US Withholds $25 Million Grant, Leaving 1,000 Afghan Students Without Core Funding

The United States has stopped funding the American University of Afghanistan, removing the primary financial support for one of the few institutions where women in the country can earn degrees. The State Department press office informed Deutsche Welle that the decision stems from the university's history of accountability issues. This action leaves roughly 1,000 students, about three-quarters of whom are women, facing an uncertain future for their online education program.

Laila, a political science student in her mid-twenties, learned of the cut via email during a break in her sleep. She studies in secret through the university's online platform because the Taliban have seized the physical campus. Her classmates use aliases and often keep cameras off during lectures. "I just know their voices," Laila said. She is part of a cohort that has had to restart their academic paths after previous institutions closed or froze their records.

The disruption to her education began when the Taliban returned to power in August 2021. At that time, Laila was at another Kabul university with only two exams remaining. When the Taliban banned women's education in December 2022, her degree remained unfinished. She later won a scholarship to the American University of Afghanistan, but she noted that not every female student had that second chance. Now, she faces the possibility of another interruption.

Daily life for these students is shaped by the fear of detection. Some peers have received threatening calls and messages. Laila worries that Taliban authorities could search her phone and find university correspondence. She said officials have entered her home several times to inspect family belongings. "It's always in the back of my head that maybe tomorrow it's my turn," she said. Since receiving the news about the funding cut, she has barely left her room.

The university opened in 2006 with an announcement by former US first lady Laura Bush. Bush described the institution as a place to train future leaders, particularly women. Patrick Fine, who served as the Afghanistan mission director at USAID, recalled that many at the agency viewed the project as risky. He said the Bush administration saw it as a way to stabilize a young democracy and build goodwill for the interim government.

Financial scrutiny increased in Washington in 2016 when US inspectors began investigating the university's finances. By 2018, inspectors reported that poor accounting made it difficult to track exactly how aid money was spent. John Sopko, a former US federal inspector who oversaw the probe, told Deutsche Welle he was surprised they were still funding the institution. The State Department now cites this history of repeated lack of accountability for millions of American taxpayer dollars as the reason for the current decision.

Fine rejected the accountability explanation as smear tactics. He acknowledged that earlier audits found the university struggled with USAID's extensive rules, but he stated they did not find major fraud. He called the university a worthy investment because it remains one of the few organizations still reaching Afghan women. The US has long paid most of the bills, covering nearly 90% of the university's costs as of 2018 according to a US report.

The State Department said the university is free to identify other funders and partners, meaning the end of American taxpayer money does not necessarily stop operations. However, the specific $25 million grant that was refused was a major source of revenue. Without it, the university's financial stability is in question. Laila said she has lost all motivation and hope. She had expected to graduate years ago and pursue a master's degree abroad. Now she thinks she may find a way to finish her studies in five or ten years.