Politics January 22, 2026

U.S. Broadens Mexico City Policy to Encompass Gender Ideology and DEI Initiatives

Trump Administration Extends Aid Restrictions to International and Domestic NGOs Targeting Abortion and Equity Policies

By Ajmal Hussain
U.S. Broadens Mexico City Policy to Encompass Gender Ideology and DEI Initiatives

The Trump administration is set to widen the scope of the Mexico City Policy, which restricts U.S. funding to organizations that provide or promote abortions, by including groups engaged in what it terms 'gender ideology' and diversity, equity, and inclusion (DEI) initiatives. This regulatory expansion covers both international organizations and U.S.-based non-governmental organizations, affecting approximately $30 billion in foreign assistance. This move aligns with previous government actions aimed at limiting programs related to transgender acceptance and diversity efforts overseas.

Key Points

  • The Mexico City Policy is expanding to restrict U.S. aid not only for abortion-related services but also for organizations promoting 'gender ideology' and diversity, equity, and inclusion (DEI) initiatives.
  • This policy shift affects both international NGOs and U.S.-based nongovernmental organizations, encompassing around $30 billion in foreign assistance.
  • The move forms part of broader governmental efforts to limit programs associated with transgender acceptance and diversity both domestically and abroad, including a shutdown of certain USAID activities.

The U.S. government, under the Trump administration, announced plans to expand the existing Mexico City Policy, which historically cuts off American funding to entities involved in abortion services or advocacy. An administration official disclosed on Thursday that this policy will be broadened to also cover organizations involved in what they describe as 'gender ideology' and initiatives pertaining to diversity, equity, and inclusion, often abbreviated as DEI.

Originally adopted by President Ronald Reagan in 1984, the Mexico City Policy, sometimes referred to as the 'global gag rule' by its critics, prohibits foreign NGOs receiving U.S. aid from engaging in abortion-related activities. The policy has seen successive reversals aligned with the party in the White House, having been lifted by Democratic presidents and restored under Republican administrations. Its most recent reinstatement occurred in January 2025 through the Trump administration.

The official, who spoke anonymously, stated that the State Department will issue three final rules on Friday to enforce this expansion. These rules will ensure that U.S. foreign aid, totaling around $30 billion, does not financially support abortion services or advocacy, as well as what the administration classifies as 'gender ideology' and discriminatory equity or DEI programs.

In line with this policy adjustment, the administration has aggressively curtailed domestic and international programs supportive of transgender rights and gender-affirming care. This has included a significant restructuring of U.S. foreign aid management, notably the closure of the U.S. Agency for International Development offices and personnel reductions in diversity and inclusion initiatives. Critics claim these moves undermine support for marginalized communities, while supporters argue they prevent discrimination against whites and males.

Additionally, the State Department has recently indicated it will identify enforcement of pro-diversity policies and government subsidies for abortion services as potential human rights violations in its official reports, expanding the scope of its foreign policy narrative on these topics.

Risks

  • The expansion of restrictions on funding could reduce support for international organizations working in reproductive health, gender-related rights, and inclusion programs, potentially impacting healthcare and social progress sectors.
  • The shift may provoke international criticism and complicate diplomatic relations with countries or NGOs that prioritize gender equity and reproductive rights, influencing foreign aid effectiveness.
  • Potential legal and political challenges could arise domestically and internationally due to the controversial nature of the expanded policy, creating uncertainty in nonprofit and foreign assistance sectors.

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