USAID Division Relaunches as Nonprofit with $48M in Backing

The Development Innovation Ventures program will continue its work after being eliminated by Trump administration cuts.

Published on Feb. 6, 2026

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A division of the U.S. Agency for International Development (USAID) that was eliminated by the Trump administration last year has been reborn as an independent nonprofit called the DIV Fund. The new organization has secured $48 million in philanthropic backing to continue its work identifying and scaling affordable and effective international development interventions.

Why it matters

The relaunch of the DIV program as an independent nonprofit represents a rare instance of a USAID initiative being preserved after major budget cuts and restructuring under the previous administration. It highlights the efforts of private funders and former USAID staff to sustain critical international development work in the face of reduced government support.

The details

The DIV Fund was previously a division within USAID focused on identifying and scaling cost-effective development solutions through a model of research, piloting, and expansion. With $48 million in funding from two anonymous private donors, the nonprofit will aim to grant out $25 million annually, representing over half of DIV's former budget at USAID. The new organization plans to work with major donors like the World Bank to promote its evidence-based approach to international development.

  • The DIV program was eliminated by the Trump administration's cuts to USAID last year.
  • The DIV Fund was relaunched as an independent nonprofit on February 6, 2026.

The players

DIV Fund

An independent nonprofit organization that continues the work of the former USAID Development Innovation Ventures program, focused on identifying and scaling cost-effective international development interventions.

Michael Kremer

The scientific director of the DIV Fund and a Nobel prize winning economist.

Coefficient Giving

A San Francisco-based foundation that provided a $45 million grant to the DIV Fund, one of the nonprofit's anchor funders.

Otis Reid

The executive director of Global Health & Wellbeing at Coefficient Giving.

Kathryn Oliver

A professor at the London School of Hygiene and Tropical Medicine who studies how evidence informs policy.

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What they’re saying

“The loss of US government support is a huge blow. It's wonderful that private funders have stepped up to help try to fill part of that gap but it's only filling part of the gap.”

— Michael Kremer, Scientific Director, DIV Fund

“It just matters a ton if that money is going towards things that are highly effective or moderately effective or not effective. And I think DIV can play a really crucial role in moving things from the not effective to very effective part of the spectrum.”

— Otis Reid, Executive Director of Global Health & Wellbeing, Coefficient Giving

“It is the most robust research design for answering questions about the effectiveness of interventions compared to usual treatment, absolutely. But it is not the most robust design for answering any other kind of questions, like whether populations find it acceptable or how it compares to other approaches.”

— Kathryn Oliver, Professor, London School of Hygiene and Tropical Medicine

What’s next

The DIV Fund plans to hold an open call for grant applications this year as it works to identify and scale new cost-effective development solutions. The organization will also seek to partner with major donors like the World Bank to promote its evidence-based approach.

The takeaway

The relaunch of the USAID Development Innovation Ventures program as an independent nonprofit demonstrates the resilience of mission-driven international development work in the face of shifting political priorities. The DIV Fund's ability to attract significant private funding highlights the potential for public-private collaboration to sustain critical development initiatives.