Southeast Asia’s foreign assistance to fall more than $2bn next year | News

Development financing to Southeast Asia is expected to fall by more than $2bn in 2026 due to recent cutbacks by Western governments, according to a major Australian think tank.

The Sydney-based Lowy Institute predicted in a new report on Sunday that development assistance to Southeast Asia will drop to $26.5bn next year from $29bn in 2023.

The figures are billions of dollars below the pre-pandemic average of $33bn.

Bilateral funding is also expected to fall by 20 percent from about $11bn in…