• Research
  • Strategic Europe
  • About
  • Experts
Carnegie Europe logoCarnegie lettermark logo
EUDemocracy
  • Donate
REQUIRED IMAGE

REQUIRED IMAGE

Paper

Assessing Secretary of State Rice's Reform of U.S. Foreign Assistance

Secretary of State Condoleezza Rice’s ambitious reorganization of the U.S. foreign assistance efforts last year is deeply, perhaps irredeemably flawed, but did produce some positive results, says a new paper from the Carnegie Endowment.

Link Copied
By Gerald F. Hyman
Published on Feb 11, 2008

Additional Links

Full Text (PDF)

Source: Carnegie Endowment

Secretary of State Condoleezza Rice’s ambitious reorganization of the U.S. foreign assistance efforts last year is deeply, perhaps irredeemably flawed, but did produce some positive results, says a new paper from the Carnegie Endowment.

Reforms aimed at making foreign assistance an instrument of the administration’s “transformational diplomacy,” and ensuring greater transparency and oversight instead created an overly centralized and complex system that was rushed into practice.

In Assessing Secretary of State Rice’s Reform of U.S. Foreign Assistance, former senior USAID official Gerald Hyman analyzes the objectives, implementation, and impact of the Secretary’s effort to create a cohesive foreign assistance program fully integrated with U.S. national security policy.

Key Conclusions:
• The new system confuses strategic decisions, which should be made in Washington, with tactical ones better suited to context-knowledgeable field officers. Reforms also require that any change made to a foreign assistance project receive approval from the newly created Director of Foreign Assistance (DFA) position, creating huge potential for gridlock.
• In the quest for greater strategic control, the reorganization actually diminishes Washington’s ability to evaluate the objectives and successes of foreign assistance projects. Detailed narratives which provided rationale for programs under the old system have been replaced by a complex, numbered grid system that lacks critical information, making a serious assessment of projects in Washington difficult.
• The reorganization was led by “core country teams,” the members of which, in many instances, had only a passing knowledge of the country they were to plan for. The implementation process also failed to involve many key stakeholders, including ambassadors, USAID missions, and congressional leaders.
• The reorganization was instituted due in large part to the Secretary’s inability to answer congressional inquiries regarding U.S. spending on democracy promotion. The new system places an exaggerated emphasis on the ultimately futile attempt to instantly report on U.S. foreign assistance expenditures and detail the outcomes of an $11 billion program. 

“The old system was a fractured, nonstrategic, hodgepodge of bureaucratic satraps in need of a fundamental fix.  Greater coherence was certainly necessary.  But the Rice reform is deeply, perhaps irredeemably flawed.  There were available corrections far short of, and far better than, this foreign assistance reform,” writes Hyman. 

Click on icon above for the full text of this Carnegie Paper.

A limited number of print copies of this Carnegie Paper are available.
Request a copy

About the Author
Gerald (Jerry) Hyman
serves as both a Center for Strategic and International Studies (CSIS) senior adviser and as president of CSIS’s Hills Program on Governance. He also serves on the Advisory Council to the Center for International Media Assistance of the National Endowment for Democracy. Hyman served with the U.S. Agency for International Development (USAID) from 1990 to 2006, and was director of the Office of Democracy and Governance from 2002 to 2007.

About the Author

Gerald F. Hyman

Gerald F. Hyman

Additional Links

Full Text (PDF)
North AmericaMiddle EastChinaPolitical ReformEconomyForeign Policy

Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.

More Work from Carnegie Europe

  • Commentary
    Strategic Europe
    Why Russia Could Escalate Hybrid Warfare Against Europe

    Mounting economic strain and battlefield losses will not necessarily make the Kremlin less dangerous. They could instead push Moscow toward a more aggressive hybrid campaign designed to test NATO’s Eastern flank, exploit allied hesitation, and fracture European resolve.

      Maksym Beznosiuk

  • Commentary
    Strategic Europe
    Taking the Pulse: Enough with the Annual NATO Summits, Already?

    Over the past ten years, NATO has held almost as many summits as it did during the entirety of the Cold War. Are they still useful, or is it time to stop holding annual meetings?

      • Rym Momtaz

      Rym Momtaz, ed.

  • Europe from Scratch: Visions for a New European Order
    Report
    Europe from Scratch: Visions for a New European Order

    As the EU confronts profound challenges, several leaders have called for fundamental reform to the union’s model—but only modest, superficial changes have resulted. What if Europe really could be reimagined from zero today: What should such a redesigned European order look like?

      Richard Youngs, ed.

  • Commentary
    Strategic Europe
    European Sycophancy Worked on Trump

    Nearly a year and a half after Europeans leaned into sucking up to Trump, the strategy has produced some benefits when it comes to Ukraine.

      • Rym Momtaz

      Rym Momtaz

  • Romania Bulgaria Turkey Black Sea naval
    Commentary
    How NATO Became Anchored in the Black Sea

    As Russia's war on Ukraine drags on, NATO is expanding its footprint in the Black Sea. Turkey, Romania, and Bulgaria are upgrading their fleets and deepening trilateral cooperation.

      Dimitar Bechev

Get more news and analysis from
Carnegie Europe
Carnegie Europe logo, white
Rue du Congrès, 151000 Brussels, Belgium
  • Research
  • Strategic Europe
  • About
  • Experts
  • Projects
  • Events
  • Contact
  • Careers
  • Privacy
  • For Media
  • Gender Equality Plan
Get more news and analysis from
Carnegie Europe
© 2026 Carnegie Endowment for International Peace. All rights reserved.