Making Space for Economic Growth Assistance in Obama’s Aid Budget

The &51.7 billion that President Obama has proposed for the 2010 International Affairs Budget represents at 9.5 percent increase over 2009 and has been greeted with relief by much of the global development community. But CGD visiting fellow John Simon cautions that the additional funds may be consumed by development assistance in Iraq and Afghanistan—previously off-budget—and by planned increases in funding for AIDS and malaria programs. He offers a novel suggestion to create space for economic growth programs: invite U.S. ambassadors to propose country-level programs that opt out of the earmarks.

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