EconDefense
INT-21 / Security cooperation, assistance and education

Arrange authorized foreign military credit and loan guarantees

Finance foreign defense procurement and guarantee eligible financing through Presidential/State-supervised statutory programs administered with DoD support.

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At a glance

Possible toolINT-21 · Loans & guarantees

Authority holder: President under AECA; State policy/supervision and delegated administration, with DSCA execution role.

Loans & guarantees

Mechanism tags describe the source text; they do not expand the authority.

Availability and verification

Existing statutory pathway; conditional on the listed findings, approvals, eligible purpose and actual available funds. Not an obligation-ready certification.

Requirements and limits

Eligibility & prerequisites

  • Friendly-country or organization defense procurement; specific financing terms and statutory repayment/interest rules unless later country-specific law controls.
  • Guarantee fees and applicable Federal credit-budget requirements.

Limits & exclusions

  • Not authority for DoD to give any foreign firm a loan or guarantee for any national-security purpose.
  • Annual appropriations/country restrictions and cash-flow financing notices may control.

Funding conditions

  • Credit/guarantee ceiling and subsidy resources must be legally available; no current credit capacity inferred.

Read the funding and execution guide

Who contributes what

Need & planning

  • Geographic or functional CCMD security-cooperation planners
    Office profile
  • Embassy SCO and Chief of Mission country team

Resources

  • Specifically provided FMF/credit subsidy and administrative resources
  • Treasury/financing institutions as required

Approval

  • President/authorized delegate and Department of State
  • Applicable credit-program approvals

Execution

  • DSCA foreign-military-financing and financial offices
  • Implementing agency contracting/case offices

Partners & review

  • Foreign partner government
  • Department of State
  • Export-control/foreign-disclosure officials

Office links are editorial matches to the original role text, not verified delegations. Composite labels and unmatched actors are preserved.

Coordination pathway

Partner need → State financing policy and resource allocation → DSCA finance/counsel → authorized loan/guarantee agreement → procurement and repayment oversight.

Actor and execution-role sources

Legal basis

What this research establishes

Legal powerSource and conditions recorded
EligibilityProject-specific check needed
Available fundsBalances not verified
DelegationValid signature authority must be checked
ExecutionOffice capacity and approvals must be checked

Confidence: High on express statutory capability; execution/delegation and currently available resources require program-specific confirmation.

Currentness: GovInfo 2024 U.S. Code baseline read; relevant FY2026 NDAA (Pub. L. 119-60, enacted 2025-12-18) amendments reviewed. Target 2026-10-02; source-specific OLRC checks and remaining delta are documented in international.md. No certification of current funds or executed delegations.

Research target: October 2, 2026. A record-specific last-review date is not supplied. Publication date is not legal-currentness certification.

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