The decision concerns a lower federal court's order that the money – intended as payment for already performed aid work – is to be paid out.
The Supreme Court was divided in its decision, which was passed with the vote count 5–4. Samuel Alito led a quartet of conservative judges who voted against. He writes in a dissenting opinion that the lower court does not have the authority to order the payments and that it is a matter of "judicial hubris".
The federal court will now decide on a new deadline for when the money is to be paid out, as the previous deadline has expired.
Trump announced in February that the American aid agency USAID would be shut down and aid would be frozen. Since then, thousands of aid and development programs around the world have been terminated.
In total, it concerns aid worth 60 billion dollars, equivalent to approximately 640 billion kronor.