Funding Freeze: US Withholds $25 Million From Afghan University
The American University of Afghanistan faces financial uncertainty as the State Department cites accountability concerns, leaving roughly 1,000 students, most of them women, to continue their education in secret.
By John Ferrari ·

The American University of Afghanistan will no longer receive a $25 million grant from the United States, a financial cut that leaves the institution’s future operations uncertain. The university, which opened in Kabul in 2006, serves approximately 1,000 students, with three-quarters of the enrollment consisting of women. For these students, the campus represents one of the final remaining avenues for higher education in a country where the Taliban has restricted female access to learning.
The decision was communicated to students through official channels, causing immediate disruption. Laila, a political science major in her mid-twenties, learned of the funding termination via email. Her name has been changed for safety, a common practice among the student body due to the Taliban’s control over the physical campus. She and her classmates now attend lectures through an online platform, often using aliases and keeping video feeds disabled. "I just know their voices," Laila said, describing the limited interaction possible under current security constraints.
The university’s history is deeply tied to American diplomatic efforts following the 2001 intervention. Former First Lady Laura Bush publicly announced the initial US commitment, framing the institution as a place to train "future leaders," particularly women. Patrick Fine, the Afghanistan mission director at USAID at the time, noted that while some officials viewed the project as risky, the administration saw it as a tool to stabilize the emerging democracy and build goodwill for the interim government that replaced the Taliban in 2001.
Financial scrutiny has weighed on the university for years. In 2016, US inspectors general opened an investigation into the institution's finances. By 2018, those auditors concluded that poor accounting practices made it impossible to trace exactly how aid money was spent. John Sopko, a former US federal inspector who oversaw the probe, expressed surprise that the funding had continued for so long. "I was surprised they were still funding AUAF," Sopko said.
The State Department press office told Deutsche Welle that the recent decision reflects the university's "history of repeated lack of accountability for millions of American taxpayer dollars." This explanation was contested by Patrick Fine, who dismissed the rationale as "smear tactics." He acknowledged that previous audits revealed difficulties in complying with USAID's extensive regulatory rules but stated that the reviews "didn't find major fraud." Fine maintained that the university remains "a worthy investment" because it is one of the few organizations still actively reaching Afghan women.
The United States has long been the primary financial backer of the institution. A 2018 US report indicated that the American government covered nearly 90% of the university's costs. While the State Department noted that the university is "free to identify other funders and partners," the loss of the $25 million grant creates a substantial funding gap. The university’s operations are not immediately halted, but the financial instability threatens the continuity of its programs.
For students like Laila, the uncertainty is compounded by the risks of studying in secret. She recounted receiving threatening calls and messages from peers who suspect exposure. She also noted that Taliban officials have entered her home multiple times to search family belongings, raising the fear that university emails could be discovered on her phone. "It's always in the back of my head that maybe tomorrow it's my turn," she said.
Laila’s academic journey has been interrupted by the shifting political landscape. When the Taliban returned to power in August 2021, she was two exams away from completing her degree at another Kabul university. The Taliban’s announcement of a ban on women's education in December 2022 left her previous degree unfinished. She subsequently won a scholarship to AUAF and restarted her studies. "Not every girl got that opportunity," she said.
The loss of funding has taken an emotional toll on students who had planned long-term career paths. Laila, who expected to graduate years ago and pursue a master’s degree abroad, now wonders if she will complete her education within five or ten years. "I have lost all my motivation and hope," she said. She has barely left her room since learning of the cut, questioning whether she will ever hear the next lecture.





