Who is Veena Reddy? Ex-USAID India director faces heat over $21 mn funding

The BJP, and the Congress clash over Trump's $21 million voter turnout funding claim; records show the amount was sanctioned for Bangladesh in 2022, not India

A heated exchange has broken out between the Bharatiya Janata Party (BJP) and the Congress regarding US President Donald Trump’s remarks on the allocation of $21 million for voter turnout efforts in India. On Thursday, the BJP attempted to draw a connection between Trump’s statements and Rahul Gandhi’s 2023 comments, where he seemingly lamented the lack of international concern over India’s democracy. Meanwhile, the Congress called for the Indian government to issue a white paper detailing the US agency’s financial support to both governmental and non-governmental institutions in the country over the years.  

 

In a speech in Miami on Wednesday, Trump said, “Why do we need to spend $21m for voter turnout in India? Wow, $21 million. I guess they were trying to get somebody else elected.”

 

 

$21 million for Bangladesh

However, available records suggest that initial assumptions may have been unfounded. Documents accessed by The Indian Express indicate that the $21 million in question was actually sanctioned in 2022 for Bangladesh, not India.  

 

Out of this amount, $13.4 million has already been distributed, reportedly for initiatives related to “political and civic engagement” among Bangladeshi students ahead of the January 2024 elections. These projects have raised concerns regarding the credibility of the elections — occurring seven months before Sheikh Hasina’s removal from power, the news report said.

 

A LinkedIn post from December 2024 by USAID advisor in Dhaka, Lubain Masum, confirms the multimillion-dollar grant through the Consortium for Elections and Political Process Strengthening (CEPPS).  

 

At the core of the controversy are two USAID grants, listed by DOGE, which were routed through CEPPS — a Washington, DC-based organisation known for its work in “complex democracy, rights, and governance programming.”  

 

As the $21 million funding controversy unfolded, focus also shifted to Veena Reddy, former India director of the US Agency for International Development (USAID), following questions raised by BJP MP Mahesh Jethmalani regarding her role in the allocation of funds.

 

In a post on X, Jethmalani said, “...Veena Reddy was sent to India in 2021 (ominous?) as head of USAID’s Indian mission. After Lok Sabha elections 2024 (presumably her voter turnout mission done), she returned to the US. Pity because investigating agencies here could have asked her some questions about who this money was given to for applying it to voter turnout operations.”

 

Who is Veena Reddy?  

Veena Reddy, a US diplomat of Andhra Pradesh origin, is a career member of the US Senior Foreign Service. She has held several key positions within the US Agency for International Development (USAID), including serving as the mission director for India and Bhutan. Appointed in 2021, she made history as the first Indian-American to lead USAID’s operations in these countries.  

 

On July 17, 2024, Reddy announced her return to the United States, more than a month after the Lok Sabha elections were declared, according to India Today.  

 

Before her tenure in India, Reddy held various roles within USAID. She previously served as the mission director in Cambodia, overseeing programs related to food security, environmental sustainability, healthcare, education, child protection, and governance. Additionally, she worked as deputy mission director in Haiti, where she was responsible for managing post-earthquake reconstruction and economic development initiatives.  

 

Reddy holds a Juris Doctor from Columbia University School of Law, along with both a Master of Arts and a Bachelor of Arts from the University of Chicago. Before joining USAID, she worked as a corporate attorney in New York, London, and Los Angeles.