U.S. Foreign Aid to Israel

This report provides an overview of U.S. foreign assistance to Israel. It includes a review of past aid programs, data on annual assistance, and an analysis of current issues. For general information on Israel, see CRS Report RL33476, Israel Background and U.S. Relations, by Jim Zanotti. Israel is the largest cumulative recipient of U.S. foreign assistance since World War II. To date, the United States has provided Israel 121 billion current, or non-inflation-adjusted, dollars in bilateral assistance. Almost all U.S. bilateral aid to Israel is in the form of military assistance, although in the past Israel also received significant economic assistance. Strong congressional support for Israel has resulted in Israel receiving benefits not available to any other countries. For example, Israel can use some U.S. military assistance both for research and development in the United States and for military purchases from Israeli manufacturers. In addition, U.S. assistance earmarked for Israel is generally delivered in the first 30 days of the fiscal year, while most other recipients normally receive aid in installments, and Israel as is also the case with Egypt is permitted to use cash flow financing for its U.S. arms purchases. In addition to receiving U.S. State Department-administered foreign assistance, Israel also receives funds from annual defense appropriations bills for rocket and missile defense programs. Israel pursues some of those programs jointly with the United States. In 2007, the Bush Administration and the Israeli government agreed to a 10-year, 30 billion military aid package for the period from FY2009 to FY2018. During his March 2013 visit to Israel, President Obama pledged that the United States would continue to provide Israel with multi-year commitments of military aid subject to the approval of Congress. The FY2014 Consolidated Appropriations Act P.L. 113-76 provides the Presidents full 3.1 billion request in FMF for Israel.