text: DEVELOPMENT AC?IVITIES 26. A major characteristic of the econonic crisis that has been confronting developing countries is Ehe sharp overatl curtailment of net capital inflows coupled itith a leap in net inlerest payments on outstanding debt. Thus, instead of receiving net lransfers of financial resources on the order of S40 billion a year - as had been the case from the late L970s until t98I - the overal-l neC lransfer to lhe capi tal-i mpor tl ng countries felL abruptly in 1982 and even turned negative [n 1984. g/ The behaviour of private credit and interest flons, which have affected a substantial number of countries, has largely been responslble for the shape and magnitude of lhis chanqe, Nevertheless, none of the other componenCs of resourceflots - official development assiscance. non-concess j.ona I official flots or direct investment - has shovrn a robust performance. In addition, in the face of continuing international economic instability and uncertaintles, individual countries have needed not only to restore previous levels of international reserves but in many cases to increase them. To compensate for lhe lack of access !o borroeed reserves, countries are buiLding up their reserves largely through export gror.rth and import rescraint, in other tdords. by utilizing for eign-excha nge resources that might other!,rise have been applied to raising physical investment or basic consumption. Official development a ssi s ta nce 27. In response to the crisis conditions which nany developing countries have been facing, there have been many appeals in the United Nations system !o increase the flo\r of official development assistance (ODA) and in particular the flo!, of gu ick-di sbur sing programmes and ba Ia nce-of-pa ynents assistance. fn fact, after a
analysis: The text discusses the economic crisis faced by developing countries, the impact of the crisis on their economies, and the appeals for increased official development assistance (ODA). The text is focused on the economic aspects of the crisis and the potential solutions, making it likely to fall under the category of economic development.