The trouble with aid

BIG

Effectiveness

Quantity

Targeting

Rent-seeking

Bad attitude

Country Proportion of GVI in ODAGreece 0.11Korea 0.12Japan 0.18Italy 0.19USA 0.20Austria 0.27New Zealand 0.28Portugal 0.29Spain 0.29Canada 0.31Australia 0.35Germany 0.40France 0.46Switzerland 0.46Ireland 0.52Finland 0.52Belgium 0.53UK________________________ 0.56Netherlands 0.75Denmark 0.86Luxembourg 0.99Norway 1.00Sweden 1.02

Quantity

Source: OECD http://www.oecd.org/dac/aidstatistics/50060310.pdf

Effectiveness (I)

0.0025%£30 million

Source: Organization of Economic Cooperation and Development 2006 aid monitoring report

Effectiveness (II)

FOR

Targeting (I)

Country Corruption IndexRwanda 50Ghana 64[Italy*] [72]Malawi 88Zambia 88India 94Tanzania 102Ethiopia 113Mozambique 123Sierra Leone 123Vietnam 123Uganda 130Nepal 139Pakistan 139

*For illustrative purposes

Source: Transparency International

• 71% of UK citizens think corruption is a major problem in the UK

• 64% of people think corruption is part of the UK's business culture

• 33% of people think that bribery or abuse of power is widespread among the police

Source: The European Commission Special Eurobarometer 374: Corruption, (2012)

$62 billion

Targeting (II)

Corrupt?

DFID’S SPENDING ON CONSULTANTS TO COME UNDER

INCREASED SCRUTINY

Guardian, 17 September 2012

UK’S DFID ACCUSED OF DOUBLE

STANDARDS OVER REFUSAL TO LIFT

LID ON CONTRACTORS

Guardian, 18 December 2012

AID AGENCIES TO

BE PAID BY RESULTS

TO ‘REDUCE COSTS

AND WASTE’Guardian, 18 January

2013

WHY IS SO MUCH UK AID

MONEY STILL GOING TO

COMPANIES BASED IN BRITAIN?

Guardian, 21 September 2012

THE FAT CATS OF FOREIGN AID:

MINISTERS ‘TO TARGET CONSULTANTS

PAID £500M BY THE TAXPAYER’

Daily Mail 16 September 2012 WELCOME TO THE WORLD OF AID-FUNDED BUSINESSTelegraph, 23 September 2012

CRACKDOWN ON FOREIGN AID

CONSULTANTS

Telegraph, 18 January 2013

BARMY: WORLD POVERTY OFFICIALS HAVE TAX-FUNDED BOOZER Sun, 16 November 2012

Rent-seeking

Bad attitude

Slide 1 http://www.flickr.com/photos/fengschwing/3225923119/lightbox/ Slide 2 http://en.wikipedia.org/wiki/File:Kryptonite.JPG DC ComicsSlide 4 http://plato.stanford.edu/entries/causation-counterfactual/ Slide 5 http://upload.wikimedia.org/wikipedia/commons/9/96/China-outline.svg Slide 6 http://haitijustice.wordpress.com/2011/07/24/how-we-give-aid-matters/#more-280 Slide 7 http://ww1.prweb.com/prfiles/2012/11/07/10106179/USAID%20Logo.jpghttp://www.honestjohn.co.uk/media/3297865/ford-logo-big.jpg, http://www.metroplextbc.org/cache/sql/fba/fs_86.jpg, http://symbolphotos.blogspot.co.uk/2010/05/monsanto-logo-photos.html, http://jobsinghana.com/images/logos/64623_logoChemonics.jpg Slide 8 http://www.ethiopianreview.com/content/8988 Slide 11 http://www.vectorstock.com, http://www.uwlax.edu/faculty/dhart/index_files/caribbean%2520outline%2520map.gif and http://en.wikipedia.org/wiki/Sub-Saharan_Africa Slide 12 http://img.docstoccdn.com/thumb/orig/123710928.pngSlide 14 http://joyhog.com/wp-content/uploads/2008/05/superman-doomsday.jpg

Image credits