Massive aid cuts announced by Washington have prompted panic in African capitals, but also questions on whether foreign aid has transformed low-income countries in any meaningful ways economically.
In Africa, criticism of aid being more about donor interest and less about delivering value for the recipient is as old as aid itself. Yet countries still accept tokens and fret when they are cut or frozen.
Per its own figures, the United States spent $72bn in foreign aid in 2023, more than $40bn of which was administered by USAid.
That year, the largest sector spend of all foreign aid was ‘economic development’ at $19.4bn, most of which went to Ukraine.
In Africa, Ethiopia and Egypt took the biggest slice, sharing $3.2bn between them.
My guest this week is Theo Acheampong, an economist and political risk analyst. He argues that strategic investments, fairer trade, concessional finance, and not aid will bring structural economic change in developing countries.
Africa Energy Bank
Petroleum Producers Nigeria, Libya and Angola have teamed up to launch a bank to finance oil and gas projects snubbed by western lenders using climate change an excuse.
The Africa Energy bank is a bold endeavor by African leaders tired of begging for western investment to power a continent with massive energy needs.
According to the International Energy Agency, 600 million people, or 43% of the total population, lack access to electricity, with the majority residing in Sub-Saharan Africa.
Cooperatives give Morocco’s women farmers a platform
Cooperatives in northern Morocco are helping women farmers access capital, add value to their produce, and challenge stereotypes.
Despite making up over 50% of the agricultural workforce, Morocco’s women still struggle for a voice.
Source: Africanews
