Indo-Pacific Foreign Assistance Conference: The United States Restructures Its Foreign Assistance in the Region

 

On 15 December 2025, the U.S. Department of State hosted the Indo-Pacific Foreign Assistance Conference in the United States, with the participation of diplomats and senior officials. The conference aimed to discuss the direction and implementation mechanisms of U.S. foreign assistance amid intensifying strategic competition.

 

In terms of substance, the conference clarified Washington’s new approach: foreign assistance is no longer viewed as a purely humanitarian activity, but rather as a policy instrument designed to directly serve strategic priorities and amplify national power.

 

The United States emphasized five key pillars: (i) aligning foreign assistance with the 2025 National Security Strategy; (ii) shifting toward targeted, conditional, and performance-based aid; (iii) integrating assistance with regional security objectives, particularly maritime security and freedom of navigation; (iv) promoting economic connectivity and private-sector investment by U.S. companies; and (v) enhancing partners’ self-reliance and resilience, thereby reducing strategic dependence.

 

The conference also underscored the role of foreign assistance in addressing non-traditional and transnational security challenges, while identifying strategic infrastructure development in South Asia and the Pacific Island countries as a central priority.

 

In terms of implementation, the United States prioritized an interagency cooperation model involving the Department of State, specialized agencies, and U.S. businesses, while gradually moving away from NGO-centered and recipient-centered aid models.

Overall, the conference reflects a clear shift in U.S. policy from development-and humanitarian-oriented aid toward strategic assistance, framing the Indo-Pacific as a core interest and considering foreign aid as a tool for influence competition - particularly vis-à-vis China. This approach not only creates opportunities for partners to access new resources, but also compels them to take a more proactive role in shaping cooperation frameworks and defining their own strategic priorities.