How Myanmar’s civic space is shrinking after USAID cuts

The funding cuts have had an immediate and devastating effect on groups working across borders

Originally published on Global Voices

This article by Yoon Mya Lay and Shatjam was originally published on March 5, 2025, on The Irrawaddy, an independent news website in Myanmar that has been exiled in Thailand since the military coup in 2021. An edited version is republished on Global Voices as part of a content-sharing agreement.

United States President Donald Trump’s stop-work order on January 20 has had devastating consequences for development agencies, media outlets, and key stakeholders that have been speaking out for people in dire conditions across the globe.

Although human rights defenders consistently stand at the forefront of crises —amplifying voices, addressing critical issues, and seeking justice — their presence is often overlooked or treated as a secondary priority. This may be because their work focuses on advocacy and systemic change, which takes time and does not always yield immediate, tangible results.

Globally, only a few governments are willing to invest in human rights work, particularly in politically unstable regions. This is understandable to some extent, as human rights efforts are inherently complex, often entangled with political challenges, and require strong governmental influence to be effective.

As a longstanding global superpower, the U.S. has played a significant role in shaping world politics, with democratic values seen as an ideal by many communities. But President Donald Trump’s decision to withdraw support for human rights has raised serious concerns, most notably where it impacts Myanmar’s human rights defenders.

In light of these developments, we explore the impact of the cuts on those working for human rights in Myanmar, the strategies of those affected by them for sustaining their advocacy, and their perspectives on the future.

Myanmar’s civic space under pressure as funding dries up

The USAID funding cuts have had an immediate and devastating effect on civil society organizations (CSOs) working across borders. Many have been forced to stop paying office rent and salaries, leaving employees struggling to meet basic needs such as food and clothing. In Thailand, where many exiled human rights defenders and activists are based, this crisis coincides with the visa extension period, further worsening their situation.

As salaries disappear, organizations are losing skilled labor. Employees are taking on side jobs to survive, which has reduced the workforce in the civic space. In key areas such as Chiang Mai and Mae Sot, the impact is particularly severe. Clinics and refugee camps that relied on aid have halted medical treatment and food distribution, leaving displaced people in dire straits.

The abrupt halting of ongoing projects has also created a significant trust deficit between local CSOs and beneficiaries. Many communities do not fully understand the complexities of donor restrictions; instead, they perceive these sudden shutdowns as broken promises. USAID’s requirement to vet beneficiaries for sanctions compliance has further delayed aid delivery.

Locals are struggling to survive. Even their basic needs for food and clothing are unmet. This is no longer a situation where they can even consider helping others in need.

We had to halt the entire operation, forcing all staff to resign voluntarily. In fact, we had already spent some of our own funds in advance, hoping that the payment would arrive soon to cover safe houses and urgent needs.

I feel guilty for asking my friend, a CDMer [Civil Disobedience Movement or CDM] working at a factory, to leave her job and join me at the organization — only for her to now be unemployed. Though her family is pressuring her to return to the factory, it’s not that simple.

Some of my friends are now considering returning to Myanmar even though they know the risks are extremely high. Unfortunately, they don’t seem to have many other options.

The stop-work order has severely impacted exiled HRDs and activists, affecting both their operations and mental well-being. While they may not face immediate physical danger, many rely on foreign aid for safe houses, legal documentation, and basic necessities.

More threats emerging

With many civic watchdogs and independent media outlets forced to halt operations, concerns are rising over the increasing influence of pro-junta groups spreading hate speech, misinformation, and disinformation on platforms like TikTok, Telegram, and Facebook. The downsizing of teams means fewer resources to monitor, issue early warnings, or counter-propaganda, ultimately weakening the pro-democracy movement.

With our team downsizing, we can no longer effectively monitor these platforms, produce early warnings, or provide timely information to the public. This will ultimately weaken the pro-democracy movement.

For us, the impact is not significant in the short term since we have only one USAID-funded project while the rest are supported by non-USG funding, which we can still rely on for this year. Our main concern is for next year. However, due to the suspension of the USAID project, we are unable to provide protection support to our network partners and members facing high-risk situations, particularly for their safe houses and urgent needs.

I’m saddened by the fact that all initiatives supporting atrocity prevention, such as early warning and response activities for airstrikes, have been halted. This will undoubtedly leave a massive number of civilians unprotected and in danger.

Fighting the good fight despite adversity

What comes next? While some CSOs continue their work without salaries, others are searching for alternative funding sources, though no immediate replacements have materialized.

Amidst this funding cut, we are striving to sustain ourselves by learning new skills through online training, reporting public interest stories through our podcast, and staying positive and healthy. We must continue doing what we are committed to.

Many human rights defenders and activists remain determined to push forward. They recognize that civic space will continue to shrink unless they find ways to sustain their work, build solidarity, and adapt to these challenges.

This is a crucial moment for civic space in Myanmar and beyond. The USAID cuts have exposed vulnerabilities within the aid-dependent ecosystem of human rights work. Yet the resilience of activists and civil society groups remains strong. Their fight is not just about securing funds — it’s about keeping the struggle for justice alive.

*Yoon Mya Lay and Shatjam (alias) are human rights and development practitioners from Myanmar.

Written by The Irrawaddy