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US Foreign Aid: Meeting the Challenges of the 21st Century


Advance Peace and Security Regional Security Avert and resolve local and regional conflicts to preserve ... the Pacific --Europe and Central Asia Advance ... – PowerPoint PPT presentation

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Title: US Foreign Aid: Meeting the Challenges of the 21st Century

US Foreign Aid Meeting the Challenges of the
21st Century
  • US Agency for International Development
  • January 2005

Development can succeed
  • 50 Years of Development Gains
  • Average infant mortality in developing countries
    equivalent to 1950s industrialized countries
  • From 1951 to 1998, if population living on
    1/day dropped from 55 to 20
  • In 1950s, 27 world population had life
    expectancy less than 40 years. By 2000, only .2
    remain that low.
  • In 1950s, Korea, Taiwan, Singapore, Malaysia and
    Thailand all considered basket cases

Challenges are growing.
  • Post-Cold War context Globalization and War on
  • Increasing demands for foreign aid
  • Multiple actors in foreign aid

MissionState Department and US Agency for
International Development
  • Create a more secure, democratic and prosperous
    world for the benefit of the American people and
    the international community.
  • Principal aims are anchored in the Presidents
    National Security Strategydiplomacy, defense and

Creating a more secure, democratic and prosperous
  • First, we will strive to build and maintain
    strong bilateral and multilateral relationships
    in pursuit of our mission.
  • Second, we must protect our nation, our allies,
    and our friends against the transnational dangers
    and enduring threats arising from tyranny,
    poverty and disease.

Create a more secure, democratic and prosperous
world (cont.)
  • Third, in confronting the intersection of
    traditional and transnational challenges, we will
    combine our diplomatic skills and development
    assistance to act boldly to foster a more
    democratic and prosperous world integrated into
    the global economy.

Protect US national interests and advance peace,
security and sustainable development
  • Focus on the following key priorities during the
    FY 2004-2009 timeframe
  • --Arab-Israeli Peace
  • --A Stable and Democratic Iraq
  • --Democracy and Economic Freedom in the Muslim

National interests,advance peace,
security,sustainable development (cont.)
  • A Stable and Democratic Afghanistan
  • Reduction of the North Korean Threat to the
    Region and World.
  • Reduction of Tensions between India and Pakistan
  • Drug Eradication and Democracy in the Andean
  • Strengthen Alliances and Partnerships

National interests,advance peace and security,
and sustainable development (cont.)
  • A more Effective and Accountable United Nations.
  • HIV/AIDS Prevention, Treatment and Care.
  • Reduced Threat of Famine.
  • Accountable Development Assistance
  • Aligning Diplomacy and Development Assistance.

Advance Peace and Security
  • Regional SecurityAvert and resolve local and
    regional conflicts to preserve peace and minimize
  • --Israel and the Palestinians
  • --South Asia
  • --East Asia and the Pacific
  • --Europe and Central Asia

Advance Peace and Security (cont)
  • Regional Security (cont)
  • --Persian Gulf
  • --Africa
  • --Sudan
  • --Western Hemisphere
  • Counter-TerrorismPrevent attacks against the US,
    our allies, and our friends, and strengthen
    alliances and international arrangements to
    defeat global terrorism.

Advance Peace and Security (cont)
  • Homeland SecurityProtect the homeland by
    enhancing the security of our borders and
  • Weapons of Mass DestructionReduce the threat of
    weapons of mass destruction to the US, our
    allies, and our friends.
  • International Crime and DrugsMinimize the impact
    of international crime and illegal drugs on the
    US and its citizens.

Advance Sustainable Development and Global
  • Democracy and Human RightsAdvance the growth of
    democracy and good governance, including civil
    society, the rule of law, respect for human
    rights, and religious freedom.
  • Economic Prosperity and SecurityStrengthen world
    economic growth, development, and stability,
    while expanding opportunities for US businesses
    and ensuring economic security for the nation.

Advance Sustainable Development and Global
Interests (cont.)
  • Social and Environmental IssuesImprove health,
    education, environment, and other conditions for
    the global population.
  • Humanitarian ResponseMinimize the human costs of
    displacement, conflicts, and natural disasters.

Promote International Understanding
  • Public Diplomacy and Public AffairsIncrease
    understanding for American values, policies and
    initiative to crease a receptive international

More Accountable Development Assistance?
  • To clarify the challenges of the development
    leg of the NSS
  • To apply the effectiveness principles of the MCA
    to our development assistance
  • To reduce conflict among multiple
    objectives/goals of bilateral foreign aid
  • To manage more strategically and get greater
    clearer results
  • National Security Strategygtgtgtgtgtgtgtgtgtgtgt
  • Effectiveness gtgtgtgtgtgtgt
  • Policy Coherence gtgtgtgt
  • Strategic Mgt/Results gtgtgt

Five Core Operational Goals
  • Promote transformational development
  • Strengthen fragile states
  • Support strategic states
  • Provide humanitarian relief
  • Address global, transnational and other special

A New Approach to Foreign AssistanceClarify
Goals, Align Resources, Manage Strategically
Targeted resources for each goal
Distinct approaches for each goal
Different yardsticks for measuring results of each goal
Country performance-based programming where it makes the most sense, and
More centralized programming where that makes the most sense
Transformational Development
  • Tailor assistance to the different opportunities
    presented by each sub-group
  • Threshold countries. Qualify countries for MCA.
  • Good performers. Support development progress in
    ruling justly, economic opportunity and investing
    in people.
  • Fair performers. Support reasonable
    opportunities (e.g., committed leadership) for
  • Middle income countries. Smooth and phase the
    shift from development resources to private

Strengthen Fragile States
  • Fragile states umbrella term for failing,
    failed and recovering states.
  • Many weak performers may actually be fragile
  • Poor governance is a central issue most lack
    legitimacy and/or effectiveness
  • Approach
  • Goals stabilization, reform and recovery
  • Priority Sectors security, political, economic
    and social
  • Partners assist state and non-state actors
  • Integrated Responses

Support Strategic States
  • The Congress or the Administration identifies
    countries and sets levels based on foreign policy
    priorities, not development criteria.
  • Programs defined by foreign policy objectives but
    may also address development or fragility issues.
  • Policy goals supporting development objectives
    will improve likelihood of long-term success.
  • Success measured against objectives of
    assistancewhich may or may not include

Provide Humanitarian Assistance
  • Available to all countries without conditions.
  • Provide based on urgent need not on performance
  • Address systemic failures where disasters have
    become a chronic condition.

Address Global/Transnational Issues
  • Selection of countries and resource levels based
    on severity of the problem and problems
    importance to U.S. security.
  • Coherent USG approach across agencies is vital.
  • Public/private partnerships particularly relevant
    in this goal area.

Improving Effectiveness
  • Aid effectiveness requires progress in two areas
  • Selectivity
  • Among countries
  • Assistance priorities within countries
  • Policy coherence
  • Identification of clear goals
  • Integrated approaches across sectors and agencies
    for each goal

Development Assistance Strategy
Economic Prosperity and Security Democracy, Governance and Human Rights Social and Environment Issues Human-itarian Asst
Promote Transformational Development --Performers/Reformers --Fair Performers --Non-Reformers
Strengthen Fragile States --Vulnerable --Crisis
Support Strategic States
Address Transnational Issues
Thank you.
  • Arigato!

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