Wasted aid = Lost

lives
The following is taken from a talk that I gave in Dartmouth, England, on 25 May
2010. There is now a worldwide debate on whether aid to the Developing World, a
nd Africa in particular, is really helping or hindering development. UK aid now
runs at close to £9 billion pounds per year and this will not be affected by the
current cost-cutting exercise being undertaken by the Government.
In these financially stringent times you may wonder, after reading what is below
, whether your money is getting results proportionate to the amount being given
– or whether, in fact, your Government is wasting your money and, in doing so, c
osting Africa the lives of hundreds of thousands of its people and failing to im
prove the lives of millions more. If you do come to the latter conclusion, pleas
e pass this on to others, widen the debate and even send a copy to your MP, Cong
ressman or other lawmakers in your country. It might save you some money! And if
we can change the way aid is given it will definitely save untold numbers of li
ves.
“What is the point of the Government’s new White Paper on international developm
ent? It’s full of mantras about “green growth” and “fair trade” but fails to pro
pose any of the long-overdue reforms that would make our aid budget actually wor
k.
It places too much emphasis on aid and remains wedded to the same top-down ways
of distributing the cash. These encourage corruption, undermine local choices, a
nd insulate African governments from the need to fix their economies.
The result is that too much of our aid is thrown down a plughole. What a waste!”
Source: Alex Singleton. Political journalist for the Daily Telegraph (UK nationa
l paper)
The figures
Most African countries achieved independence in the 1960’s.
Since then around $2.3 trillion in foreign aid has been given to Africa.
(Source: William Easterly, The White Man’s Burden; Why the West’s Efforts to Aid
the Rest have Done So Much Ill and so Little Good,
Current international aid to Africa stands at around $50 billion per year.
Source: Dambisa Moyo, a former economist at Goldman Sachs, and author of "Dead A
id: Why Aid Is Not Working and How There Is a Better Way for Africa.“
The UK overseas aid budget is currently ring-fenced at £6 billion, and is set t
o rise to £9 billion by 2011. Source: The UK Treasury, reported in The Times, 3
October 20009

The starting point

The West spent $2.3 trillion on foreign aid over the last five decades and still
had not managed to get twelve-cent medicines to children to prevent half of all
malaria deaths.
The West spent $2.3 trillion and still had not managed to get four-dollar bed ne
ts to poor families.
Source: William Easterly, The White Man’s Burden; Why the West’s Efforts to Aid
the Rest have Done So Much Ill and so Little Good,
It’s official: In 2005, just weeks ahead of a G8 conference that had Africa at
the top of its agenda, the International Monetary Fund published a report entitl
ed "Aid Will Not Lift Growth in Africa."
An African perspective
“I come from Africa, a resource-rich continent which is depicted as poor by conv
entional development statistics – so as to justify foreign aid. Aid has driven A
fricans to lose confidence in their abilities and opportunities. It has promoted
a culture of dependence - a culture of relying on other people’s help.”
Source: James Shikwati . Director, Inter Region Economic Network

What has been achieved with all the money?

Poverty
Out of Africa’s 54 countries, 38 have a significant percentage of their populati
on living on less that $2 per day.
Examples include: and even:
Tanzania 96.6% Uganda 75.6%
Liberia 94.8% Botswana 49.4%
Burundi 93.4% South Africa 42.9%
Malawi 90.4% Kenya 39.9%
Mozambique 90%
Overall, 46% of the African population live on less than $1 a day. The percentag
e has increased in 6 countries since 2000.
Source: UNDP and IDRC
Life expectancy
Of the 195 countries recognised by the UN, Andorra has the highest life expectan
cy at 82.51 years at birth.
The world average is 67.2 years at birth.
The African average is 46 years at birth.
Ghana is the first sub-Saharan country listed, in 151st position, with a life ex
pectancy of 60 years.
Of the last 40 countries listed, 38 are African – with life expectancy as low as
39.6 years.
Health
Infant mortality in Africa averages 90/1,000 live births, compared with 5.5/1,0
00 in Canada.
An African child dies every 30 seconds of malaria (bed nets could reduce child m
ortality by up to 60%).
Source: International Development Research Centre
Annual health spending per person:
6 Governments less than $4
24 governments between $4 dollars and $10 dollars
12 governments between $10 dollars and $28 dollars
Only 11 countries spent over $28 dollars per person per year
Source: World Health Organisation report
Education
In Africa, only 62% of pupils complete primary education.
In 25% of African countries, only half of the children enrolled at the end of pr
imary school continue to the secondary level in the following year.
In another 25% of African countries, only one third of pupils make the transitio
n from primary to secondary education.
Source: UNESCO
Infrastructure
Sub-Saharan Africa has 2 million kms of roads, of which only 29% is paved. Sourc
e: UN
There are more internet connections in New York City than in the entire African
continent. Source: IDRC
Every year, around 60 million children in the developing world are born into hou
seholds without access to sanitation. (UN)
Households in rural Africa spend an average of 26% of their time fetching water,
and it is generally women who are burdened with the task. (Source: UK DFID)
And finally…..
Between 1975 and 2005, Africa received $24.60 per person each year, while China
only received only $1.50 and India $2.11. China’s economy grew 7.9% a year and I
ndia’s grew 3.5%, but Africa’s – which received hugely greater aid – shrunk by a
n average of 0.16% a year.
Source: Dr. Marian Tupy, African aid specialist
Sub-Saharan Africa is the only region in the world where poverty has increased i
n the last 25 years.
Source: International Development Research Centre.

