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US’ Foreign Aid to the Poorest Countries

Many People in developing countries have managed to overcome extreme poverty since the 1990s. Economic conditions in these countries have significantly improved therefore reducing infant death rates and making the income levels to double overtime. Democracy in these countries has been dramatically embraced, many girls have also enrolled in schools, and some common diseases are now getting cured (Briggs, 67). However, due to various reasons, many of these developing countries have stopped depending on united states of America for foreign aid, and they are now getting more engaged with China. However, there has been a slowdown in global growth, rising tension and climate change which acts as a significant threat to further development in this countries. Based on this reason, we can see that the United States is missing out on creating a more democratic world as well as strengthening its global leadership (Radelet, 57).

According to world bank statistics in 1993 we had two billion people who were languishing in extreme poverty but come in 2012 the number had gone down two less than two billion people. China is part of these countries that have recovered from extreme poverty. The decline in poverty which has been experienced across the globe has promoted economic growth. Between 1997 and 1994 the average GDP of developing countries was about zero but now it is way above that. This development has also been experienced in health and children issues. Because of these drastic growth people have embraced democracy through voting. Elections have also become more transparent and fair. Decades ago no one would have imagined that Nigeria would ever have a fair election apart from the military rule they used to have. But come 2015 history was made when the first free and fair elections were held. In the same year, Burma held it fast free and fair elections.

Human rights are now being more honored in these countries than there before. Since most of the developing nations have become democratic, and civil war has also significantly reduced (Radelet, 57). Back in the 1990s and 1980, the world was full of civil wars and violence. However, in the last decade, civil wars have reduced with about a half. Some of the reasons why development has been possible are the fact that cold war came to an end, therefore, bringing to an end some world dictators and conflicts across the globe. It made various states to start having different perspectives on economic growth and development. Some of the developing countries were fast to adopt democracy and open market system. Secondly is that globalization has come up with new opportunities for economic growth.

Due to globalization, there has been more investment, trade, and information, therefore, promoting economies. Thirdly is that new leaders have emerged with great ideas both in politics and religion. However in some countries development has not been possible because of the dictators who are still in power up to date (Briggs, 88).this can be well demonstrated by a country like Zimbabwe. In these countries, we still have a good number of people languishing in poverty. Children are always dying from diseases which can even be prevented, girls are still embracing early marriages at a young age, and we still have some dictators in place.

The United States of America need to consider economic development is taking place in these countries and encourage it. Development has a way of enhancing global security. This is not to say that terrorists have poor backgrounds but weak states cannot adequately handle the issue of terrorism. However when there is sustained development economies can stand on their own without outside intervention. When developing countries become rich, they can fight terrorism and ensure security.When poor economies grow, wealthier United States of America can significantly benefit. As this economies develop products from America will have new markets. In fact, developing countries purchase more of industries and machinery equipment. In conclusion, it is true that development help to deepen and spread value that is dear to Americans these values include democracy, freedom, economic opportunities, and openness. On the other hand, these values promote economic prosperity.

As income rises, citizens demand more freedom. The development progress is more impressive because it has stood all the test of time despite the various economic shocks. Some of the major shocks that have stood as a threat to the economic growth include Asian financial crisis, the global food crisis, and HIV and Aids pandemics. The government has also learned a lot in managing these downturns. Globalization has provided essential technologies to these economies. However for there to be sustained development in this countries they must stop depending on natural resources. They should invest more in women education and make sure that they have strengthened democracy.

Like I said earlier, One thing that is quite clear is that united states have failed to lead developing countries. Therefore, these countries are turning to other countries like China for assistance (Gurumurthy, 98). Although the United States is open to trade, it has no proper policies when it comes to trading with developing countries. Products from emerging states are charged with high tariffs. It also restricts importation of some agricultural n products. Although America has programmes like African growth and opportunity act they are not enough in promoting economic development in emerging countries. The United States should try and have duty free and quota-free to the developing nations. On the other hand, it should bring to un end multilateral trade talks and open up new negations for developing countries. Lastly is that the United States should extend their foreign aid to this developing economies. This will help to support people who are still caught up in poverty it will also help to lengthen the lifespan, rebuild countries which have been more affected by violence, alleviate humanitarian crisis and more importantly it will increase agricultural products.

However, studies have shown that foreign aid favors more of the rich people that the poor. These studies have shown that the foreign aid is not being used to perform the purposes that it is meant to achieve. The primary purpose of foreign aid to these developing countries is to alleviate poverty, and it is also part of the millennium development goals. Come 2013 the World Bank came up with strategies for ending extreme poverty. We have also had other banks like the ADB who have significantly invested in bringing poverty to an end in developing countries. However, there are still questions regarding the distribution strategy of this foreign aid in developing countries (Briggs, 165). The external funding should be allocated to places experiencing poverty to meet the goal of donors. Like I have said earlier one of the most significant aims of multilateral donors (WB, ADB) is to direct the places where these funding will be allocated. However, the way people vote in these countries determines where the foreign aid will be assigned.

The global budget for humanitarian aid is about 22 billion. In Europe and United States the overall funding received from these countries is not likely to rise in the next decade. Donors of foreign aid need to not only double their funding but also to come up with policies that will ensure that productivity that is gained from this foreign aid is also increased. To achieve these lot of changes in practices used in managing this foreign aid will be witnessed. Foreign aid can be categorized in various ways. The money that used to help those people who are suffering in war tone areas and because of natural disasters is called humanitarian relief. Moreover, the funds used to support economic growth and to improve quality of life is called development assistance (Gurumurthy, 177). There is also a difference between foreign aid for middle-income countries and low-income countries. Sometimes this aid is not enough to meet the needs of individuals.

Most of this foreign aid is spent in fragile states (Gurumurthy, 45). Majority of the poor people are in middle-income countries, and a third of them are in India. However, in most of the middle-income countries, foreign aid is not enough to alienate poverty so foreign investment, economic growth, remittances and domestic investment should be embraced. However, in low-income countries, foreign aid is an essential tool in wiping way poverty. If united states of America expand foreign direct investment and gets rid of agricultural trade subsidies and tariffs for developing countries it will be easier to eradicate poverty in this countries than by use of development assistance (Briggs, 154).

The United States when offering foreign aid to the poorest countries it should adopt one principle, and this is to fund those programmes which can be verified. By doing this United States of America will ensure that these financial aids comply with the financial and legal rules. They should also ensure that the programmes they are funding have been supported by a lot of data. It is very much costly to look for data, but it is necessary to ensure that foreign aid plays its part in alienating poverty and bringing about innovations (Radelet, 188). Donors need to ensure that their money reaches the designated people. It might not apply to all programmes especially, but it is necessary to ensure that donations are correctly used. It will also ensure that the global millennium goals all met.

Works Cited

Briggs, Ryan C. “Does Foreign Aid Target the Poorest?” The IO f (2016).

Gurumurthy, David Miliband, and Ravi. “Improving hUMANITARIAN AID.” FOREIGHN AFFAIRS (2015): Pg1-13. Document.

Radelet, Steven. “The Success of Global Development—and how to keep it going.” Prosperity Rising (2015): pg1-pg 12. Document.



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