USAID Dissolution Forces Nepalese LGBTQ Aid Workers Into Sex Work

The dissolution of the United States Agency for International Development (USAID) by Donald Trump in January 2025 has triggered a humanitarian crisis in Nepal. Approximately 35,000 aid workers in the country lost their positions, including staff from the Blue Diamond Society and Friends Hetauda who provided HIV outreach, testing, and prevention services.

Reports indicate that roughly 100 LGBTQ aid workers, including many transgender individuals, have turned to sex work to survive due to severe cultural discrimination and a lack of legal employment options. This shift has resulted in an increase in violence and gang rape, while the loss of funding for PrEP and antiretroviral medications has caused a spike in HIV prevalence.

The United States Department of State defended the cuts as a move toward efficiency, arguing that other nations must share the burden of global aid. In the U.S., the situation sparked a conservative backlash. Representative Brandon Gill argued that the reports justify the defunding of USAID by demonstrating a misuse of taxpayer funds.

Manisha Dhakal, Executive Director of the Blue Diamond Society, warned that the loss of 85% of the organization's funding would cause deaths, noting that a single decision by a powerful country has eliminated essential health services.