US steps up efforts to scrutinise foreign funding of universities

The administration of US President Donald Trump is stepping up work to uncover what it sees as malign foreign influence at US colleges and universities, officials say, as they announce that the US State Department will assist the Department of Education in that effort. Trump has threatened to cut federal funding to universities over issues such as anti-Israel, pro-Palestinian protests against the war in Gaza, transgender policies, climate initiatives and diversity, equity and inclusion programs, raising free speech and academic freedom concerns.
Trump, in April 2025, issued an executive order calling for enforcement of Section 117 of the Higher Education Act, which requires that colleges receiving federal funding report gifts or contracts worth more than $250,000 from any foreign source. In December, the Department of Education launched a new portal for universities to report that funding.
US colleges and universities disclosed 8,300 transactions totaling $5.2 billion in 2025 — which includes funding from governments as well as private companies and individuals, the Education Department said in a statement. The largest source of funding last year was Qatar ($1.1 billion), followed by Britain ($633 million) and China ($528 million), it said.
Officials declined to spell out specific examples of how foreign funding had unduly influenced higher education institutions, and said they were primarily seeking to boost compliance by the universities and improve transparency.