Role of foreign aid in africa
The IDA provides little to no interest on its grants and loans and allows for a grace period of up to 10 years. Additionally, it provides efficient responses to humanitarian emergencies.
One reason behind this decision is to rationalize aid in order to achieve better results.
It is also used by leaders who are short of time with policies and want to achieve them quickly, i. Charity in times of calamities and humanitarian crisis comes naturally.
It takes two to tango, and the parties involved—namely the African countries and the donor community—must find ways to significantly upgrade their partnership in terms of strengthening the reciprocity.
It promotes political ties. Another key component to promoting a strong economy is the expansion of a well-developed infrastructure.
Advantages and disadvantages of foreign aid to african countries development
National security: recipient countries can combat terrorism with the help of foreign aid as it decreases poverty, weak institutions and corruption and can help strengthen good governance, transparency and the economy. Basically, two factors contribute to this. The main goal of the IDA is to reduce inequalities, increase economic growth and improve the living conditions of those in poverty. The money that floods into Africa comes not only from individual government-to-government aid programs but also international development programs such as the World Bank and the IMF, which act as a channelling intermediate between the donor governments and receiving governments. Remember, in the s, when aid was significantly curtailed, conflicts were on the rise. If the existing aid architecture cannot be overhauled in the foreseeable future, what are the practical and realistic ways in which the effectiveness of aid to Africa can be improved? Development cannot be bestowed by others. Without enhancing the level of governance and capacity of African states, their sustainable development will not be properly achieved. Can economic growth in the region be steered back into the right direction? There are plenty of resources to tap into and enormous opportunities for African countries if earnest efforts are made to utilize them. High costs are incurred because from the standpoint of donors, the costs of bringing projects to Africa are high. We can compare aid with domestic projects that developed countries carry out in their own countries, like social welfare programmes or public facilities construction projects. This is because in a demanding environment like Sub-Saharan Africa, extra devotion and perseverance are required to get things done.
based on 39 review