U.S. Foreign Assistance to Latin America and
October 2December 4, 2020 , 2020
the Caribbean: FY2021 Appropriations
Peter J. Meyer
The United States provides foreign assistance to Latin American and Caribbean
The United States provides foreign assistance to Latin American and Caribbean
countries to
Specialist in Latin
Specialist in Latin
countries to support development and other U.S. objectives. U.S. policymakers have support development and other U.S. objectives. U.S. policymakers have
American Affairs
emphasized different emphasized different
American and Canadian
strategic interests in the region at different times, from combating strategic interests in the region at different times, from combating
Soviet influence during the Soviet influence during the
Affairs
Cold War to promoting democracy and open markets since Cold War to promoting democracy and open markets since
Rachel L. Martin
the 1990s. The Trump Administration the 1990s. The Trump Administration
has sought to reduce foreign aid significantly and has sought to reduce foreign aid significantly and
Research Assistant
refocus U.S. assistance efforts in the region to refocus U.S. assistance efforts in the region to
Rachel L. Martin
address U.S. domestic concerns, such as address U.S. domestic concerns, such as
irregular migration and transnational crime. To date, irregular migration and transnational crime. To date,
Research Assistant
however, Congress has opted not to however, Congress has opted not to
adopt many of the Administration’s proposals.adopt many of the Administration’s proposals.
FY2021 Budget Request
For FY2021,For FY2021,
the Trump Administration requested $1.4 the Trump Administration requested $1.4
bil ionbillion for Latin America and the Caribbean through for Latin America and the Caribbean through
foreign assistance accounts managed by the State Department and the U.S. Agency for International Development foreign assistance accounts managed by the State Department and the U.S. Agency for International Development
(USAID). That amount would be $314 (USAID). That amount would be $314
mil ion, million, or 18%, less than the estimated $1.7 or 18%, less than the estimated $1.7
bil ionbillion of U.S. assistance of U.S. assistance
al ocatedallocated to the region in FY2020. The proposal would cut funding for every type of assistance and for most Latin to the region in FY2020. The proposal would cut funding for every type of assistance and for most Latin
American and Caribbean countries. For a fourth consecutive year, the Trump Administration also proposed American and Caribbean countries. For a fourth consecutive year, the Trump Administration also proposed
eliminating eliminating the Inter-American Foundation—a the Inter-American Foundation—a
smal small, independent U.S. foreign assistance agency that promotes , independent U.S. foreign assistance agency that promotes
grassroots development in the region—and consolidating its programs into USAID. grassroots development in the region—and consolidating its programs into USAID.
Legislative Developments
On October 1, 2020,On October 1, 2020,
President Trump signed into law a short-term continuing resolution (P.L. 116-159),President Trump signed into law a short-term continuing resolution (P.L. 116-159),
which which
funds foreign aid programs at the FY2020 level until December 11, 2020.funds foreign aid programs at the FY2020 level until December 11, 2020.
As Congress considers appropriations As Congress considers appropriations
for the remainder of FY2021,for the remainder of FY2021,
it may draw from the Department of State, Foreign Operations, and Related it may draw from the Department of State, Foreign Operations, and Related
Programs Appropriations Act, 2021 (Division A of H.R. 7608Programs Appropriations Act, 2021 (Division A of H.R. 7608
; H.Rept. 116-444), ), which the House passed on July 24, 2020. That bil would provide regular FY2021 appropriations for foreign aid programs global y and emergency assistance to
respond to the Coronavirus Disease 2019 (COVID-19) pandemic. The Senate Appropriations Committee has yet to mark up a foreign assistance appropriations measure for FY2021.
H.R. 7608 and the accompanying report (H.Rept. 116-444)which the House passed on July 24, 2020, and the draft Department of State, Foreign Operations, and Related Programs appropriations measure that the Senate Appropriations Committee released on November 10, 2020. Although the bills and their accompanying reports do not specify appropriations levels for every Latin do not specify appropriations levels for every Latin
American and Caribbean countryAmerican and Caribbean country
. Nevertheless, the amounts , the amounts
designatedthey designate for several U.S. initiatives differ for several U.S. initiatives differ
significantly from the Administration’s request. significantly from the Administration’s request.
The bil would provide
$519.9 mil ion
H.R. 7608 would provide $519.9 million to address the underlying factors driving irregular migration from to address the underlying factors driving irregular migration from
Central America
($143 mil ion more than the Administration requested but $13.3 mil ion less than was al ocated to the region in FY2020);
$457.3 mil ion
Central America, whereas the Senate Appropriations Committee’s draft bill would provide $505.9 million; the Administration requested $376.9 million.
H.R. 7608 would provide $457.3 million to support the peace process and security and development efforts to support the peace process and security and development efforts
in Colombia, whereas the Senate Appropriations Committee’s draft bill would provide $455.4 million; the Administration requested $412.9 million.
H.R. 7608 would provide $159.9 millionin Colombia
($44.4 mil ion more than the Administration requested and $5.6 mil ion more than was al ocated to the country in FY2020);
$159.9 mil ion to support security and rule-of-law efforts in Mexico ($96.2 mil ion more than the
Administration requested and $2 mil ion more than was al ocated to the country in FY2020); and
$30 mil ion to support a democratic transition and reestablish health systems in Venezuela ($175
mil ion less than the Administration requested and $5 mil ion less than was al ocated to the country in FY2020) to support security and rule-of-law efforts in Mexico, whereas the
Senate Appropriations Committee’s draft bill would provide $157.9 million; the Administration requested $63.8 million.
H.R. 7608 would provide $30 million to promote democracy and the rule of law in Venezuela, whereas the
Senate Appropriations Committee’s draft bill would provide $35 million for Venezuela; the Administration requested $205 million. .
As Congress continues the appropriations process, it may consider how to respond to the
As Congress continues the appropriations process, it may consider how to respond to the
region’s emergence as an epicenter of the COVID-19 pandemic and whether to direct additional funding to support effects of the COVID-19 pandemic on Latin American and the Caribbean and whether to provide additional assistance to the region beyond the region beyond
the $141 mil ion al ocated to Latin American and Caribbean countries as of August 2020. Congress also may
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
the $141 million allocated as of August 2020. Congress also may consider whether to exert greater congressional control over U.S. assistance to Central America in response to the consider whether to exert greater congressional control over U.S. assistance to Central America in response to the
Trump Administration’s decisions to suspend and reprogram aid appropriated in prior years. In addition to those Trump Administration’s decisions to suspend and reprogram aid appropriated in prior years. In addition to those
funding decisions, Congress may assess how the new U.S. International Development Finance Corporation might funding decisions, Congress may assess how the new U.S. International Development Finance Corporation might
complement foreign assistance efforts in promoting development and other U.S. foreign policy objectives in Latin complement foreign assistance efforts in promoting development and other U.S. foreign policy objectives in Latin
America and the Caribbean. America and the Caribbean.
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2928 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
Contents
Introduction ................................................................................................................... 1
Trends in U.S. Assistance to Latin America and the Caribbean ............................................... 3
Trump Administration’s FY2021 Foreign Assistance Budget Request ..................................... 4
Foreign Assistance Categories and Accounts .................................................................. 5
Major Country and Regional Programs ......................................................................... 7
Inter-American Foundation ....................................................................................... 10
Legislative Developments .............................................................................................. 10
Policy Issues for Congress .............................................................................................. 12
COVID-19 Response ............................................................................................... 1213
Central America Funding Directives ........................................................................... 1516
Role of the U.S. International Development Finance Corporation.................................... 1718
Figures
Figure 1. Map of Latin America and the Caribbean............................................................... 2
Figure 2. U.S. Assistance to Latin America and the Caribbean: FY1946-FY2018FY2019 ...................... 3
Tables
Table 1. U.S. Foreign Assistance to Latin America and the Caribbean by Account:
FY2016-FY2021 Request .............................................................................................. 6
Table 2. U.S. Foreign Assistance to Latin America and the Caribbean by Country or
Regional Program: FY2016-FY2021 Request ................................................................... 8
Table 3. Inter-American Foundation (IAF) Appropriations: FY2016-FY2021 Request ............. 10
Table 4. U.S. Foreign Assistance for Select Countries and Initiatives:
FY2021 Appropriations Legislation .............................................................................. 11
Table 5. U.S. Foreign Assistance to Latin America and the Caribbean to Respond to the
COVID-19 Pandemic.................................................................................................. 1314
Table 56. U.S. Foreign Assistance to Latin America and the Caribbean: FY2019 ...................... 20
Table 67. U.S. Foreign Assistance to Latin America and the Caribbean: FY2020 Estimate ......... 22
Table 78. U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Request .......... 24
Appendixes
Appendix A. U.S. Foreign Assistance to Latin America and the Caribbean by Account
and Country or Regional Program: FY2019 .................................................................... 20
Appendix B. U.S. Foreign Assistance to Latin America and the Caribbean by Account
and Country or Regional Program: FY2020 Estimate ....................................................... 22
Appendix C. U.S. Foreign Assistance to Latin America and the Caribbean by Account
and Country or Regional Program: FY2021 Request ........................................................ 24
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Contacts
Author Information ....................................................................................................... 26
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76 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
Introduction
Foreign assistance is one of the tools the United States employs to advance U.S. interests in Latin Foreign assistance is one of the tools the United States employs to advance U.S. interests in Latin
America and the Caribbean. The focus and funding levels of aid programs change along with America and the Caribbean. The focus and funding levels of aid programs change along with
broader U.S. policy goals.1 Current aid programs reflect the diverse needs of the countries in the broader U.S. policy goals.1 Current aid programs reflect the diverse needs of the countries in the
region, as wel as the broad range of these countries’ ties to the United States (seregion, as wel as the broad range of these countries’ ties to the United States (se
e Figure 1 for a for a
map of Latin America and the Caribbean). Some countries receive U.S. assistance across many map of Latin America and the Caribbean). Some countries receive U.S. assistance across many
sectors as they struggle with political, socioeconomic, and security chal enges. Others have made
sectors as they struggle with political, socioeconomic, and security chal enges. Others have made
major strides in consolidating democratic governance and improving living conditions; these major strides in consolidating democratic governance and improving living conditions; these
countries no longer receive traditional U.S. development assistance but typical y receive some countries no longer receive traditional U.S. development assistance but typical y receive some
U.S. support to address shared security chal enges, such as transnational crime.
U.S. support to address shared security chal enges, such as transnational crime.
Congress authorizes and appropriates funds for foreign assistance to the region and conducts
Congress authorizes and appropriates funds for foreign assistance to the region and conducts
oversight of aid programs and the executive branch agencies that administer them. The Trump oversight of aid programs and the executive branch agencies that administer them. The Trump
Administration has proposed significant reductions to the foreign assistance budget to decrease Administration has proposed significant reductions to the foreign assistance budget to decrease
government expenditures and shift resources to other Administration priorities. The government expenditures and shift resources to other Administration priorities. The
Administration also has sought to modify some U.S. foreign assistance objectives, including
Administration also has sought to modify some U.S. foreign assistance objectives, including
those in Latin America and the Caribbean. To date, Congress has not adopted many of the those in Latin America and the Caribbean. To date, Congress has not adopted many of the
Administration’s proposed changes.
Administration’s proposed changes.
This report provides an overview of U.S. assistance to Latin America and the Caribbean. It
This report provides an overview of U.S. assistance to Latin America and the Caribbean. It
examines historical and recent trends in aid to the region; the Trump Administration’s FY2021 examines historical and recent trends in aid to the region; the Trump Administration’s FY2021
budget request for aid administered by the State Department, the U.S. Agency for International budget request for aid administered by the State Department, the U.S. Agency for International
Development (USAID), and the Inter-American Foundation (IAF); and FY2021 foreign aid Development (USAID), and the Inter-American Foundation (IAF); and FY2021 foreign aid
appropriations legislation. It also analyzes several issues Congress may consider during the appropriations legislation. It also analyzes several issues Congress may consider during the
appropriations process, including how to respond to the Coronavirus Disease 2019 (COVID-19)
appropriations process, including how to respond to the Coronavirus Disease 2019 (COVID-19)
pandemic, whether to exert greater congressional control over U.S. assistance to Central America, pandemic, whether to exert greater congressional control over U.S. assistance to Central America,
and how the new U.S. International Development Finance Corporation might complement U.S. and how the new U.S. International Development Finance Corporation might complement U.S.
assistance efforts in Latin America and the Caribbean.
assistance efforts in Latin America and the Caribbean.
Report Notes
To more accurately compare the Administration’s FY2021 foreign assistance request
To more accurately compare the Administration’s FY2021 foreign assistance request
with previous years’ with previous years’
appropriations, most aid figures in this report refer only to bilateral assistance that is managed by the State appropriations, most aid figures in this report refer only to bilateral assistance that is managed by the State
Department or the U.S. Agency for International Development (USAID) and is requested for individual countries Department or the U.S. Agency for International Development (USAID) and is requested for individual countries
or regional programs. Approximately or regional programs. Approximately
two-thirds63% of the aid obligated by al U.S. agencies in Latin America and the of the aid obligated by al U.S. agencies in Latin America and the
Caribbean in Caribbean in
FY2018FY2019 was provided through the foreign assistance accounts examined in this report. was provided through the foreign assistance accounts examined in this report.
Several other sources of U.S. assistance to the region exist. Some countries in Latin America and the Caribbean Several other sources of U.S. assistance to the region exist. Some countries in Latin America and the Caribbean
receive U.S. assistance to address humanitarian needs through USAID- and State Department-managed foreign receive U.S. assistance to address humanitarian needs through USAID- and State Department-managed foreign
assistance accounts, such as Food for Peace Act Title II, International Disaster Assistance, and Migration and assistance accounts, such as Food for Peace Act Title II, International Disaster Assistance, and Migration and
Refugee Assistance. Likewise, some countries receive assistance from other U.S. agencies, such as the Refugee Assistance. Likewise, some countries receive assistance from other U.S. agencies, such as the
Department of Defense, Mil ennium Chal enge Corporation, and Peace Corps. Moreover, multilateral Department of Defense, Mil ennium Chal enge Corporation, and Peace Corps. Moreover, multilateral
organizations that the United States supports financial y, such as the Organization of American States, the Inter-organizations that the United States supports financial y, such as the Organization of American States, the Inter-
American Development Bank, and the Pan American Health Organization, provide additional aid to the region. American Development Bank, and the Pan American Health Organization, provide additional aid to the region.
Except where indicated, those accounts, agencies, and organizations are excluded from this analysis, because they Except where indicated, those accounts, agencies, and organizations are excluded from this analysis, because they
do not request assistance for individual countries and because country-level funding figures are not publicly do not request assistance for individual countries and because country-level funding figures are not publicly
available until after the fiscal year has passed. available until after the fiscal year has passed.
Source: USAID, USAID,
Overseas Loans and Grants: Obligations and Loan Authorizations, July 1, 1945-September 30,
2018, 2018, p. 88, at https://pdf.usaid.gov/pdf_docs/PBAAJ820.pdfForeign Aid Explorer: The Official Record of U.S. Foreign Aid, at https://explorer.usaid.gov/data.html. .
1 For more information on U.S. policy in the region, see CRS Report R46258, 1 For more information on U.S. policy in the region, see CRS Report R46258,
Latin America and the Caribbean: U.S.
Policy and Issues in the 116th Congress, coordinated by Mark P. Sullivan. , coordinated by Mark P. Sullivan.
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
Figure 1. Map of Latin America and the Caribbean
Source: Map Resources, edited by the Congressional Research Service (CRS). Map Resources, edited by the Congressional Research Service (CRS).
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
Trends in U.S. Assistance to Latin America and
the Caribbean
The United States has long been a major contributor of foreign assistance to countries in Latin The United States has long been a major contributor of foreign assistance to countries in Latin
America and the Caribbean. Between 1946 and America and the Caribbean. Between 1946 and
20182019, the United States provided nearly $, the United States provided nearly $
9194
bil ion ($
bil ion ($
188195 bil ion in constant bil ion in constant
20182017 dollars) of assistance to the region.2 U.S. assistance to the dollars) of assistance to the region.2 U.S. assistance to the
region spiked in the early 1960s, following the introduction of President John F. Kennedy’s region spiked in the early 1960s, following the introduction of President John F. Kennedy’s
Al iance for Progress, an anti-poverty initiative that sought to counter Soviet and Cuban influence Al iance for Progress, an anti-poverty initiative that sought to counter Soviet and Cuban influence
in the aftermath of Fidel Castro’s 1959 seizure of power in Cuba. After a period of decline, U.S. in the aftermath of Fidel Castro’s 1959 seizure of power in Cuba. After a period of decline, U.S.
assistance to the region increased again following the 1979 assumption of power by the leftist assistance to the region increased again following the 1979 assumption of power by the leftist
Sandinistas in Nicaragua. Throughout the 1980s, the United States provided considerable support
Sandinistas in Nicaragua. Throughout the 1980s, the United States provided considerable support
to Central American governments battling leftist insurgencies to prevent potential Soviet al ies to Central American governments battling leftist insurgencies to prevent potential Soviet al ies
from establishing political or military footholds in the region. U.S. aid flows declined in the mid-from establishing political or military footholds in the region. U.S. aid flows declined in the mid-
1990s, following the dissolution of the Soviet Union and the end of the Central American civil 1990s, following the dissolution of the Soviet Union and the end of the Central American civil
conflicts (s
conflicts (s
ee Figure 2). ).
