Argument: NGOs do not deliver aid effectively

The idea that NGO’s are better able to deliver development aid has become received wisdom – accepted uncritically, repeated unthinkingly. Because charities do not have the political staying power of governments, nor a government’s ability to mobilise force or request assistance from intergovernmental bodies (such as the UN), they are often the first to withdraw when dormant war zones turn ‘hot’. Inevitably, and understandably, NGOs will always prioritise the lives of their staff and volunteers.

Problems also arise when faith-based NGOs attempt to involve themselves in development projects in poorer parts of the world. Even large, well-funded charities such as Christian Aid [i] or Saudi educational charities are perceived as partisan actors in certain states and territories. The presence of such groups has frequently exacerbated community tensions where access to political power, wealth or land is divided unequally among plural religious or cultural groups.

Most importantly, whilst organisations such as the Red Cross may be able to deliver emergency aid to areas where national governments are unwelcome, it is all but impossible to deliver development aid to conflict zones. Long term solutions to economic deprivation or agricultural failure are rendered meaningless in an environment where the destruction of infrastructure is widespread and unpredictable. Even the most basic forms of aid delivery may be diverted to rebel forces, perpetuating conflicts. The kind of peace that only national governments can impose is needed before serious development can commence.

[i] “Christian Aid: Continued Bias and missing context in Palestinian agenda.” NGO Monitor. 13 July 2006. http://www.ngo-monitor.org/article/christian_aid_continued_bias_and_missing_context_in_palestinian_agenda_ngo_update_january_june_

Candidate 1: "Direct Aid creates an international welfare trap. ODA incentivises states to restrict development spending, in order to avoid the cuts in aid donations that would accompany rising productivity, public health and growth indicators.

This is made worse by the fact that one of the primary measures of poverty is income below $1 or $2 a day (depending on the region), so governments have an incentive to channel aid to the elites or to schemes that incentivise or entrenched foreign investment, whilst leaving the very poorest members of their population below this poverty line. The construction of hydroelectric facilities, for example, may reduce the amount that private industrial plants and manufacturers pay for their power. However, an improved power distribution network may also be irrelevant to the needs of ordinary citizens within a state, unable to afford tools, medication or education, let alone electronic equipment.

Tax breaks and lax wage protection laws implemented in order to encourage foreign direct investment in a developing economy may act as a further incentive to stratify spending. Moreover, the suppression of average earnings in such environments tends to concentrate wealth among the owners of large amounts of land and other capital.

Further, a large proportion of direct aid is simply recycled by developing states’ governments as debt servicing. A significant proportion (over 60%) of aid donated to the poorest nations is spent to service interest (not even capital repayments) on debts incurred during the short post-colonial investment booms of the 1960s, 1970s and 1980s [i] , often by dictatorial governments. Payment of aid to NGOs would shift priorities, adding impetus to large scale developments and stimulating further growth via multiple, smaller-scale schemes. Increases in tax revenue resulting from a general increase in economic prosperity throughout a state will enable faster repayment of sovereign debts.

[i] “Debt relief under the heavily indebted poor countries (HIPC) initiative.” International Monetary Fund. 06 September 2011. http://www.imf.org/external/np/exr/facts/hipc.htm"
Candidate 2: "NGOS are better at delivering aid. Governments in those nations most in need of aid are often the least able or willing to deliver that aid. This is particularly true in those states where the line-drawing of colonialism has pitched ethnic groups into conflicts over resources, territory and political recognition. For example, the central government of the former Sudan consistently refused to apportion aid to the country’s restive southern region. Khartoum’s conduct prolonged conflicts in the area and hastened South Sudan’s secession. Similarly, the Nigerian government has no credibility in the Niger Delta region. The Somali government, barely able to assert control over the city of Mogadishu, is unable to distribute aid to other areas of the country. The same is true of south American and south east Asian nations that have been affected by regional insurgencies.

