Is Foreign Development Aid the cause of Africa´s underdevelopment ???????

Its absurd Africa is so large with many natural mineral resources but lagging behinds in terms of development whether social,political or economical. Why is it so ? That question is quite disturbing as many economic analysts  have different arguments. First and foremost, a great distinction between Relief (humanitarian aid ) and development aid.Though relief aid is being supported by all ,economic aid has drawn mixed arguments among people with some criticising and others supporting it

Miss Dambisa Moyo, a former World Bank employee in her book ” Dead Aid ” strongly believes the foreign aid given by developed world to Africa is the cause of economic underdevelopment in the continent. She suggest Africa has recieved trillions of dollars in development aid but still underdeveloped.She criticises a  government to government aid and suggests african countries should rather engage in capital markets like bonds with the international banks etc.

“Aid has trapped developing nations in a vicious circle of aid dependency, corruption, market distortion, and further poverty, leaving them with nothing but the need for more aid.” Dambisa Moyo

Her arguments have recieved mixed feelings from many people with support from President Kagame ( Rwanda ), Abdoulaye Wade ( senegal ).Gabon and Ghana are so far some of the african nations that overwhelmingly changed development aid policies by embarking more now on capital markets. On ther other hand , Mr Bono ( David Hewison ) have strongly criticised her arguments saying the G20 need to rather increase their development support to Africa,he suggests more philanthropy to Africa.

Dambisa Moyo´s views on Aid

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