Figure 2. U.S. Assistance to Latin America and the Caribbean: FY1946-FY2018FY2019
Source: CRS presentation of data from U.S. Agency for International Development (USAID), CRS presentation of data from U.S. Agency for International Development (USAID),
Foreign Aid
Explorer: The Official Record of U.S. Foreign Aid, at https://explorer.usaid.gov/data.html. at https://explorer.usaid.gov/data.html.
Notes: Includes aid obligations from al U.S. government agencies. Data for Includes aid obligations from al U.S. government agencies. Data for
FY2019 and FY2020 are not yet FY2020 are not yet
available. available.
U.S. foreign assistance to Latin America and the Caribbean began to increase again in the late
U.S. foreign assistance to Latin America and the Caribbean began to increase again in the late
1990s and remained on a general y upward trajectory through 2010. The higher levels of 1990s and remained on a general y upward trajectory through 2010. The higher levels of
2 T hese figures include aid obligations from all U.S. government agencies to the 33 independent Latin American and 2 T hese figures include aid obligations from all U.S. government agencies to the 33 independent Latin American and
Caribbean countries (identified iCaribbean countries (identified i
n Figure 1) and regional programs. U.S. . U.S. Agency for International Development (USAID), Agency for International Development (USAID),
Foreign Aid
Explorer: The Official Record of U.S. Foreign Aid , accessed accessed
August December 20202020
, at https://explorer.usaid.gov/data.html. at https://explorer.usaid.gov/data.html.
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1110 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
assistance were partial y the result of increased spending on humanitarian and development
assistance were partial y the result of increased spending on humanitarian and development
assistance. In the aftermath of Hurricane Mitch in 1998, the United States provided extensive assistance. In the aftermath of Hurricane Mitch in 1998, the United States provided extensive
humanitarian and reconstruction assistance to several countries in Central America. The humanitarian and reconstruction assistance to several countries in Central America. The
establishment of the President’s Emergency Plan for AIDS Relief in 2003 and the Mil ennium establishment of the President’s Emergency Plan for AIDS Relief in 2003 and the Mil ennium
Chal enge Corporation in 2004 also provided many countries in the region with new sources of Chal enge Corporation in 2004 also provided many countries in the region with new sources of
U.S. assistance.3 In addition, the United States provided significant assistance to Haiti in the U.S. assistance.3 In addition, the United States provided significant assistance to Haiti in the
aftermath of a massive earthquake in 2010.
aftermath of a massive earthquake in 2010.
Increased funding for counter-narcotics and security programs also contributed to the rise in U.S.
Increased funding for counter-narcotics and security programs also contributed to the rise in U.S.
assistance. Beginning with President Bil Clinton and the 106th Congress in FY2000, successive
assistance. Beginning with President Bil Clinton and the 106th Congress in FY2000, successive
Administrations and Congresses provided significant amounts of foreign aid to Colombia and its Administrations and Congresses provided significant amounts of foreign aid to Colombia and its
Andean neighbors to combat drug trafficking and end Colombia’s long-running internal armed Andean neighbors to combat drug trafficking and end Colombia’s long-running internal armed
conflict. Spending received another boost in FY2008, when President George W. Bush joined conflict. Spending received another boost in FY2008, when President George W. Bush joined
with his Mexican counterpart to announce the Mérida Initiative, a package of U.S. counter-drug with his Mexican counterpart to announce the Mérida Initiative, a package of U.S. counter-drug
and anti-crime assistance for Mexico and Central America. In FY2010, Congress and the Obama and anti-crime assistance for Mexico and Central America. In FY2010, Congress and the Obama
Administration split the Central American portion of the Mérida Initiative
Administration split the Central American portion of the Mérida Initiative
into a separate Central into a separate Central
America Regional Security Initiative (CARSI) and created a similar program for the countries of America Regional Security Initiative (CARSI) and created a similar program for the countries of
the Caribbean known as the Caribbean Basin Security Initiative (CBSI).
the Caribbean known as the Caribbean Basin Security Initiative (CBSI).
U.S. assistance to Latin America and the Caribbean began to decline again in FY2011. Although
U.S. assistance to Latin America and the Caribbean began to decline again in FY2011. Although
the decline was partial y due to reductions in the overal U.S. foreign assistance budget in the the decline was partial y due to reductions in the overal U.S. foreign assistance budget in the
aftermath of a U.S. recession, it also reflected changes in the region. Due to stronger economic aftermath of a U.S. recession, it also reflected changes in the region. Due to stronger economic
growth and more effective social policies, the percentage of people living in poverty in Latin growth and more effective social policies, the percentage of people living in poverty in Latin
America fel from 45% in 2002 to an estimated 30% in 2019.4 Some countries, such as Argentina, America fel from 45% in 2002 to an estimated 30% in 2019.4 Some countries, such as Argentina,
Brazil, Chile, Colombia, Mexico, and Uruguay, were able to provide assistance to others in the
Brazil, Chile, Colombia, Mexico, and Uruguay, were able to provide assistance to others in the
region. Other countries, such as Bolivia and Ecuador, expel ed U.S. personnel and opposed U.S. region. Other countries, such as Bolivia and Ecuador, expel ed U.S. personnel and opposed U.S.
assistance projects, leading to the closure of USAID field missions.5 Collectively, these changes assistance projects, leading to the closure of USAID field missions.5 Collectively, these changes
resulted in the U.S. government concentrating foreign assistance resources for Latin America and resulted in the U.S. government concentrating foreign assistance resources for Latin America and
the Caribbean in fewer countries and sectors.
the Caribbean in fewer countries and sectors.
Trump Administration’s FY2021 Foreign
Assistance Budget Request6
The Trump Administration requested $1.4 bil ion for Latin America and the Caribbean through The Trump Administration requested $1.4 bil ion for Latin America and the Caribbean through
foreign assistance accounts managed by the State Department and USAID in FY2021. That
foreign assistance accounts managed by the State Department and USAID in FY2021. That
amount would be $314 mil ion, or 18%, less than the estimated $1.7 bil ion of assistance amount would be $314 mil ion, or 18%, less than the estimated $1.7 bil ion of assistance
al ocated for the region in FY2020 (seal ocated for the region in FY2020 (se
e Table 1). The Administration also proposed eliminating . The Administration also proposed eliminating
the IAF—a smal , independent U.S. foreign assistance agency that promotes grassroots the IAF—a smal , independent U.S. foreign assistance agency that promotes grassroots
development in Latin America and the Caribbean—and consolidating its programs into USAID. development in Latin America and the Caribbean—and consolidating its programs into USAID.
3 For more information on the President’s Emergency Plan for AIDS Relief and the Millennium Challenge Corporation, 3 For more information on the President’s Emergency Plan for AIDS Relief and the Millennium Challenge Corporation,
see CRS In Focus IF10797, see CRS In Focus IF10797,
PEPFAR Stewardship and Oversight Act: Expiring Authorities, by T iaji Salaam-Blyther; , by T iaji Salaam-Blyther;
and CRS Report RL32427, and CRS Report RL32427,
Millennium Challenge Corporation: Overview and Issues, by Nick M. Brown. , by Nick M. Brown.
4 U.N. Economic Commission for Latin America and the Caribbean,4 U.N. Economic Commission for Latin America and the Caribbean,
Social Challenge in Times of COVID-19, May 12, , May 12,
2020, p. 2. 2020, p. 2.
5 USAID is reestablishing a field mission in Ecuador, but the process has been delayed by the Coronavirus Disease
5 USAID is reestablishing a field mission in Ecuador, but the process has been delayed by the Coronavirus Disease
2019 (COVID-19) pandemic. 2019 (COVID-19) pandemic.
6 Unless otherwise noted, data and information in this section are drawn from U.S. Department of State,
6 Unless otherwise noted, data and information in this section are drawn from U.S. Department of State,
Congressional
Budget Justification for Foreign Operations, Appendix 2, Fiscal Year 2021 , February 20, 2020, at , February 20, 2020, at
https://www.state.gov/wp-content/uploads/2020/04/FY21-CBJ-Appendix-2-FINAL-2.pdf. https://www.state.gov/wp-content/uploads/2020/04/FY21-CBJ-Appendix-2-FINAL-2.pdf.
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The Administration’s proposed reductions for foreign assistance to the region are slightly lower
The Administration’s proposed reductions for foreign assistance to the region are slightly lower
than the nearly 26% cut proposed for foreign operations global y.7
than the nearly 26% cut proposed for foreign operations global y.7
Foreign Assistance Categories and Accounts8
The Administration’s proposed FY2021 foreign aid budget for Latin America and the Caribbean The Administration’s proposed FY2021 foreign aid budget for Latin America and the Caribbean
requests $760.9 mil ion (54% of the total) through a new Economic Support and Development requests $760.9 mil ion (54% of the total) through a new Economic Support and Development
Fund (ESDF). As proposed, the ESDF foreign assistance account would consolidate aid that Fund (ESDF). As proposed, the ESDF foreign assistance account would consolidate aid that
currently is provided through the Development Assistance (DA) and Economic Support Fund currently is provided through the Development Assistance (DA) and Economic Support Fund
(ESF) accounts to support democracy, the rule of law, economic reform, education, agriculture,
(ESF) accounts to support democracy, the rule of law, economic reform, education, agriculture,
and natural resource management.9 Whereas administrations often have used the DA account for and natural resource management.9 Whereas administrations often have used the DA account for
long-term projects to foster broad-based economic progress and social stability in developing long-term projects to foster broad-based economic progress and social stability in developing
countries, the ESDF account, like the ESF account, would focus more on countries and programs countries, the ESDF account, like the ESF account, would focus more on countries and programs
deemed critical to short-term U.S. security and strategic objectives. The FY2021 request includes deemed critical to short-term U.S. security and strategic objectives. The FY2021 request includes
$74.5 mil ion (9%) less funding for the ESDF account than was al ocated to the region through $74.5 mil ion (9%) less funding for the ESDF account than was al ocated to the region through
the DA and ESF accounts combined in FY2020.
the DA and ESF accounts combined in FY2020.
Another $132.8 mil ion (9%) of the Administration’s FY2021 request for the region would be
Another $132.8 mil ion (9%) of the Administration’s FY2021 request for the region would be
provided through two Global Health Programs (GHP) accounts. This amount includes $96.8
provided through two Global Health Programs (GHP) accounts. This amount includes $96.8
mil ion requested through the State Department GHP account for HIV/AIDS programs and $36 mil ion requested through the State Department GHP account for HIV/AIDS programs and $36
mil ion requested through the USAID GHP account to combat malaria and support maternal and mil ion requested through the USAID GHP account to combat malaria and support maternal and
child health, nutrition, and family planning programs. Under the FY2021 request for the region, child health, nutrition, and family planning programs. Under the FY2021 request for the region,
funding for the State Department GHP account would decline by $60.9 mil ion (39%) and funding for the State Department GHP account would decline by $60.9 mil ion (39%) and
funding for the USAID GHP account would decline by $17.3 mil ion (32%) compared with the funding for the USAID GHP account would decline by $17.3 mil ion (32%) compared with the
FY2020 estimate.
FY2020 estimate.
The remaining $508.5 mil ion (36%) of the Administration’s FY2021 request for Latin America
The remaining $508.5 mil ion (36%) of the Administration’s FY2021 request for Latin America
and the Caribbean would support security assistance programs, including the following
and the Caribbean would support security assistance programs, including the following
$452.9 mil ion requested through the International Narcotics Control and Law
$452.9 mil ion requested through the International Narcotics Control and Law
Enforcement (INCLE) account for counter-narcotics, civilian law enforcement
Enforcement (INCLE) account for counter-narcotics, civilian law enforcement
efforts, and projects intended to strengthen judicial institutions. INCLE funding
efforts, and projects intended to strengthen judicial institutions. INCLE funding
for the region would decline by $102.3 mil ion (18%) compared with the FY2020 for the region would decline by $102.3 mil ion (18%) compared with the FY2020
estimate. estimate.
$24 mil ion requested through the Nonproliferation, Anti-terrorism, Demining,
$24 mil ion requested through the Nonproliferation, Anti-terrorism, Demining,
and Related Programs (NADR) account to help countries in the region carry out
and Related Programs (NADR) account to help countries in the region carry out
humanitarian demining programs, strengthen conventional weapons stockpile humanitarian demining programs, strengthen conventional weapons stockpile
management, develop strategic trade controls and border security measures, and management, develop strategic trade controls and border security measures, and
enhance their counterterrorism capacities. NADR funding would decline by $3.3 enhance their counterterrorism capacities. NADR funding would decline by $3.3
mil ion (12%) compared with the FY2020 estimate. mil ion (12%) compared with the FY2020 estimate.
7 For more information on the global foreign aid budget, see CRS Report R46367, 7 For more information on the global foreign aid budget, see CRS Report R46367,
Department of State, Foreign
Operations, and Related Program s: FY2021 Budget and Appropriations, by Cory R. Gill, Marian L. Lawson, and , by Cory R. Gill, Marian L. Lawson, and
Emily M. Morgenstern. Emily M. Morgenstern.
8 For more information on the various foreign assistance accounts and the programs they fund, see CRS Report
8 For more information on the various foreign assistance accounts and the programs they fund, see CRS Report
R40482, R40482,
Departm ent of State, Foreign Operations Appropriations: A Guide to Com ponent Accounts, by Nick M. , by Nick M.
Brown and Cory R. Gill. Brown and Cory R. Gill.
9 T he Economic Support and Development Fund (ESDF) account also would consolidate aid currently provided 9 T he Economic Support and Development Fund (ESDF) account also would consolidate aid currently provided
through the Democracy Fund and Assistance for Europe, Eurasia, and Central Asia accounts, which are not major through the Democracy Fund and Assistance for Europe, Eurasia, and Central Asia accounts, which are not major
sources of funding for the region. T he Administration requested funding through the proposed ESDF sources of funding for the region. T he Administration requested funding through the proposed ESDF
accountaccoun t in in
FY2018, FY2019, and FY2020, but Congress did not support the consolidation of existing foreign assistance accounts. FY2018, FY2019, and FY2020, but Congress did not support the consolidation of existing foreign assistance accounts.
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1110 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
$11.6 mil ion requested through the International Military Education and
$11.6 mil ion requested through the International Military Education and
Training (IMET) account to train Latin American and Caribbean military
Training (IMET) account to train Latin American and Caribbean military
personnel. IMET funding would decrease by $2.8 personnel. IMET funding would decrease by $2.8
mil ionmillion (19%) compared with (19%) compared with
the FY2020 estimate. the FY2020 estimate.
$20 mil ion requested through the Foreign Military Financing (FMF) account to
$20 mil ion requested through the Foreign Military Financing (FMF) account to
provide U.S. military equipment and services to Colombia. FMF funding for the
provide U.S. military equipment and services to Colombia. FMF funding for the
region would decline by $52.7 mil ion (72%) compared with the FY2020 region would decline by $52.7 mil ion (72%) compared with the FY2020
estimate. estimate.
Table 1. U.S. Foreign Assistance to Latin America and the Caribbean by Account:
FY2016-FY2021 Request
(mil ions of current U.S. dol ars)
(mil ions of current U.S. dol ars)
Account
FY2016
FY2017
FY2018
FY2019
FY2020
FY2021
% Change
(est.)
(req.)
FY20E-
FY21R
DA
DA
484.4
484.4
484.4
484.4
386.2
386.2
385.3
385.3
457.8
457.8
0.0
0.0
—a
ESF
ESF
402.9
402.9
352.
352.
