[afro-nets] Rich countries not contributing 0.7% to ODA (5)

[Claudio Schuftan <claudio@hcmc.netnam.vn>]

Rich countries not contributing 0.7% to ODA (5)
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Message from: sunil.deepak@aifo.it

Information about the development aid of developed countries
should be available from the webpage of OECD countries:
http://www.oecd.org/

On this page, if you look for information according to depart-
ments and then look under DAC, you will find such information.

The question of foreign aid is very complex and looking at per-
centages of GNI given as aid, gives only part of the answers,
though it is also important. Equally important should be, how
this aid is given, what conditions are made about it use, if it
is tied with obligation to buy certain equipment and materials
from donor countries, if part of it (some times big part) goes
to pay salaries of consultants of donor countries, etc.

According to the OECD/DAC report 2001, 5 countries gave more
than 0.7% of GNI as aid - Denmark, Norway, Netherlands, Luxem-
burg and Sweden. Remaining countries and the % of GNI they gave
as aid are: Belgium (0.37%), Switzerland (0.34%), Ireland
(0.33%), Finland, France and UK (0.32%), Spain (0.30%), Austria
(0,29%), Germany (0.27%), New Zealand, Australia & Portugal
(0.25%), Japan (0.23%), Canada (0.22%), Greece (0.17%), Italy
(0.15%) and USA (0.11%).

At the Monterray conference, all these countries made commit-
ments for increasing the aid. For example, the French said that
they will increase ODA (overseas development aid) to 0.5% of GNI
by 2007 and to 0.7% by 2012. Obviously it is easier to make com-
mitments than to keep them. Big meetings usually carry lot of
rhetoric.

It also depends on how they calculate it. For example, the Ital-
ian NGOs were protesting that from the limited amount of funds
kept for aid through NGOs, no funds were actually given to NGOs
in 2003, as most of the funds were used for 'peace-keeping mis-
sions'. Thus the military presence in other countries like Bos-
nia or Iraq, can also be calculated as ODA. With World Bank, IMF
and central European Bank asking developed countries for reduc-
ing state deficits, one of the first non-productive expenses to
be reduced is ODA of developed countries.

It is a big subject!

Sunil Deepak
mailto:sunil.deepak@aifo.it