If they can't afford it, girl, chances are, they are not worth it.
Generally it's the Bride's parents that pay for the Engagement Dinner, but with so many divorces if the Bride only has one parent they may not be able to afford to pay the full amount or any amount so it's just fine if the Groom's parents decide to pay and also acceptable if relatives or friends have the Engagement Dinner. The dinner doesn't have to be splashy and keep it small .... Bride and Groom to be, the wedding party; their parent(s), perhaps a grandmother/grandfather and some friends.
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