0b
419
419
.1b
402
402
.3b
377
377
.6b
0.0
0.0
—a
ESDF
ESDF
—
—
—
—
—
—
—
—
—
—
760.9
760.9
-9
-9
%a
GHP
GHP
66.4
66.4
64.4
64.4
63.4
63.4
53.3
53.3
53.3
53.3
36.0
36.0
-32%
-32%
(USAID)
(USAID)
GHP
GHP
123.0
123.0
117.7
117.7
136.7
136.7
170.5
170.5
157.7
157.7
96.8
96.8
-39%
-39%
(State)
(State)
INCLE
INCLE
524.4
524.4
533.2
533.2
542.2
542.2
564.3
564.3
555.2
555.2
452.9
452.9
-18%
-18%
NADR
NADR
8.6
8.6
25.4
25.4
23.5
23.5
25.8
25.8
27.3
27.3
24.0
24.0
-12%
-12%
IMET
IMET
13.0
13.0
13.4
13.4
11.2
11.2
9.9
9.9
14.4
14.4
11.6
11.6
-19%
-19%
FMF
FMF
69.4
69.4
82.7
82.7
86.0
86.0
82.8
82.8
72.7
72.7
20.0
20.0
-72%
-72%
Total
1,691.9
1,673.2b
1,668.4bc
1,694.1b
1,716.0bd
1,402.3
-18%
Sources: U.S. Department of StateU.S. Department of State
, Congressional Budget Justifications for Foreign Operations, FY2018-FY2021, at , at
https://www.state.gov/plans-performance-budget/international-affairs-budgets/; and U.S. Department of State, https://www.state.gov/plans-performance-budget/international-affairs-budgets/; and U.S. Department of State,
FY2020 estimate data, June 15, 2020. FY2020 estimate data, June 15, 2020.
Notes: DA = Development Assistance; ESDF = Economic Support and Development Fund; ESF = Economic DA = Development Assistance; ESDF = Economic Support and Development Fund; ESF = Economic
Support Fund; FMF = Foreign Military Financing; GHP = Global Health Programs; IMET = International Military Support Fund; FMF = Foreign Military Financing; GHP = Global Health Programs; IMET = International Military
Education and Training; INCLE = International Narcotics Control and Law Enforcement; NADR = Education and Training; INCLE = International Narcotics Control and Law Enforcement; NADR =
Nonproliferation, Anti-terrorism, Demining, and Related Programs; State = Department of State; USAID = U.S. Nonproliferation, Anti-terrorism, Demining, and Related Programs; State = Department of State; USAID = U.S.
Agency for International Development. Agency for International Development.
a. The FY2021 request would consolidate several foreign assistance accounts, including DA and ESF, into a a. The FY2021 request would consolidate several foreign assistance accounts, including DA and ESF, into a
new ESDF account. The table compares the FY2021 ESDF request with the combined FY2020 DA and ESF
new ESDF account. The table compares the FY2021 ESDF request with the combined FY2020 DA and ESF
estimates. estimates.
b. Congress appropriated an additional $9 mil ion of ESF for the region each year from FY2017 to FY2019, and
b. Congress appropriated an additional $9 mil ion of ESF for the region each year from FY2017 to FY2019, and
an additional $5 mil ion of ESF for the region in FY2020. Those funds are not included in this table, because
an additional $5 mil ion of ESF for the region in FY2020. Those funds are not included in this table, because
they were appropriated as multilateral assistance through the Organization of American States. they were appropriated as multilateral assistance through the Organization of American States.
c. FY2018 totals represent al ocations as of the end of that fiscal year. The Trump Administration
c. FY2018 totals represent al ocations as of the end of that fiscal year. The Trump Administration
subsequently reprogrammed approximately $405 mil ion of FY2018 aid Congress had appropriated for El
subsequently reprogrammed approximately $405 mil ion of FY2018 aid Congress had appropriated for El
Salvador, Guatemala, and Honduras, real ocating some of those funds outside the Latin American and Salvador, Guatemala, and Honduras, real ocating some of those funds outside the Latin American and
Caribbean region. Caribbean region.
d. FY2020 totals do not include any of the funding made available for Latin America and the Caribbean through
d. FY2020 totals do not include any of the funding made available for Latin America and the Caribbean through
supplemental emergency appropriations to respond to the COVID-19 pandemic.
supplemental emergency appropriations to respond to the COVID-19 pandemic.
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1312 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
Major Country and Regional Programs
The Trump Administration’s FY2021 budget request would reduce U.S. assistance for most The Trump Administration’s FY2021 budget request would reduce U.S. assistance for most
countries and regional programs in Latin America and the Caribbean (se
countries and regional programs in Latin America and the Caribbean (se
e Table 2).
The FY2021 request includes $376.9 mil ion to address the underlying conditions driving
The FY2021 request includes $376.9 mil ion to address the underlying conditions driving
irregular migration from irregular migration from
Central America to the United States by promoting good governance, to the United States by promoting good governance,
economic prosperity, and improved security in the region. That would be a $156.3 mil ion (29%)
economic prosperity, and improved security in the region. That would be a $156.3 mil ion (29%)
cut compared with the FY2020 estimate. The request does not include any foreign aid specifical y cut compared with the FY2020 estimate. The request does not include any foreign aid specifical y
for El Salvador, Guatemala, or Honduras (the “Northern Triangle” of Central America). However, for El Salvador, Guatemala, or Honduras (the “Northern Triangle” of Central America). However,
the Administration asserts that those countries could receive a portion of the assistance requested the Administration asserts that those countries could receive a portion of the assistance requested
for CARSI and the USAID Latin America and Caribbean Regional Program if their governments for CARSI and the USAID Latin America and Caribbean Regional Program if their governments
continue to take action to stem migration to the United States.10
continue to take action to stem migration to the United States.10
Colombia would remain the single largest recipient of U.S. assistance in Latin America and the would remain the single largest recipient of U.S. assistance in Latin America and the
Caribbean under the Administration’s FY2021 request; however, aid would fal to $412.9 Caribbean under the Administration’s FY2021 request; however, aid would fal to $412.9
mil ion—a $38.8 mil ion (9%) reduction compared with the FY2020 estimate. Colombia has
mil ion—a $38.8 mil ion (9%) reduction compared with the FY2020 estimate. Colombia has
received significant U.S. assistance to support counter-narcotics and counterterrorism efforts received significant U.S. assistance to support counter-narcotics and counterterrorism efforts
since FY2000, and the FY2021 request would provide continued support for Colombia’s drug since FY2000, and the FY2021 request would provide continued support for Colombia’s drug
eradication and interdiction efforts. The request also would support the ongoing implementation eradication and interdiction efforts. The request also would support the ongoing implementation
of the Colombian government’s peace accord with the Revolutionary Armed Forces of Colombia of the Colombian government’s peace accord with the Revolutionary Armed Forces of Colombia
(FARC), including with aid intended to foster reconciliation within Colombian society, expand
(FARC), including with aid intended to foster reconciliation within Colombian society, expand
state presence to regions historical y under FARC control, and support rural economic state presence to regions historical y under FARC control, and support rural economic
development in marginalized communities.11
development in marginalized communities.11
Venezuela is one of the few countries in the region for which the Administration has requested is one of the few countries in the region for which the Administration has requested
increased assistance. Although the country continues to contend with interrelated political, increased assistance. Although the country continues to contend with interrelated political,
economic, and humanitarian crises, the Administration’s request assumes there wil be progress economic, and humanitarian crises, the Administration’s request assumes there wil be progress
toward the reestablishment of democracy by FY2021. The request would provide $205 mil ion to toward the reestablishment of democracy by FY2021. The request would provide $205 mil ion to
support the transitional government, improve food security, strengthen the health system, stabilize support the transitional government, improve food security, strengthen the health system, stabilize
the energy sector, and foster economic growth. Total aid to Venezuela would increase by $170
the energy sector, and foster economic growth. Total aid to Venezuela would increase by $170
mil ion (486%) compared with the FY2020 estimate.12
mil ion (486%) compared with the FY2020 estimate.12
Haiti, which has received high levels of aid for many years due to its significant development , which has received high levels of aid for many years due to its significant development
chal enges, would be the third-largest recipient of U.S. assistance in the region in FY2021 under
chal enges, would be the third-largest recipient of U.S. assistance in the region in FY2021 under
the Administration’s request. U.S. assistance increased significantly after a massive earthquake the Administration’s request. U.S. assistance increased significantly after a massive earthquake
struck Haiti in 2010 but has gradual y declined from those elevated levels. The Administration’s struck Haiti in 2010 but has gradual y declined from those elevated levels. The Administration’s
FY2021 request would provide $128.2 mil ion to Haiti to help address health chal enges FY2021 request would provide $128.2 mil ion to Haiti to help address health chal enges
(particularly HIV/AIDS), support credible elections, strengthen government and police capacity, (particularly HIV/AIDS), support credible elections, strengthen government and police capacity,
improve food security, and increase economic opportunity. This would be a $44.4 mil ion (26%)
improve food security, and increase economic opportunity. This would be a $44.4 mil ion (26%)
cut compared with the FY2020 estimate.13
cut compared with the FY2020 estimate.13
10 For more information on U.S. policy toward Central America, see CRS In Focus IF10371, 10 For more information on U.S. policy toward Central America, see CRS In Focus IF10371,
U.S. Strategy for
Engagem ent in Central Am erica: An Overview, by Peter J. Meyer. , by Peter J. Meyer.
11 For more information on U.S. policy toward Colombia, see CRS Report R43813, 11 For more information on U.S. policy toward Colombia, see CRS Report R43813,
Colombia: Background and U.S.
Relations, by June S. Beittel. , by June S. Beittel.
12 For more information on U.S. policy toward Venezuela, see CRS Report R44841,
12 For more information on U.S. policy toward Venezuela, see CRS Report R44841,
Venezuela: Background and U.S.
Relations, coordinated by Clare Ribando Seelke. , coordinated by Clare Ribando Seelke.
13 For more information on U.S. policy toward Haiti, see CRS Report R45034,
13 For more information on U.S. policy toward Haiti, see CRS Report R45034,
Haiti’s Political and Economic
Conditions, by Maureen T aft -Morales. , by Maureen T aft -Morales.
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1413 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
Mexico would receive $63.8 mil ion of assistance under the FY2021 request, which would be a would receive $63.8 mil ion of assistance under the FY2021 request, which would be a
$94.2 mil ion (60%) cut compared with the FY2020 estimate. Mexico traditional y was not a $94.2 mil ion (60%) cut compared with the FY2020 estimate. Mexico traditional y was not a
major U.S. aid recipient due to its middle-income status, but it began receiving larger amounts of major U.S. aid recipient due to its middle-income status, but it began receiving larger amounts of
counter-narcotics and anti-crime assistance through the Mérida Initiative in FY2008. The counter-narcotics and anti-crime assistance through the Mérida Initiative in FY2008. The
Administration’s FY2021 request for Mexico would fund efforts to strengthen the rule of law; Administration’s FY2021 request for Mexico would fund efforts to strengthen the rule of law;
secure borders and ports; and combat transnational organized crime, including opium poppy secure borders and ports; and combat transnational organized crime, including opium poppy
cultivation and heroin and fentanyl production.14
cultivation and heroin and fentanyl production.14
The FY2021 request includes $32 mil ion for the
The FY2021 request includes $32 mil ion for the
CBSI, which would be a $28 mil ion (47%) cut , which would be a $28 mil ion (47%) cut
compared with the FY2020 estimate. The CBSI funds maritime and aerial security cooperation,
compared with the FY2020 estimate. The CBSI funds maritime and aerial security cooperation,
law enforcement capacity building, border and port security, justice sector reform, and crime law enforcement capacity building, border and port security, justice sector reform, and crime
prevention programs in the Caribbean.15
prevention programs in the Caribbean.15
Table 2. U.S. Foreign Assistance to Latin America and the Caribbean by Country or
Regional Program: FY2016-FY2021 Request
(thousands of current U.S. dol ars)
(thousands of current U.S. dol ars)
FY2016
FY2017
FY2018
FY2019
FY2020
FY2021
% Change
(est.)
(req.)
FY20E-
FY21R
Argentina
Argentina
579
579
624
624
2,918
2,918
3,089
3,089
3,100
3,100
600
600
-81%
-81%
Bahamas
Bahamas
207
207
173
173
138
138
196
196
200
200
200
200
—
—
Belize
Belize
1,243
1,243
1,241
1,241
1,143
1,143
235
235
1,250
1,250
200
200
-84%
-84%
Bolivia
Bolivia
0
0
0
0
0
0
0
0
0
0
0
0
—
—
Brazil
Brazil
12,858
12,858
11,690
11,690
11,423
11,423
11,619
11,619
15,800
15,800
625
625
-96%
-96%
Chile
Chile
670
670
689
689
357
357
487
487
600
600
400
400
-33%
-33%
Colombia
Colombia
293,081
293,081
384,248
384,248
384,312
384,312
421,180
421,180
451,703
451,703
412,900
412,900
-9%
-9%
Costa Rica
Costa Rica
1,819
1,819
5,718
5,718
5,725
5,725
8,180
8,180
8,225
8,225
400
400
-95%
-95%
Cuba
Cuba
20,000
20,000
20,000
20,000
20,000
20,000
20,000
20,000
20,000
20,000
10,000
10,000
-50%
-50%
Dominican
Dominican
21,615
21,615
13,736
13,736
20,174
20,174
36,777
36,777
28,661
28,661
15,500
15,500
-46%
-46%
Republic
Republic
Ecuador
Ecuador
2,000
2,000
1,789
1,789
1,789
1,789
12,000
12,000
19,450
19,450
17,200
17,200
-12%
-12%
El Salvador
El Salvador
67,900
67,900
72,759
72,759
57,65
57,65
6a
0b
72,700
72,700
0
0
-100%
-100%
Guatemala
Guatemala
127,515
127,515
125,493
125,493
108,45
108,45
3a
0b
79,450
79,450
0
0
-100%
-100%
Guyana
Guyana
243
243
277
277
239
239
176
176
200
200
200
200
—
—
Haiti
Haiti
185,076
185,076
164,552
164,552
181,319
181,319
193,752
193,752
172,520
172,520
128,155
128,155
-26%
-26%
Honduras
Honduras
98,250
98,250
95,260
95,260
79,67
79,67
8a
0b
65,800
65,800
0
0
-100%
-100%
Jamaica
Jamaica
5,065
5,065
10,597
10,597
1,335
1,335
1,598
1,598
1,600
1,600
600
600
-63%
-63%
Mexico
Mexico
160,156
160,156
138,566
138,566
151,263
151,263
162,410
162,410
157,910
157,910
63,750
63,750
-60%
-60%
Nicaragua
Nicaragua
10,000
10,000
9,679
9,679
10,000
10,000
11,610
11,610
10,000
10,000
10,000
10,000
—
—
14 For more information on U.S. policy toward Mexico, see CRS Report R42917, 14 For more information on U.S. policy toward Mexico, see CRS Report R42917,
Mexico: Background and U.S.
Relations, by Clare Ribando Seelke. , by Clare Ribando Seelke.
15 For more information on the Caribbean Basin Security Initiative, see CRS In Focus IF10789, 15 For more information on the Caribbean Basin Security Initiative, see CRS In Focus IF10789,
Caribbean Basin
Security Initiative, by Mark P. Sullivan. , by Mark P. Sullivan.
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1413 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
FY2016
FY2017
FY2018
FY2019
FY2020
FY2021
% Change
(est.)
(req.)
FY20E-
FY21R
Panama
Panama
3,346
3,346
3,271
3,271
3,086
3,086
1,162
1,162
3,225
3,225
1,100
1,100
-66%
-66%
Paraguay
Paraguay
8,620
8,620
6,150
6,150
4,297
4,297
4,397
4,397
4,400
4,400
4,400
4,400
—
—
Peru
Peru
74,898
74,898
64,473
64,473
74,814
74,814
75,396
75,396
77,200
77,200
68,600
68,600
-11%
-11%
Suriname
Suriname
215
215
269
269
167
167
195
195
200
200
200
200
—
—
Trinidad and
Trinidad and
325
325
343
343
341
341
326
326
350
350
300
300
-14%
-14%
Tobago
Tobago
Uruguay
Uruguay
499
499
498
498
401
401
385
385
400
400
300
300
-25%
-25%
Venezuela
Venezuela
6,500
6,500
7,000
7,000
15,000
15,000
22,500
22,500
35,000
35,000
205,000
205,000
+486%
+486%
Barbados and
Barbados and
26,425
26,425
26,629
26,629
24,027
24,027
3,456
3,456
13,950
13,950
3,550
3,550
-75%
-75%
Eastern
Eastern
Caribbean Caribbean
USAID
USAID
4,000
4,000
3,000
3,000
4,000
4,000
4,000
4,000
10,000
10,000
0
0
-100%
-100%
Caribbean
Caribbean
Development Development
USAID
USAID
39,761
39,761
38,316
38,316
19,93
19,93
1a
181,39
181,39
0b
5,000
5,000
0
0
-100%
-100%
Central
Central
America America
Regional Regional
USAID South
USAID South
12,000
12,000
14,000
14,000
18,065
18,065
18,000
18,000
15,000
15,000
15,500
15,500
+3%
+3%
America
America
Regional Regional
USAID Latin
USAID Latin
28,360
28,360
26,700
26,700
51,600
51,600
68,300
68,300
39,978
39,978
199,650
199,650
+399%
+399%
America and
America and
Caribbean Caribbean
Regional Regional
State
State
478,668
478,668
425,471
425,471
414,795
414,795
431,313
431,313
402,135
402,135
242,926
242,926
-40%
-40%
Western
Western
Hemisphere Hemisphere
Regional Regional
[CARSI]
[348,500]
[329,225]
[319,225]a
[290,000]
[270,000]
[185,000]
[-31%]
[CBSI]
[57,721]
[57,700]
[57,700]
[58,000]
[60,000]
[32,000]
[-47%]
Total
1,691,894
1,673,211
1,668,446a
1,694,129
1,716,007c
1,402,256
-18%
Sources: U.S. Department of StateU.S. Department of State
, Congressional Budget Justifications for Foreign Operations, FY2018-FY2021, at , at
https://www.state.gov/plans-performance-budget/international-affairs-budgets/; and U.S. Department of State, https://www.state.gov/plans-performance-budget/international-affairs-budgets/; and U.S. Department of State,
FY2020 estimate data, June 15, 2020. FY2020 estimate data, June 15, 2020.
