Lecture 4: Management of Bilateral Aid Flashcards
Donors’ motivation for aid
- Humanitarian
- Economic
- Political
- Security
- Environmental
- More recent motives/goals
Humanitarian donor motives:
altruistic
international solidarity (Scandinavian countries, strong social-democratic tradition),
or moral obligation (colonialism)
Economic donor motives:
- direct support of donor’s export and services (= tied aid), e.g. USA’s food aid
- support of foreign markets and potential trading partners (Japan)
- securing raw materials (China)
Political donor motives:
- securing donor’s position and influence in the partner country (France in West Africa)
- securing donor’s influence in international institutions (Scandinavia)
- international prestige (new donor countries, Czech Rep.)
Security donor motives:
- national security (USA -> Iraq, Afghanistan)
- human security (protection against terrorism, mass migration, illnesses)
Environmental donor motives:
- increasing role since mid-1980s, bigger importance after the UN Conference on the Environment and Development in 1992 in Rio de Janeiro
- supporting implementation of environmental policies
- way to sustain and improve global environment
- good governance,
- democratization,
- promotion of human rights,
- poverty reduction,
- human development
selecting partner countries: Criteria
Needs of recipient:
- necessity of development assistance for the recipient
- GDP per capita, HDI, infant mortality, poverty rates etc., aid volumes from other donors
• Performance of recipient:
- “rewarding” good performance in development-related areas and considers preparedness of the recipient to aid
- good governance, levels of corruption, human rights etc.
• Needs and interests of donor:
- not stated in official documents, analyzed by econometric studies
- e.g. intensity of relations (including colonial past), volumes of mutual trade, location of embassies, “electoral alliances” in UN etc.
Domestic factors influence DA:
the way development cooperation of a donor is provided, what goals and purposes it serves, and what strategies it uses is shaped by various domestic forces
Carol Lancester:
- Ideas
- Interests
- Institutions
- Organization
Domestic factors influence DA: IDEAS
3 groups of ideas influencing aid:
- worldviews: widely shared values of wrong & right, influenced by the history of the society. e.g. freedom
- principled beliefs, norms: collective expectations about the proper behavior in certain situations e.g. that governments of rich countries should provide assistance to poorer countries
- • causal beliefs: what types of policies effectively lead to development. Affecting e.g. what role should the state play in fulfilling the obligations of the rich to help poor, the existence and role of civil society etc.
Domestic factors influence DA: INSTITUTIONS
influence of parliamentary x presidential systems:
- parliamentary: executive is drawn from the legislature→ legislatures support government policies
- presidential: two bodies are autonomous, tendency for members of Congress to criticize executive branch policies – especially controversial policies, such as foreign aid → can deepen skepticism among the public
legislatures can bring aid issues to public attention, debate them and build national consensus on aid
left x right wing parties:
- left often support aid with development purposes
- right support smaller volumes of aid and promote security and commercial interests
Domestic factors influence DA: INTERESTS
3 main categories of interests groups:
- businesses - for commercial purposes: to expand their export markets, secure raw materials etc.
- organizations - aid for relief and development: lobbying for development as such, or for specific development activities – often activities they implement. NGOs, public advocacy groups, think tanks etc.
- OR groups with affinity for particular foreign countries, ethnicities,religions - aid to those countries or groups, e.g. diaspora groups, churches etc.
influence of public opinion on aid:
o public opinion usually passive and permissive
o can influence the general terms of debate on foreign aid
o can be manipulated by politicians and activists: education activities
o plays bigger role in shaping foreign aid only when is aroused: i.e. humanitarian crises or scandal abt. use of aid money
Domestic factors influence DA: ORGANIZATION
- the way government organizes itself to manage its development cooperation
- government agencies are important political actors
- the influence of the agency depends on the position within the government structure (e.g. agency at the ministry level or lower level)
- level of fragmentation of responsibilities for development cooperation among various agencies
Legal and political foundations - donors derive legitimacy to provide development assistance from:
- sound legislation and policies
- political support for implementation of policies
- public support for development aid
Legal and political foundations: Legislation and policies:
o clear statement of the purpose of development assistance in form of a law
o defines responsibilities of government entities involved in development assistance, priorities and main objectives of aid
o protects aid from changing political and other interests
o not all traditional donors passed laws on development assistance
o policies or programs of action specify development objectives, thematic and sector priorities, funding targets etc.
o various forms: white papers, ministerial statements, multi-year programs, plans or strategies
Organizational structures: Model 1
Integrated within the MFA
Organizational structures: Model 2
Development cooperation Department/
Agency within MFA
Organizational structures: Model 3
Policy Ministry with separate implementing agency
Project Cycle Management
main principles:
- key procedures, documents and responsibilities are defined at each stage
- the phases are progressive – each phase should be completed for the next to be initiated
- results of monitoring and evaluation →new programming and project identification
Programming → Identification → Formulation → Implementation → evaluation & audit → programming
