US Supreme Court Sides With Trump in Clash Over $4bn Foreign Aid

By Mintesinot Nigussie
Published on 09/27/25

The US Supreme Court has once again ruled in favour of President Donald Trump, allowing his administration to block about $4 billion in foreign assistance that Congress had already approved for the 2025 fiscal year, Reuters reported.

The ruling overturns an earlier order from US District Judge Amir Ali, who had instructed the administration to release the funds. His decision came after aid groups sued, arguing that the White House cannot simply refuse to spend money allocated by lawmakers.

At the heart of the case is whether a president can halt the disbursement of congressionally appropriated funds if they conflict with his policy agenda. Trump’s legal team contended the targeted funds were “contrary to US foreign policy,” aligning with his “America First” approach that has sought to cut foreign aid and weaken the role of the US Agency for International Development.

The $4 billion in question was earmarked for United Nations peacekeeping, overseas democracy programmes, and other foreign aid commitments. Congress had approved around $11 billion in aid last year, much of which is due to expire when the fiscal year ends on September 30.

The administration attempted to use what it called a “pocket rescission” to delay spending, a rarely used mechanism that effectively prevents funds from being obligated before they expire. Justice Department lawyers told the court that Judge Ali’s order posed “a grave and urgent threat to the separation of powers,” saying it would be “self-defeating and senseless” for the executive branch to spend money it was actively asking Congress to cancel.

The Court of Appeals for the District of Columbia Circuit had earlier refused to block Ali’s ruling, but the Supreme Court intervened on September 9 by temporarily pausing it. On Friday, the justices sided with the administration, marking another in a series of decisions where the conservative-majority court has supported Trump since his return to office in January.

In March, however, the court narrowly ruled against the administration in a related dispute, rejecting by 5-4 a request to withhold about $2 billion US dollars already owed to aid groups for work completed under government contracts.