Ceasefire Deal and Funding Complications
As the Lebanese Armed Forces (LAF) work to uphold their commitments under a ceasefire agreement, significant funding intended to enhance their military capabilities is currently held up in Washington. Following the conclusion of the Biden administration, reports emerged that the State Department had initiated a transfer of $95 million in Foreign Military Funding (FMF) from Egypt to Lebanon. This shift aimed to bolster military support for Lebanon, especially in light of recent government changes.
The Role of Foreign Military Funding
FMF is financial assistance provided by the U.S. government to enhance the national security capabilities of allied countries. Crucially, these funds are mandated to be spent exclusively on American-made equipment, facilitating a flow of money that ultimately benefits the U.S. defense industry. Tressa Guenov from the Atlantic Council emphasized the importance of FMF, stating that even small amounts can significantly impact a country’s defense posture, helping to counterbalance influence from adversaries.
Supporting Lebanon’s Military Initiatives
The Biden administration was keen on demonstrating support for Lebanon’s new government and assisting the LAF in securing territories previously occupied by Hezbollah and Israeli forces. The allocation of these funds from Egypt’s FMF was viewed as a practical step to expedite aid delivery. A State Department representative highlighted that this funding would enhance the LAF’s ability to secure the South Litani area and reinforce U.S. commitment to regional stability.
The Freeze on Foreign Assistance
However, upon taking office, Secretary of State Marco Rubio initiated a comprehensive review of foreign assistance programs, putting a pause on many aid initiatives, including the FMF intended for Lebanon. This move aligns with the „America First” policy directive, though it mirrors actions taken by past administrations when they first entered office.
Uncertainty Surrounding Funding Availability
The overall availability of FMF during this freeze is unclear. For FY24, the appropriated total was $6.1 billion, but ongoing budgetary confusion may have already exhausted a portion of this funding. As FMF operates essentially as a loan, countries that previously received funds might find their usage stymied under the current freeze.
Concerns Over Long-Term Impacts
Experts warn that prolonged suspension of funding could strain relationships with allies, potentially allowing countries like China and Russia to offer competing defense solutions. Guenov expressed concern that these nations could capitalize on any vacuum left by reduced U.S. military support.
Future Funding Requests
Looking ahead, the Biden administration has proposed $9.04 billion for security assistance in FY25, including approximately $6.08 billion in FMF. However, these figures may be revised depending on Congressional actions regarding the federal budget. Meanwhile, Foreign Military Sales (FMS) transactions continue, with recent deals indicating ongoing U.S. military engagement on the global stage.