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On April 3, 1948, President Truman signed the Economic Recovery Act of 1948 into law. The legislation, which history knows as the Marshall Plan, was initially proposed by Secretary of State General George C. Marshall in 1947.
The United States was deeply concerned that poverty in Europe, which had been devastated by World War II, would destabilize the continent indefinitely and strengthen the appeal of fascism and communism.
By the time the plan had been fully administered in 1951, more than $13 billion had been distributed to the 17 participating countries. (more than $150 billion in 2024 dollars). The effort laid the foundation for the emergence of stable, free and prosperous European nations with strong diplomatic and economic ties to the United States – a mutually beneficial strategy that has paid enormous dividends for over three quarters of a century.
It is widely considered to be the most successful foreign aid program of the 20th century.
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