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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:The effectiveness of aid intentions
Author:Bol, DirkISNI
Periodical:Tanzanian Economic Trends (ISSN 0856-3373)
Notes:biblio. refs.
Geographic terms:Tanzania
East Africa
Subjects:development cooperation
Economics, Commerce
Foreign aid
Economic reform
Development aid
Abstract:On the basis of a number of recent evaluation studies of Dutch and Nordic (Swedish, Finnish, Norwegian) aid to Tanzania, the author reviews the effectiveness of aid and addresses some global issues relevant to the aid relationship. Projects, sectoral aid and import support are distinguished, as well as the macroeconomic implications and policy influences of the aid process, and the unintended effects of foreign aid. An important lesson, recognized by all donors, is that the quality of the policy environment is quite determinant when it comes to aid effectiveness. Most of the studies explicitly admit that the effectiveness of aid to Tanzania has been quite disappointing in the past. However, the studies do not address the fact that there are forces on both sides that do not care about the effectiveness of aid. In addition, donor-driven ideologies and intentions, such as free trade, gender equality, good governance and democracy, persist, to the detriment of proper identification by Tanzanians of their own needs and cool analysis of possible outcomes. Future options for foreign aid to Tanzania should focus on increasing labour productivity, agriculture, industry and training. The plea in the various reports for more debt relief by bilateral donors also makes a lot of sense, as do the suggestions on how to improve aid conditionality. Bibliogr.