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Panel Reviews U.S. Foreign Assistance for Europe and Eurasia

On September 14, the House International Relations Subcommittee on Europe and Emerging Threats held a hearing to evaluate the Support for East European Democracy (SEED) and Freedom Support Act (FSA) programs.

In his opening remarks, Chair Elton Gallegly (R-CA) explained that the SEED and FSA programs “were created to promote the foreign policy and security of the United States by enhancing democratic governance, economic development, and internal and external security in target nations,” adding, “U.S. assistance to Europe remains important, and I am pleased with the achievements that are being made through these programs. They continue to help build stable democratic governments and free market economies, and support nonproliferation activity. Nevertheless, progress in some countries has been uneven. It is our oversight responsibility to question the effectiveness of these programs and determine if revisions should be made.”

Highlighting political and economic reforms in Europe, Ranking Member Robert Wexler (D-FL) stated, “U.S. aid has been used to assist governments seeking to dismantle weapons of mass destruction programs, develop counter-terrorism plans and essential infrastructure, and has been used as a tool to reconcile longstanding conflicts from Cyprus to Kosovo to Northern Ireland. In fact, several nations, including the Baltic States, Poland, Czech Republic, Hungary and Slovakia have benefited from these aid programs and have become some of America’s strongest democratic allies fully integrated in transatlantic institutions as well as the European Union.”

Thomas Adams, assistance coordinator for Europe and Eurasia at the State Department, said that “when the FSA and SEED accounts were created, the focus was on economic and democratic transition. There was a sense that if only the transition countries could get their political structures and economic policies ‘right,’ stability and prosperity would follow…But new factors, not anticipated by the authors of SEED and FSA, have complicated the picture. Familiar transnational threats, such as organized crime, terrorism, and the illegal narcotics trade, have grown in scope and virulence. Relatively new challenges extremism, human trafficking, HIV/AIDS have arisen, threatening to undermine political and social stability.” He added, “Countries where political, economic, and justice sector reforms are incomplete or completely absent, as in Belarus or Turkmenistan, are the most vulnerable to the destabilizing effects of transnational threats and deteriorating social conditions. That is why, even as we direct an increasing proportion of our SEED and FSA assistance to address transnational threats and social sector problems, we continue to focus the largest share of these accounts on fundamental economic and political reform.” Mr. Adams also noted that through the Economic Support Fund, the State Department has promoted peace and reconciliation efforts, social and economic development, and women’s rights in Cyprus, Northern Ireland, and Turkey.

U.S. Agency for International Development (USAID) Acting Administrator for Europe and Eurasia Drew Luten highlighted USAID programs in Europe and Eurasia (E&E), including those to promote health care and combat human trafficking. “Health will be an increasing concern for all E&E Missions, building on USAID experience to date. High abortion rates and low contraceptive rates throughout the region require continued attention to reproductive health in most E&E countries. E&E will focus on child survival and maternal health interventions in countries of greatest need. The Caucasus countries and the CARs [Central Asian Republics] have the highest under-five mortality rates in the transition region. Almost all our recipients are encountering difficulties with infectious diseases, including HIV/AIDS and tuberculosis (TB). HIV/AIDS and TB funds will be targeted toward countries with high infection rates, notably Russia, Ukraine, and Central Asia.” Mr. Luten said that trafficking in persons (TIP) “is a major issue in the E&E region. It is estimated that as many as 25 percent of TIP victims globally come from this region…Targeted TIP efforts complement an array of other development efforts that address the underlying factors which give rise to TIP in this region, including: a) socioeconomic dislocation; b) corruption and a breakdown in values; c) disenfranchisement of substantial populations, especially along ethnic and gender lines; d) organized crime; e) regional conflict, including participation by international peacekeepers; and f) demand for sexual exploitation and excessively cheap, illegal or legally unprotected labor.” He also noted that USAID efforts focus on trafficking prevention through economic empowerment, crisis management, public education and awareness, and legal reforms; and on victim protection through government and nongovernmental organizations’ services and victim witness protection programs.