Choose to Invest
FY2026

Executive Summary
U.S. foreign assistance drives growth and self-reliance across the globe, helping communities build sustainable economies and opportunities for a stable future in their own countries, nurture effective public health systems that meet the needs of women and girls, and strengthen democratic institutions—all of which make America safer, stronger, and more prosperous.
The President's Emergency Plan for AIDS Relief (PEPFAR), initiated by President George W. Bush, has saved millions of lives to date and ensures that newborn babies are born HIV-free. FEWS NET, a famine early warning system and vital data analysis tool, has provided timely information to governments about impending food crises. The U.S. President’s Malaria Initiative, established 20 years ago, helps protect 700 million people annually across 27 countries from malaria.
But foreign assistance does not just promote U.S. compassion and leadership on the world stage—it brings tangible benefits to the American public.
Each year, the U.S. government purchases roughly $2.1 billion in crops from American farmers. In 2024, the U.S. Agency for International Development’s (USAID) funding to American small businesses surpassed $1 billion. Feed the Future Innovation Labs partner with top U.S. universities and companies to develop cutting-edge approaches that improve agricultural yields, nutrition, and economic prosperity for millions. Power Africa brings together the U.S. private sector with African governments and other partners to electrify the African continent and support global economic growth. These few examples demonstrate the dynamic economic impact foreign assistance has on the U.S. economy.
In practice, this means that an American farmer in Missouri knows that his or her excess food production is helping stabilize regions around the world. It means that a veteran owned business in Denver measures the effectiveness of this food assistance, ensuring that taxpayer dollars are in fact getting to children in Ethiopia. It means college students at universities in Florida, Illinois, Nebraska, and elsewhere get to leverage emerging technologies to help millions of people gain food security. The domestic economic benefits are evident in the fact that 46 states have already seen job losses from the programs cut from the State Department and USAID.
U.S. foreign assistance has played a significant role in creating enduring alliances and friends around the globe. It can continue to be a vital asset with adequate funding and effective implementation. U.S. assistance restored Europe after World War II, built democracies and free markets after the fall of communism, and saved millions of lives through vaccinations from polio to tuberculosis. The return on these strategic and moral investments endure to this day.
However, our world continues to face challenges: 692 million people live in extreme poverty and over 300 million people need humanitarian assistance. A new government in Syria is taking shape while conflict and violence in Sudan and the Democratic Republic of Congo rage. Instability, political crises, and a lack of economic development not only affect those living under those conditions, but destabilizes the peace, security, and economic safety of the United States. Our world and its challenges are complex, but they are best addressed when America leads.
As the world’s most prosperous country, the United States has the resources to take care of domestic priorities and make wise investments in foreign assistance. Effective engagement brings dignity to millions around the globe while also enhancing American economic prospects and stability.
America should be the first ally and partner of choice for countries around the world. American businesses should be expanding globally, increasing trade and jobs here at home. American values of compassion and the value of every life should be what every country aspires to. Foreign assistance is the soft power tool that enables this to happen.
As the Administration reviews foreign assistance, this essential engagement can improve, better articulate the impact of taxpayer investments, and ensure U.S. development and humanitarian assistance saves lives, catalyzes self-reliance, and continues to make America stronger, safer and more prosperous.
For additional information and recommendations, please see InterAction’s “What’s Next for Foreign Aid.”
Contents
As the nation's leading policy advocate for development and humanitarian relief programs, representing over 160 U.S.-based nongovernmental organizations (NGOs) that implement programs worldwide, InterAction is proud to present Choose to Invest (CTI). CTI is a public resource to improve understanding of the critical accounts that fund emergency relief and recovery. From these accounts—a fraction of the overall federal budget—come the critical programs that further the strategic interests of the U.S. abroad and pay dividends for American taxpayers.
CTI provides information, results, and funding recommendations for Fiscal Year 2026 (FY2026) across six core accounts and three additional accounts primarily financed through the State, Foreign Operations, and Related Programs Bill. It also covers international food security programs funded by the Agriculture Appropriations Bill. Each account includes a recommended funding level that will sustain America’s leadership in the world while also ensuring Americans at home are taken care of.
