The Political Economy Of International Financial Institutions’ Lending To Pakistan
AbstractThis paper analyzes the determinants of multilateral aid from international financial institutions (IFIs) to Pakistan, focusing on the world three major IFIs, the World Bank, the IMF and the ADB. Political economic factors, notably bureaucratic interests and major shareholders economic interests, are suspected to be relevant in international aid allocation decisions. Pooled Tobit estimation analyses confirm this hypothesis. Although recipient need also proves to be a relevant determinant of lending, bureaucratic interest outranks the former. Among the main multilateral donors, the IDA and the ADB are shown to be more bureaucratic and stakeholders economic interest-oriented in their lending decisions than the IBRD and the IMF, which tend to adhere to official lending explanations.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 5601.
Date of creation: 10 Jan 2006
Date of revision: 01 Dec 2006
Publication status: Published in Pakistan Economic and Social Review 44.2(2006): pp. 155-180
Foreign aid; International organizations; Bureaucracy;
Other versions of this item:
- Anwar, Mumtaz, 2005. "The Political Economy of International Financial Institutions? Lending to Pakistan," HWWA Discussion Papers 338, Hamburg Institute of International Economics (HWWA).
- F35 - International Economics - - International Finance - - - Foreign Aid
- D70 - Microeconomics - - Analysis of Collective Decision-Making - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-11-10 (All new papers)
- NEP-CWA-2007-11-10 (Central & Western Asia)
- NEP-POL-2007-11-10 (Positive Political Economics)
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