What it’s all about: The Economic Growth and Development Act seeks to boost market-based economic growth in developing countries. It also creates opportunities for the United States private sector to become more involved in foreign assistance programs by improving planning and coordination among U.S. departments and agencies.
Bill Summary: This bill requires the President to: (1) establish a primary, interagency mechanism to assist the private sector in coordinating U.S. development programs with private sector investment activities; and (2) submit, annually, a strategy for the facilitation and coordination of private sector investments and activities for the purposes of development. Such mechanism shall: (1) streamline and integrate private sector liaison, coordination, and investment promotion functions of U.S. development agencies; (2) facilitate the use of development and finance tools across such agencies to attract greater private sector participation in development activities; and (3) establish a single point of contact for the private sector for partnership opportunities with such agencies. The Department of State and the U.S. Agency for International Development (USAID) shall direct their policy teams to include private sector facilitation and coordination in all country, sector, and global development strategies. The State Department, USAID, and other relevant federal agencies shall ensure that analyses of rigorous, current constraints on growth and investment guide all such strategies.
- Read House Version (H.R.2747)
- View House Cosponsors
- Senate Version (S.1274)
- View Senate Cosponsors
- Download Background Sheet
Get Smarter: Helpful Links and Media Coverage
- The Hill: “Putting results and economic growth at the center of U.S. development assistance”
- BORGEN Magazine: “Implications of the Economic Growth and Development Act”
- Rep. Yoho press release announcing the bill
- Sen. Isakson press release announcing the bill
- Brookings: How the U.S. can better harness the private sector for development
- Is there a CBO Score? Not yet. The CBO has not scored the bill but cost is expected to be minuscule.
- What’s an example of leveraging the private sector for development projects? As of 2016, the Feed the Future program had $10 billion of commitments from more than 200 companies, and Power Africa had $20 billion in commitments from over 100 companies. Both programs launched during the Obama Administration have greatly scaled up their impact and reduced costs for taxpayers by leveraging the private sector.
Be a Hero: Advocate for the Bill
- Email Congress
- Call Congress. What to say when calling Congress: “Hello, I’m a Borgen Project supporter and I would like you to support the Economic Growth and Development Act.” [Find phone numbers]
- Lobby. Meet with your local Congressional leaders.
- Mobilize. Oftentimes it only takes a handful of emails from constituents to get a leader to support a bill.
- Track the Bill: Signup for email alerts notifying you as the bill moves through Congress.