Transforming U.S.

Foreign Assistance

When investigated in depth, one of the many outstanding qualities of

underdevelopment in most countries is poor education. In most cases, this is
due to extreme poverty and inability to attend proper schooling. In other,
more serious cases, this lack of education is due to a significant lack of
higher education institutions, which takes the opportunity completely out of
the picture. The proposal for creating the United States Educational Grant for
International Development would enable countries to educate their
population within the United States to better aid their development needs
and, eventually, help create or advance their own national institutions of
higher learning. Students selected to participate would earn up to a Master’s
degree through program funds, then they would return to their country of
origin and work for a minimum of five years in a development project.
Many development specialists believe the key to growth is
implementing sustainable programs. This means introducing ways for a
population to grow on its own with resources we provide today. In this
situation, we can easily apply the age-old adage of “Give a man a fish, and
he eats for a day. Teach a man to fish, and he eats for a lifetime”. We can
continue to provide food aid for millions of people around the world for
hundreds of years without ridding ourselves of the problem or coming close
to achieving an amelioration of the condition. It is through education and
knowledge of technical, scientific, and management skills that an individual
and a nation can grow and thrive; hence, it is the duty of the developed
nations, such as the United States, to disburse some of its vast educational
resources.
There are many programs within the umbrella of U.S. foreign aid that
are allocated vast sums of money in comparison to others. Some programs,
such as the bilateral programs for Eastern Europe and the former Soviet
Union, assign more than a billion dollars in aid and, because of
advancements in development in some of those countries, a small
percentage of those funds have become unnecessary. These obsolete
amounts would be siphoned into the USEGID budget. The costs for

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 Transforming U.S. Foreign Assistance

establishing USEGID and a Management and Oversight Committee would run

to about $350 million dollars.
This grant would be developed within the U.S. Department of State
under a new USEGID Oversight Committee. The USEGID Management and
Oversight Committee would consist of 20 people responsible for the
recruitment, administration, and continuance of the program. This
committee would review and evaluate proposals from prospective LDC
governments pertaining to implementation or use of developmental
programs upon student graduation. One hundred students will be chosen
from each of the fifteen countries chosen to participate based upon criteria
measuring their interest, academic or professional achievement, and
financial need. These students will be granted a provisionary loan covering
full tuition and board and travel expenses for a maximum of seven years
leading up to a Master’s Degree in a field of expertise that has been deemed
necessary for the development of the nation, such as science, management
expertise, technology, and education. After completion of degree, the
student must then work for a minimum of five years in their nations
proposed development program in order to receive 100% loan forgiveness. If
any of these criteria are not completed, the loan will then enter repayment
status.
The creation of the USEGID would not imply an increase in the amount
of foreign aid spending, but it would imply a positive transformation in the
manner it is spent. Many critics argue against the ever-decreasing amount of
global foreign aid amounts, but figures show that amounts have been
increasing since the mid nineties in the U.S., and, with new governmental
programs being proposed, there are signs that the amounts will continue to
increase. USEGID would also imply a compliance with the U.S. cultural
objective of sustainable development in that it enables recipient countries to
continue future projects with national resources instead of relying on foreign
monetary or nutritional aid.

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 Transforming U.S. Foreign Assistance

Critics contend that foreign aid programs are not working. Poor
countries are becoming poorer and the hungry are getting hungrier. This is
happening in part because of misuse of funds. The implementation of a
direct Human Resources Department would ensure that funds distributed to
countries were spent on development projects, but it could not ensure the
complete approval of other national funds. Building up the Peace Corps
budget would help by providing, for instance, basic educational aid, but it
would be limited to that basic education.
There are many benefits to implementing the USEGID. Because the
funds would come from already established programs, the proposal would
not signify an increase in taxes to cover increasing fiscal costs. The USEGID
would require assurances from the nation that their current national
educational budget would not decrease or be misguided in any way. Thus,
the education these students would be receiving would be in addition to
whatever their country would be providing. USEGID would provide higher
education that could be used to sustain growth in the future.
As can be noted, the USEGID proposal implies the most benefits at the
least cost. It provides the opportunity to offer furthering education to those
who can use it to better a nation and its people. They say it is the role of the
parents to teach their children to live on their own. Well, the same can be
said of a rich
10000advanced nation such as the United States to teach the world
9374

to sustain itself.
9000 Through the creation of the USEGID, nations
1395
with little or
poor intelligentsia
8000 can now help themselves to grow and thrive in the ever-
Total
connecting global
7000 arena.
Multilateral Aid
6000

