Israel has been the largest recipient of U.S. foreign assistance. Over the past 10 years. Israel has annually received about $3 billion in economic and military grants. refugee settlement assistance. and other aid. from the United States. Recently. we have seen a movement to gradually reduce that level of aid. beginning with the declaration by Prime Minister Netanyahu that Israel should reduce its dependence on the United States when he addressed a joint session of Congress two years ago. Negotiations have since been conducted with the goal of reducing the overall level of American assistance and to gradually phase out economic aid while increasing military aid.