Bangladesh’s Rohingya refugee camps are facing some of the hardest times since the mass displacement began in 2017. A sharp decline in aid, driven by the cancellation of U.S. assistance and decreasing international contributions, has left more than a million refugees in a precarious situation. Projects that once ensured food, medical care, clean water, schooling, job training, and disaster preparedness have been halted, leaving families with growing fears about their survival. In this Q&A, we look at the scale of the funding crisis, who is most affected, and what could happen if the gap is not filled.
How severe is the funding shortfall, and who is bearing the heaviest burden?
Since January 2025, U.S. funding cuts worth US$550 million have forced more than 100 refugee and development projects to shut down. According to Caritas, initiatives that focused on women and children have been among the hardest hit, with resources for child protection having shrunk by more than a third, while programs tackling gender-based violence have lost half their support.
At the same time, food insecurity is also worsening. With incomes declining and the cost of basic goods rising, families are being pushed into desperate choices, selling off essentials to put meals on the table, or pulling children from classrooms so they can earn money instead.
The impact also extends beyond the camps. Bangladesh has lost around US$700 million in halted USAID projects, and more than 50,000 development workers are now out of a job.
Nevertheless, the 2025 appeal for US$255 million launched by the United Nations High Commissioner for Refugees (UNHCR) has reached only about a third of its target. The United Nations refugee agency warned that it has secured just 16% of the nearly US$935 million needed to support both refugees and host communities. The World Food Programme also warned that a lack of funds was leaving it no choice but to slash food assistance for the Rohingya refugees. The monthly voucher that once provided US$12.50 per person has been reduced to just US$6.
“These funding gaps will affect the daily living of Rohingya refugees as they depend on humanitarian support on a daily basis for food, health and education,” said UNHCR spokesperson Babar Baloch.
What’s the impact on public health and how are refugees coping?
The health system in the camps is under enormous strain. Clinics have already reduced their services, being forced to cut access to safe childbirth care, rehabilitation for injuries, and support for people with disabilities. If new support does not arrive soon, many essential services could collapse as early as September.
Pregnant women fear unsafe deliveries, whereas children are increasingly at risk of malnutrition, and families worry that desperation in the camps could fuel more crime. Day by day, refugees feel more trapped, watching the services that once gave them a lifeline disappear before their eyes.
What do the aid cuts mean for refugees now that the monsoon season is there?
In the crowded refugee camps, the arrival of the monsoon brings fresh waves of fear. Rain turns the steep paths into dangerous slides, while landslides threaten to bury the fragile toilets, water points, and walkways that hold daily life together. For years, small community projects helped refugees to shore up slopes, clear drains, and keep the camps passable. Now, with funding cut back, only a fraction of those projects remain, leaving shelters exposed to risks.
Parents fear for their children’s safety on crumbling walkways, and families worry that collapsing infrastructure could cause fatal accidents. Afruza Sultana, part of BRAC’s Site Management Support team, said:
“Humanitarian funding may be shrinking, but the needs on the ground are not. We urge the global community to remember that behind every budget line are human lives, aspirations, and the fragile stability of one of the world’s most vulnerable populations.”
How have aid agencies and NGOs responded?
Organizations that work on the ground in Bangladesh are scrambling to adjust. Many are trying to find new sources for funding, while others have simply shut down the programs due to a lack of financing. For instance, The Carter Center had to suspend local women’s rights programs and drastically reduce its team, dropping from ten districts to just two operational areas. Médecins Sans Frontières (MSF) is also under pressure, not just from funding cuts but because it is overwhelmed by rising needs as other aid providers scale down.
Many organizations are seeking new partners and donors, but the outlook will remain bleak without significant international engagement.
What’s at stake if the gap isn’t filled?
Bangladesh does not have the resources to cover this shortfall on its own. Without international support, refugees could lose access to health clinics, food distribution, and protection services. Famine, disease outbreaks, declining mental health, and social unrest are real threats to the roughly one million Rohingya in the camps.
In the longer term, scaling back aid also means losing strides made towards women’s empowerment, education, and community resilience, leaving people even more vulnerable.
