Michelle Odnert
March 23, 2018
WLH Period 1
Bennett
Stop Donating to Africa?
Should you stop donating to Africa? Not necessarily, but what you probably thought was a worthwhile cause might actually be hindering the development of the world’s poorest continent. Many developing African countries have been receiving aid for over half a century, and are yet to become a ‘developed’ country. This issue is called “development dependency” (Mkeon). So how effective is aid, really?
47 percent of people in Sub-Saharan Africa, 501 million, are classified as “impoverished”, a shockingly large number of lives that are not sufficiently influenced by international support (“Africa”). This issue is not restricted to one country, as Nigeria, Zimbabwe, Liberia, and Angola are all examples of places where complications are created by foreign aid (Acemaglu).
Countries have been destitute for as long as they have been receiving aid. For example, a quarter of countries in Africa are poorer now than when they first started receiving aid in the mid to late 1900’s. Additionally, on the UN’s 2017 list of under-developed countries, 21 African countries were on the same list in 1971 (Acemaglu). Foreign aid inhibits the economy from growing and prevents countries from creating long-term, definitive solutions.
Receiving foreign aid directly harms the economy in multiple ways. When African teenagers were surveyed on international assistance, the common opinion was “America doesn’t give enough” (Mkeon). This exemplifies the issue where aid causes people to become complacent, and unmotivated to improve their lives. This results in a struggling economy where people do not feel it necessary to work because the aid is just enough to sustain their lifestyle. Additionally, the countries suffer from the aid not targeting the right issues. Projects such as building houses, address short-term necessities, but over time become “a hindrance to the effective use of aid to foster sustainable economic development” (Acemaglu). The founder of Believe in Africa, Angela Kwemo, believes that “governments need to create policies.. that favor business growth [and] job creations”, rather than focusing on material issues (Kwemo).
Countries are purposefully not giving long-term solutions to Africa in order to bolster their own economies. Donor countries actually become the beneficiaries of sending assistance, given that they get access to African resources in the process. Therefore there is an issue where the given aid is intentionally indefinite so benefactors can continue to profit from Africa. As Tibor Nagy, former US ambassador to Ethiopia describes, there is “no international development agency that makes it a... priority to put itself out of business” (McKeon). Although the ultimate goal should be that African countries no longer require aid, this is not in the best interest of corporations who depend on the aid themselves to earn money. Similarly, when aid is given directly from another country, reports show that nearly six times as much money is coming out of Africa back to that country that is being given, “leaving millions of Africans destitute and poor” (Musewe). Countries are unable to refuse the aid because their budgets are contingent on it, but are unable to evolve because the aid deliberately does not offer long-term solutions (Mkeon).
Aid complications in Africa are not unnoticed by people outside of the continent. Solutions have been suggested, and in some cases implemented. Companies such as GE have invested over 2 billion dollars spread out across Africa, promoting “trade not aid” (Egan). Additionally, organizations such as Millennium Challenge Corporation and the Africa Development Foundation “have shown lasting results in programs that stimulate local economies and reduce aid dependency” (Kwemo). The organizations have done this through focusing on smaller populaces and developing education in rural areas. These examples illustrate the way that donations are not all futile, and can be worthwhile ways to help Africa grow.
47 percent of people in Sub-Saharan Africa, 501 million, are classified as “impoverished”, a shockingly large number of lives that are not sufficiently influenced by international support (“Africa”). This issue is not restricted to one country, as Nigeria, Zimbabwe, Liberia, and Angola are all examples of places where complications are created by foreign aid (Acemaglu).
Countries have been destitute for as long as they have been receiving aid. For example, a quarter of countries in Africa are poorer now than when they first started receiving aid in the mid to late 1900’s. Additionally, on the UN’s 2017 list of under-developed countries, 21 African countries were on the same list in 1971 (Acemaglu). Foreign aid inhibits the economy from growing and prevents countries from creating long-term, definitive solutions.