Notes: CARSI = Central America Regional Security Initiative; CBSI = Caribbean Basin Security Initiative. CARSI CARSI = Central America Regional Security Initiative; CBSI = Caribbean Basin Security Initiative. CARSI
and CBSI are funded through the State Western Hemisphere Regional program. USAID and State Department and CBSI are funded through the State Western Hemisphere Regional program. USAID and State Department
regional programs fund region-wide initiatives as wel as activities that cross borders or take place in regional programs fund region-wide initiatives as wel as activities that cross borders or take place in
nonpresence countries. nonpresence countries.
a. FY2018 totals represent al ocations as of the end of that fiscal year. The Trump Administration a. FY2018 totals represent al ocations as of the end of that fiscal year. The Trump Administration
subsequently reprogrammed approximately $405 mil ion of FY2018 aid Congress had appropriated for El
subsequently reprogrammed approximately $405 mil ion of FY2018 aid Congress had appropriated for El
Salvador, Guatemala, and Honduras. Salvador, Guatemala, and Honduras.
b. Due to the Trump Administration’s suspension of aid to El Salvador, Guatemala, and Honduras, $181.4
b. Due to the Trump Administration’s suspension of aid to El Salvador, Guatemala, and Honduras, $181.4
mil ion of FY2019 assistance had yet to be al ocated when the Administration released its FY2021 request.
mil ion of FY2019 assistance had yet to be al ocated when the Administration released its FY2021 request.
c. FY2020 totals do not include any of the funding made available for Latin America and the Caribbean through
c. FY2020 totals do not include any of the funding made available for Latin America and the Caribbean through
supplemental emergency appropriations to respond to the COVID-19 pandemic.
supplemental emergency appropriations to respond to the COVID-19 pandemic.
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Inter-American Foundation
In addition to the proposed reductions to State Department and USAID-managed assistance for In addition to the proposed reductions to State Department and USAID-managed assistance for
the region, for the fourth consecutive year, the Trump Administration’s FY2021 budget request
the region, for the fourth consecutive year, the Trump Administration’s FY2021 budget request
proposed eliminating the IAF and consolidating its programs into USAID.16 The IAF is an proposed eliminating the IAF and consolidating its programs into USAID.16 The IAF is an
independent U.S. foreign assistance agency established through the Foreign Assistance Act of independent U.S. foreign assistance agency established through the Foreign Assistance Act of
1969 (22 U.S.C. §290f). Congress created the agency after conducting a comprehensive review of 1969 (22 U.S.C. §290f). Congress created the agency after conducting a comprehensive review of
previous assistance efforts and determining that programs at the government-to-government level previous assistance efforts and determining that programs at the government-to-government level
had not promoted significant social and civic change in the region despite fostering economic
had not promoted significant social and civic change in the region despite fostering economic
growth.17 The IAF provides grants and other targeted assistance directly to the organized poor to growth.17 The IAF provides grants and other targeted assistance directly to the organized poor to
foster economic and social development and to encourage civic engagement in their communities. foster economic and social development and to encourage civic engagement in their communities.
The IAF is active in 24 countries in the region—including 8 countries where USAID no longer The IAF is active in 24 countries in the region—including 8 countries where USAID no longer
has field missions—and has focused particularly on migrant-sending communities in Central has field missions—and has focused particularly on migrant-sending communities in Central
America since 2014.
America since 2014.
The Trump Administration asserts that merging the IAF’s smal grants programs into USAID
The Trump Administration asserts that merging the IAF’s smal grants programs into USAID
would “better integrate [those smal grants] with USAID’s existing globalwould “better integrate [those smal grants] with USAID’s existing global
development programs, development programs,
more cohesively serve U.S. foreign policy objectives, and increase organizational efficiencies
more cohesively serve U.S. foreign policy objectives, and increase organizational efficiencies
through reducing duplication and overhead.”18 The FY2021 request includes $3.9 mil ion to through reducing duplication and overhead.”18 The FY2021 request includes $3.9 mil ion to
conduct an orderly closeout of the IAF (seconduct an orderly closeout of the IAF (se
e Table 3). Opponents of the merger note that Congress . Opponents of the merger note that Congress
specifical y created the IAF as an alternative to other U.S. agencies. They argue that USAID specifical y created the IAF as an alternative to other U.S. agencies. They argue that USAID
would not be able to maintain the IAF’s distinct model and flexibility, which have al owed the would not be able to maintain the IAF’s distinct model and flexibility, which have al owed the
IAF to invest in innovative projects and work with groups that otherwise would be unable or IAF to invest in innovative projects and work with groups that otherwise would be unable or
unwil ing to partner with the U.S. government.
unwil ing to partner with the U.S. government.
Table 3. Inter-American Foundation (IAF) Appropriations: FY2016-FY2021 Request
(mil ions of current U.S. dol ars)
(mil ions of current U.S. dol ars)
FY2016
FY2017
FY2018
FY2019
FY2020
FY2021
% Change
(est.)
(req.)
FY20-FY21
22.5
22.5
22.5
22.5
30.0
30.0
22.5
22.5
37.5
37.5
3.9
3.9
-90%
-90%
Source: U.S. Department of StateU.S. Department of State
, Congressional Budget Justifications for Foreign Operations, FY2018-FY2021, at , at
https://www.state.gov/plans-performance-budget/international-affairs-budgets/. https://www.state.gov/plans-performance-budget/international-affairs-budgets/.
Legislative Developments
On October 1, 2020, President Trump signed into law a short-term continuing resolution (P.L. On October 1, 2020, President Trump signed into law a short-term continuing resolution (P.L.
116-159), which funds foreign aid programs at the FY2020 level until December 11, 2020. As
116-159), which funds foreign aid programs at the FY2020 level until December 11, 2020. As
Congress considers appropriations for the remainder of FY2021, it may draw from the Congress considers appropriations for the remainder of FY2021, it may draw from the
Department of State, Foreign Operations, Department of State, Foreign Operations,
Agriculture, Rural Development, Interior, Environment, Military Construction, and Veterans Affairs Appropriations Act, 2021 (and Related Programs Appropriations Act, 2021 (Division A of H.R. 7608), which the H.R. 7608), which the
House passed on July 24, 2020House passed on July 24, 2020
. Division A of the bil —the, and the draft Department of State, Foreign Department of State, Foreign
Operations, and Related Programs Operations, and Related Programs
Appropriations Act, 2021—would provide $48.6 bil ion forappropriations measure that the Senate
16 T he T rump Administration is not the first to propose elimination of the Inter-American Foundation. In 1999, 16 T he T rump Administration is not the first to propose elimination of the Inter-American Foundation. In 1999,
Congress passed legislation (P.L. 106-113, later amended by P.L. 106-429) that authorized the President during Congress passed legislation (P.L. 106-113, later amended by P.L. 106-429) that authorized the President during
FY2000-FY2001 to abolish the Inter-American Foundation. However, the President did not exercise FY2000-FY2001 to abolish the Inter-American Foundation. However, the President did not exercise
th atthat authority. authority.
17 H.Rept. 91-611, p. 57.
17 H.Rept. 91-611, p. 57.
18 U.S. Department of State, 18 U.S. Department of State,
Congressional Budget Justification, Department of State, Foreign Operations, and Related
Program s, Fiscal Year 2021, February 10, 2020, p. 85. , February 10, 2020, p. 85.
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Appropriations Committee released on November 10, 2020. Although H.R. 7608, the accompanying report (H.Rept. 116-444), and the Senate Appropriations Committee’s draft bil and explanatory statement do not specify comprehensive appropriations levels for every Latin American and Caribbean country, the amounts they designate for several key U.S. initiatives
differ significantly from the Administration’s request (see Table 4).19
Table 4. U.S. Foreign Assistance for Select Countries and Initiatives:
FY2021 Appropriations Legislation
(mil ions of current U.S. dol ars)
Senate
FY2020 (est.)
FY2021 (req.)
H.R. 7608
Committee Draft
Caribbean Basin
60.0
32.0
74.8
60.0
Security Initiative
Central America
533.2
376.9
519.9
505.9
Colombia
451.7
412.9
457.3
455.4
Haiti
172.5
128.2
51.0a
172.5
Inter-American
37.5
3.9
41.5b
37.5
Foundation
Mexico
157.9
63.8
159.9
157.9
Venezuela
35.0
205.0
30.0
35.0
Source: H.R. 7608, H.Rept. 116-444, and the Senate Appropriations Committee’s draft bil and explanatory statement. Notes: a. The bil designates $51 mil ion of DA for Haiti, but does not specify appropriations levels for other foreign
assistance accounts.
b. The bil also provides an additional $10 mil ion of emergency funding for the IAF to respond to the COVID-
19 pandemic.
Caribbean Basin Security Initiative. H.R. 7608 would provide “not less than” $74.8 mil ion for the CBSI. H.Rept. 116-444 states that “not less than” $10 mil ion of those funds would be to strengthen Caribbean countries’ resilience to emergencies and disasters. The Senate Appropriations Committee’s draft explanatory statement would provide $60 mil ion for the CBSI as wel as $17.5 mil ion of DA to “enhance island disaster recovery and resilience, and to assist
the Caribbean region in adapting to, and mitigating the effects of, climate change.”
Central America. H.R. 7608 would provide “not less than” $519.9 mil ion for Central America, including “not less than” $420.8 mil ion for the Northern Triangle. The Senate Appropriations
Committee’s draft bil and explanatory statement would provide $505.9 mil ion for Central America, including at least $203 mil ion for the Northern Triangle. Both bil s would direct U.S. agencies to prioritize U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
foreign operations global y. That sum would be nearly 62% more than the Administration
requested and nearly 20% more than the FY2020 enacted level.
The bil includes $9.1 bil ion of emergency foreign aid to respond to the COVID-19 pandemic.
Those funds would build on nearly $1.8 bil ion of FY2020 supplemental foreign aid Congress appropriated through the Coronavirus Preparedness and Response Supplemental Appropriations Act, 2020 (P.L. 116-123), and the CARES Act (P.L. 116-136) in March 2020. (For more on
COVID-19 aid to the region, see “COVID-19 Response,” below.19)
The Senate Appropriations Committee has yet to report a foreign assistance appropriations
measure for FY2021.
H.R. 7608 and the accompanying report (H.Rept. 116-444) do not specify appropriations levels for every Latin American and Caribbean country. Nevertheless, the amounts designated for
several key U.S. initiatives differ significantly from the Administration’s request.
Caribbean Basin Security Initiative. The bil would provide “not less than” $74.8 mil ion for the CBSI. The report states that “not less than” $10 mil ion of those funds are to strengthen Caribbean countries’ resilience to emergencies and disasters. The appropriation for the CBSI would be $42.8 mil ion more than the Administration requested and $14.8 mil ion more than was
provided for the initiative in FY2020.
Central America. The bil would provide “not less than” $519.9 mil ion for Central America, including “not less than” $420.8 mil ion for the Northern Triangle. U.S. agencies are to prioritize
“programs and activities that address the key factors that contribute to the “programs and activities that address the key factors that contribute to the
migration of migration of
unaccompanied, undocumented minors to the United States.” unaccompanied, undocumented minors to the United States.”
The appropriation for Central America would exceed the Administration’s request by $143 mil ion but would be $13.3 mil ion
less than was al ocated to Central American countries in FY2020.
Colombia. The bil
19 T he Senate Appropriations Committee’s draft bill is available at https://www.appropriations.senate.gov/imo/media/doc/SFOPSFY2021.pdf; the draft explanatory statement is available at https://www.appropriations.senate.gov/imo/media/doc/SFOPSRept.pdf.
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Colombia. H.R. 7608 would provide “not less than” $457.3 mil ion for Colombia. According to would provide “not less than” $457.3 mil ion for Colombia. According to
the
report
H.Rept. 116-444, that assistance , that assistance
is intended towould support the Colombian government’s efforts to support the Colombian government’s efforts to
implement the peace accord;
implement the peace accord;
assist communities with significant migrant, refugee, and internal y displaced assist communities with significant migrant, refugee, and internal y displaced
populations;
populations;
combat drug trafficking and illegal armed groups;
combat drug trafficking and illegal armed groups;
assist farmers in eradicating and replacing coca; assist farmers in eradicating and replacing coca;
promote economic and social development; promote economic and social development;
strengthen governance and the rule of law; strengthen governance and the rule of law;
enhance the security and stability of Colombia and the broader region; and enhance the security and stability of Colombia and the broader region; and
protect human rights defenders and communities at risk. protect human rights defenders and communities at risk.
The
The
appropriation for Colombia would be $44.4 mil ion more than the Administration requested
and $5.6 mil ion more than was provided to Colombia in FY2020.
Mexico. According to the report, the bil would provide $159.9 mil ion for Mexico. U.S. agencies are to prioritize efforts to improve the capacities of Mexican security and justice sector institutions to combat transnational criminal organizations and “keep communities safe on both
19 For more on COVID-19 and U.S. foreign assistance, see CRS In Focus IF11496, COVID-19 and Foreign Assistance:
Issues for Congress, by Nick M. Brown, Marian L. Lawson, and Emily M. Morgenstern .
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sides of the border.” The appropriation for Mexico would be $96.2 mil ion more than the
Administration requested and $2 mil ion more than was provided to Mexico in FY2020.
Venezuela. The bil would provide “not less than” $30 mil ion for democracy programs in
Venezuela. The report also urges the Secretary of State and the USAID Administrator to al ocate additional funds to support a peaceful democratic transition in Venezuela “as conditions permit.” The appropriation for Venezuela would be $175 mil ion less than the Administration requested
and $5 mil ion less than was provided to Venezuela in FY2020.
Inter-American Foundation. The bil would provide $41.5 mil ion for the IAF, rejecting the Administration’s proposed closeout and increasing the agency’s budget by $4 mil ion compared with FY2020. The report stipulates that $10 mil ion is to be made available for programs in El Salvador, Guatemala, and Honduras and that the agency’s increased appropriation should support
a pilot exchange program between indigenous IAF grantees and Native American tribes. The bil also would provide an additional $10 mil ion of emergency funding for the IAF “to prevent,
prepare for, and respond to” the COVID-19 pandemic.
Policy Issues for Congress
Congress may examine a number of policy issues as it continues to consider appropriations for foreign operations in Latin America and the Caribbean. These issues include how to respond to
Senate Appropriations Committee’s draft bil would provide “not less than” $455.4 mil ion
for Colombia. The draft explanatory statement notes particular support for programs to reintegrate demobilized combatants, land restitution and land titling efforts, and Colombia’s Special Unit for the Search of Persons Considered Disappeared and the Commission for the
Elucidation of Truth, Coexistence and Non-Repetition.
Haiti. H.Rept. 116-444 would provide $51 mil ion of DA for Haiti but does not specify appropriations levels for other foreign assistance accounts. The Senate Appropriations
Committee’s draft explanatory statement would provide $172.5 mil ion for Haiti.
Inter-American Foundation. H.R. 7608 would provide $41.5 mil ion for the IAF. H.Rept. 116-444 stipulates that $10 mil ion of those funds would be for programs in El Salvador, Guatemala, and Honduras and that the agency’s increased appropriation should support a pilot exchange
program between indigenous IAF grantees and Native American tribes. The House bil also would provide an additional $10 mil ion of emergency funding for the IAF “to prevent, prepare for, and respond to” the COVID-19 pandemic. The Senate Appropriations Committee’s draft bil
would provide $37.5 mil ion for the IAF.
