U.S. Halts $50M Health Aid to Zambia Over Widespread Theft

The United States has suspended $50 million in annual health assistance to Zambia, citing the country’s inadequate response to the theft and illicit sale of donated medical supplies, according to U.S. Ambassador Michael Gonzales.

Speaking to journalists, Gonzales stated that the U.S. Embassy had raised concerns in 2024 about the systemic theft of life-saving medications—intended to be distributed freely to Zambians—including treatments for HIV, malaria, and tuberculosis.

“Rather than targeting the supply networks and key perpetrators, law enforcement efforts have largely focused on minor offenders, resulting in only a few mid-level arrests,” Gonzales noted.

Zambia’s Ministry of Health has not issued an immediate response.

The ambassador emphasized that the U.S. government can no longer justify continued high levels of support without sufficient action from Zambia to safeguard these American-funded health initiatives.

Zambia, a heavily indebted country of 21 million people, depends significantly on international aid. U.S. contributions alone account for about one-third of the country’s public health expenditure.

The theft scandal first came to light in late 2021, and inspections at over 2,000 pharmacies in 2023 revealed that many were selling stolen medical products, including those supplied by the U.S., the Global Fund, and the Zambian government.

Despite President Hakainde Hichilema’s 2021 campaign promise to crack down on corruption and attract investment, anti-graft efforts appear to have stalled after an initial wave of high-profile arrests and asset seizures.

Ambassador Gonzales clarified that the aid cut is unrelated to broader U.S. foreign aid reviews and will take effect starting January 2026. He added that the decision comes after three years of diplomatic pressure and a year of intense engagement with the Zambian government, with no satisfactory action taken.