For the past 40 years, bilateral aid has been (and still is) an important feature of international cooperation and of international relations (Doucouliagos et al., 2008). Thought notions on the efficiency and effectiveness of bilateral aid are dispersed, it seems to have contributed to the improvement of quality of life around the world. The Organization of Economic Cooperation and Development (OECD) defines bilateral aid as flows directly from a donor country to a recipient country, through official donor agencies (Watanabe, 2006). Approximately 70% of all aid flows is provided through bilateral organisations (Younas, 2008). Bilateral aid flows can be provided in the form of, loans, which have to be repaid, and grants, which do not have to be repaid (Steblaj, 2009).
Many countries take part in the bilateral aid distribution, however the allocation pattern and the amount of bilateral aid given differs among donor countries. Aid flows are large, often more than 10 percent of a country’s GDP and more than $100 per capita per year in some countries. Therefore, which countries receive aid and the motivations for bilateral aid of donor countries, is of great economic, political and social relevance (Claessens et al., 2010). Although the primary goal of development assistance is often assumed to promote development and welfare of the recipient country, every donor country has different aid philosophies, policies, and allocation priorities. Furthermore many donors consider their aid a powerful diplomatic tool to shape political and often economic ties between the donor and recipient countries (Watanabe, 2006). The essay examines this diplomatic and economic tool of bilateral aid, and analyses whether bilateral aid today is can be seen as a modern form of colonialism.
The essay will first discuss different theories of international relations and their perspective on bilateral aid. Then the motives for... [continues]
Cite This Essay
(2011, 03). Modern Colonialism in Bilateral Aid. StudyMode.com. Retrieved 03, 2011, from http://www.studymode.com/essays/Modern-Colonialism-In-Bilateral-Aid-642747.html
"Modern Colonialism in Bilateral Aid" StudyMode.com. 03 2011. 03 2011 <http://www.studymode.com/essays/Modern-Colonialism-In-Bilateral-Aid-642747.html>.
"Modern Colonialism in Bilateral Aid." StudyMode.com. 03, 2011. Accessed 03, 2011. http://www.studymode.com/essays/Modern-Colonialism-In-Bilateral-Aid-642747.html.