An additional InterAction resource, Foreign Assistance Delivers, provides a birds eye view of the foreign assistance architecture, outlining what foreign assistance is, who is at the table, and what the primary U.S. foreign assistance agencies are.
Global Statistics
Poverty
692 million people—or 8.5% of the global population—live in extreme poverty on less than $2.15 per day.
Food Insecurity
29% of the global population is either moderately or severely food insecure. This includes 343 million people facing acute hunger.
148 million children under five are affected by stunting.
Water, Sanitation, and Hygiene (WASH)
2.2 billion people lack access to safely managed water services.
Inequality
Only half of countries have reached gender parity in primary education enrollment.
130 million girls are denied the right to education.
Humanitarian Need
300 million people need humanitarian assistance.

FY2026 Funding Recommendations
State, Foreign Operations |
Recommendation |
Development Assistance |
$3.931 billion |
Economic Support Fund |
$3.890 billion |
Global Health Programs - USAID |
$3.985 billion |
HIV/AIDS (State) |
$6.045 billion |
International Disaster Assistance |
$4.779 billion |
Migration and Refugee Assistance |
$3.928 billion |
USAID Operating Expenses |
$1.695 billion |
Millenium Challenge Corporation |
$930.000 million |
Development Finance Corporation |
$983.250 million |
Agriculture Appropriations Bill |
FY2026 Recommendation |
Food for Peace, P.L. 480 Title II |
$1.690 billion |
Development Assistance
Implemented by USAID, Development Assistance (D.A.) is one of the primary bilateral development accounts focused on poverty reduction and the development of self-reliant, resilient, and democratic societies. This core account funds most of USAID’s development work outside of global health and humanitarian assistance. D.A. supports the sectors, activities, and programs that help countries and communities address poverty; fight hunger and malnutrition; promote conservation and end wildlife trafficking; address root causes of migration; improve basic education; increase access to water, sanitation, and hygiene (WASH); and spur economic growth.
D.A. makes America safer by bolstering economic growth and job opportunities in Central America and elsewhere that address the root causes of migration and create stable futures for people in their own countries. It makes America more prosperous by producing large returns on its investments—from increased trade through Prosper Africa and partnership opportunities for U.S. universities and companies.
Economic Support Fund
The Economic Support Fund (ESF) provides assistance to countries of strategic importance to U.S. foreign policy and national security, helping them meet near- and long-term political, economic, development, and security needs. ESF also provides direct budget support to foreign governments, sovereign loan guarantees, and critical support to development activities that work in conjunction with activities funded under Development Assistance.
ESF is generally managed by the Department of State and implemented by USAID. Strong ESF funding counters economic investments made by China via the Partnership for Global Infrastructure and Investment (PGII)—the G7 counter to the Belt and Road Initiative. Strengthening the economies of U.S. allies, creating new markets for domestic goods, and cracking down on corrupt and unfair trade practices deliver valuable returns for American taxpayers.
Global Health Programs
The Global Health Programs (G.H.) account has saved tens of millions of lives, prevented countless infections, combatted life-threatening diseases, and built-up local health systems across the world. Global Health work has also supported American innovation and business; a malaria vaccine developed with U.S. support has been delivered to millions of children, transforming how this deadly disease is prevented. This account supports programs that protect Americans from health threats abroad, such as bird flu and Ebola. It covers a diverse range of health areas from preventing child and maternal deaths to neglected tropical diseases. Economic growth and development depend on a healthy population.
By combatting infectious diseases, immunizing local populations, and leading global health initiatives, the G.H. account protects the American people by making them safer against infections and diseases abroad. For example, U.S. assistance drives rapid responses to disease outbreaks around the world, including a September 2024 outbreak in Rwanda of the Marburg virus.