Mexico. According to H.Rept. 116-444, the House bil would provide $159.9 mil ion for Mexico. The report would direct U.S. agencies to prioritize efforts to improve the capacities of Mexican security and justice sector institutions to combat transnational criminal organizations and “keep communities safe on both sides of the border.” The Senate Appropriations Committee’s draft
explanatory statement would provide $157.9 mil ion for Mexico.
Venezuela. H.R. 7608 and the Senate Appropriations Committee’s draft bil both would provide “not less than” $30 mil ion for democracy programs in Venezuela. H.Rept. 116-444 would urge
the Secretary of State and the USAID Administrator to al ocate additional funds to support a peaceful democratic transition in Venezuela “as conditions permit.” The Senate Appropriations Committee’s draft explanatory statement would provide an additional $5 mil ion for health
programs in Venezuela.
Policy Issues for Congress Congress may examine a number of policy issues as it continues to consider appropriations for
foreign operations in Latin America and the Caribbean. These issues include how to respond to the COVID-19 pandemic, whether to exert greater congressional control over U.S. assistance to the COVID-19 pandemic, whether to exert greater congressional control over U.S. assistance to
Central America, and how the new U.S. International Development Finance Corporation might Central America, and how the new U.S. International Development Finance Corporation might
complement U.S. assistance efforts in Latin America and the Caribbean.
complement U.S. assistance efforts in Latin America and the Caribbean.
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COVID-19 Response20
Conditions in Latin America and the Caribbean have changed significantly since the Conditions in Latin America and the Caribbean have changed significantly since the
Administration released its FY2021 budget request in February 2020. The region emerged as an Administration released its FY2021 budget request in February 2020. The region emerged as an
epicenter of the COVID-19 pandemic in late May, and it now accounts for epicenter of the COVID-19 pandemic in late May, and it now accounts for
2820% of total cases and % of total cases and
3430% of deaths recorded worldwide. As of % of deaths recorded worldwide. As of
October 1December 3, 2020, the region had recorded more than , 2020, the region had recorded more than
9.3
13 mil ion cases and more than mil ion cases and more than
343451,000 deaths.21 ,000 deaths.21
Most analysts expect the pandemic’s economic impact to be severe. The U.N. Economic
Most analysts expect the pandemic’s economic impact to be severe. The U.N. Economic
Commission for Latin America and the Caribbean (ECLAC), for example, projects a regional Commission for Latin America and the Caribbean (ECLAC), for example, projects a regional
average decline of more than 9% in gross domestic product in 2020, leaving an additional 45 average decline of more than 9% in gross domestic product in 2020, leaving an additional 45
mil ion people in poverty and an additional 28 mil ion in extreme poverty. As a result, the mil ion people in poverty and an additional 28 mil ion in extreme poverty. As a result, the
regional poverty rate would climb from 30% to 37% and the extreme poverty rate would climb regional poverty rate would climb from 30% to 37% and the extreme poverty rate would climb
from 11% to nearly 16%.22 ECLAC expects the living standards of middle-income households to from 11% to nearly 16%.22 ECLAC expects the living standards of middle-income households to
deteriorate sharply and income inequality to increase throughout the region.
deteriorate sharply and income inequality to increase throughout the region.
A number of Latin American and Caribbean countries have enacted substantial economic support
A number of Latin American and Caribbean countries have enacted substantial economic support
measures intended to mitigate the pandemic’s impact and reactivate their economies. Others, measures intended to mitigate the pandemic’s impact and reactivate their economies. Others,
however, lack the resources to protect vulnerable households. however, lack the resources to protect vulnerable households.
In Guatemala, Honduras, Guatemala, Honduras,
Haiti, and and
El El
Salvador, for example, are struggling with acute food insecurity crises, in part, due to the pandemic and government containment measures, which have reduced earnings and contributed
to higher food prices.23 Hurricanes Eta and Iota, which struck Central America in November 2020, have exacerbated the situationSalvador, for example, a growing number of families are struggling to make ends meet as the
20 For more information, see CRS In Focus IF11581, Latin America and the Caribbean: Impact of COVID-19, by Mark P. Sullivan et al.
21 Johns Hopkins University School of Medicine, Coronavirus Resource Center, “Mortality Analyses,” at https://coronavirus.jhu.edu/data/mortality. COVID-19-related data may be expected to evolve rapidly.
22 United Nations, Policy Brief: The Impact of COVID-19 on Latin America and the Caribbean, July 2020.
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pandemic and government containment measures have reduced earnings and contributed to rising food prices. The USAID-funded Famine Early Warning Systems Network projects al . The USAID-funded Famine Early Warning Systems Network projects al
four countries wil struggle with acute food insecurity crises and wil need increased external emergency food assistance into 2021.23three countries wil have higher than typical emergency food assistance needs into mid-2021.24 Given those humanitarian needs and the potential threats Given those humanitarian needs and the potential threats
to U.S. interests posed by a prolonged pandemic and economic downturn in the region, some to U.S. interests posed by a prolonged pandemic and economic downturn in the region, some
analysts argue that analysts argue that
the United States should scale up assistance for Latin American and Caribbean the United States should scale up assistance for Latin American and Caribbean
countries.countries.
2425
In March 2020, Congress enacted two FY2020 supplemental appropriations measures (P.L. 116-
In March 2020, Congress enacted two FY2020 supplemental appropriations measures (P.L. 116-
123 and P.L. 116-136) that provided nearly $1.8 bil ion in U.S. foreign assistance to prevent, 123 and P.L. 116-136) that provided nearly $1.8 bil ion in U.S. foreign assistance to prevent,
prepare for, and respond to COVID-19 global y. USAID and the State Department have begun prepare for, and respond to COVID-19 global y. USAID and the State Department have begun
addressing needs in the Latin American and Caribbean region using those supplemental funds and addressing needs in the Latin American and Caribbean region using those supplemental funds and
prior appropriations. As of August 21, 2020, the Administration said it was providing more than prior appropriations. As of August 21, 2020, the Administration said it was providing more than
$141 mil ion in new and previously announced assistance to help countries in the region respond $141 mil ion in new and previously announced assistance to help countries in the region respond
to the pandemic. That total includes $69.5 mil ion of International Disaster Assistance, $33.8 to the pandemic. That total includes $69.5 mil ion of International Disaster Assistance, $33.8
mil ion of Migration and Refugee Assistance, $27.6 mil ion of health assistance, and $10.5
mil ion of Migration and Refugee Assistance, $27.6 mil ion of health assistance, and $10.5
mil ion of ESF (semil ion of ESF (se
e Table 45). Among other activities, U.S. assistance is funding efforts to . Among other activities, U.S. assistance is funding efforts to
improve water, sanitation, and hygiene; reduce food insecurity; communicate risks through improve water, sanitation, and hygiene; reduce food insecurity; communicate risks through
20 For more information, see CRS In Focus IF11581, Latin America and the Caribbean: Impact of COVID-19, by Mark P. Sullivan et al.
21 Johns Hopkins University School of Medicine, Coronavirus Resource Center, “Mortality Analyses,” at https://coronavirus.jhu.edu/data/mortality. COVID-19-related data may be expected to evolve rapidly.
22 United Nations, Policy Brief: The Impact of COVID-19 on Latin America and the Caribbean, July 2020. 23 Famine Early Warning Systems Network, “Central America and Caribbean: Crisis (IPC Phase 3) Persists Despite Recent Harvests and Seasonally High Labor Demand,” October 2020. 24 Famine Early Warning Systems Network, “Food Assistance Outlook Brief: Projected Food Assistanc e Needs for May 2021,” November 2020. 25 See, for examples, T revor Sutton, Dan Restrepo, and Joel Martinez, Getting Ahead of the Curve: Why the United States Needs to Plan for the Coronavirus in the Am ericas, Center for American Progress, May 5, 2020; “ Congress Should Approve Aid for COVID-19’s New Epicenter: Latin America and the Caribbean,” joint statement from 34 civil society groups, Washington Office on Latin America, June 8, 2020; and Walter Kerr, “Latin America Can’t Survive the Coronavirus Crisis Alone,” Foreign Policy, August 3, 2020.
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community engagement; strengthen laboratories, clinical management, and disease surveil ance; community engagement; strengthen laboratories, clinical management, and disease surveil ance;
support migrants, asylum-seekers, refugees, and host communities; and address the second-order support migrants, asylum-seekers, refugees, and host communities; and address the second-order
economic and social impacts of the pandemic.
economic and social impacts of the pandemic.
Table 45. U.S. Foreign Assistance to Latin America and the Caribbean to Respond to
the COVID-19 Pandemic
(as of August 21, 2020, in thousands of current U.S. dol ars)
(as of August 21, 2020, in thousands of current U.S. dol ars)
International
Migration and
Health
Economic
Total
Disaster
Refugee
Assistance
Support
Assistance
Assistance
Assistance
Funds
Argentina
Argentina
—
—
300
300
—
—
—
—
300
300
Bahamas
Bahamas
—
—
—
—
750
750
—
—
750
750
Belize
Belize
—
—
—
—
300
300
—
—
300
300
Bolivia
Bolivia
—
—
130
130
750
750
—
—
880
880
Brazil
Brazil
6,000
6,000
4,800
4,800
2,000
2,000
950
950
13,750
13,750
Chile
Chile
—
—
20
20
—
—
—
—
20
20
Colombia
Colombia
15,500
15,500
8,100
8,100
—
—
—
—
23,600
23,600
Costa Rica
Costa Rica
—
—
880
880
800
800
—
—
1,680
1,680
Cuba
Cuba
—
—
—
—
—
—
—
—
0
0
Dominican
Dominican
Republic
—
275
1,400
2,000
3,675
23 Famine Early Warning Systems Network, “Central America and Caribbean Food Security Outlook: June 2020 to January 2021”; and “Food Assistance Outlook Brief: Projected Food Assistance Needs for January 2021,” July 2020. 24 See, for examples, T revor Sutton, Dan Restrepo, and Joel Martinez, Getting Ahead of the Curve: Why the United
States Needs to Plan for the Coronavirus in the Am ericas, Center for American Progress, May 5, 2020; “ Congress Should Approve Aid for COVID-19’s New Epicenter: Latin America and the Caribbean,” joint statement from 34 civil society groups, Washington Office on Latin America, June 8, 2020; and Walter Kerr, “Latin America Can’t Survive the Coronavirus Crisis Alone,” Foreign Policy, August 3, 2020.
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International
Migration and
Health
Economic
Total
Disaster
Refugee
Assistance
Support
Assistance
Assistance
Assistance
Funds
—
275
1,400
2,000
3,675
Republic
Ecuador
Ecuador
11,000
11,000
5,000
5,000
2,000
2,000
—
—
18,000
18,000
El Salvador
El Salvador
2,000
2,000
—
—
2,600
2,600
2,000
2,000
6,600
6,600
Guatemala
Guatemala
6,000
6,000
—
—
2,400
2,400
1,500
1,500
9,900
9,900
Guyana
Guyana
—
—
350
350
—
—
—
—
350
350
Haiti
Haiti
10,000
10,000
—
—
3,200
3,200
—
—
13,200
13,200
Honduras
Honduras
3,000
3,000
700
700
2,400
2,400
—
—
6,100
6,100
Jamaica
Jamaica
—
—
—
—
1,000
1,000
1,000
1,000
2,000
2,000
Mexico
Mexico
—
—
2,100
2,100
—
—
—
—
2,100
2,100
Nicaragua
Nicaragua
—
—
—
—
750
750
—
—
750
750
Panama
Panama
—
—
1,100
1,100
750
750
—
—
1,850
1,850
Paraguay
Paraguay
—
—
95
95
1,300
1,300
—
—
1,395
1,395
Peru
Peru
7,000
7,000
3,800
3,800
2,500
2,500
3,000
3,000
16,300
16,300
Trinidad and
Trinidad and
Tobago
—
—
250
250
—
—
—
—
250
250
Tobago
Uruguay Uruguay
—
—
100
100
500
500
—
—
600
600
Venezuela
Venezuela
9,000
9,000
4,700
4,700
—
—
—
—
13,700
13,700
Central
Central
America America
—
—
1,100
1,100
—
—
—
—
1,100
1,100
(regional
(regional
)a
Caribbean
Caribbean
(regional)b
—
—
—
—
2,200
2,200
—
—
2,200
2,200
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
International
Migration and
Health
Economic
Total
Disaster
Refugee
Assistance
Support
Assistance
Assistance
Assistance
Funds
Total
69,500
33,800
27,600
10,450
141,350
Sources: U.S. Department of State, “Update: The United States Continues to Lead the Global Response to U.S. Department of State, “Update: The United States Continues to Lead the Global Response to
COVID-19,” fact sheet, August 21, 2020, at https://www.state.gov/update-the-united-states-continues-to-lead-COVID-19,” fact sheet, August 21, 2020, at https://www.state.gov/update-the-united-states-continues-to-lead-
the-global-response-to-covid-19-6/; and CRS communication with USAID, August 2020. the-global-response-to-covid-19-6/; and CRS communication with USAID, August 2020.
Notes: Health assistance is provided through USAID’s Global Health Emergency Reserve Fund for Contagious Health assistance is provided through USAID’s Global Health Emergency Reserve Fund for Contagious
Infectious-Disease Outbreaks and the Global Health Programs account. Infectious-Disease Outbreaks and the Global Health Programs account.
a. Central America regional assistance is funding projects in El Salvador, Guatemala, and Honduras. a. Central America regional assistance is funding projects in El Salvador, Guatemala, and Honduras.
b. Caribbean regional assistance is funding projects in Antigua and Barbuda, Barbados, Dominica, Grenada, b. Caribbean regional assistance is funding projects in Antigua and Barbuda, Barbados, Dominica, Grenada,
Guyana, St. Kitts and Nevis, Saint Lucia, St. Vincent and the Grenadines, Suriname, and Trinidad a nd
Guyana, St. Kitts and Nevis, Saint Lucia, St. Vincent and the Grenadines, Suriname, and Trinidad a nd
Tobago. Tobago.
Although the Latin American and Caribbean region is
Although the Latin American and Caribbean region is
registering the highest number of new COVID-19 cases and is expected to experience the deepest economic downturn in the world,expected to experience the deepest economic downturn in the world,
2526 it it
has received less than 9% of the $1.6 bil ionhas received less than 9% of the $1.6 bil ion
of pandemic-related assistance that USAID and the of pandemic-related assistance that USAID and the
State Department have announced thus far.State Department have announced thus far.
2627 USAID and USAID and
the State Department work with the the State Department work with the
25 World Health Organization, “Coronavirus Disease (COVID-19) Weekly Epidemiological Update,” August 30, 2020; and International Monetary Fund, World Econom ic Outlook Update: A Crisis Like No Other, An Uncertain Recovery, June 2020.
26 U.S. Department of State, “Update: T he United States Continues to Lead the Global Response to COVID-19,” fact sheet, August 21, 2020.
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U.S. Centers for Disease Control and Prevention and other U.S. Centers for Disease Control and Prevention and other
interagency partners to determine interagency partners to determine
assistance al ocations. According to USAID, the prioritization process is based on a series of assistance al ocations. According to USAID, the prioritization process is based on a series of
factors that include caseload and extent of community transmission, connectivity to a COVID-19 factors that include caseload and extent of community transmission, connectivity to a COVID-19
hotspot, unstable political situations or displaced hotspot, unstable political situations or displaced
populations, health system weaknesses, and the populations, health system weaknesses, and the
potential impact of U.S. assistance.potential impact of U.S. assistance.
2728
Congress may consider whether to provide additional pandemic response assistance for Latin
Congress may consider whether to provide additional pandemic response assistance for Latin
American and Caribbean countries in FY2021 appropriations measures. American and Caribbean countries in FY2021 appropriations measures.
As noted, theThe House- House-
passed FY2021 foreign aid appropriations measure (Division A of H.R. 7608) would provide $9.1 passed FY2021 foreign aid appropriations measure (Division A of H.R. 7608) would provide $9.1
bil ionbil ion
of emergency foreign aid to respond to the COVID-19 pandemic and related economic and of emergency foreign aid to respond to the COVID-19 pandemic and related economic and
stabilization requirements around the world. The bil stabilization requirements around the world. The bil
doeswould not designate any pandemic response not designate any pandemic response
funding specifical y for Latin America and the Caribbean, with the exception of $10 mil ion for funding specifical y for Latin America and the Caribbean, with the exception of $10 mil ion for
the IAF. the IAF. The Senate Appropriations Committee’s draft bil would not provide any emergency funding for pandemic response, but the draft explanatory statement asserts that the committee continues to monitor agency needs and “wil seek to address them in future supplemental
appropriations vehicles.”
