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Former Egyptian President Mohammed Morsi. (Associated Press)

Former Egyptian President Mohammed Morsi. (Associated Press)

Informer: US program provides loans, grants to nations

Last Modified: Friday, July 26, 2013 2:48 PM

By Andrew Perzo / American Press

Would you please explain the reference in your column on Wednesday about the U.S. Foreign Military Financing program? Who all is involved, and what amounts go to each country?

Through the Foreign Military Financing program, the United States gives or lends money to other countries, which in turn use the money to buy American-made weapons.

In the case of Egypt, the subject of Wednesday’s column, the U.S. has provided, via grants, $1.3 billion a year in military aid for the last quarter-century.

Under the program, Congress sets aside money, and the State Department allocates it. The Pentagon’s Defense Security Cooperation Agency runs the program.

According to a recent Congressional Research Service report, Egypt received a fourth of all Foreign Military Financing money in fiscal year 2011, and Israel received almost 60 percent.

FMF funding received by some other nations in 2012, according to the U.S. State Department:

Albania — $3 million.

Bosnia and Herzegovina — $4.5 million.

Bulgaria — $8.6 million.

Colombia — $40 million.

El Salvador — $1.25 million.

Ethiopia — $843,000.

Georgia — $14.4 million.

Indonesia — $14 million.

Israel — $3 billion.

Jordan — $300 million.

Kenya — $1.5 million.

Liberia — $6.5 million.

Mexico — $7 million.

Mongolia — $3 million.

Nigeria — $1 million.

Pakistan — $79.5 million.

Philippines — $27 million.

Poland — $24.1 million.

Tajikistan — $800,000.

Tunisia — $17 million.

“FMF promotes U.S. national security by contributing to regional and global stability, strengthening military support for democratically-elected governments, and containing transnational threats including terrorism and trafficking in narcotics, weapons, and persons,” reads the State Department’s 2014 Congressional Budget Justification for Foreign Operations.

“Increased military capabilities establish and strengthen multilateral coalitions with the United States, and enable friends and allies to be increasingly interoperable with U.S., regional, and international military forces.”

After the military’s ouster Wednesday of Mohammed Morsi, Egypt’s first democratically elected president, the Obama administration said it would look into whether military aid would be halted — a move that federal law requires when recipient nations undergo coups d’état.

“As a practical matter, there would be little immediate impact if Mr. Obama concluded that the crisis constituted a coup, because Washington disbursed this year’s military aid in May and presumably would not deliver more until next winter or spring,” reads a New York Times story published Thursday.

“But it would convulse a relationship long predicated on the flow of American money.”


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The Informer answers questions from readers each Sunday, Monday and Wednesday. It is researched and written by Andrew Perzo, an American Press staff writer. To ask a question, call 494-4098, press 5 and leave voice mail, or email

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