Foreign Assistance Act

Comments on New Policy Framework for Foreign Aid Gao ID: T-NSIAD-94-121 February 22, 1994

With the end of the Cold War, many new fragile democracies are struggling to move from command to market economies. Meeting the challenges of this emerging world order requires new thinking, new approaches, and new management. Proposed changes to the Foreign Assistance Act provide a framework for revamping the U.S. foreign assistance program to meet these challenges. This testimony comments on the draft legislation. Although GAO generally supports the flexibility that the revised act would provide the executive branch, it is concerned about (1) accountability for program results, (2) how authorized programs will be implemented, and (3) provisions of the draft legislation dealing with arms transfers. Moreover, further study is needed to clear up ambiguities and uncertainties as to the intent of the legislation.



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