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Development Aid
“Izandla ziyagezana” - “Hands Wash Each Other”
that has had little to do with foreign aid. Rather, it is due to economic growth in countries
in Asia which received little aid. The World Bank has calculated that between 1981 and
2010, the number of poor people in the world fell by about 700 million - and that in China
over the same period, the number of poor people fell by 627 million.
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The people in poor countries have the same aspirations as those in rich countries- to have
the same chances and opportunities, good health care, clean running water in their
homes and high-quality schools for their children. The problem is that their aspirations
are blocked today - as the aspirations of black people were in apartheid South Africa - by
extractive institutions. The poor don't pull themselves out of poverty, because the basic
ability to do so is denied them.
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The key to understanding and solving the problem of world poverty is to recognise not
just that poverty is created and sustained by extractive institutions - but to appreciate why
the situation arises in the first place. “
"Why Foreign Aid Fails - and How to Really Help Africa" 450
The Spectator (January 2014)
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Criticisms of Aid
Earlier sections of this narrative have contained references to concerns about aid such as
Does Aid prolong conflict?
Does Aid encourage corruption?
These can be reasonably regarded as genuine concerns that all aid donors should be aware
of...
There are other concerns that might reasonably be regarded as intrinsic to the very concept
of aid giving. Concerns such as the 'efficiency' of the way aid is given and used. Concerns
such as the 'boss centred' relationship imposed by aid donor nations and their institutions
who academics have repeatedly shown to have pursued flawed policies and who clearly
have been 'learning on the job'.
Many will regard criticisms of Bretton Woods Institutions as being well founded. And
these criticisms should not be ignored. These organisations have been given a unique
combination of 'mind-boggling' budgets together with a seemingly unchallengeable power
and influence. The magnitude of their potential to do harm is such that its not unreasonable
to question their future role. They have succeeded in becoming a channel for multilateral