Why the Poor are still poor

These are some of the identified problems with aid:
Aid is self-serving: Aid is often given on condition that the recipient must use
goods and services from donor countries.
Aid is political: Aid is given in exchange for political favours and influence.
Aid not trade: Aid amounts are dwarfed by rich country protectionism that denies
market access for poor country products, while rich nations use aid as a lever
to open poor country markets to their products.
Aid limits democratic growth: Foreign aid also reduces the need for a system of
taxation. When a government doesn’t depend on taxes for its revenues, then it wi
ll have less incentive or need to seek accountability from its electorate.
Aid comes at a price: Even after the very aggressive debt-relief campaigns in th
e 1990s, African countries still pay close to $20 billion in debt repayments eac
h year.
Source: Dambisa Moyo, a former economist at Goldman Sachs, is the author of "Dea
d Aid: Why Aid Is Not Working and How There Is a Better Way for Africa.“
Aid fuels corruption: As recently as 2002, the African Union estimated that corr
uption was costing the continent $148 billion a year, as international donors fa
il to deal with the issue and keep giving.
Source: The African Union
Treating symptoms, not causes: Over the past 10 years, aid to health in Sub-Saha
ran Africa has increased by nearly 500%, while aid to water and sanitation has i
ncreased by only 79%. (Source: OECD)

Alternative ways to support

A fairer system of trade. Current policies and practices in Europe and America d
amage Africa s chance of earning its living in the world.
End agricultural subsidies that distort prices allowing cheap food to be dumped
in Africa and ruining farmers there.
Lower tariffs and trade barriers to allow Africa to trade more processed goods.
Stop encouraging Africa s brain drain, luring the best educated and talented out
of the continent to fill jobs in the West. (70,000 graduates leave Africa every
year for better paid jobs in the West).
Do something about arms flowing into Africa. Weapons that kill in Africa s wars
may not be made in Britain but arms dealers base their operations in London and
are largely unregulated.
Treat money stolen by corruption in the same way as drug money or terrorism fund
s.
Source: Richard Dowden. Director Royal African Society.

Ideas for better support based on OpFOL’s experience

Encourage smaller organisations and charities that:
1. Involve local people from the beginning and ensure that they take responsibil
ity.
2. At the start of any project ensure there are Western workers on the ground fo
r at least several months, to ensure integrity and accountability.
3. Recruit and train local people to take over the project and ensure its long
-term
future.
4. Identify existing resources and seek to develop those, rather than creating
new resources.
5. Only do for the African what he cannot do for himself, and do not hand over e
verything on a plate.
If you are supporting a charity, of any size, don’t be afraid to ask the hard qu
estions:
How are you ensuring sustainability, how do you foster local ownership, how much
of my money goes directly to the end user and how much to administration and co
sts of the charity? Lobby your legislators and ask the same questions about your
country’s overseas aid.
NB: OpFOL is Operation Fullness of Life. See Facebook group of that name and vis
it www.opfol.om for information about our work.

The wealth of Africa

Africa has some of the world’s largest watercourses – Lake Victoria, Lake Volta
– that could provide much more hydro-electric power. Africa also possesses some
of the world’s largest oil, coal and gas reserves.
Source: Garai Makokoro. Director, Energy Technology Institute, Zimbabwe
Most of Africa receives 325 days of strong sunshine per year. Across 80% of Afri
ca solar energy generates about 2,000 Kw H per square metre yet, of Africa’s 90
0 million people, around 500 million live without access to electricity.
Source: Azanaw Abreha, Commission on Sustainable Development
Africa has a large quantity of natural resources including oil, diamonds, gold,
iron, cobalt, uranium, copper, bauxite, silver, petroleum, and also woods, tropi
cal fruits, fish and other natural resources. Much of its natural resources rema
in undiscovered or barely tapped.

Resources identified by OpFOL

Sun – as mentioned, unlimited solar power from as little as $33 per household.
Rain – Two rainy seasons a year in equatorial Africa mean huge volumes of free,
essentially clean water.
Land – Africa occupies 20% of the earth’s landmass, mostly under-utilised. Prope
rly
developed, Africans could access an additional 300 million hectares of arable la
nd.
Source: UN FAO
Trained personnel – University students, businessmen and women.
Workforce – The huge number of people without work can either be seen as the “un
employed” or as a significant workforce in-waiting.
Existing local organisations – whom can lend expertise and practical support

SUMMARY
¨Aid to Africa is not achieving results that are in proportion to the amount of
money that is being donated.
¨Africa is a continent rich in resources and has the capability to be self-suppo
rting.
¨To facilitate this, aid must be targeted at developing existing resources and c
reating true independence.
For a working example that demonstrates the principles of targeted please visit
www.opfol.com
NB: Although all the figures quoted have been properly sourced, statistics do ch
ange all the time. For example, one study now claims that 75% of all African chi
ldren are enrolled in primary education. However, the word “enrolled” hides the
fact that many do not attend (for a variety of reasons), and it also hides the f
act even when children go to school there are few if any educational resources a
nd there are unqualified teachers. So these various reports and claims should be
read with caution. The overall and undeniable fact is that aid has failed Afric
a, and wasted your money.

What can you do?

1. Research what is really going on in the Developing World regarding internatio
nal aid.
2. Research you own national programme of international aid.
3. If you as a taxpayer, and the poor of the Developing World, are not getting v
alue for money, and results proportionate to the money being spent, start to lob
by your legislators for change. (Some of those possible changes are listed in th
is article).
4. Tell your friends, alert your neighbours, inform your work colleagues! Many i
n the Developed World think we are really helping the poor of this planet – they
need to know the truth.
5. Join the Facebook group “Wasted Aid = Lost lives.”