October 3, 2016
Writing in the Harvard Business Review, Managing Director Steven Koltai states the case for making entrepreneurship a significant element of the U.S. government’s foreign aid work.
In the article, Koltai notes that 1% of foreign aid spending (which itself is only 1% of the U.S. federal budget) goes towards bolstering entrepreneurship abroad. “Entrepreneurship can solve big problems,” Koltai writes, “but our government has not adequately leveraged this American-as-apple-pie tool in its foreign policy.”
The missed opportunity is that entrepreneurship (i.e., young firms) is the primary creator of jobs in any economy, and jobs are the driver of stability in all societies. American interests in security would be well served by bolstering entrepreneurship and supporting startup founders in fragile and developing economies around the world.
Koltai’s piece draws from his book, Peace through Entrepreneurship: Investing in a Startup Culture for Security and Development, newly out from Brookings Institution Press. More information about the book, including links to other articles expanding on the book’s themes, are available at peacethroughentrepreneurship.com.