Congress also may assess the appropriate level of funding for the Pan American Health
Congress also may assess the appropriate level of funding for the Pan American Health
Organization (PAHO), which is the specialized international health agency of the Americas and Organization (PAHO), which is the specialized international health agency of the Americas and
the World Health Organization’s regional office.the World Health Organization’s regional office.
2829 PAHO is providing direct emergency response PAHO is providing direct emergency response
assistance to health ministries throughout the region to strengthen surveil ance, testing, and assistance to health ministries throughout the region to strengthen surveil ance, testing, and
laboratory capacity; bolster health care services; and support infection prevention control, clinical laboratory capacity; bolster health care services; and support infection prevention control, clinical
management, and risk communications.management, and risk communications.
2930 The Trump Administration requested $16.3 mil ion for The Trump Administration requested $16.3 mil ion for
PAHO in FY2021, which would leave 75% of the U.S. government’s assessed contribution PAHO in FY2021, which would leave 75% of the U.S. government’s assessed contribution
26 International Monetary Fund, World Economic Outlook, October 2020: A Long and Difficult Ascent, October 2020. 27 U.S. Department of State, “Update: T he United States Continues to Lead the Global Response to COVID-19,” fact sheet, August 21, 2020. 28 USAID, “COVID-19 – Global Response,” fact sheet #1, April 21, 2020. 29 Pan American Health Organization (PAHO), founded in 1902 as part of the inter-American system, predates the World Health Organization.
30 For more information, see PAHO’s COVID-19 situation reports at https://www.paho.org/en/tag/covid-19-situation-reports.
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
(membership dues) for FY2021 unpaid. The Administration also withheld the U.S. government’s (membership dues) for FY2021 unpaid. The Administration also withheld the U.S. government’s
FY2020 assessed contribution until July 2020, due to concerns about the organization’s FY2020 assessed contribution until July 2020, due to concerns about the organization’s
participation in a 2013-2018 program that paid Cuba to send doctors to underserved areas of participation in a 2013-2018 program that paid Cuba to send doctors to underserved areas of
Brazil.Brazil.
3031 The Administration’s decision to withhold the $65.8 mil ion assessment reportedly left The Administration’s decision to withhold the $65.8 mil ion assessment reportedly left
PAHO on “the brink of insolvency” at the same time the organization was trying to contain the PAHO on “the brink of insolvency” at the same time the organization was trying to contain the
COVID-19 pandemic.COVID-19 pandemic.
3132 It appears as though It appears as though
both H.R. 7608 and the Senate Appropriations
Committee’s draft bil H.R. 7608 would fully fund the U.S. government’s would fully fund the U.S. government’s
$65.2 mil ion$65.2 mil ion
assessed contribution to PAHO for FY2021assessed contribution to PAHO for FY2021
but would not specify any additional voluntary . Neither bil would designate any additional voluntary contributions for the organization; USAID provided $18.6 mil ion of voluntary contributions for the organization; USAID provided $18.6 mil ion of voluntary
contributions to contributions to
PAHO in FY2019.PAHO in FY2019.
3233
Central America Funding Directives33Directives34
Since FY2016, Congress has appropriated more than $3.1 bil ion to improve security, Since FY2016, Congress has appropriated more than $3.1 bil ion to improve security,
governance, and socioeconomic conditions in Central America as part of a whole-of-government governance, and socioeconomic conditions in Central America as part of a whole-of-government
initiative to address the drivers of irregular migration. However, in March 2019—less than two initiative to address the drivers of irregular migration. However, in March 2019—less than two
years into the initiative’s on-the-ground implementation—the Trump Administration suspended years into the initiative’s on-the-ground implementation—the Trump Administration suspended
27 USAID, “COVID-19 – Global Response,” fact sheet #1, April 21, 2020. 28 Pan American Health Organization (PAHO), founded in 1902 as part of the inter-American system, predates the World Health Organization. 29 For more information, see PAHO’s COVID-19 situation reports at https://www.paho.org/en/tag/covid-19-situation-reports.
30most foreign aid to El Salvador, Guatemala, and Honduras. The Administration proceeded to reprogram approximately $396 mil ion of aid appropriated for the Northern Triangle countries in FY2018, real ocating the funds to other foreign policy priorities within, and outside of, the Latin
American and Caribbean region.35 The Administration also withheld most of the assistance Congress appropriated for Central America in FY2019 while it negotiated a series of agreements intended to stem the flow of migrants and asylum-seekers from the Northern Triangle to the
United States.
The aid suspension resulted in USAID and the State Department closing down projects and cancel ing planned activities. In Honduras, for example, the total number of beneficiaries of USAID activities fel from 1.5 mil ion in March 2019 to 700,000 in March 2020.36 Some Members of Congress criticized the aid suspension as counterproductive, arguing that
withholding assistance “erodes the capacity of USAID to improve conditions on the ground—the very conditions driving people to leave for safer lives in the United States.”37 The Administration began releasing some targeted aid to the Northern Triangle in late 2019, and it had programmed al of the previously suspended assistance for the region as of mid-June 2020. The Administration asserts that continued assistance to the Northern Triangle depends on the Salvadoran,
31 Secretary of State Michael R. Pompeo, “Pan American Health Organization T ransparency,” U.S. Department of Secretary of State Michael R. Pompeo, “Pan American Health Organization T ransparency,” U.S. Department of
State, July 15, 2020; and CRS communication with the U.S. Department of State, July 21, 2020. State, July 15, 2020; and CRS communication with the U.S. Department of State, July 21, 2020.
31
32 PAHO, “Current Financial Situation and Adjustments to the Pan American Health Organization Strategic Priorities,” PAHO, “Current Financial Situation and Adjustments to the Pan American Health Organization Strategic Priorities,”
CESS1/2, May 21, 2020. CESS1/2, May 21, 2020.
3233 U.S. Department of State, U.S. Department of State,
Report to Congress on U.S. Contributions to International Organizations, Fiscal Year
2019, Section 4(b) of the United States Participation Act, 22 USC 287b(b) , August 14, 2020. , August 14, 2020.
3334 For more information on U.S. policy in Central America, see CRS Report R44812, For more information on U.S. policy in Central America, see CRS Report R44812,
U.S. Strategy for Engagement in
Central Am erica: Policy Issues for Congress, by Peter J. Meyer. , by Peter J. Meyer.
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
most foreign aid to El Salvador, Guatemala, and Honduras. The Administration proceeded to reprogram approximately $405 mil ion of aid appropriated for the Northern Triangle countries in FY2018, real ocating the funds to other foreign policy priorities within, and outside of, the Latin American and Caribbean region. The Administration also withheld most of the assistance Congress appropriated for Central America in FY2019 while it negotiated a series of agreements intended to stem the flow of migrants and asylum-seekers from the Northern Triangle to the
United States.
The aid suspension resulted in USAID and the State Department closing down projects and
cancel ing planned activities. In Honduras, for example, the total number of beneficiaries of USAID activities fel from 1.5 mil ion in March 2019 to 700,000 in March 2020.34 Some Members of Congress criticized the aid suspension as counterproductive, arguing that withholding assistance “erodes the capacity of USAID to improve conditions on the ground—the very conditions driving people to leave for safer lives in the United States.”35 The Administration began releasing some targeted aid to the Northern Triangle in late 2019, and it had programmed
al of the previously suspended assistance for the region as of mid-June 2020. The Administration asserts that continued assistance to the Northern Triangle depends on the Salvadoran, 35 U.S. Department of State, Progress Report to Congress on the Plan for Monitoring and Evaluation of Assistance in Support of the United States Strategy for Engagem ent in Central Am erica , October 8, 2020, p. 2.
36 USAID/Honduras briefing documents, provided to CRS, August 22, 2019. 37 Letter from Eliot L. Engel, Chairman, House Committee on Foreign Affairs, and Albio Sires, Chairman, House Subcommittee on the Western Hemisphere, Civilian Security, and T rade, to Honorable Michael Pompeo, Secretary of State, December 4, 2019.
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Guatemalan, and Honduran governments continuing to “take actions to stem il egal immigration Guatemalan, and Honduran governments continuing to “take actions to stem il egal immigration
to the United States.”
to the United States.”
3638
Congress has provided the Administration with significant authority to modify assistance
Congress has provided the Administration with significant authority to modify assistance
al ocations for Central America in recent appropriations measures. The Consolidated al ocations for Central America in recent appropriations measures. The Consolidated
Appropriations Act, 2018 (P.L. 115-141), provided “up to” $615 mil ionAppropriations Act, 2018 (P.L. 115-141), provided “up to” $615 mil ion
of assistance for the of assistance for the
region.region.
3739 However, the act also required the Administration to withhold some assistance for El However, the act also required the Administration to withhold some assistance for El
Salvador, Guatemala, and Honduras and authorized the Administration to suspend and reprogram Salvador, Guatemala, and Honduras and authorized the Administration to suspend and reprogram
that assistance if the Northern Triangle governments failed to meet certain conditions related to that assistance if the Northern Triangle governments failed to meet certain conditions related to
border security, corruption, and human rights, among other issues.border security, corruption, and human rights, among other issues.
3840 Although the act directed the Although the act directed the
Administration to abide by the funding al ocations included in the accompanying explanatory Administration to abide by the funding al ocations included in the accompanying explanatory
statement, it also authorized the Administration to deviate from those al ocations by more than statement, it also authorized the Administration to deviate from those al ocations by more than
4% “to respond to significant, exigent, or unforeseen events or to address other exceptional 4% “to respond to significant, exigent, or unforeseen events or to address other exceptional
circumstances directly related to the national interest.”circumstances directly related to the national interest.”
3941 The Administration ultimately used that The Administration ultimately used that
deviation authority to reprogram the vast majority of assistance Congress appropriated for Central deviation authority to reprogram the vast majority of assistance Congress appropriated for Central
America in FY2018. Among the “significant, exigent, or unforeseen events” cited by the America in FY2018. Among the “significant, exigent, or unforeseen events” cited by the
Administration were “the failure of the Northern Triangle countries to address il egal Administration were “the failure of the Northern Triangle countries to address il egal
immigration,” “the rapidly evolving crisis in Venezuela and the need to support the immigration,” “the rapidly evolving crisis in Venezuela and the need to support the
democratical y elected National Assembly,” and “an opportunity to support Caribbean leaders in democratical y elected National Assembly,” and “an opportunity to support Caribbean leaders in
the wake of the devastating 2017 hurricane season.”
the wake of the devastating 2017 hurricane season.”
40
34 USAID/Honduras briefing documents, provided to CRS, August 22, 2019 . 35 Letter from Eliot L. Engel, Chairman, House Committee on Foreign Affairs, and Albio Sires, Chairman, House Subcommittee on the Western Hemisphere, Civilian Security, and T rade, to Honorable Michael Pompeo, Secretary of State, December 4, 2019.
36 U.S. Department of State, Congressional Budget Justification, Foreign Operations, Appendix 2, Fiscal Year 2021 , p. 220.
37 P.L. 115-141, §7045(a)(1). 38 P.L. 115-141, §7045(a)(3) and 7045(a)(4).
39 P.L. 115-141, §7019. 40 USAID, CN #195, August 16, 2019; CN #157, July 11, 2019; and CN #166, July 19, 2019.
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42
Congress included similar suspension, reprogramming, and deviation authorities in the
Congress included similar suspension, reprogramming, and deviation authorities in the
Consolidated Appropriations Act, 2019 (P.L. 116-6), but added some limitations to the Consolidated Appropriations Act, 2019 (P.L. 116-6), but added some limitations to the
Administration’s flexibility in FY2020. The Further Consolidated Appropriations Act, 2020 (P.L. Administration’s flexibility in FY2020. The Further Consolidated Appropriations Act, 2020 (P.L.
116-94), states that “not less than” $519.9 mil ion “should be made available” for Central 116-94), states that “not less than” $519.9 mil ion “should be made available” for Central
America and stipulates specific funding levels for each country in the accompanying explanatory America and stipulates specific funding levels for each country in the accompanying explanatory
statement.statement.
4143 The act also significantly restricts the Administration’s authority to deviate below The act also significantly restricts the Administration’s authority to deviate below
those funding levels by more than 10%.those funding levels by more than 10%.
4244 At the same time, the act once again requires the At the same time, the act once again requires the
Administration to withhold some aid for the Northern Triangle and authorizes the Administration Administration to withhold some aid for the Northern Triangle and authorizes the Administration
to reprogram that aid if the Northern Triangle governments fail to meet certain conditions.
to reprogram that aid if the Northern Triangle governments fail to meet certain conditions.
4345
As the FY2021 appropriations process continues, Congress may consider whether to exert greater
As the FY2021 appropriations process continues, Congress may consider whether to exert greater
control over U.S. assistance to Central America. H.R. 7608 would direct that “not less than” control over U.S. assistance to Central America. H.R. 7608 would direct that “not less than”
$519.9 mil ion “shal be made available” for assistance to Central America, including “not less $519.9 mil ion “shal be made available” for assistance to Central America, including “not less
than” $420.8 mil ion for El Salvador, Guatemala, and Honduras.than” $420.8 mil ion for El Salvador, Guatemala, and Honduras.
4446 The bil would once again The bil would once again
restrict the Administration’s authority to deviate below the country al ocations specified in restrict the Administration’s authority to deviate below the country al ocations specified in
H.Rept. 116-444, limiting such changes to 5%.H.Rept. 116-444, limiting such changes to 5%.
4547 The bil also would tighten the FY2020 funding
38 U.S. Department of State, Congressional Budget Justification, Foreign Operations, Appendix 2, Fiscal Year 2021 , p. 220.
39 P.L. 115-141, §7045(a)(1). 40 P.L. 115-141, §7045(a)(3) and 7045(a)(4). 41 P.L. 115-141, §7019. 42 USAID, CN #195, August 16, 2019; CN #157, July 11, 2019; and CN #166, July 19, 2019.
43 P.L. 116-94, §§7019(a) and 7045(a)(1)(A). 44 P.L. 116-94, §7019(b). 45 P.L. 116-94, §7045(a)(2)(A). 46 H.R. 7608, §7045(a)(1)(A). 47 H.R. 7608, §7019.
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The bil also would tighten the FY2020 funding directive for Central America enacted in P.L. 116-94, changing $519.9 mil iondirective for Central America enacted in P.L. 116-94, changing $519.9 mil ion
“should be made “should be made
available” to $519.9 mil ion “shal be made available” for assistance to the region.available” to $519.9 mil ion “shal be made available” for assistance to the region.
46
Nevertheless, H.R. 7608 stil48 The Senate Appropriations Committee’s draft bil would provide $505.9 mil ion for Central America in FY2021, and would restrict the Administration’s authority to deviate below that funding level by
more than 10%.49
Nevertheless, both H.R. 7608 and the Senate Appropriations Committee’s draft bil would provide some flexibility to the Administration to withhold would provide some flexibility to the Administration to withhold
and reprogram assistance appropriated for the Northern Triangle. Like each appropriations and reprogram assistance appropriated for the Northern Triangle. Like each appropriations
measure enacted since FY2016, the bilmeasure enacted since FY2016, the bil
s
would require the Administrationwould require the Administration
to withhold some aid to withhold some aid
that would support the central governments of El Salvador, Guatemala, and Honduras until the that would support the central governments of El Salvador, Guatemala, and Honduras until the
Secretary of State certifies that those governments have met a series of conditions. If the Secretary of State certifies that those governments have met a series of conditions. If the
Secretary is unable to certify the governments’ compliance with the legislative conditions, the bilSecretary is unable to certify the governments’ compliance with the legislative conditions, the bil
directs s direct the Administration to the Administration to
reprogram that assistance to other countries in Latin America and the reprogram that assistance to other countries in Latin America and the
Caribbean.Caribbean.
4750
Role of the U.S. International Development Finance Corporation48Corporation51
In addition to appropriating foreign aid for Latin American and Caribbean countries, Congress In addition to appropriating foreign aid for Latin American and Caribbean countries, Congress
may assess how other development tools, such as the new U.S. International Development may assess how other development tools, such as the new U.S. International Development
Finance Corporation (DFC), may supplement U.S. assistance efforts in the region. Congress Finance Corporation (DFC), may supplement U.S. assistance efforts in the region. Congress
authorized the establishment of the DFC in the Better Utilization of Investments Leading to authorized the establishment of the DFC in the Better Utilization of Investments Leading to
Development Act of 2018 (P.L. 115-254, Division F). According to the act, the DFC aims to Development Act of 2018 (P.L. 115-254, Division F). According to the act, the DFC aims to
“facilitate the participation of private sector capital and skil s in the economic development of “facilitate the participation of private sector capital and skil s in the economic development of
less developed countries … and countries in transition from nonmarket to market economies in less developed countries … and countries in transition from nonmarket to market economies in
order to complement the development assistance objectives, and advance the foreign policy order to complement the development assistance objectives, and advance the foreign policy
interests, of the United States.”
interests, of the United States.”
