It is an instrument that a developed or industrialized country would use to achieve either political, economic, and military power. Foreign aid also is used for humanitarian concerns, this unfortunately is the reason least used. Countries that receive foreign aid are usually developing countries in the third world. There are many reasons why a country would need to receive foreign assistance, such as environmental problems, medical assistance, and the main one being poverty. Poverty is often due to the conditions where you live, and as a result your quality of living is poor. The people in these countries are unable to provide their families with the daily necessities for living such as, clothes, food and even shelter.

The countries, which receive foreign aid, are not just getting free money, there is a debt connected, it known as the debt trap вќ. A developing country that receives help often must pay back an amount of interest on money that they borrowed, even if it is in large amount. Foreign aid is given to poverty stricken countries, who have a limited supply of financial resource and need the assistance from another country.

Why are they being told that for what help they do receive they must pay back a certain percent? foreign aid was developed to assist countries that need additional finical help and there should not be a debt trap connected to the help they receive. There are many reasons to why they need foreign assistance, but the main ones are environmental problems, medical assistance and poverty. Where the country is located can differ the environmental problems they suffer from. Many parts of africa for example have conditions that are dry, with the only time it rains is during the monsoon season, this is only once a year. Other factors not referring to any country in par there is no doubt that today's world is more affluent and has more advanced technology than ever before ,however, there are famine, pollution, water shortages and development problems in dozens of countries.

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In that case, many countries and organizations are supplying aid and supporting undeveloped countries. In this context, ordinary people who live in rich countries also have greater awareness of helping their infrastructural development. Food, technological, educational aids have become an accepted policy of advanced countries to assist in furthering the development of the human and material resources of poor countries. The most important question surrounding aid in the study of international relations is why states give aid.

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So, to address the question, i have mainly focused on bi lateral aid aid given by states to other states. Just to clarify the structure of my essay, i will first provide some definition and background on aid to build a platform for thinking about the existence of aid. I will then turn to explain the theoretical approaches that may, or may even not, explain why states give foreign aid. Lastly i will conclude by summing up the arguments on the features of those theories, and if it has at all, if not in the best possible manner, described the action of states providing foreign aid. Developing countries or under developed countries seek for internetional help for the economic growth of their countries. The aid that is provided by the developed countries could be in monetory terms or some other kind, this is referred to as foreign aid.

First of all the developing countries who are provided with aid do not have any idea about their economic status. Thy do not have any resources to find out exactly how much aid they need to provide a firm struture for their country to build upon.when they seek for aid they do can not plan when and how they are going to return it. The biggest disadvantage of foreign aid is the ever increasing debt through interest. When a country recieves foreign aid for the first time, then is the beginning of a series of foreign aid to come as the country gets more and more dependant on international help.

Pakistan when first recieved foreign aid the amoount could not have been more than one billion dollars and now we are in a debt od more than 30 billion dollars. Foriegn aid can be extremely useful if used properly but the developing countries to whom this aid is given usually have corrupt governments. The aid which is for the establishment of the country usually goes into the ministers bank accounts and is used for establishing themselves. We have heard so many cases in pakistan in the last ten to fifteen years about the dishonesty of our politicians. Foreign aid or development assistance is often regarded as being too much, or wasted on corrupt recipient governments despite any good intentions from donor countries. In reality, both the quantity and quality of aid have been poor and donor nations have not been held to account. There are numerous forms of aid, from humanitarian emergency assistance, to food aid, military assistance, etc.

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Development aid has long been recognized as crucial to help poor developing nations grow out of poverty. In 1970, the world’s rich countries agreed to give 0.7% of their gni gross national income as official international development aid, annually. Since that time, despite billions given each year, rich nations have rarely met their actual promised targets.

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For example, the us is often the largest donor in dollar terms, but ranks amongst the lowest in terms of meeting the stated 0.7% target. This article explores who has benefited most from this aid, the recipients or the donors. This web page has the following sub sections: trade, not aid is regarded as an important part of development promoted by some nations. But in the context of international obligations, it is also criticized by many as an excuse for rich countries to cut back aid that has been agreed and promised at the united nations. Recently, there was an eu pledge to spend 0.56% of gni on poverty reduction by 2010, and 0.7% by 2015.

the donor governments promised to spend 0.7% of gnp on oda official development assistance at the un general assembly in 1970 some 40 years ago the deadline for reaching that target was the mid 1970s. By 2015 the year by when the millennium development goals are hoped to be achieved the target will be 45 years old. This target was codified in a united nations general assembly resolution, and a key paragraph says: in recognition of the special importance of the role which can be fulfilled only by official development assistance, a major part of financial resource transfers to the developing countries should be provided in the form of official development assistance.

Each economically advanced country will progressively increase its official development assistance to the developing countries and will exert its best efforts to reach a minimum net amount of 0.7 per cent of its gross national product at market prices by the middle of the decade. While it may not be possible to untie assistance in all cases, developed countries will rapidly and progressively take what measures they can … to reduce the extent of tying of assistance and to mitigate any harmful effects and make loans tied to particular sources available for utilization by the recipient countries for the purpose of buying goods and services from other developing countries. � financial and technical assistance should be aimed exclusively at promoting the economic and social progress of developing countries and should not in any way be used by the developed countries to the detriment of the national sovereignty of recipient countries. Developed countries will provide, to the greatest extent possible, an increased flow of aid on a long term and continuing basis.

Gnp, which the oecd used up to 20 is now replaced with the similar gni, gross national income which includes a terms of trade adjustment. Oda is basically aid from the governments of the wealthy nations, but doesn’t include private contributions or private capital flows and investments. It is therefore a kind of measure on the priorities that governments themselves put on such matters. Whether that necessarily reflects their citizen’s wishes and priorities is a different matter! even though these targets and agendas have been set, year after year almost all rich nations have constantly failed to reach their agreed obligations of the 0.7% target. Instead of 0.7%, the amount of aid has been around 0.2 to 0.4%, some $150 billion short each year. As pekka hirvonen from the global policy forum summarizes: recent increases in foreign aid do not tell the whole truth about rich countries’ generosity, or the lack of it. Measured as a proportion of gross national income gni , aid lags far behind the 0.7 percent target the united nations set 35 years ago.

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The cold war years saw a high amount of aid though not near the 0.7% mark as each super power and their allies aided regimes friendly to their interests. The end of the cold war did not see some of the savings from the reduced military budgets being put towards increased aid, as hoped. Developing countries found themselves competing with a number of countries in transition for scarce official assistance. As others have long criticized, aid had a geopolitical value for the donor countries as aid increased when a cold war had to be fought. A long decline in the post cold war 1990s has seen another rise, this time to fight terrorism, also detailed below. But before going into the poor quality of aid, a deeper look at the numbers: some interesting observations can be made about the amount of aid. For example: usa’s aid, in terms of percentage of their gnp has almost always been lower than any other industrialized nation in the world, though paradoxically since 20, their dollar amount has been the highest.