News

In a newly released report requested by Dr. Coburn, the Congressional Research Service outlines U.S. foreign assistance in the fiscal year 2010 that went to countries in which the U.S. gave a total of $1.4 billion to 16 countries holding at least $10 billion in U.S. Treasury securities. According to the Treasury Department, the largest holder of U.S. debt as of March is China, owning $1.1 trillion Treasury bonds and having received $27.2 million in foreign aid in FY2010. Brazil held $193.5 billion in Treasury securities and received $25 million in foreign aid, Russia had $127.8 billion and received $71.5 million, India held $39.8 billion and received $126.6 million from the U.S.

“Borrowing money from countries who receive our aid is dangerous for both the donor and recipient. If countries can afford to buy our debt perhaps they can afford to fund assistance programs on their own. At the same time, when we borrow from countries we are supposedly helping to develop we put off hard budget choices here at home. The status quo creates co-dependency and financial risk at home and abroad.” – Sen. Tom Coburn

Full report HERE.