Former US President Donald Trump on Tuesday said that billionaire tech mogul Elon Musk - who has been tasked with cutting federal spending - reports directly to him and cannot take any action without his approval.

The remarks come amid mounting concerns over the access granted to Musk’s Department of Government Efficiency (DOGE) within the federal government's payments system.

The concerns were heightened after Musk announced plans to shut down the United States Agency for International Development (USAID), a move that has drawn sharp criticism from lawmakers.

Speaking to reporters at the White House, Trump clarified the extent of Musk’s authority, stating that the Tesla and SpaceX CEO would only be allowed to remove personnel deemed unnecessary, but even then, only with presidential approval.

“Elon has got access only to letting people go that he thinks are no good if we agree with him, and it’s only if we agree with him,” Trump said. “Elon can’t do and won’t do anything without our approval. And we’ll give him the approval where appropriate, and where not appropriate, we won’t; where we think there’s a conflict, we won’t let him go near it.”

The former president defended the move to hand Musk oversight of government spending, claiming that his team had uncovered significant financial waste. “They are finding a tremendous amount of waste, really more waste than anything else,” he said. “Probably fraud and abuse can be added to that. But they are finding tremendous amounts of really bad things, bad spending.”

USAID shutdown sparks criticism

The USAID headquarters was abruptly shut down on Monday, with employees instructed to stay home. The agency, which provides humanitarian and security assistance worldwide, was reportedly closed after Musk announced plans to dismantle it, calling its operations “politically partisan.”

“We have to get rid of the whole thing,” Musk said. “I actually checked with [Trump] a few times. Said, ‘Are you sure?’ Yes, so we’re shutting it down.”

Trump has been a longstanding critic of USAID, previously referring to it as being run by “a bunch of radical lunatics.” His administration had already frozen foreign aid on his first day in office, citing his “America First” policy.