Central European Civil Society Is Caught Between Austerity and Authoritarianism

With USAID suspended and EU programmes under pressure, NGOs in the region face a critical funding gap

15 July 2025

Marzenna Guz-Vetter

Senior Fellow

While Europe boosts defence spending and begins repaying pandemic-era debt, support for independent media and civic organisations is falling off the agenda. With USAID funds gone and EU programmes under strain, the space for democratic resilience in Central and Eastern Europe is narrowing fast.

Democracy support is being squeezed from both sides: as populist governments target NGOs at home, key international donors are pulling away. The EU must now decide whether it will step in – or step back.

Denmark’s presidency of the Council of the EU, beginning in July 2025, will open negotiations on the next EU budget (2028-2034), known as the Multiannual Financial Framework (MFF). These talks will take place amid rising authoritarianism, shrinking civic space and the quiet disappearance of one of Europe’s key democracy backers: USAID.

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Marzenna Guz-Vetter

Senior Fellow

Dr Marzenna Guz-Vetter is a former director of the European Commission Representation in Poland. From 2005 to 2023, she worked for the European Commission's Directorate for Communications. She's a Senior Fellow at Visegrad Insight.

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