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Donor Motivation of Inter-Temporal Foreign Assistance to Nepal

Author

Listed:
  • Arvin, B. Mak
  • Kayani, Zafar

Abstract

This paper asks what motivates Western donors to provide foreign aid to Nepal. Results reveal existence of both donor interest and recipient need considerations in the disbursement of aid to this country over the period 1981 to 2005. Donors’ desire for promotion of commercial opportunities, their general economic affluence, as well as Nepal’s per capita GDP are all significant determinants of aid. On the other hand, neither Nepal’s economic growth nor its people’s political freedoms and civil liberties bear a significant relationship to the level of assistance it receives.

Suggested Citation

  • Arvin, B. Mak & Kayani, Zafar, 2009. "Donor Motivation of Inter-Temporal Foreign Assistance to Nepal," Review of Applied Economics, Lincoln University, Department of Financial and Business Systems, vol. 5(01-2), pages 1-10, March.
    • Handle: RePEc:ags:reapec:143209
    DOI: 10.22004/ag.econ.143209
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    References listed on IDEAS

    as
    1. Maizels, Alfred & Nissanke, Machiko K., 1984. "Motivations for aid to developing countries," World Development, Elsevier, vol. 12(9), pages 879-900, September.
    2. B. Mak Arvin & Francisco Barillas, 2002. "Foreign aid, poverty reduction, and democracy," Applied Economics, Taylor & Francis Journals, vol. 34(17), pages 2151-2156.
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    5. Barro, Robert J, 1996. "Democracy and Growth," Journal of Economic Growth, Springer, vol. 1(1), pages 1-27, March.
    6. Simon Feeny & Mark Mcgillivray, 2004. "Modelling inter-temporal aid allocation: a new application with an emphasis on Papua New Guinea," Oxford Development Studies, Taylor & Francis Journals, vol. 32(1), pages 101-118.
    7. Rukmani Gounder, 1999. "Modelling of aid motivation using time series data: The case of Papua New Guinea," Oxford Development Studies, Taylor & Francis Journals, vol. 27(2), pages 233-250.
    8. Bhattarai, Badri Prasad, 2007. "Foreign Aid and Government's Fiscal Behaviour in Nepal: An Empirical Analysis," Economic Analysis and Policy, Elsevier, vol. 37(1), pages 41-60, March.
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