Policy Updates

On December 8, 2025, Sweden announced that development assistance to five countries—Zimbabwe, Tanzania, Mozambique, Liberia, and Bolivia— will be phased out to redirect at least SEK10 billion (US$1.1 billion) to Ukraine in 2026.

Minister for International Development Cooperation and Foreign Trade Benjamin Dousa stated that Sweden needed to make difficult priority decisions to increase support to Ukraine, which faced pressure at negotiations and on the front lines. In June 2025, Sweden's government allocated nearly SEK1.7 billion (US$187 million) from the development assistance budget to support Ukraine and crucial humanitarian operations globally.

The Swedish government emphasized that assistance would be phased out in a responsible and orderly manner while establishing a transformed partnership focused on trade and foreign policy interests, with humanitarian assistance being unimpacted by the phase out.

As part of the phase-out, Sweden's embassies in Bolivia, Liberia, and Zimbabwe will be closed. Diplomatic relations with these countries will be continued through concurrent accreditation from embassies in neighboring regions.

Australia announced AUD5 million (US$3 million) in additional emergency assistance on December 4, 2025, to support communities affected by cyclones and flooding across the Indo-Pacific region, bringing the country's total humanitarian response to over AUD14 million (US$9 million) since October 2024.

Australia has allocated AUD2.5 million (US$2 million) specifically for Sri Lanka in response to Cyclone Ditwah, increasing Australia's total support for the country to AUD3.5 million (US$2 million). The funding supported emergency relief supplies, shelter, food, water, sanitation, health, and education services for displaced communities. Minister for Foreign Affairs Penny Wong and Minister for International Development Anne Aly emphasized that the assistance prioritized vulnerable groups, including women, girls, and people with disability. Australia delivered the support through Australian NGOs and the UN in coordination with affected countries.

Cyclones, floods, earthquakes, and landslides affected communities in Indonesia, Malaysia, Philippines, Sri Lanka, Thailand, and Viet Nam in recent weeks. The Australian government described the funding as part of the country's commitment to serve as a reliable partner across the Indo-Pacific region.

Australia announced AUD50 million (US$33 million) on December 3, 2025, to strengthen disability rights movements across the Indo-Pacific region through a new initiative called Stronger Movements, Stronger Futures, representing the country's largest international investment dedicated to disability.

The Australian Government designed the initiative to ensure people with disability remain at the center of policy and decision-making at national, regional, and global levels. Minister for Foreign Affairs Penny Wong and Minister for International Development Anne Aly stated that the investment aligned with Australia's International Disability Equity and Rights Strategy, which the government released in November 2024. Australia partnered with three organizations of people with disability for the initiative: the International Disability Alliance, Pacific Disability Forum, and ASEAN Disability Forum.

The Australian government announced the funding on International Day of People with Disability. Wong and Aly emphasized that the initiative reflected Australia's commitment to removing barriers and creating opportunities for full participation in society, noting that inclusive societies demonstrate greater potential for economic growth and social cohesion.

On Decembr 2, 2025, donors pledged US$1.2 billion at the annual UNHCR Pledging Conference in Geneva for 2026 operations, slightly above the 2025 pledge and covering nearly 18% of UNHCR's projected funding needs.

UNHCR's National Partners committed an additional US$350 million from private sector fundraising, bringing total pledges to US$1.5 billion. Several governments confirmed multi-year contributions extending into 2027 and beyond to strengthen UNHCR's long-term planning.

UNHCR Comissioner Filippo Grandi stated that early and flexible funding provided a lifeline to respond quickly to new emergencies and deliver solutions in neglected crises. Top government contributors included Denmark, Germany, Japan, the Netherlands, and Norway, with substantially increased contributions from Ireland, Luxembourg, and Iceland. The European Union confirmed significant funding already committed for 2026, while Austria and Spain joined the group of governments pledging support to UNHCR.

Unearmarked funding pledged dropped to 17% of total pledges, nearly half of 2023 levels, while earmarked funding for specific countries and activities increased. Norway, Denmark, Germany, Switzerland, and Ireland pledged the largest amounts of unearmarked funding.

Norway has announced NOK450 million (US$45 million) to the UN Central Emergency Response Fund for 2026 and increased 2025 support by NOK20 million (US$2 million) to NOK470 million (US$47 million) on December 2, 2025.

Minister for International Development Åsmund Aukrust stated that CERF is one of the most important mechanisms for providing rapid life-saving assistance and protection to those most in need. Humanitarian needs continued to increase while global funding decreased, with persistent war, conflict, and climate-related disasters driving the growing number of people in need.

Aukrust emphasized that predictable and flexible funding as core support to CERF enabled humanitarian actors to deliver quickly and effectively when crises arose or worsened. CERF was also one of the most important mechanisms for early intervention in advance of crises to minimize consequences of natural disasters.

The UN and partners plan to launch the global humanitarian plan for 2026 in mid-December 2025. Aukrust noted that although Norway is maintaining humanitarian support, total funding is expected to continue to decline.

Sweden announced a SEK1.1 billion (US$122 million) civilian support package to Ukraine on December 2, 2025, to meet reconstruction needs and strengthen resilience ahead of winter, with funding allocated to energy supply, infrastructure repairs, reforms, and healthcare.