International Disaster Assistance
The International Disaster Assistance (IDA) account provides critical humanitarian assistance to civilian populations in response to natural disasters, conflict and insecurity, and other sudden onset emergencies. America’s strong bipartisan legacy of global leadership in humanitarian assistance strengthens global communities and bolsters critical U.S. interests and security. It is also a longstanding point of pride for Americans; when disaster strikes, Americans answer the call. IDA also promotes early recovery, builds resilience, and reduces risk in communities vulnerable to recurrent humanitarian crises amounting to a worthwhile return on investment.
By responding to disasters and lending material assistance when a country is most vulnerable, the IDA account builds relationships and engenders goodwill abroad, making America stronger and more secure. Emergency humanitarian assistance provided by the U.S. has helped reduce the incidence of violent conflict in crisis zones like Syria, Sudan, and the Sahel region of Africa making America and the world a safer place.
Migration and Refugee Assistance
The Migration and Refugee Assistance (MRA) account works to mitigate and resolve conflict-related displacement and support humanitarian action and diplomacy for displaced populations. American assistance brings stability and builds resilience among these communities, amounting to a worthwhile return on investment. MRA is administered through the State Department’s Bureau for Population, Refugees, and Migration (PRM), USAID’s Bureau for Humanitarian Assistance (BHA), and other partners. By supporting displaced populations across the globe, the MRA account makes America safer by helping stabilize communities and regions while also showing American goodwill and values.
Food for Peace
Authorized by the Farm Bill and implemented by USAID’s Bureau for Humanitarian Assistance, Food for Peace Title II (FFP) programs play a critical role in America’s global food security response, leadership, and interests. FFP provides emergency and non-emergency food assistance on behalf of the American people, reaching the poorest and most vulnerable families in times of emergency and addressing the root causes of food insecurity and malnutrition. Emergency assistance is delivered primarily to communities affected by recurrent natural disasters, conflict, and chronic food insecurity. Non-emergency assistance programs bridge the gap between crisis and stability by supporting early recovery and strengthening communities’ resilience to shocks.
American agricultural crops and products used as part of these life-saving efforts bring substantial domestic economic benefits. In 2023, the U.S. purchased 1.1 million metric tons of food from American farmers to help more than 45 million people, generating more than $1.9 billion in revenue for U.S. farmers. In addition to making America more prosperous, FFP makes America safer and stronger by stabilizing countries undergoing food crises and building invaluable relationships across the globe.
Additional Accounts
Development Finance Corporation
The U.S. International Development Finance Corporation (DFC) partners with private entities to support international development in emerging markets through financial investment initiatives. By providing services such as debt financing for small businesses and political risk insurance for those affected by shocks, the DFC can both increase development investiture while helping American businesses operate in developing markets.
The DFC is designed to generate a return on investment that is either reinvested in new projects or returned to the U.S. Treasury.
Millenium Challenge Corporation
The Millenium Challenge Corporation (MCC) uses multi-year agreements to invest in country-lead projects that create jobs, expand markets, and promote growth. Through investments in compact and threshold programs, MCC supports projects in areas including agriculture, anti-corruption, health, transportation infrastructure, and more.
The MCC partners with developing countries based on a scorecard that determines whether they share the U.S.’s values and are “committed to good governance, economic freedom, and investing in their citizens.” By actively engaging the private sector throughout the implementation of programs, MCC creates new opportunities for American companies in frontier markets.
USAID Operating Expenses
The USAID operating expenses account supports USAID’s global operations and workforce, including salaries and benefits of foreign and civil service staff, cost of mission operations, staff training, physical security, and information technology. The account supports the critical management of foreign assistance programs and ensures prudent oversight and accountability of taxpayer dollars within agency programs.
Operating expenses fund the people, who are the technical expertise and global leaders in their fields, and the administrative work needed to implement the programs in the Development Assistance, Economic Support Fund, Global Health, International Disaster Assistance, and Food for Peace accounts
CONVENER. THOUGHT LEADER. UNITED VOICE.
Founded in 1984, InterAction is the largest U.S.-based alliance of international NGOs and partners. We mobilize our Members to think and act collectively to serve the world’s poor and vulnerable, with a shared belief that we can make the world a more peaceful, just, and prosperous place—together.
