Evidence on Changes in Aid Allocation Criteria

Have donors changed their aid-allocation criteria over the past three decades toward greater selectivity, a frequently stated goal of the international development community? Using data on how 22 donors allocated their bilateral aid among 147 countries over 1970–2004, the article finds that after th...

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Main Authors: Claessens, Stijn, Cassimon, Danny, Van Campenhout, Bjorn
Format: Journal Article
Published: World Bank 2012
Subjects:
Online Access:http://hdl.handle.net/10986/4500
id okr-10986-4500
recordtype oai_dc
spelling okr-10986-45002021-04-23T14:02:18Z Evidence on Changes in Aid Allocation Criteria Claessens, Stijn Cassimon, Danny Van Campenhout, Bjorn aid aid allocation aid coordination aid flows bilateral aid development assistance development finance development goals development models development policy development programs economic growth environmental issues exports imports international aid international development priorities targeting world development indicators Have donors changed their aid-allocation criteria over the past three decades toward greater selectivity, a frequently stated goal of the international development community? Using data on how 22 donors allocated their bilateral aid among 147 countries over 1970–2004, the article finds that after the fall of the Berlin wall in 1989 and especially in the late 1990s, bilateral aid responded more to poverty and the quality of the policy and institutional environment in the recipient countries. Furthermore, the sensitivity of aid allocation to the country's size and its debt burden has declined over time. These results are robust to different samples and model specifications, various econometric techniques, and alternative measures of institutional quality. While the specific factors causing these changes cannot be identified—these presumably include geopolitical and economic concerns and the many changes in the international aid architecture—donors still differ greatly in their selectivity. This suggests that further, multifaceted reforms are needed to ensure even greater selectivity of aid. 2012-03-30T07:12:38Z 2012-03-30T07:12:38Z 2009-06-30 Journal Article World Bank Economic Review 1564-698X http://hdl.handle.net/10986/4500 CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank World Bank Journal Article Turkey
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
topic aid
aid allocation
aid coordination
aid flows
bilateral aid
development assistance
development finance
development goals
development models
development policy
development programs
economic growth
environmental issues
exports
imports
international aid
international development
priorities
targeting
world development indicators
spellingShingle aid
aid allocation
aid coordination
aid flows
bilateral aid
development assistance
development finance
development goals
development models
development policy
development programs
economic growth
environmental issues
exports
imports
international aid
international development
priorities
targeting
world development indicators
Claessens, Stijn
Cassimon, Danny
Van Campenhout, Bjorn
Evidence on Changes in Aid Allocation Criteria
geographic_facet Turkey
description Have donors changed their aid-allocation criteria over the past three decades toward greater selectivity, a frequently stated goal of the international development community? Using data on how 22 donors allocated their bilateral aid among 147 countries over 1970–2004, the article finds that after the fall of the Berlin wall in 1989 and especially in the late 1990s, bilateral aid responded more to poverty and the quality of the policy and institutional environment in the recipient countries. Furthermore, the sensitivity of aid allocation to the country's size and its debt burden has declined over time. These results are robust to different samples and model specifications, various econometric techniques, and alternative measures of institutional quality. While the specific factors causing these changes cannot be identified—these presumably include geopolitical and economic concerns and the many changes in the international aid architecture—donors still differ greatly in their selectivity. This suggests that further, multifaceted reforms are needed to ensure even greater selectivity of aid.
format Journal Article
author Claessens, Stijn
Cassimon, Danny
Van Campenhout, Bjorn
author_facet Claessens, Stijn
Cassimon, Danny
Van Campenhout, Bjorn
author_sort Claessens, Stijn
title Evidence on Changes in Aid Allocation Criteria
title_short Evidence on Changes in Aid Allocation Criteria
title_full Evidence on Changes in Aid Allocation Criteria
title_fullStr Evidence on Changes in Aid Allocation Criteria
title_full_unstemmed Evidence on Changes in Aid Allocation Criteria
title_sort evidence on changes in aid allocation criteria
publisher World Bank
publishDate 2012
url http://hdl.handle.net/10986/4500
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