifted after 90 days, remain in limbo, hoping for a resolution that may never come.