by W D Adkins

Created on: April 23, 2008

Few people fail to recognize that the widespread poverty and lack of economic development in Africa cries out for action. Ever since World War 2, developed nations have provided billions of dollars each year in foreign aid attempting to remedy Africa's problems. By and large, those efforts have been fruitless. The most common explanation offered is a superficial appeal to the "popular wisdom" that giving people handouts does not really help; it teaches them to expect and become dependent on charity. This reasoning does not square with the facts, either historically or with respect to the situation in Africa.

Aid programs, both public and privately funded, have worked in many nations struggling to overcome lack of development or to recover from wars and disasters. What we needed is not simplistic dismissals of foreign aid, but rather informed analysis of the foreign aid efforts in Africa and elsewhere, in order to understand why these efforts have or have not worked, and to make informed changes in policy and practice so African nations can derive real benefits.

BACKROUND: HISTORY AND NATURE OF FOREIGN AID

Recent history is replete with examples of successful foreign aid. Following the Second World War, the United States sent billions of dollars of aid to Japan, and to Europe under the Marshal Plan. This was instrumental in the swift, even spectacular, recoveries these nations achieved. A growing number of Third World nations have clearly benefited from foreign aid. South Korea and other Pacific Rim nations are becoming industrial and economic powerhouses in their own right. Countries like Costa Rica, while still having far to go; but they have broken the cycle of economic and political instability and grinding poverty.

During the 1960s and until 1980s, Africa appeared to have success stories in the making. Countries like Kenya and Zimbabwe seemed to be making real progress. This was encouraging, particularly since African societies faced some unique problems. As the colonial powers withdrew, they took with them their well-organized governmental structures, along with most of the skilled officials. In many nations, this resulted in political, and then economic, chaos as inexperienced or corrupt leaders took power.

Today, Africa continues to be mired in poverty; half of the people struggle to survive on less than a dollar per day. Health care and education in many countries is minimal. Population increases continue to outstrip economic growth, lading to falling per

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