International Aid Becomes Foreign Policy
Building on the success of the Marshall Plan, President Harry S. Truman proposed an international development assistance program in 1949. The 1950 Point Four Program focused on two goals:
Creating markets for the United States by reducing poverty and increasing production in developing countries
Diminishing the threat of communism by helping countries prosper under capitalism
From 1952 to 1961, programs supporting technical assistance and capital projects continued as the primary form of U.S. aid, and were a key component of U.S. foreign policy.
During this time, government leaders established various precursor organizations to USAID, including the:
Mutual Security Agency
Foreign Operations Administration
International Cooperation Administration