Under these circumstances, many first world states have been forced to withdraw ODA. By contrast, charities have the credibility of not being associated with governments; they can cross national borders and have a presence in rebel controlled areas such as the enclaves of northern Sri Lanka. NGOs are simply more effective at aid delivery in many of the poorest nations."
Candidate 3: "Advocates of government-to-government aid do not have to defend such out-dated portrayals of ODA. Since at least 2000, many DAC member nations have tied their aid entirely or in part to political, economic and environmental reform. The burden is now on recipient nations to prove that aid payments are not being squandered. An onus is placed on recipients to invest in the creation of a political culture that tackles corruption, as has been seen with the founding of an ‘anti-graft task force’ in Kenya in 2006. Linked aid promotes political stability, development policies conscious of the limitations of national resources and a consistent economic framework.

Moreover, there is no guarantee that charities and NGOs will be any less corrupt or more able to prevent corruption. Easy access to large amounts of capital creates an environment that can foster corruption within any type of organisation, whether governmental institutions in the developing world or non-governmental institutions based in wealthy states. Passing aid to multiple NGOs, many of which may not be governed by accounting standards as strict as those applied to onshore organisations in the UK and the US, creates a system in which it is far harder to monitor and prevent embezzlement. In 2003, the Indian government placed 800 NGOs operating within its north eastern states under a regime of strict observation. Many of the organisations identified were suspected of having links to north eastern separatist and insurgent fighters; it was believed that funds donated to these NGOs, either privately or by the state itself, were being channelled to armed rebel groups [i] .

[i] NGO Regulation Network. http://www.ngoregnet.org/country_information_by_region/Asia_and_Oceania/India.asp"
Candidate 4: "Cutting aid payments to the governments of states that are aid dependent would severely restrict the provision of public services and undermine public and international confidence in fragile political settlements. This dependence therefore prevents the aid being cut off.

Israel, for instance, would arguably be unable to survive without its foreign aid from the USA. Similarly, those states such as Micronesia or Tokelau which are almost exclusively aid dependent are essentially protectorates of those states that aid them, giving them political independence and the ability to develop.

The approach suggested by the resolution would also have a negative impact on nations that are politically stable but in need of reliable, uncomplicated economic support. Between 45 to 50% of all foreign aid goes to nations such as Argentina, Botswana and Brazil. Indeed, sanctions levelled against politically unstable or oppressive states such as Angola and Zimbabwe tend to restrict the aid payments they receive. Reducing aid to politically mature and conflict-free “emerging economies” reduces certainty and sustainability in development. We should deliver the aid which we have promised, the results of which- for many states- are now coming to fruition."
Candidate 5: "Using central government spending to encourage growth is still a viable development strategy.

Whilst the important role that local markets play in the development process should be recognised, they are not capable of generating widespread economic change.

NGOs serve a different purpose to governments. They construct local infrastructure projects such as schools and wells, in addition to augmenting skills practiced by established communities by providing access to up-to-date tools and tuition that would normally be unaffordable to the citizens of developing states. However, economic growth also requires significant central spending, in order to develop national infrastructure such as roads and universities. Indian well-drilling efficiency has increased by 70% since the nascent Indian national space programme was tasked with using satellite technology to identify water pockets.

The diverse origins, policies and skillsets of NGOs tend to prevent them from collaborating in an effective fashion. Brazil’s hydroelectric power network could only have been constructed by a single, coherent organisation. A national education policy could not be formulated by NGOs. To reduce government aid would be to remove the backbone of central spending needed for national development."

NGOS are better at delivering aid. Governments in those nations most in need of aid are often the least able or willing to deliver that aid. This is particularly true in those states where the line-drawing of colonialism has pitched ethnic groups into conflicts over resources, territory and political recognition. For example, the central government of the former Sudan consistently refused to apportion aid to the country’s restive southern region. Khartoum’s conduct prolonged conflicts in the area and hastened South Sudan’s secession. Similarly, the Nigerian government has no credibility in the Niger Delta region. The Somali government, barely able to assert control over the city of Mogadishu, is unable to distribute aid to other areas of the country. The same is true of south American and south east Asian nations that have been affected by regional insurgencies.

Under these circumstances, many first world states have been forced to withdraw ODA. By contrast, charities have the credibility of not being associated with governments; they can cross national borders and have a presence in rebel controlled areas such as the enclaves of northern Sri Lanka. NGOs are simply more effective at aid delivery in many of the poorest nations.
