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# Foreign Military Financing (FMF)

### **Purpose:**

The  Arms Export Control Act (AECA), as amended [22 U.S.C. 2751, et. seq.], authorizes the President to finance procurement of defense articles and services for foreign countries and international organizations.

FMF enables eligible partner nations to purchase U.S. defense articles, services, and training through either FMS or, for a limited number of countries, through the foreign military financing of direct commercial contracts (FMF/DCC) program (Also DCC Guidelines).

### **Who:**

Secretary of State determines which countries will have programs.  Secretary of Defense executes the program.

### **Funding:**

FMF is a source of financing and may be provided to a partner nation on either a grant (non-repayable) or direct loan basis.

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