49
41 P.L. 116-94, §§7019(a) and 7045(a)(1)(A).
42 P.L. 116-94, §7019(b). 43 P.L. 116-94, §7045(a)(2)(A). 44 H.R. 7608, §7045(a)(1)(A). 45 H.R. 7608, §7019. 46 H.R. 7608, §7045(a)(1)(B). 47 H.R. 7608, §7045(a)(2). 48 For more information on the U.S. International Development Finance Corporation (DFC), see CRS In Focus IF11436, U.S. International Developm ent Finance Corporation (DFC), by Shayerah Ilias Akhtar and Nick M. Brown .
49 P.L. 115-254, §1412 (b).
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
52
Official y launched in December 2019, the DFC is authorized to provide direct loans and loan
Official y launched in December 2019, the DFC is authorized to provide direct loans and loan
guarantees, equity financing, political risk insurance, feasibility studies, and technical assistance. guarantees, equity financing, political risk insurance, feasibility studies, and technical assistance.
Those products, backed by the full faith and credit of the U.S. government, aim to provide private Those products, backed by the full faith and credit of the U.S. government, aim to provide private
sector entities with the liquidity and assurances needed to invest in projects that otherwise would sector entities with the liquidity and assurances needed to invest in projects that otherwise would
be unable to attract sufficient capital due to the risks associated with investing in less developed be unable to attract sufficient capital due to the risks associated with investing in less developed
countries. The DFC is expected to be self-sustaining, generating sufficient funds from service countries. The DFC is expected to be self-sustaining, generating sufficient funds from service
fees, interest earnings, and investment returns to cover its annual operating and program
fees, interest earnings, and investment returns to cover its annual operating and program
expenses.
expenses.
The DFC’s ability to operate in Latin America and the Caribbean is somewhat constrained by a
The DFC’s ability to operate in Latin America and the Caribbean is somewhat constrained by a
statutory requirement to prioritize support for low- and lower-middle-income economies, as statutory requirement to prioritize support for low- and lower-middle-income economies, as
defined by the World Bank. As of 2020, five Latin American and Caribbean countries fel into defined by the World Bank. As of 2020, five Latin American and Caribbean countries fel into
those categories: Haiti, Bolivia, El Salvador, Honduras, and Nicaragua. The World Bank classifies those categories: Haiti, Bolivia, El Salvador, Honduras, and Nicaragua. The World Bank classifies
20 countries in the region as upper-middle-income economies, which are restricted from receiving 20 countries in the region as upper-middle-income economies, which are restricted from receiving
48 H.R. 7608, §7045(a)(1)(B). 49 Senate Appropriations Committee draft State Department, Foreign Operations, and Related Programs, Appropriations Act, 2021, §§7019 and 7045(a)(1).
50 H.R. 7608, §7045(a)(2); and Senate Appropriations Committee draft State Department, Foreign Operations, and Related Programs, Appropriations Act, 2021, §7045(a)(2).
51 For more information on the U.S. International Development Finance Corporation (DFC), see CRS In Focus IF11436, U.S. International Developm ent Finance Corporation (DFC) , by Shayerah Ilias Akhtar and Nick M. Brown .
52 P.L. 115-254, §1412 (b).
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DFC support unless the President certifies that such support “furthers the national economic or DFC support unless the President certifies that such support “furthers the national economic or
foreign policy interests of the United States” and “is designed to produce significant foreign policy interests of the United States” and “is designed to produce significant
developmental outcomes or provide developmental benefits to the poorest” sectors of their developmental outcomes or provide developmental benefits to the poorest” sectors of their
populations.populations.
5053 Eight other countries in the region are ineligible for DFC support because the Eight other countries in the region are ineligible for DFC support because the
World Bank classifies them as high-income economies.
World Bank classifies them as high-income economies.
5154
Despite those limitations, the DFC Board of Directors has approved nearly $2.1 bil ion of
Despite those limitations, the DFC Board of Directors has approved nearly $2.1 bil ion of
commitments for projects in Latin American and Caribbean countries in 2020.commitments for projects in Latin American and Caribbean countries in 2020.
5255 These These
commitments include a $25 mil ion investment to boost cobalt and nickel production in Brazil’s commitments include a $25 mil ion investment to boost cobalt and nickel production in Brazil’s
northeastern state of Piauí, $100 mil ion in political risk insurance to support marine conservation northeastern state of Piauí, $100 mil ion in political risk insurance to support marine conservation
in St. Lucia, a loan of up to $150 mil ion to expand lending to women-owned and -led businesses in St. Lucia, a loan of up to $150 mil ion to expand lending to women-owned and -led businesses
in Ecuador, and a loan of up to $241 mil ion to support the development and construction of four in Ecuador, and a loan of up to $241 mil ion to support the development and construction of four
solar power plants in Mexico. The DFC also inherited approximately $9.5 bil ion of active solar power plants in Mexico. The DFC also inherited approximately $9.5 bil ion of active
projects from its predecessor—the Overseas Private Investment Corporation.
projects from its predecessor—the Overseas Private Investment Corporation.
5356
Congress may assess whether the DFC is devoting sufficient resources to Latin America and the
Congress may assess whether the DFC is devoting sufficient resources to Latin America and the
Caribbean and whether it is striking the right balance between fostering development and Caribbean and whether it is striking the right balance between fostering development and
supporting U.S. strategic interests. Some Members of Congress would like the DFC to expand its supporting U.S. strategic interests. Some Members of Congress would like the DFC to expand its
operations in the region to counter China, which has provided more than $137 bil ion in state-operations in the region to counter China, which has provided more than $137 bil ion in state-
backed finance to Latin American and Caribbean countries since 2005.backed finance to Latin American and Caribbean countries since 2005.
5457 For example, the For example, the
Advancing Competitiveness, Transparency, and Security in the Americas Act (S. 4528Advancing Competitiveness, Transparency, and Security in the Americas Act (S. 4528
), introduced in August 2020, /H.R. 8716) would designate al Caribbean countries—with the exception of would designate al Caribbean countries—with the exception of
Cuba—as priorities for DFC support. The Cuba—as priorities for DFC support. The
bil measure also would dedicate “not less than” 35% of the also would dedicate “not less than” 35% of the
DFC’s development financing and equity investments to Latin American and Caribbean countries DFC’s development financing and equity investments to Latin American and Caribbean countries
for a 10-year period. for a 10-year period.
Some development advocates have voiced concerns that shifting the DFC’s Some development advocates have voiced concerns that shifting the DFC’s
funding toward upper-middle- and high-income countries to advance U.S. national security interests would erode the DFC’s development mandate and could jeopardize its effectiveness and domestic support.58 Others maintain that the World Bank’s classifications, based on per capita income, may not accurately reflect the development needs of smal and highly unequal societies, such as many of
those in Latin America and the Caribbean.59
53
50 P.L. 115-254, 1412(c). P.L. 115-254, 1412(c).
5154 T he high-income economies are Antigua and Barbuda, Bahamas, Barbados, Chile, Panama, St. Kitts and Nevis, T he high-income economies are Antigua and Barbuda, Bahamas, Barbados, Chile, Panama, St. Kitts and Nevis,
T rinidad and T obago, and Uruguay. World Bank, “ World Bank Country and Lending Groups,” T rinidad and T obago, and Uruguay. World Bank, “ World Bank Country and Lending Groups,”
https://datahelpdesk.worldbank.org/knowledgebase/articles/906519-world-bank-country-and-lending-groups. https://datahelpdesk.worldbank.org/knowledgebase/articles/906519-world-bank-country-and-lending-groups.
5255 DFC, “DFC Approves Nearly $900 Million for Global Development Projects,” press release, March 12, 2020; DFC, DFC, “DFC Approves Nearly $900 Million for Global Development Projects,” press release, March 12, 2020; DFC,
“DFC Approves $1 Billion of Investments in Global Development,” press release, June 4, 2020; “DFC Approves $1 Billion of Investments in Global Development,” press release, June 4, 2020;
andan d DFC, “DFC DFC, “DFC
Approves $3.6 Billion of New Investments in Global Development in Largest Approves $3.6 Billion of New Investments in Global Development in Largest
Quarte rQuarter Ever,” press release, September Ever,” press release, September
9, 2020. 9, 2020.
5356 DFC, “Active Projects Database,” accessed October 2020, at https://www.dfc.gov/our-impact/all-active-projects. DFC, “Active Projects Database,” accessed October 2020, at https://www.dfc.gov/our-impact/all-active-projects.
5457 Kevin P. Gallagher and Margaret Myers, “China-Latin America Finance Database,” Inter-American Dialogue, 2020, Kevin P. Gallagher and Margaret Myers, “China-Latin America Finance Database,” Inter-American Dialogue, 2020,
at https://www.thedialogue.org/map_list/. at https://www.thedialogue.org/map_list/.
Congressional Research Service
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
funding toward upper-middle- and high-income countries to advance U.S. national security interests would erode the DFC’s development mandate and could jeopardize its effectiveness and domestic support.55 Others maintain that the World Bank’s classifications, based on per capita income, may not accurately reflect the development needs of smal and highly unequal societies,
such as many of those in Latin America and the Caribbean.56
5558 T he 116th Congress previously eased the DFC’s development requirements for energy infrastructure projects in T he 116th Congress previously eased the DFC’s development requirements for energy infrastructure projects in
Europe and Eurasia with the European Energy Security and Diversification Act of 2019, enacted as part ofEurope and Eurasia with the European Energy Security and Diversification Act of 2019, enacted as part of
the Further the Further
Consolidated Appropriations Act, 2020 (P.L. 116-94, Division P, T itle XX). T odd Moss and Erin Collinson, “ Russia, Consolidated Appropriations Act, 2020 (P.L. 116-94, Division P, T itle XX). T odd Moss and Erin Collinson, “ Russia,
DFC, and the T errible, Horrible, No Good, Very Bad Idea Buried in the Spending Law,” Center for Global DFC, and the T errible, Horrible, No Good, Very Bad Idea Buried in the Spending Law,” Center for Global
Development, January 15, 2020; and Adva Saldringer, “What the U.S. International Development Finance Corporation Development, January 15, 2020; and Adva Saldringer, “What the U.S. International Development Finance Corporation
Needs to Do in Year 1,” Needs to Do in Year 1,”
Devex, January 14, 2020. , January 14, 2020.
5659 Andrea Clabough and David L. Goldwyn, “Secure the Caribbean —with a Modest Addition to the BUILD Act,” Andrea Clabough and David L. Goldwyn, “Secure the Caribbean —with a Modest Addition to the BUILD Act,”
The
Hill, January 9, 2019. , January 9, 2019.
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Appendix A. U.S. Foreign Assistance to Latin
America and the Caribbean by Account and Country
or Regional Program: FY2019
Table 56. U.S. Foreign Assistance to Latin America and the Caribbean: FY2019
(mil ions of current U.S. dol ars)
(mil ions of current U.S. dol ars)
DA
ESFa
GHP-
GHP-
INCLE
NADR
IMET
FMF
Total
USAID
State
Argentina
Argentina
—
—
—
—
—
—
—
—
2.5
2.5
—
—
0.6
0.6
—
—
3.1
3.1
Bahamas
Bahamas
—
—
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Belize
Belize
—
—
—
—
—
—
—
—
—
—
—
—
0.2
0.2
0.2
0.2
Bolivia
Bolivia
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Brazil
Brazil
11.0
11.0
—
—
—
—
—
—
—
—
—
—
0.6
0.6
—
—
11.6
11.6
Chile
Chile
—
—
—
—
—
—
—
—
—
—
—
—
0.5
0.5
—
—
0.5
0.5
Colombia
Colombia
—
—
187.3
187.3
3.0
3.0
—
—
170.0
170.0
21.0
21.0
1.3
1.3
38.5
38.5
421.2
421.2
Costa Rica
Costa Rica
—
—
—
—
—
—
—
—
—
—
—
—
0.7
0.7
7.5
7.5
8.2
8.2
Cuba
Cuba
—
—
20.0
20.0
—
—
—
—
—
—
—
—
—
—
—
—
20.0
20.0
Dominican
Dominican
7.8
7.8
2.0
2.0
—
—
26.5
26.5
—
—
—
—
0.5
0.5
—
—
36.8
36.8
Republic
Republic
Ecuador
Ecuador
5.0
5.0
—
—
—
—
—
—
7.0
7.0
—
—
—
—
—
—
12.0
12.0
El Salvado
El Salvado
rb
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Guatemal
Guatemal
ab
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Guyana
Guyana
—
—
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Haiti
Haiti
51.0
51.0
—
—
24.5
24.5
103.0
103.0
15.0
15.0
—
—
0.2
0.2
—
—
193.8
193.8
Hondura
Hondura
sb
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Jamaica
Jamaica
1.0
1.0
—
—
—
—
—
—
—
—
—
—
0.6
0.6
—
—
1.6
1.6
Mexico
Mexico
—
—
45.0
45.0
—
—
—
—
110.0
110.0
1.2
1.2
1.3
1.3
5.0
5.0
162.4
162.4
Nicaragua
Nicaragua
11.6
11.6
—
—
—
—
—
—
—
—
—
—
—
—
—
—
11.6
11.6
Panama
Panama
—
—
—
—
—
—
—
—
—
—
0.5
0.5
0.7
0.7
—
—
1.2
1.2
Paraguay
Paraguay
4.0
4.0
—
—
—
—
—
—
—
—
—
—
0.4
0.4
—
—
4.4
4.4
Peru
Peru
40.0
40.0
1.0
1.0
—
—
—
—
32.0
32.0
—
—
0.6
0.6
1.8
1.8
75.4
75.4
Suriname
Suriname
—
—
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Trinidad &
Trinidad &
—
—
—
—
—
—
—
—
—
—
—
—
0.3
0.3
—
—
0.3
0.3
Tobago
Tobago
Uruguay
Uruguay
—
—
—
—
—
—
—
—
—
—
—
—
0.4
0.4
—
—
0.4
0.4
Venezuela
Venezuela
—
—
17.5
17.5
5.0
5.0
—
—
—
—
—
—
—
—
—
—
22.5
22.5
Barbados &
Barbados &
3.0
3.0
—
—
—
—
—
—
—
—
—
—
0.5
0.5
—
—
3.5
3.5
Eastern
Eastern
Caribbean Caribbean
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DA
ESFa
GHP-
GHP-
INCLE
NADR
IMET
FMF
Total
USAID
State
USAID
USAID
4.0
4.0
—
—
—
—
—
—
—
—
—
—
—
—
—
—
4.0
4.0
Caribbean
Caribbean
DevelopmenDevelopmen
tc
USAID Central
USAID Central
168.4
168.4
—
—
13.0
13.0
—
—
—
—
—
—
—
—
—
—
181.4
181.4
America
America
RegionaRegiona
lbc
USAID South
USAID South
18.0
18.0
—
—
—
—
—
—
—
—
—
—
—
—
—
—
18.0
18.0
America
America
RegionaRegiona
lc
USAID Latin
USAID Latin
60.5
60.5
—
—
7.8
7.8
—
—
—
—
—
—
—
—
—
—
68.3
68.3
America and
America and
Caribbean Caribbean
RegionaRegiona
lc
State Western
State Western
—
—
129.5
129.5
—
—
41.0
41.0
227.8
227.8
3.2
3.2
—
—
30.0
30.0
431.3
431.3
Hemisphere
Hemisphere
RegionaRegiona
lc
[CARSI]d
[—]
[100.0]
[—]
[—]
[190.0]
[—]
[—]
[—]
[290.0]
[CBSI]d
[—]
[25.3]
[—]
[—]
[25.3]
[—]
[—]
[7.5]
[58.0]
Total
385.3
402.3a
53.3
170.5
564.3
25.8
9.9
82.8
1,694.1
Sources: U.S. Department of State, U.S. Department of State,
Congressional Budget Justification, Department of State, Foreign Operations, and
Related Programs, Supplementary Tables, Fiscal Year 2021, April 2020, p. 19; and Congressional Research Service April 2020, p. 19; and Congressional Research Service
(CRS) communication with the State Department and USAID, June 2020. (CRS) communication with the State Department and USAID, June 2020.
