History of The Budget

Beginning at the height of the Cold War and through the mid 1990’s, America’s international spending dropped steadily, reaching a low of $21 billion in 1995. In the post-Cold War era, cutting the International Affairs Budget was logical to many in both Congress and the Executive Branch who wanted to cash in on the peace dividend.

While the Defense budget was reduced, the already smaller International Affairs Budget suffered even more in percentage terms. From 1992 to 1998, the International Affairs Budget was slashed every year representing a 38 % decrease in our foreign affairs programs (as a percentage of the United States GDP).

When the tragedy of September 11, 2001 occurred, many of our foreign policy capabilities were in disrepair. At this time, the share of the U.S. budget devoted to international affairs was barely above the post-World War II low and only about half of the size that it was in the mid-1980s in real terms.

Embassy security upgrades were behind schedule, the U.S. lacked adequate numbers of diplomats with key language skills, and many important overseas posts were filled by junior Foreign Service Officers. At that time, America did not possess sufficient capacity for civilian post-conflict stabilization and reconstruction, and our public diplomacy efforts atrophied. Since then, our diplomatic capabilities have improved. However, there is still much work to be done.

In the second term of the Clinton Administration and through the Bush Administration, Congress and the White House have reversed the downward spiral in America’s foreign policy capabilities that occurred in the 1990s. Yet, in spite of this progress, the U.S. still devoted almost 15 % less in real terms to international affairs than it did in the mid-1980s. Additionally, the U.S. ranks a lowly 22nd among industrialized nations in terms of foreign assistance (as a percentage of GDP).

In early 1995, the U.S. Global Leadership Campaign formed in response to a growing sense of isolation in Congress and to the cuts to the International Affairs Budget. Recognizing that a vacuum existed for domestic support for U.S. international engagement, several diverse organizations joined forces.

In the past 11 years, the founders of the USGLC have stemmed the tide of cuts to the International Affairs Budget and built a broad-based public education campaign to correct common misperceptions about international spending and foreign aid. The USGLC has helped dramatically strengthen America’s commitment to global engagement. During this period, overall funding for international affairs programs has increased by 40%.

A portion of the recent funding increase is due in part to the creation of new programs in America’s international portfolio, including the President’s Emergency Plan for AIDS Relief (PEPFAR) and the Millennium Challenge Corporation (MCC). These programs will benefit the lives of millions of individuals and add value to the overall account. However, it is important that they do not come at the expense of existing, long-term diplomatic, development and economic programs already underway around the globe.

In 2009, the U.S. Global Leadership Coalition joined with it’s sister organization, the Center for Global Leadership to form the U.S. Global Leadership Coalition and combine the work of the two organizations building support for a strong International Affairs Budget around the nation and in Congress.

There is still work to be done.  In order to meet the complex global challenges and opportunities of the 21st century, it is critical that the U.S. adequately increase investments in the International Affairs Budget.