National Endowment for Democracy cuts are penny-wise, pound-foolish

One of the most important experiences of my career as a foreign correspondent was watching Latin American countries turn from dictatorships to democracies through the power of citizens. 

In the 1990s, as the Cold War ended and the Soviet Union crumbled, I watched as lines of campesinos who had walked for days in the mountains of Guatemala cast their votes and proudly showed off their purple-inked thumbs. In those days, the National Endowment for Democracy and the State Department played vital roles supporting nascent democracies, from Eastern Europe to Latin America to Asia and Africa. 

We are now in a new era, dominated at home by a ferocious attention to cutting the budget deficit and the national debt.  

The Office of Management and Budget has proposed that State Department funding be cut in half and that programs such as democracy promotion eliminated. In a hearing last month of the House Appropriations subcommittee, chaired by Reps. Mario Diaz-Balart (R-Fla.) and Lois Frankel (D-Fla.), the heads of the National Endowment for Democracy’s National Democratic Institute and International Republican Institute came to plead their case for resumption of programs already approved for this fiscal year and their entities’ future survival.  

Since its arrival in office, the Trump administration has halted 92 of 95 programs of the International Republican Institute, according to its president, Dan Twining. The institute has closed all 64 of its offices abroad and fired up to 85 percent of its staff. National Democratic Institute President Tamara Wittes testified that 93 of its 97 awards were terminated, three-fourths of its offices closed and about 1,000 people fired. Total funding for the NED represents 1 percent of the foreign assistance budget, which itself represents 1 percent of the total U.S. government budget.

Both leaders testified that the return on a relatively small sum of $660 million has provided critical support for democracy, including nonpartisan training for election monitors, technical support to political parties across the spectrum, and incorporation of women into democratic political processes. In post-war countries from Lebanon to West Africa, the National Endowment for Democracy has helped countries bring disabled veterans and survivors of conflict to the polls on election day, to forestall backsliding into conflict. 

One of the most promising areas is the use of technology. Since 2008, the State Department’s Bureau of Democracy, Rights and Labor has invested more than $320 million in global internet freedom programs to counter censorship and provide internet access. The bureau provided VPN communications for democracy activists, including the massive Woman, Life, Freedom movement in Iran, the largest anti-regime protest in decades.  

During the first Trump administration, funding for the bureau quadrupled, with vital backing from South Carolina Sen. Lindsey Graham. Since January, however, 95 percent of its programs are suspended, jeopardizing its key focus on countering China’s influence and other repressive regimes.

The fight is not only in China and Iran; in fact, the contest between democracy and authoritarianism is just as acute and far-flung as it was in the waning days of the Cold War. Most of the world’s population today lives in authoritarian countries or in backsliding democracies. Only 87 countries, comprising about 20 percent of the world’s population, are stable democracies, according to the latest Freedom House report. 

The endowment and the State Department have helped countries counter Russian destabilization in Central and Eastern Europe and in the conflicted Western Balkans with nonpartisan support to government, civil society and independent media.

The National Endowment for Democracy was preparing to help ensure fair elections in Ukraine until funds were cut. Aid has stopped to Moldova, where a Russian-backed campaign nearly derailed a popular government in the fall, leaving open the possibility of similar interference in the coming parliamentary elections.

Romania’s election was annulled after the presidency was nearly captured through a shadowy influence campaign by coordinated TikTok accounts, undisclosed payments and algorithmic amplification of the virtually unknown ultranationalist candidate’s bid for office, according to Romanian intelligence.  

Secretary of State Marco Rubio has said that foreign assistance will be held to a new standard under his helm, requiring that programs demonstrably make the U.S. “safer, stronger or more prosperous to justify their existence.” Over the years, the National Endowment for Democracy and the Bureau of Democracy, Rights and Labor can claim to have contributed to this outcome, although officials — including Twining — allow that some programs can be sharpened or held to a higher standard. 

Rubio himself has championed many of these programs. As a senator, he sponsored legislation banning clothing imports made with Uighur slave labor. And Diaz-Balart, his fellow Cuban American, bestowed a National Endowment for Democracy award on a bishop in Nicaragua, a country that is still struggling to return to the democracy it briefly enjoyed in the early 1990s. With support from the endowment, Guatemala’s new government has made progress in reducing migration, as Rubio recognized on his first trip abroad as secretary. And Venezuela’s opposition provided proof that they were defrauded of victory last fall, through a meticulous organizing and poll-monitoring effort supported by the U.S. 

Rubio’s proposal to fold the Bureau of Democracy, Rights and Labor into a new, expanded directorate of foreign assistance and human rights might produce new synergy and effectiveness. But unless the new directorate is empowered with senior staff and expert personnel, its span of control could be challenged, with such a wide array of responsibilities as State’s major action arm for deploying all foreign and humanitarian aid and overseeing the daily execution and results. Leaders of the congressional foreign relations committees have already indicated they will closely scrutinize the proposed reorganization for its ability to carry out statutory functions established by Congress. 

Twining and Wittes, among others, argue that democracy programs are among the most cost-effective investments the U.S. government makes. The outside auditor, Grant Thornton, delivered a clean audit of the endowment’s financial statements in March, for the 10th straight year. These small sums are dwarfed by China’s $60 billion annual spending on Belt and Road projects around the world and its growing purchase of local media outlets to influence public opinion. This penny-wise approach will make it far easier for the rest of the world to turn, no questions asked, to Russia and China. 

Linda Robinson received the Maria Moors Cabot Prize and the Gerald R. Ford Prize for Reporting on National Defense and was a Nieman Fellow in 2001. She is now senior fellow for women and foreign policy at the Council on Foreign Relations.