The U.S. will cut $50 million in annual aid to Zambia due to the theft of donated medicines, after a 2021 investigation revealed widespread selling of U.S.-funded supplies. Despite warnings, the Zambian government failed to address the issue. The cuts, separate from a broader review of aid, will begin in January to allow Zambia time to find alternative drug sources.

The United States announced on Thursday that it would reduce its annual aid to Zambia by $50 million due to what it described as the “systemic theft” of donated drugs and medical supplies. Washington’s ambassador to Zambia, Michael Gonzales, stated that this “difficult” decision followed repeated warnings to the Zambian government to take steps to protect essential medicines, including life-saving drugs for malaria, HIV, and tuberculosis.

Gonzales explained that in 2021, the US discovered that medicine and medical supplies, which were intended to be provided for free to Zambians, were being stolen and sold by pharmacies across the country. An investigation conducted between 2021 and 2023, which examined around 2,000 pharmacies, revealed that nearly half of them were selling medications and products that had been funded by US aid.

Despite being informed of the theft scandal last year, Gonzales said that the Zambian government had failed to take adequate action to address the issue of corruption. As a result, he emphasized that the US was no longer willing to “underwrite the personal enrichment of fraudsters” with American taxpayer money.

The US embassy in Zambia highlighted that it accounts for approximately a third of the country’s public health spending. There was no immediate response from the Zambian government on Thursday.

The aid cuts are separate from a broader review of foreign aid spending initiated by President Donald Trump's administration. Gonzales noted that he had recommended starting the reduction of aid in January next year, giving Zambia time to make alternative arrangements for procuring the life-saving drugs.