The announcement follows recent allegations of sexual exploitation by some Oxfam aid workers in Haiti following the earthquake in January 2010.
The charity has told Guernsey's Overseas Aid Commission: 'with regret we announce that we will not be applying for grant aid funding until at least 2020. We are immensely thankful for the support the Guernsey Overseas Aid and Development Commission has provided Oxfam over the years - not just in humanitarian response but also the longer-term development programmes lifting people out of poverty for good.'
Oxfam said that it intended that 'significant progress will have been made on this matter' before it would consider making funding applications again.
The States has gifted nearly £500,000 to Oxfam since 2010.
Overseas Aid said it was introducing new compliance checks for all charities who are awarded funding.
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