By Jan-Henrik Petermann
The finish of the chilly struggle has brought on many donors of reliable improvement suggestions (ODA) to essentially realign their worldwide reduction and alternate kin. regardless of contemporary growth in untying ODA and a couple of similar efforts to reinforce the final potency of foreign cooperation with the poorest nations, it continues to be unexplained why a few OECD states have liberalised their bilateral programmes to a substantial volume – while others have persisted to exploit overseas reduction as a method to advertise household exports. Jan-Henrik Petermann widens the scope of past macro-analyses of ‘system-driven’ reorientations in tying practices within the wake of 1989/90, inquiring into donors’ nationwide parameters of policy-making on the strategic nexus among exterior alternate and overseas improvement.
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Additional resources for Between Export Promotion and Poverty Reduction: The Foreign Economic Policy of Untying Official Development Assistance
Untied aid was supposed to enhance both the effectiveness and the acceptance of local development initiatives. If project managers in less developed states were allowed to determine on their own where and how the money ought to be spent, so the ‘theory’ goes, they would no longer be affected by inflated monopoly prices on donors’ export markets. Instead, they could take advantage of liberalised procurement procedures to purchase the cheapest and most suitable goods and services anywhere in the world.
The first Washington Consensus had its heyday when more and more theorists and practitioners argued that developing countries should first ‘get the policy environment right’ before ODA could reap any benefits (Hemmer, 2002: 1004). ,1992: 180). 14 The years immediately following the structural shake-up of 1989/90 were still marked by a lack of orientation and conceptual confusion in international development. Nevertheless, the debate on untied aid quickly came to be associated with the emerging Post-Washington Consensus.
The decline in aid to SubSaharan Africa has been particularly dramatic as more and more donors switched their ODA appropriations from LDC recipients to middle-income regions. Neither the disbursement of Other Official Flows (OOF) nor the provision of FDI was able to mitigate the deleterious effects. 38 In this regard, it will also reassess the potential for enhanced policy-coordination in the OECD. Research questions and objectives By acknowledging that the gradual expansion of untied – or, as it were, partially tied – aid can only be fully understood within an integrated framework that allows for a joint application of perspectives from both IPE and FPA, the present study aims to build upon statistical findings which have tried to trace this policy shift back to general reorientations in bilateral aid strategies (Petermann, 2005).
Between Export Promotion and Poverty Reduction: The Foreign Economic Policy of Untying Official Development Assistance by Jan-Henrik Petermann