Summary
NIH announces significant change in foreign entity awards. NIH eliminates foreign subawards replacing them with linked, direct funding. Article addresses the specific changes and impact.
On May 1, 2025, the National Institutes of Health (NIH) announced a significant change in foreign awards for research funding via Guide Notice NOT-OD-25-104. The agency will replace them with a new structure to improve transparency, strengthen oversight, and enhance international partnerships. This forward-thinking change redefines how the U.S. collaborates on groundbreaking science worldwide. Here’s why this is a game-changer for global research.
Visibility and Oversight of Foreign Awards
The NIH’s revamped approach replaces foreign subawards, funds shared with international collaborators under U.S. grants, with linked independent, direct awards to foreign organizations. Starting September 30, 2025, foreign collaborators must apply for their awards, tied to the prime grant but tracked separately for clarity. Until then, the NIH has:
- Paused new awards to domestic or foreign organizations, including foreign entity subawards.
- Ended prior approval requests to add foreign components to ongoing projects.
- Required renegotiation of new, renewals, and non-competing awards to remove the foreign subawards (funds are to be rebudgeted to a new domestic subawardee or prime).
- Negotiated bilateral terminations to projects that aren’t viable without a foreign subaward.
This thoughtful transition ensures no disruption to critical research, with safeguards for patient safety and animal welfare. The result? NIH leverages a streamlined system where every dollar is traceable, and scientific progress is reported cohesively through Research Performance Progress Reports (RPPR).
Foreign Awards: Innovation and Transparency
The NIH’s policy addresses gaps in subaward oversight, as highlighted in a recent Government Accountability Office report. The new process also aligns with the Federal Funding Accountability and Transparency Act. The new structure ensures compliance with reporting requirements for subawards over $30,000 to build trust with taxpayers and policymakers. This change isn’t about limiting global engagement. It’s about strengthening it. “The NIH is unwavering in its support for international collaboration when conducted transparently and responsibly,” the agency affirmed.
The change also responds to evolving national priorities, ensuring research funds are secure and impactful. By creating a clear framework for foreign grants, the NIH is paving the way for partnerships with allies like the UK, Canada, and Australia, where most subawards flow, to thrive under a modernized system. Far from isolating collaborators, this policy invites them to the table as equal partners.
Empowered Global Science
The impact of this policy is far-reaching. In 2023, 15% of NIH grants fueled international research, from malaria studies in Africa to cancer trials worldwide. The new structure ensures these efforts continue with greater oversight, clarity, and efficiency. NIH Direct awards to foreign collaborators empower scientists in low-resource settings to lead innovation where needed most. Direct awards could accelerate discoveries in global health challenges, like tuberculosis or emerging infectious diseases, that demand cross-border expertise.
The latest change to NIH processes is consistent with the previous NIH modernization efforts (January 2024) that required the adoption of digital tools to share lab data. Researchers are already embracing the change. The shift to independent grants builds on this momentum, offering foreign institutions a chance to shine globally. As posts on X reflect, scientists like @GlobalHealthNow see this as “a step toward equitable research partnerships.”
A Bright Future Ahead
The NIH’s new framework is a masterclass in balancing innovation with accountability. By September 2025, foreign collaborators will navigate a grant process akin to U.S. applicants, leveling the playing field and fostering inclusivity. Leading institutions like Stanford and Johns Hopkins are preparing to guide their partners through this transition, leveraging platforms like Globus to ensure compliance. The NIH’s support continues to be crucial for smaller foreign institutions.
This policy is about trust, collaboration, and impact. Researchers can focus on science, knowing their work aligns with global standards. As NIH Director Monica Bertagnolli noted, “This is about building a future where science knows no borders, but every step is clear and secure.” The pause on new subawards is a small price to pay for a system that promises to amplify global discoveries.
The Bottom Line for Foreign Awards
The NIH’s foreign subaward overhaul is a visionary step toward a more transparent, equitable, and impactful research ecosystem. The NIH strengthens the bonds that drive scientific breakthroughs by empowering foreign collaborators with independent grants. NIH seeks a leap forward for global research. It aims to ensure every partnership focuses on clarity and shared purpose. As the world watches, the NIH sets a new standard for how science can unite nations to solve humanity’s most significant challenges.
