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The cracks in the new aid paradigm

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  • Renard, Robrecht

Abstract

Over the last five years a new enthusiasm has emerged among donors. Aid volumes have gone up and new modalities and instruments are feverishly experimented with. A new aid paradigm seems to have emerged. Breaking with the bad habits of the past, donors are working on harmonisation, alignment, recipient ownership, new partnerships, all in the spirit of poverty reduction. In this paper it is argued that the new paradigm is a fact. But it is based on a consensus about new modalities and instruments, not about the way they must be used. There are glaring inconsistencies between the PRSP approach and the MDGs, two major components of the new aid agenda. Even more insidious, two schools seem to have emerged on how best to overcome institutional and political failures in aid-dependent low-income countries, two schools that advocate diametrically opposed uses of conditionality. It is argued that these inconsistencies, largely ignored as they are, threaten the success of the new approach.

Suggested Citation

  • Renard, Robrecht, 2006. "The cracks in the new aid paradigm," IOB Discussion Papers 2006.01, Universiteit Antwerpen, Institute of Development Policy (IOB).
    • Handle: RePEc:iob:dpaper:2006001
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    Cited by:

    1. Stijn Claessens & Danny Cassimon, 2007. "Empirical evidence on the new international aid architecture," WEF Working Papers 0026, ESRC World Economy and Finance Research Programme, Birkbeck, University of London.
    2. Dietrich, Simone, 2011. "The Politics of Public Health Aid: Why Corrupt Governments Have Incentives to Implement Aid Effectively," World Development, Elsevier, vol. 39(1), pages 55-63, January.
    3. Cassimon, Danny & Vaessen, Jos, 2007. "Theory, practice and potential of debt for development swaps in the Asian and Pacific region," Economic Systems, Elsevier, vol. 31(1), pages 12-34, March.
    4. Holvoet, N. & Renard, Robrecht, 2007. "Monitoring and evaluation under the PRSP: Solid rock or quicksand?," Evaluation and Program Planning, Elsevier, vol. 30(1), pages 66-81, February.

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