This next piece is a drastic departure from what I've normally written on this site in an attempt to try and educate the general public. I see alot of division in the conversations of the main circles without a real analysis of what the trends are historically. This article is an attempt to shed some light.
[Disclaimer. I am not a journalist, foreign policy or budget expert. But I am an interested citizen and a simple lookup will reveal the same information I supply here]
In recent years, the world has witnessed a seismic shift in U.S. foreign aid, particularly in response to the conflict in Ukraine. While longstanding aid recipients such as Israel, Egypt, and Afghanistan have traditionally dominated U.S. foreign assistance, Ukraine has rapidly become one of the largest recipients of military and humanitarian aid following Russia’s invasion in 2022. To understand the significance of U.S. support to Ukraine, it is essential to place this assistance in the broader historical context of American foreign aid and defense spending. By doing so, we can gauge not only the magnitude of the aid but also the strategic motivations and long-term implications for U.S. foreign policy.
Historical Overview: U.S. Foreign Aid Leadership
Since World War II, the U.S. has consistently led in providing foreign assistance to key allies, stabilizing conflict zones, and supporting development in impoverished regions. This aid has served multiple purposes: maintaining military alliances, encouraging economic development, fostering democracy, and providing humanitarian relief in crises. The distribution of U.S. foreign aid, however, has not been uniform, with certain countries receiving more significant and sustained support due to their strategic importance.
The following graph highlights the total U.S. foreign assistance to various countries, adjusted for inflation from 1946 to 2022:
From this chart, we see that Israel has been the largest recipient, with an astonishing $317.9 billion in aid since 1951. Israel's status as a strategic ally in the Middle East has resulted in consistent U.S. support, largely in the form of military assistance. This long-term alliance is based on shared democratic values, military cooperation, and strategic interests in a region that has been fraught with conflict.
Vietnam (former South Vietnam) is the second-largest recipient of U.S. aid, receiving $184.5 billion. Most of this aid occurred during the Vietnam War, where the U.S. supported South Vietnam in its fight against North Vietnam, reflecting U.S. Cold War-era foreign policy objectives aimed at containing communism. Similarly, Egypt, which received $182.3 billion, became a key recipient of U.S. aid after the Camp David Accords in 1978, which brought peace between Egypt and Israel, further cementing U.S. influence in the region.
Other significant recipients include Afghanistan ($160.9 billion), largely due to the U.S. involvement in the war on terror post-9/11, and South Korea ($119.9 billion), which received substantial aid during and after the Korean War as the U.S. sought to establish a stable, anti-communist regime in East Asia.
The Emergence of Ukraine as a Major Recipient
While countries like Israel and Egypt have received aid for decades, the situation in Ukraine is unique due to the sheer scale and speed of U.S. support. Following Russia’s invasion of Ukraine in February 2022, the U.S. rapidly escalated its military, financial, and humanitarian aid to Ukraine, totaling $46.6 billion in military aid within a short period.
This aid to Ukraine, while immense, represents a new chapter in U.S. foreign assistance. To contextualize Ukraine’s aid within broader U.S. defense spending, we must examine how this recent surge compares to historical defense spending. The graph below shows U.S. defense spending as a percentage of Gross Domestic Product (GDP) from 1953 to 2024 (projected):
At the height of the Korean War in 1953, U.S. defense spending reached 11.3% of GDP, reflecting the high cost of sustained military operations. During the Vietnam War, defense spending peaked at 8.6% in 1968. Since then, defense spending as a percentage of GDP has generally declined, reaching 4.5% during the wars in Iraq and Afghanistan in the early 2000s. In 2020, defense spending fell to 3.1%, and it is projected to decrease further to 2.7% by 2024.
In comparison, U.S. military aid to Ukraine, while significant, represents a small fraction of overall defense spending. The $46.6 billion in military aid to Ukraine makes up about 5.3% of the $885 billion U.S. defense budget in 2024. Although this aid is substantial in absolute terms, it is still a relatively small percentage of total U.S. defense spending, especially when compared to the massive expenditures during the Korean and Vietnam wars.
Comparing U.S. Defense Budgets Over Time
To further illustrate how the aid to Ukraine fits into the broader U.S. defense budget, consider the following graph, which shows the historical Department of Defense budget authority from 1970 to the present, broken down by U.S. presidential administrations: