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Developing Countries, Foreign Aid, Global Poverty

What Makes Effective Foreign Aid Policy?

Effective Foreign AidForeign aid policy can be confusing. Some claim that all foreign aid is useless, while others say it is the only thing our government should fund. All of this is overwhelming, and can drive people away from advocating for aid policies altogether. But choosing which NGO to donate to or which policy to ask your senator to support doesn’t have to be hard. Effective foreign aid policy is out there. By asking these three simple questions, you can spot good policies.

1. Is this policy collaborative?

Effective foreign aid policy is always based around collaboration. Aid organizations and donor governments should constantly be in conversation with aid recipients. Recipients should be able to give feedback on which parts of the aid are working and which parts are not. Most importantly, the people receiving aid should be actively involved in making decisions about the distribution of aid. Collaborating with the people you are trying to help is common sense. People on the ground know better than anyone what will help them succeed and thrive. By making aid collaboration focused, recipients have a bigger stake in the outcomes of aid. They will fight to achieve whatever outcomes the NGO or donor government are working towards.

Aid policies are too often structured to the recipients of aid as passive objects, not active participants. But, as the American Enterprise Institute puts it, “collaboration seems virtually essential for a sustained engagement that brings benefits valued by all.”

2. Is this policy sustainable?

In recent years, many NGOs have adopted ‘band-aid’ policies when it comes to foreign aid. This type of policy includes things like giving out food and medicine to countries affected by disaster.

In the short term, this kind of aid is vital. But in the long term, it can be crippling. For example, after the 2010 earthquake in Haiti, NGOs and governments mobilized to provide disaster relief. For the first few months after the earthquake, this aid saved thousands of lives. But now, seven years after the earthquake, many NGOs and governments are still providing disaster relief. For example, instead of helping the Haitian government build hospitals, NGOs treat people themselves. These ‘band-aid’ policies do not allow Haiti to become self-reliant. They focus too much on the present and lack vision for the future. The result is a Haitian economy that relies heavily on foreign aid.

The most effective foreign aid policy is top-down. Aid policies that focuses on broad, structural changes have the greatest impact. When deciding which foreign aid policy to subscribe to, consider its sustainability. Ask: will whatever service this policy provides be able to continue without support from the NGO or donor government? Is it focused on building sustainable structures of government, or just helping individual people? These questions will help you ascertain the sustainability of whatever policy you’re considering.

3. Is this policy transparent?

Transparency is a must for both NGOs and donor governments. They should always disclose the money put towards certain aid policies and how that money was spent. The NGOs and donor government initiatives you support should have clear benchmarks that are easily measurable and updated regularly. These acts of transparency put the power in the hands of both the recipients and supporters of aid policies. It assures accountability and maximizes the impact of the aid.

Did you answer yes to all these questions? If so, the policy you’re considering supporting is probably an effective foreign aid policy. So support it! Being an advocate for the global poor is both gratifying and deeply important work. Asking these questions ensures that the policies you end up advocating for do a world of good.

– Adesuwa Agbonile

Photo: Flickr

September 8, 2017
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