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Foreign aid allocation, governance, and economic growth:


  • Akramov, Kamiljon T.


Foreign aid to developing countries is a subject of heated debate among politicians, economists, and development specialists. Does aid promote economic growth and reduce poverty? Some argue that foreign aid has no effect on growth and may sometimes even undermine growth in aid recipient countries. Others suggest that foreign aid positively influences economic growth. Still others suggest that foreign aid has a positive impact on growth but this impact is conditional on a good institutional and policy environment. This debate has high stakes, given that foreign aid in the form of official development assistance (ODA) by leading donor nations reached over US$120 billion in 2010, the highest level ever recorded.

Suggested Citation

  • Akramov, Kamiljon T., 2012. "Foreign aid allocation, governance, and economic growth:," Issue briefs 72, International Food Policy Research Institute (IFPRI).
  • Handle: RePEc:fpr:issbrf:72

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    Cited by:

    1. Justin Yifu LIN & Yan WANG, 2015. "China’s Contribution to Development Cooperation: Ideas, Opportunities and Finances," Working Papers P119, FERDI.
    2. Guillaumont, Patrick & Guillaumont Jeanneney, Sylviane & Wagner, Laurent, 2017. "How to Take into Account Vulnerability in Aid Allocation Criteria and Lack of Human Capital as Well: Improving the Performance Based Allocation," World Development, Elsevier, vol. 90(C), pages 27-40.
    3. Lin, Justin Yifu & Wang, Yan, 2014. "China-Africa co-operation in structural transformation: Ideas, opportunities, and finances," WIDER Working Paper Series 046, World Institute for Development Economic Research (UNU-WIDER).
    4. Guo, Zhe & Kato, Edward & Koo, Jawoo & Nkonya, Ephraim, 2013. "Trends and Patterns of Land Use Change and International Aid in Sub-Saharan Africa," WIDER Working Paper Series 110, World Institute for Development Economic Research (UNU-WIDER).
    5. Justin Yifu Lin & Yan Wang, 2014. "China-Africa Co-operation in Structural Transformation: Ideas, Opportunities, and Finances," WIDER Working Paper Series wp-2014-046, World Institute for Development Economic Research (UNU-WIDER).
    6. Ephraim Nkonya & Jawoo Koo & Edward Kato & Zhe Guo, 2013. "Trends and Patterns of Land Use Change and International Aid in Sub-Saharan Africa," WIDER Working Paper Series wp-2013-110, World Institute for Development Economic Research (UNU-WIDER).
    7. Kafayat Amusa & Nara Monkam & Nicola Viegi, 2016. "The Political and Economic Dynamics of Foreign Aid: A Case Study of United States and Chinese Aid to Sub-Sahara Africa," Working Papers 201628, University of Pretoria, Department of Economics.
    8. Benin, Samuel, 2014. "Aid effectiveness: How is the L’Aquila food security initiative doing?:," IFPRI discussion papers 1329, International Food Policy Research Institute (IFPRI).
    9. Sharon Alvarez & Jay Barney & Arielle Newman, 2015. "The poverty problem and the industrialization solution," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 23-37, March.
    10. Winters, Matthew S. & Martinez, Gina, 2015. "The Role of Governance in Determining Foreign Aid Flow Composition," World Development, Elsevier, vol. 66(C), pages 516-531.
    11. Lee, Kye Woo & Hong, Minji, 2018. "Relative Effectiveness of Various Development Finance Flows: A Comparative Study," KDI Journal of Economic Policy, Korea Development Institute (KDI), vol. 40(3), pages 91-115.


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