Aid recipients should be well governed
1. The most important factors determining the advancement of developing countries include good governance, elimination of corruption, the rule of law, and sound economic and social policies. Development aid will only have long-term benefits if recipient countries pursue such policies; otherwise the aid will, at best, have a short-term effect.
2. Once there is good governance and the rule of law, the Government should assist these enlightened developing countries in their efforts to attract inward investment and to expand trade. Arguably, such political solidarity and support for developing countries can have a much more positive benefit in the longer term than development aid per se.
3. The advancement of developing counties lies primarily in the hands of their own leaders. Those who embrace good governance and the rule of law (eg, South Africa and Nigeria) have the potential to attract inward investment and to build up the indigenous entrepreneurship needed for wealth creation.
On the other hand, leaders of developing countries who reject this path will eventually destroy their countries, irrespective of the level of development aid received.
Sadly, it would appear that all that can be done for the people of failing states is the provision of humanitarian aid through agencies such as the UN’s World Food Programme.
4. An indiscriminate Third World debt relief policy would not be a panacea for the problems of developing countries. Arguably, such an indiscriminate approach would only encourage corrupt regimes to believe that it was ‘business as usual,’ with their expectation that future debts incurred would also be written off, regardless of how the monies were wasted.
Debt relief must be targeted to provide maximum support and assistance for those enlightened developing countries that are pursuing good governance, upholding the rule of law and respecting human rights.
Dr LF Lacey
South Strand
Skerries
Co Dublin
