U.S. confirms USAID to stop foreign aid on July 1

The U.S. Agency for International Development will officially stop implementing foreign aid on July 1, U.S. Secretary of State Marco Rubio said.

According to him, America's assistance in the future will be targeted and limited.

The top U.S. diplomat said the U.S. was abandoning what he called a charity-based model and would focus on empowering countries to grow sustainably.

"We will favor those nations that have demonstrated both the ability and willingness to help themselves and will target our resources to areas where they can have a multiplier effect and catalyze durable private sector, including American companies, and global investment," Rubio said.

This new model would prioritize trade over aid and investment over assistance, he said.

The Trump administration has frozen and then cut back billions of dollars of foreign aid since taking office. Donald Trump has said the U.S. pays disproportionately for foreign aid and he wants other countries to shoulder more of the burden.