African Aid Must Stop (1)
Born and raised in Zambia but educated at Oxford and Harvard, Dambisa Moyo was an uncommon face as a black woman in the world of high finance. Now with the publication of her book Dead Aid, she has become an uncommon voice, a strong and eloquent advocate of stopping financial aid to Africa as the best way to help the troubled continent. It is an idea contradicting rock star campaigners, Western politicians and grassroots wisdom all at once. As she makes her way to Canada for a highly anticipated debate on Monday with Stephen Lewis and others at the Munk Debate on Foreign Aid, she spoke with the National Post about her ideas and the hazards of opposing the aid orthodoxy.
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Q What’s so bad about rich nations sharing their wealth with poor nations to help them cope with their struggles?
A No country on Earth has ever achieved long-term growth and reduced poverty in a meaningful way by relying on aid. It’s just never happened. So we’re pushing a strategy that has no evidence of working anywhere on Earth. And we have years of evidence that the aid strategy doesn’t work.
It boils down to incentive. We have to ask ourselves: Are African governments incentivized to do what governments all around the world are expected to do, that is, deliver public goods: education, health care, infrastructure and security? Unfortunately an aid system has allowed African governments to abdicate their responsibilities…. So until African governments live or die based on job creation and providing goods to Africans and not rely just on getting aid money, we will continue to see a situation where the private sector has not developed and Africans do not have job opportunities. The billion dollars that go from government to government … can make African governments lazy with respect to doing what they are supposed to be doing. It also fuels corruption, can fuel civil wars, inflation, the debt burden, and so on.
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