The Administration’s FY17 International Affairs Budget Request

Budget Takeaways

1. As world crises grow, funding to meet challenges does not keep pace.

2. Growing dependence on “wartime” funding is dangerous for long-term.

3. Dependence on OCO not only deep, but broad.

4. Administration prioritizes countering ISIS and other global hotspots.

5. After major increase in FY16, humanitarian assistance funding sees cut.

6. Emergency funding for Zika underscores need to respond to infectious diseases.

7. Administration starts new push to fight Malaria in global health account.

8. International economic tools a priority, again.

9. Sustaining and improving our civilian capacity remain critical.

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Notable Increases in the Budget

Combatting ISIS : Up Arrow 19.0%
The FY17 request once again prioritizes responding to conflicts and hotspots around the world, particularly the campaign against ISIS in Syria and Iraq and the enormous humanitarian crisis that has resulted. The request includes $4 billion, 19% more than in FY15, to counter the terrorist group, strengthen the opposition, bolster the capabilities of partners in the region, and provide relief to the millions of people who have been displaced in and outside of Syria.

Countering Russian Aggression: Up Arrow 25.0%
The Administration’s request continues to place a high priority on countering Russian aggression by requesting $951 million—more than a 25% increase—to bolster bilateral and regional programs in Ukraine, Georgia, Moldova, and countries in Central Asia.

Combatting Malaria: Up Arrow 30.0%
The budget proposes to increase malaria-related funding by $200 million, or 30% above current levels, in an effort to more quickly eradicate the disease. Approximately $71 million of this additional funding would be new money within the Global Health Programs account and $129 million would come from the remaining Ebola emergency funding (appropriated in FY15).

Development Assistance: Up Arrow 6.4%
The budget proposes to increase Development Assistance by $179 million, highlighting the Administration’s continued priority to focus on alleviating poverty in the long-term.

MCC, OPIC, USTDA: Up Arrow 11.0%, 30.0%, 35.0%
Budgets for the Millennium Challenge Corporation (MCC), the Overseas Private Investment Corporation (OPIC) and the U.S. Trade and Development Agency (USTDA) all increased in the Administration’s request ensuring that the government’s effort to help create an enabling environment for economic growth continues into FY17.

Notable Decreases in the Budget

Humanitarian Assistance: Down Arrow 2 19.0%
The Administration’s FY17 request proposes to cut Humanitarian Assistance by $1.5 billion (19%) to $6.2 billion. This funding would be focused on responding to the four level-3 humanitarian crises (the highest designation)—in Syria, Iraq, South Sudan, and Yemen—all of which require substantial assistance to save lives.

Migration & Refugee Assistance: Down Arrow 2 8.7%
The Administration’s request sets out a $267 million (8.7%) decrease in funding for the Migration and Refugees account as compared to current funding. This funding stream provides assistance to victims of conflict, refugees, and internally displaced persons (IDPs) around the world.

International Disaster Assistance: Down Arrow 2 30.0%
The International Disaster Assistance account faces a serious (30%) cut in the Administration’s FY17 request from FY16 levels. The account provides critical, life-saving assistance in the face of natural disasters and complex crises, including food assistance.

International Peacekeeping: Down Arrow 2 6.2%
The Administration is proposing a total of $3 billion for peacekeeping operations in FY17. This request includes $2.4 billion for the U.S. assessed contribution to UN peacekeeping operations, which are currently being conducted in more than a dozen countries including the Democratic Republic of the Congo, South Sudan, Darfur, and Mali. The request is a $191 million (6.2%) cut compared to current spending.

Food Aid (PL 480): Down Arrow 2 21.3%
After receiving a significant increase in the FY16 Omnibus bill, the Administration’s request for Food for Peace (P.L. 480/Title II) is $1.35 billion, 21% below the FY16 enacted level. Additionally, for the fourth year in a row, the request proposes reform measures to improve the program’s effectiveness.

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