U.S.
5000 Foreign Aid Bilateral and Multilateral
Bilateral Aid Spending for 2000
7979
4000
2792
3000
2008
2000 1369
800 623 811
1000
123 19 245 43 91 131 36 283

0
IA Development Bank and Investm

African Development Bank and Fu

InterAmerican and African Dev.

State Department Refugee Progra

Asian Development Bank and Fun

European Bank for Reconstruction

International Organizations and

Eastern Europe and FSU
Development Assistance

Economic Support Fund

Food Aid

Debt Relief

Peace Corps

World Bank

Subtotal

Total
and Development
Foundation

Programs

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 Transforming U.S. Foreign Assistance

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 Transforming U.S. Foreign Assistance

Bibliography

Blustein, Paul. “Global Education Plan Gains Backing: World Bank’s Goal is
to Battle Poverty by Reducing Illiteracy in Poor Nations.” Washington
Post. Page A15. 4.22.2002. The Washington Post Company. 9.16.2002.
http://www.washingtonpost.com/ac2/wp-dyn/A25533-2002Apr21?
language=printer. Abstract: Discusses the backing of the World Bank
plan to provide basic education for all children by the year 2015 and
the previous and recent initiatives by the United States and the Bush
Administration to do the same.
Christoff, Joseph A. The Financial Challenge of Debt Relief – Briefing for
Senate Staff. Washington, DC. International Affairs and Trade Office.
GAO Report GAO-03-215R Debt Relief Enhancement Act. United States
General Accounting Office. 10.11.2002. Abstract: Discusses the
benefits and costs of the Debt Relief Enhancement Act of 2002
discussing the problems with the current debt relief efforts and the
Loans-to-Grants Proposal.
Cobban, Helena. “Boost US Foreign Aid, Big-Time.” 9/11 Global Policy
Forum. Christian Science Monitor. Created12.13.2001.Global Policy
Forum. 9.18.2002.
http://www.globalpolicy.org/wtc/terrorism/1213aid.htm. Abstract:
Discusses the aftermath of September 11,2001 and the initiative and
role the United States and other nations should now take to promoting
peace around the world.
Lancaster, Carol. “Redesigning Foreign Aid.” Foreign Affairs Magazine
Sep/Oct2000 Vol 79 Issue 5, p74, 15p. Abstract: “Discusses challenges
and goals for the United States diplomacy in the 21st century. Shift of
focus in diplomacy from the 20th century in which the goals were to
stop communism; Role of peacekeeping for the U.S.; Discussion of how
the U.S. should deal with globalization of economies; Importance of
portraying American values through diplomacy.”
Lancaster, Carol; Transforming Foreign Aid: United States Assistance in the
21st Century; Washington, DC. The Institute for International
Economics, August 2000. Abstract: Describes the role of U.S. Foreign
Aid in the past and some of the more prevalent problems. Gives
figures on contributions to foreign aid programs.
Shah, Anup. “United Nations on Sustainable Development.” Sustainable
Development. Created 7.20.1998 Updated 7.25.2001. Global Issues
Organization. 11.18.2002.
http://www.globalissues.org/TradeRelated/UNAndDevelopment.asp.
Abstract: Gives information on progress in sustainability, human
development, and debt relief.
Shah, Anup. “Debt – Undermining Development.” The U.S. and Foreign Aid
Assistance. Created 7.20.11998 Updated 11.17.2002. Global Issues

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 Transforming U.S. Foreign Assistance

Organization. 9.16.2002.
http://www.globalissues.org/TradeRelated/Debt/USAid.asp. Abstract:
Discusses the obstacle Debt relief poses to development and growth in
nations. Provides graphs showing and detailing the amounts of foreign
aid contributions from varying countries.

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