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Foreign aid policy and its growth effect in Nepal

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  • Rishav Bista

    (Coe College)

Abstract

Donors are perplexed, as aid has been unable to reinforce growth in many underdeveloped countries. In this paper, specific attention has been diverted towards various issues pertinent to the aid-growth relationship; in particular, we discuss Nepal due to its uniqueness. A general conclusion is that donors should conduct more research to country-specific problems and attributes, such as the sociocultural factors before they disburse any kind of aid. In case of Nepal, the country would be better off if the donors assume exclusive control over the project and work directly with the local bodies, NGOs or other consulting companies, rather than the government.

Suggested Citation

  • Rishav Bista, 2006. "Foreign aid policy and its growth effect in Nepal," EconoQuantum, Revista de Economia y Finanzas, Universidad de Guadalajara, Centro Universitario de Ciencias Economico Administrativas, Departamento de Metodos Cuantitativos y Maestria en Economia., vol. 3(1), pages 109-140, Julio-Dic.
    • Handle: RePEc:qua:journl:v:3:y:2006:i:1:p:109-140
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    References listed on IDEAS

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    7. Philipp Harms & Matthias Lutz, 2004. "The Macroeconomic Effects of Foreign Aid: A Survey," University of St. Gallen Department of Economics working paper series 2004 2004-11, Department of Economics, University of St. Gallen.
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    Cited by:

    1. Ashma Vaidya & Audrey L. Mayer, 2016. "Critical Review of the Millennium Project in Nepal," Sustainability, MDPI, vol. 8(10), pages 1-23, October.

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    More about this item

    Keywords

    Foreign aid; government; investment expenditure; Dutch disease effect.;
    All these keywords.

    JEL classification:

    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics
    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • F35 - International Economics - - International Finance - - - Foreign Aid
    • H61 - Public Economics - - National Budget, Deficit, and Debt - - - Budget; Budget Systems

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