The United States Department of Government Efficiency (DOGE), headed by billionaire Elon Musk, has cancelled two contracts in Kenya that will see the country lose over Ksh10 billion worth of investments.
DOGE announced on Thursday, April 3, that it had cancelled a $3.4 million (about Ksh439 million in the current exchange rates) consulting contract for aviation advisors in Kenya.
In a statement, DOGE noted that the move was in line with the department's mandate to do away with "wasteful" contracts.
"Agencies cancelled 47 wasteful contracts today with an $87.5M ceiling value and $30.2M in savings, including a $3.4M US Department of State management consulting contract for aviation advisors in Kenya," the statement read.
Most notably, this is the second major contract DOGE has cancelled from Kenya since it was implemented in late January.
In February, DOGE cancelled another consignment of $79 million (about Ksh10.2 billion in the current exchange rates) meant for "primary literacy" in Kenya.
The cancellation was announced alongside several other aid programs meant for third-world countries in Africa and South America.
Since President Donald Trump took office in January, Musk, one of his biggest campaigners and donors, has been making sweeping reforms through DOGE that have led to not only the cancellation of foreign contracts but also the firing of several government employees.
The cancellation of these multibillion-dollar contracts comes on the heels of President Trump's freeze of temporary aid that led to a pause in several programmes sponsored by the United States Agency for International Development (USAID) in Kenya.
According to a report by the US on Tuesday, April 1, USAID projects that have been halted in Kenya since the executive order are 72, leaving only 11 active of the 83 previously operating in the country.
These 11 active projects are set to continue operations between 2026 and 2029.
Although concerns had been raised over the fate of crucial sectors like health, some of the continuing projects in health supply chain strengthening, HIV/AIDS service delivery, TB diagnosis and prevention, and child protection/OVC and DREAMS programs.