Receiving foreign aid directly harms the economy in multiple ways. When African teenagers were surveyed on international assistance, the common opinion was “America doesn’t give enough” (Mkeon). This exemplifies the issue where aid causes people to become complacent, and unmotivated to improve their lives. This results in a struggling economy where people do not feel it necessary to work because the aid is just enough to sustain their lifestyle. Additionally, the countries suffer from the aid not targeting the right issues. Projects such as building houses, address short-term necessities, but over time become “a hindrance to the effective use of aid to foster sustainable economic development” (Acemaglu). The founder of Believe in Africa, Angela Kwemo, believes that “governments need to create policies.. that favor business growth [and] job creations”, rather than focusing on material issues (Kwemo).
Countries are purposefully not giving long-term solutions to Africa in order to bolster their own economies. Donor countries actually become the beneficiaries of sending assistance, given that they get access to African resources in the process. Therefore there is an issue where the given aid is intentionally indefinite so benefactors can continue to profit from Africa. As Tibor Nagy, former US ambassador to Ethiopia describes, there is “no international development agency that makes it a... priority to put itself out of business” (McKeon). Although the ultimate goal should be that African countries no longer require aid, this is not in the best interest of corporations who depend on the aid themselves to earn money. Similarly, when aid is given directly from another country, reports show that nearly six times as much money is coming out of Africa back to that country that is being given, “leaving millions of Africans destitute and poor” (Musewe). Countries are unable to refuse the aid because their budgets are contingent on it, but are unable to evolve because the aid deliberately does not offer long-term solutions (Mkeon).
Aid complications in Africa are not unnoticed by people outside of the continent. Solutions have been suggested, and in some cases implemented. Companies such as GE have invested over 2 billion dollars spread out across Africa, promoting “trade not aid” (Egan). Additionally, organizations such as Millennium Challenge Corporation and the Africa Development Foundation “have shown lasting results in programs that stimulate local economies and reduce aid dependency” (Kwemo). The organizations have done this through focusing on smaller populaces and developing education in rural areas. These examples illustrate the way that donations are not all futile, and can be worthwhile ways to help Africa grow.
Acemaglu, Daron, and James A Robinson. “Why Foreign Aid Fails – and How to Really Help Africa.” The Spectator, 22 Apr. 2017, 1:23, www.telegraph.co.uk/politics/2018/02/20/foreign-aid-risks-making-third-world-countries-dependent-handouts/
“Africa Hunger Facts, Africa Poverty Facts.” World Hunger News
Egan, Mark. “Supporting Trade, Not Aid, In Africa.” GE Reports, 21 Sept. 2016,
Kwemo, Angelle B. “Making Africa Great Again: Reducing Aid Dependency.” Brookings, Brookings, 27 Apr. 2017,www.brookings.edu/blog/africa-in-focus/2017/04/20/making-africa-great-again-reducing-aid-dependent.
Musewe, Vince. “The Curse of Foreign Aid.” The Zimbabwe Independent, 2 Nov. 2017, www.theindependent.co.zw/2017/11/03/curse-foreign-aid/.
McKeon, John. “Nagy: Why U.S. Foreign Aid Hasn't Helped Africa.” Houston Chronicle, 8 Mar. 2018, www.houstonchronicle.com/opinion/outlook/article/Nagy-Why-U-S-foreign-aid-hasn-t-helped-Africa-12739813.php.
My favorite aspect of this article was the introduction, because I had never thought of this as an issue. This article gave me a new insight on donating to Africa, and helped me to see the bigger picture. One follow up question I have is how are companies such as GE promoting "trade not aid"?
ReplyDeleteMy favorite piece of the article was the topic you chose to discuss because this is a topic that we rarely see because it's usually only seen as a good thing. My main takeaway is that providing foreign aid to Africa can have its benefits and drawbacks. My follow up question is are more organizations taking steps like GE to fix this problem?
ReplyDeleteI like how you draw specific details from sources in order to support your points. I also like how you were able to put your essential question into your introductory paragraph. My main take-away was how interesting it was that we think so little about the impact of western powers on African society in terms of dependence.
ReplyDeleteMy follow up question is how are organizations trying to prevent this issue in the future?
This is an interesting take on the topic because when you think of donating, you usually think you're helping the cause instead of making it worse. My main take-away was how something that is usually perceived as beneficial has the ability to harm the cause in the long run. My follow up question is if countries stop donating to countries in Africa, how will Africa begin to develop its government and other systems?
ReplyDelete