Minister for International Development Cooperation and Foreign Trade Benjamin Dousa and Minister for Energy and Enterprise Ebba Busch jointly announced the package, stating that Russia has intensified attacks on civilian infrastructure as temperatures drop leaving millions of Ukrainians without access to electricity, heat, and water ahead of the worst winter since 2022.

The package allocated SEK700 million (US$77 million) to the Nordic Environment Finance Corporation for green reconstruction, SEK225 million (US$25 million) to the Energy Community Ukraine Energy Support Fund for power generation and critical infrastructure repairs, and SEK115 million (US$13 million) to the World Bank's Ukraine Relief, Recovery, Reconstruction and Reform Trust Fund for energy and housing infrastructure. Sweden also allocated SEK50 million (US$6 million) to the EBRD to strengthen Ukraine's capacity for EU membership reforms and SEK22 million (US$2 million) for life-saving efforts against HIV and tuberculosis.

On November 28, 2025, the Netherlands announced an additional EUR10 million (US$12 million) in additional emergency funding for Sudan through the UN Sudan Humanitarian Fund.

State Secretary for Foreign Trade and Development Cooperation Aukje De Vries stated that Sudan is experiencing the largest humanitarian crisis, with more than 21 million people facing acute food insecurity and famine declared in parts of the country. Violence in the city of El Fasher and the wider Darfur region has exacerbated humanitarian needs, while delivery of humanitarian supplies is faced with logistical and administrative issues on top of insecurity. The announcement brought total Dutch support for emergency aid to Sudan to over EUR33 million (US$38 million) in 2025, including contributions to the Dutch Relief Alliance and the Red Cross and Red Crescent Movement.

The Netherlands previously contributed EUR16 million (US$19 million) to the Sudan Humanitarian Fund. The country has also contributed EUR55 million (US$64 million) annually to the UN Emergency Response Fund, which released US$47 million in aid to Sudan in 2025. Over 9 million people have been internally displaced due to the ongoing conflict, with 4 million Sudanese fleeing to neighboring countries.

On November 28, 2025, the German parliament approved the federal budget for 2026 totaling EUR524.5 billion (US$605.8 billion), allocating EUR10.05 billion (US$11.6 billion) to the BMZ, a decrease of EUR251 million (US$290 million) compared to 2025, confirming a downward trend in ODA.

The Foreign Office's budget increased slightly by EUR132 million (US$152 million) compared with 2025. While humanitarian assistance rose by EUR23 million (US$27 million), it failed to offset the EUR1.3 billion (US$1.5 billion) cut in 2025. The Ministry of Health's global health budget decreased by EUR15 million (US$17 million) to EUR117 million (US$135 million), an 11.5% decline.

German Finance Minister Lars Klingbeil already called for a consolidation plan to address a projected EUR12 billion (US$13.9 billion) funding gap in 2027. Long-term projections showed the BMZ budget declining to EUR9.3 billion (US$10.7 billion) by 2028. SEEK Development projected the ODA to gross national income ratio declining from 0.67% in 2024 to 0.43% by 2029.

On November 27, 2025, Australia announced AUD48 million (US$32 million) to support Pacific Island countries in managing increasing HIV infections through technical assistance, disease surveillance, and co-investment in national public health responses.

Minister for Foreign Affairs Penny Wong, Minister for Pacific Island Affairs Pat Conroy, and Minister for International Development Anne Aly jointly announced the program ahead of World AIDS Day on December 1. The officials stated that rising rates of HIV and co-infections like tuberculosis are placing increased pressure on Pacific health systems, societies, and economies, and they reaffirmed Australia's support to ending the global AIDS epidemic by 2030.

The funding will assist Pacific governments to contain the spread of HIV by sharing Australian knowledge and expertise and investing in community-led responses. The announcement complemented broader and longstanding Australian support to strengthen national health systems in the region and beyond.

The program will focus on partnering with Pacific countries to reduce HIV transmission and support people living with HIV. Australia has committed to co-investing with Pacific partners to strengthen nationally led HIV responses and advance resilient health systems capable of responding effectively to HIV.

On November 25, 2025, the US State Department approved a grant of up to US$150 million over three years to Zipline International Inc., an American robotics and autonomous drone delivery company, to expand healthcare operations in Rwanda, Ghana, Nigeria, Kenya, and Côte d'Ivoire, potentially reaching 15,000 health facilities and providing 100 million people with access to blood and medications.

The grant marked one of the first major US global health funding announcements since the Trump administration's foreign assistance freeze, dismantling of USAID, and release of its 'America First' global health strategy. US Undersecretary of State for Foreign Assistance, Humanitarian Affairs, and Religious Freedom Jeremy Lewin characterized the partnership as an example of innovative, results-driven partnership at the core of the America First foreign assistance agenda.

The funding was structured on a pay-for-performance basis, with initial payments unlocked when participating governments signed contracts committing to pay for ongoing logistics services. The five governments committed to pay up to US$400 million in utilization fees. Rwanda, where Zipline began operations in 2016, is expected to be the first to sign.