Notes: DA = Development Assistance; ESF = Economic Support Fund; GHP = Global Health Programs; INCLE DA = Development Assistance; ESF = Economic Support Fund; GHP = Global Health Programs; INCLE
= International Narcotics Control and Law Enforcement; NADR = Nonproliferation , Anti-terrorism, Demining, = International Narcotics Control and Law Enforcement; NADR = Nonproliferation , Anti-terrorism, Demining,
and Related Programs; IMET = International Military Education and Training; FMF = Foreign Military Financing; and Related Programs; IMET = International Military Education and Training; FMF = Foreign Military Financing;
USAID = U.S. Agency for International Development; CARSI = Central America Regional Security Initiative; and USAID = U.S. Agency for International Development; CARSI = Central America Regional Security Initiative; and
CBSI = Caribbean Basin Security Initiative. CBSI = Caribbean Basin Security Initiative.
a. This amount does not include an additional $9 mil ion of ESF for the region that Congress appropriated in a. This amount does not include an additional $9 mil ion of ESF for the region that Congress appropriated in
FY2019 as multilateral assistance through the Organization of American States.
FY2019 as multilateral assistance through the Organization of American States.
b. Due to the Trump Administration’s suspension of aid to El Salvador, Guatemala, and Honduras, $181.4
b. Due to the Trump Administration’s suspension of aid to El Salvador, Guatemala, and Honduras, $181.4
mil ion of FY2019 assistance had yet to be al ocated when the Administration released its FY2021 request.
mil ion of FY2019 assistance had yet to be al ocated when the Administration released its FY2021 request.
c. USAID and State Department regional programs fund region-wide initiatives as wel as activities that cross
c. USAID and State Department regional programs fund region-wide initiatives as wel as activities that cross
borders or take place in nonpresence countries.
borders or take place in nonpresence countries.
d. CARSI and CBSI are funded through the State Western Hemisphere Regional program.
d. CARSI and CBSI are funded through the State Western Hemisphere Regional program.
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Appendix B. U.S. Foreign Assistance to Latin
America and the Caribbean by Account and Country
or Regional Program: FY2020 Estimate
Table 67. U.S. Foreign Assistance to Latin America and the Caribbean: FY2020
Estimate
(mil ions of current U.S. dol ars)
(mil ions of current U.S. dol ars)
GHP-
GHP-
DA
ESFa
USAID
State
INCLE
NADR
IMET
FMF
Totala
Argentina
Argentina
—
—
—
—
—
—
—
—
2.5
2.5
—
—
0.6
0.6
—
—
3.1
3.1
Bahamas
Bahamas
—
—
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Belize
Belize
—
—
—
—
—
—
—
—
—
—
—
—
0.3
0.3
1.0
1.0
1.3
1.3
Bolivia
Bolivia
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Brazil
Brazil
15.0
15.0
—
—
—
—
—
—
—
—
—
—
0.8
0.8
—
—
15.8
15.8
Chile
Chile
—
—
—
—
—
—
—
—
—
—
—
—
0.6
0.6
—
—
0.6
0.6
Colombia
Colombia
61.0
61.0
146.3
146.3
3.0
3.0
—
—
180.0
180.0
21.0
21.0
1.9
1.9
38.5
38.5
451.7
451.7
Costa Rica
Costa Rica
—
—
—
—
—
—
—
—
—
—
—
—
0.7
0.7
7.5
7.5
8.2
8.2
Cuba
Cuba
—
—
20.0
20.0
—
—
—
—
—
—
—
—
—
—
—
—
20.0
20.0
Dominican
Dominican
7.0
7.0
—
—
—
—
21.2
21.2
—
—
—
—
0.5
0.5
—
—
28.7
28.7
Republic
Republic
Ecuador
Ecuador
12.2
12.2
—
—
—
—
—
—
7.0
7.0
—
—
0.3
0.3
—
—
19.5
19.5
El Salvador
El Salvador
70.0
70.0
—
—
—
—
—
—
—
—
—
—
0.8
0.8
1.9
1.9
72.7
72.7
Guatemala
Guatemala
65.7
65.7
—
—
13.0
13.0
—
—
—
—
—
—
0.8
0.8
—
—
79.5
79.5
Guyana
Guyana
—
—
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Haiti
Haiti
51.0
51.0
—
—
24.5
24.5
78.8
78.8
18.0
18.0
—
—
0.3
0.3
—
—
172.5
172.5
Honduras
Honduras
65.0
65.0
—
—
—
—
—
—
—
—
—
—
0.8
0.8
—
—
65.8
65.8
Jamaica
Jamaica
1.0
1.0
—
—
—
—
—
—
—
—
—
—
0.6
0.6
—
—
1.6
1.6
Mexico
Mexico
—
—
50.0
50.0
—
—
—
—
100.0
100.0
1.2
1.2
1.8
1.8
5.0
5.0
157.9
157.9
Nicaragua
Nicaragua
10.0
10.0
—
—
—
—
—
—
—
—
—
—
—
—
—
—
10.0
10.0
Panama
Panama
—
—
—
—
—
—
—
—
—
—
0.5
0.5
0.7
0.7
2.0
2.0
3.2
3.2
Paraguay
Paraguay
4.0
4.0
—
—
—
—
—
—
—
—
—
—
0.4
0.4
—
—
4.4
4.4
Peru
Peru
34.8
34.8
—
—
—
—
—
—
40.0
40.0
—
—
0.6
0.6
1.8
1.8
77.2
77.2
Suriname
Suriname
—
—
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Trinidad &
Trinidad &
—
—
—
—
—
—
—
—
—
—
—
—
0.4
0.4
—
—
0.4
0.4
Tobago
Tobago
Uruguay
Uruguay
—
—
—
—
—
—
—
—
—
—
—
—
0.4
0.4
—
—
0.4
0.4
Venezuela
Venezuela
30.0
30.0
5.0
5.0
—
—
—
—
—
—
—
—
—
—
35.0
35.0
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GHP-
GHP-
DA
ESFa
USAID
State
INCLE
NADR
IMET
FMF
Totala
Barbados &
Barbados &
2.0
2.0
—
—
—
—
11.3
11.3
—
—
—
—
0.7
0.7
—
—
14.0
14.0
Eastern
Eastern
Caribbean Caribbean
USAID
USAID
7.0
7.0
3.0
3.0
—
—
—
—
—
—
—
—
—
—
—
—
10.0
10.0
Caribbean
Caribbean
DevelopmenDevelopmen
tb
USAID Central
USAID Central
5.0
5.0
—
—
—
—
—
—
—
—
—
—
—
—
—
—
5.0
5.0
America
America
RegionaRegiona
lb
USAID South
USAID South
15.0
15.0
—
—
—
—
—
—
—
—
—
—
—
—
—
—
15.0
15.0
America
America
RegionaRegiona
lb
USAID Latin
USAID Latin
32.2
32.2
—
—
7.8
7.8
—
—
—
—
—
—
—
—
—
—
40.0
40.0
America and
America and
Caribbean Caribbean
RegionaRegiona
lb
State Western
State Western
—
—
128.3
128.3
—
—
46.5
46.5
207.7
207.7
4.6
4.6
—
—
15.0
15.0
402.1
402.1
Hemisphere
Hemisphere
RegionaRegiona
lb
[CARSI]c
[—]
[100.0]
[—]
[—]
[170.0]
[—]
[—]
[—]
[270.0]
[CBSI]c
[—]
[27.3]
[—]
[—]
[25.2]
[—]
[—]
[7.5]
[60.0]
Total
457.8
377.6a
53.3
157.7
555.2
27.3
14.4
72.7
1,716.0
Sources: U.S. Department of State, FY2020 estimate data, June 15, 2020; and CRS communication with the U.S. Department of State, FY2020 estimate data, June 15, 2020; and CRS communication with the
State Department and USAID, June 2020. State Department and USAID, June 2020.
Notes: These totals do not include any of the assistance made available for Latin America and the Caribbean These totals do not include any of the assistance made available for Latin America and the Caribbean
through supplemental emergency appropriations to respond to the COVID-19 pandemic. DA = Development through supplemental emergency appropriations to respond to the COVID-19 pandemic. DA = Development
Assistance; ESF = Economic Support Fund; GHP = Global Health Programs; INCLE = International Narcotics Assistance; ESF = Economic Support Fund; GHP = Global Health Programs; INCLE = International Narcotics
Control and Law Enforcement; NADR = Nonproliferation, Anti-terrorism, Demining, and Related Programs; Control and Law Enforcement; NADR = Nonproliferation, Anti-terrorism, Demining, and Related Programs;
IMET = International Military Education and Training; FMF = Foreign Military Financing; USAID = U.S. Agency for IMET = International Military Education and Training; FMF = Foreign Military Financing; USAID = U.S. Agency for
International Development; CARSI = Central America Regional Security Initiative; and CBSI = Caribbean Basin International Development; CARSI = Central America Regional Security Initiative; and CBSI = Caribbean Basin
Security Initiative. Security Initiative.
a. This amount does not include an additional $5 mil ion of ESF for the region that Congress appropriated in a. This amount does not include an additional $5 mil ion of ESF for the region that Congress appropriated in
FY2020 as multilateral assistance through the Organization of American States.
FY2020 as multilateral assistance through the Organization of American States.
b. USAID and State Department regional programs fund region-wide initiatives as wel as activities that cross
b. USAID and State Department regional programs fund region-wide initiatives as wel as activities that cross
borders or take place in nonpresence countries.
borders or take place in nonpresence countries.
c. CARSI and CBSI are funded through the State Western Hemisphere Regional program.
c. CARSI and CBSI are funded through the State Western Hemisphere Regional program.
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3029 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
Appendix C. U.S. Foreign Assistance to Latin
America and the Caribbean by Account and Country
or Regional Program: FY2021 Request
Table 78. U.S. Foreign Assistance to Latin America and the Caribbean:
FY2021 Request
(mil ions of current U.S. dol ars)
(mil ions of current U.S. dol ars)
ESDFa
GHP-
GHP-
INCLE
NADR
IMET
FMF
Total
USAID
State
Argentina
Argentina
—
—
—
—
—
—
—
—
—
—
0.6
0.6
—
—
0.6
0.6
Bahamas
Bahamas
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Belize
Belize
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Bolivia
Bolivia
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Brazil
Brazil
—
—
—
—
—
—
—
—
—
—
0.6
0.6
—
—
0.6
0.6
Chile
Chile
—
—
—
—
—
—
—
—
0.4
0.4
—
—
0.4
0.4
Colombia
Colombia
140.0
140.0
—
—
—
—
237.5
237.5
14.0
14.0
1.4
1.4
20.0
20.0
412.9
412.9
Costa Rica
Costa Rica
—
—
—
—
—
—
—
—
—
—
0.4
0.4
—
—
0.4
0.4
Cuba
Cuba
10.0
10.0
—
—
—
—
—
—
—
—
—
—
—
—
10.0
10.0
Dominican
Dominican
5.0
5.0
—
—
10.0
10.0
—
—
—
—
0.5
0.5
—
—
15.5
15.5
Republic
Republic
Ecuador
Ecuador
10.0
10.0
—
—
—
—
7.0
7.0
—
—
0.2
0.2
—
—
17.2
17.2
El Salvador
El Salvador
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Guatemala
Guatemala
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Guyana
Guyana
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Haiti
Haiti
25.5
25.5
22.0
22.0
75.0
75.0
5.4
5.4
—
—
0.3
0.3
—
—
128.2
128.2
Honduras
Honduras
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.0
0.0
Jamaica
Jamaica
—
—
—
—
—
—
—
—
—
—
0.6
0.6
—
—
0.6
0.6
Mexico
Mexico
20.3
20.3
—
—
—
—
41.0
41.0
1.0
1.0
1.5
1.5
—
—
63.8
63.8
Nicaragua
Nicaragua
10.0
10.0
—
—
—
—
—
—
—
—
—
—
—
—
10.0
10.0
Panama
Panama
—
—
—
—
—
—
—
—
0.4
0.4
0.7
0.7
—
—
1.1
1.1
Paraguay
Paraguay
4.0
4.0
—
—
—
—
—
—
—
—
0.4
0.4
—
—
4.4
4.4
Peru
Peru
27.0
27.0
—
—
—
—
40.0
40.0
1.0
1.0
0.6
0.6
—
—
68.6
68.6
Suriname
Suriname
—
—
—
—
—
—
—
—
—
—
0.2
0.2
—
—
0.2
0.2
Trinidad &
Trinidad &
—
—
—
—
—
—
—
—
—
—
0.3
0.3
—
—
0.3
0.3
Tobago
Tobago
Uruguay
Uruguay
—
—
—
—
—
—
—
—
—
—
0.3
0.3
—
—
0.3
0.3
Venezuela
Venezuela
200.0
200.0
5.0
5.0
—
—
—
—
—
—
—
—
—
—
205.0
205.0
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3029 U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
ESDFa
GHP-
GHP-
INCLE
NADR
IMET
FMF
Total
USAID
State
Barbados &
Barbados &
3.0
3.0
—
—
—
—
—
—
—
—
0.6
0.6
—
—
3.6
3.6
Eastern
Eastern
Caribbean Caribbean
USAID
USAID
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
Caribbean
Caribbean
DevelopmenDevelopmen
tb
USAID Central
USAID Central
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
America
America
RegionaRegiona
lb
USAID South
USAID South
15.5
15.5
—
—
—
—
—
—
—
—
—
—
—
—
15.5
15.5
America
America
RegionaRegiona
lb
USAID Latin
USAID Latin
190.7
190.7
9.0
9.0
—
—
—
—
—
—
—
—
—
—
199.7
199.7
America and
America and
Caribbean Caribbean
RegionaRegiona
lb
State Western
State Western
100.0
100.0
—
—
11.8
11.8
122.0
122.0
7.6
7.6
1.5
1.5
—
—
242.9
242.9
Hemisphere
Hemisphere
Regional Regional
[CARSI]c
[75.0]
[—]
[—]
[110.0]
[—]
[—]
[—]
[185.0]
[CBSI]c
[20.0]
[—]
[—]
[12.0]
[—]
[—]
[—]
[32.0]
Total
760.9
36.0
96.8
452.9
24.0
11.6
20.0
1,402.3
Sources: U.S. Department of State, U.S. Department of State,
Congressional Budget Justification, Department of State, Foreign Operations, and
Related Programs, Supplementary Tables, Fiscal Year 2021, April 2020, p. 19; and U.S. Department of State, Budget April 2020, p. 19; and U.S. Department of State, Budget
Rol out Presentation, February 2020. Rol out Presentation, February 2020.
Notes: ESDF = Economic Support and Development Fund; GHP = Global Health Programs; INCLE = ESDF = Economic Support and Development Fund; GHP = Global Health Programs; INCLE =
International Narcotics Control and Law Enforcement; NADR = Nonproliferation , Anti-terrorism, Demining, International Narcotics Control and Law Enforcement; NADR = Nonproliferation , Anti-terrorism, Demining,
and Related Programs; IMET = International Military Education and Training; FMF = Foreign Military Financing; and Related Programs; IMET = International Military Education and Training; FMF = Foreign Military Financing;
USAID = U.S. Agency for International Development; CARSI = Central America Regional Security Initiative; and USAID = U.S. Agency for International Development; CARSI = Central America Regional Security Initiative; and
CBSI = Caribbean Basin Security Initiative. CBSI = Caribbean Basin Security Initiative.
a. The FY2021 request would consolidate several foreign assistance accounts, including DA and ESF, into a a. The FY2021 request would consolidate several foreign assistance accounts, including DA and ESF, into a
new ESDF account. The table compares the FY2021 ESDF request with the combined FY2020 DA and ESF
new ESDF account. The table compares the FY2021 ESDF request with the combined FY2020 DA and ESF
estimates. estimates.
b. USAID and State Department regional programs fund region-wide initiatives as wel as activities that cross
b. USAID and State Department regional programs fund region-wide initiatives as wel as activities that cross
borders or take place in nonpresence countries.
borders or take place in nonpresence countries.
c. CARSI and CBSI are funded through the State Western Hemisphere Regional program.
c. CARSI and CBSI are funded through the State Western Hemisphere Regional program.
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U.S. Foreign Assistance to Latin America and the Caribbean: FY2021 Appropriations
Author Information
Peter J. Meyer Peter J. Meyer
Rachel L. Martin
Rachel L. Martin
Specialist in Latin American
Specialist in Latin American
Affairs and Canadian Affairs
Research Assistant
Research Assistant
Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan
shared staff to congressional committees and Members of Congress. It operates solely at the behest of and shared staff to congressional committees and Members of Congress. It operates solely at the behest of and
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than public understanding of information that has been provided by CRS to Members of Congress in than public understanding of information that has been provided by CRS to Members of Congress in
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