Foreign Military Financing (FMF)

From Knowledge base

Purpose[1]

The Arms Export Control Act (AECA) 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 Direct Commercial Contracts (DCC) channels.

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.

Foreign Military Financing Guidelines

http://www.dsca.mil/programs/foreign-military-financing-direct-commercial-contracts-fmf-dcc

Pricing Review Thresholds

Date Threshold
August 31, 2009 $750,000
January 7, 2011 $2,500,000
Example Example

File:Pricing Review Thresholds for FMF Direct Commercial Contracts.pdf


References