'International Aid Brings Both Benefits and Problems for a Country Trying to Develop Its Economy' with the Aid of Named Examples Evaluate This View. (30 Marks)

1077 Words5 Pages
'International aid brings both benefits and problems for a country trying to develop its economy' with the aid of named examples evaluate this view. (30 marks) International aid can bring many problems to a country in need of development, this is usually through the ill-use, ill-deployment and abuse of International aid by both the donor countries and the recipient countries. However, effective aid brings more benefits to developing countries than problems is the aid is properly allocated to the area most in need and the aid is not ties so that it benefits the donor. International aid can bring problems to a developing country as it can be an obstacle to development and can provide other problems put forward by the political right. Aid can become an obstacle to development because of the tied nature of much aid, which benefits the donor country more than the recipient, in economic terms. Tied aid is bilateral aid in which the donor country specifies conditions relating to the way the money is spent. This often involved spending money on goods and services from the donor country. Aid is also an obstacle to development because of the frequently inappropriate use of aid on large capital intensive projects which may actually worsen the conditions of the poorest people. The strengthening of political ties as a result of bilateral aid may increase dependency and hinder democracy in the recipient country. Aid may also delay the introduction of reforms, for example food aid for land reform. An example of aid becoming an obstacle for development is the Pergau dam in Kuala Yong, Kelantan, Malaysia. 100km west of Kota Bharu. The dam was built using british taxpayer money to secure an arms deal between the UK and Malaysia. The Malaysian government wanted the dam as a prestige symbol and as Malaysia were an economically developing country the UK government wanted to

More about 'International Aid Brings Both Benefits and Problems for a Country Trying to Develop Its Economy' with the Aid of Named Examples Evaluate This View. (30 Marks)

Open Document