US State Department blocks $25 million grant for American University of Afghanistan

The United States has formally withheld a $25 million grant that served as the primary financial lifeline for the American University of Afghanistan.

This decision removes the core funding source for an institution that has operated as a sanctuary for higher education for Afghan women since 2006. As of 2018, American aid accounted for nearly 90% of the university's total budget. The State Department press office communicated to Deutsche Welle that the refusal stemmed from the university's "history of repeated lack of accountability for millions of American taxpayer dollars." The agency noted that while the university is free to seek other partners, the loss of this specific sum creates immediate financial uncertainty.

The affected student body comprises roughly 1,000 individuals, with women making up approximately three-quarters of the enrollment. Laila, a political science student in her mid-twenties whose name has been changed for safety, discovered the news via email. She currently studies through the university's online platform because the Taliban has seized the physical campus. Her classmates join lectures from home, often using aliases and keeping cameras disabled. "I just know their voices," she said. Laila noted that her path to the university was delayed by the Taliban's return to power in August 2021 and their subsequent ban on women's education in December 2022, which left her previous degree unfinished. She won a scholarship to AUAF to restart her studies, stating, "Not every girl got that opportunity."

The institution's origins date back to 2006, when former US first lady Laura Bush announced US financial commitments intended to train "future leaders," particularly women. Patrick Fine, the former Afghanistan mission director at USAID, recalled that the Bush administration viewed the project as a method to stabilize a young democracy and build goodwill for the interim government. He added that while some critics at the time considered the venture risky or a waste of money, the administration pursued it to support the new government.

Financial oversight became a point of contention in Washington following a 2016 investigation by US inspectors. By 2018, investigators concluded that poor accounting practices made it difficult to trace exactly how aid money was spent. John Sopko, a former US federal inspector who oversaw the probe, expressed surprise that funding continued, telling DW, "I was surprised they were still funding AUAF." Fine rejected the State Department's current justification as "smear tactics." He acknowledged that earlier audits found the university struggled with USAID's extensive rules but emphasized that they "didn't find major fraud." He maintained that the university remains "a worthy investment" due to its unique role in reaching Afghan women.

Fear defines the daily experience of students like Laila, who worry that Taliban authorities might search their devices for university emails. She reported that officials have entered her home several times to search family belongings. "It's always in the back of my head that maybe tomorrow it's my turn," she said. The funding cut has deeply impacted her motivation. Laila, who had expected to graduate years ago and pursue a master's degree abroad, has barely left her room since learning of the decision. She now speculates she may only find a way forward in five or ten years.