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All content © 2002-2005 Anne Zook

June 13, 2005
Aid to Africa

Aid to Africa recycled back to donor countries.

It estimates that just eleven per cent of French aid is genuine and of every $1 spent, 86 cents is phantom because it is largely tied to the purchase of American goods and services. Overall, the report said, of the G7 countries, aid only amounts to a minuscule 0.1 per cent overall and would need a tenfold increase to hit the UN target.

The report has been heav- ily criticised but the World Bank gave weight to its findings when it said that western consultants are creaming off a staggering $20 billion from global aid budgets.

I don't actually understand this kind of high-finance stuff (although I do understand the concept of skimming). For instance, I don't understand this:

The ministers said that the World Bank and African Development Bank would be compensated 'dollar for dollar' for the debt cancellation, while the cost of debt relief for the International Monetary Fund "should be met by the use of existing IMF resources" or, by "extra resources" where necessary.

What the heck does "extra resources" mean, I wonder? I wonder if this is an oblique reference to Nigeria's oil resources, mentioned later in the article?

I have saved (but not yet had time to read) the .pdf file which may educate me a bit.

I also find it instructive to read the opinions of those who (ahem) are not, our biggest fans. (We seem to be rather unpopular in places around the world for our arrogance, pushiness, and hypocrisy.

Posted by AnneZook at 08:22 AM