Notes on Construction of the Resource Transfer Series

Economic aid and military aid figures are obtained from “Congressional Budget Justification Foreign Operations: Fiscal Year 2005,” Country/Account Summaries (‘Spigots') FY 2004, pp. 587-594 ( ) As we are only interested in bilateral aid, we did not take into consideration any aid to regional or international bodies.


Arms sales figures are the sum of three separate series: Foreign Military Sales, Direct Commercial Sales, and Excess Defense Articles, as follows: FMS Delivered FY 2003 figures are obtained from DSCA Facts Book, “Foreign Military Sales, Foreign Military Construction Sales and Military Assistance Facts,” published by Deputy for Operations and Administration, Business Operations/ Comptroller, DSCA, pp. 18–27 ( Facts_Book_2003_Oct04_Final.pdf ).


Note that these figures are the total dollar value of defense articles and defense services delivered to a foreign government of international organization in FY 2003. For purposes of checking, the figures are compared with the ones from Foreign Military Sales & Construction Sales Agreement (FY 2003), available in “Congressional Budget Justification Foreign Operations: Fiscal Year 2005”, pp. 518 – 521. Note that the Foreign Military Sales & Construction Sales Agreement FY 2003 shows the total dollar value by country of government-to-government FMS Letter of Offer and Acceptance (LOA's) signed in FY 2003, regardless of when the articles and services were or will be delivered. Discrepancies of more than 100% (up or down) between the delivery and contracted amounts were noted.


Figures for Direct Commercial Sales Authorization were derived from “Report by the Department of State Pursuant to Sec. 655 of the Foreign Assistance Act: Direct Commercial Sales Authorizations for Fiscal Year 2003,” as well as for Fiscal Year 2002 and 2001. ( rpt655_2003.pdf ) This report is divided into two components: part 1 of the report provides details of licenses authorizing the export of defense articles, while part 2 provides aggregate information by country on authorizations for defense services (i.e. agreements). DCS figures were then averaged over the three fiscal years 2001-03.


For obvious reasons, there are two exceptional cases: for Iraq , the figure shown is only the DCS Authorization of FY 2003; for Afghanistan , the figure shown is the DCS Authorization Average of FY 2002 and FY 2003, and does not include DCS Authorization of FY 2001.


For FY 2003 Excess Defense Articles Grant Offers are from “FY 2003 Excess Defense Articles Authorized and Furnished Foreign Countries Under the Provisions of Section 516 of the Foreign Assistance Act of 1961, As Amended” ( ). (These are data from DoD.) We have used the “notified values” (as opposed to “delivered values”) and “current” values (as opposed to “acquisition” values).