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President Obama is expected to sign a Bill that would allow payments to Taliban fighters if they renounce violence.
The move would allow the US military in Afghanistan to buy off insurgents instead of engaging in armed conflict and is intended to increase security before the second round of the Afghan presidential election.
Similar payments have been used by US commanders in Iraq, but it is the first time they are being formally adopted in Afghanistan. President Obama has to decide whether to send thousands of extra troops to the country after stating that he will not risk their lives "unless it is absolutely necessary".
A total of £691million has been authorised for the Commander's Emergency Response Programme, which was set up to give the US military the means to clear roads, dig wells and provide other humanitarian assistance in Iraq and Afghanistan. In Iraq, the money can also be given to insurgents if they switch sides.
A clause in the annual defence appropriations Bill says the money can be used to support the "re-integration into Afghan society" of those who have renounced violence against the Afghan government.
