December 6, 2025, 9:50 pm

The Economist’s Report Foreign Help Fall: Crisis or Opportunity?

Reporter
প্রকাশের সময় : Sunday, March 9, 2025

Washingtonnews, International Desk, Sunday, March 9, 2025: Donald Trump administration has planned to close USAID, the US chief development assistant agency. Earlier, President Trump and his associate Elon Musk called the company a ‘criminal organization’ and ‘directed by extremists’. Not only the United States, other Western donors are also declining development assistance step by step. The UK has reduced its assistance budget by 5 percent. France also planned a big cut on the support budget.

In the last six decades, rich countries have sought to improve the quality of life of poor countries through development assistance. Global assistance in 2021 has exceeded $ 20 billion. However, its benefits are mixed. Although success in the development of health sector, decreasing infant mortality, AIDS treatment was achieved, there was no improvement in economic growth. The reality of Africa says that the actual income has increased slightly in the last 5 years, the productivity has not increased.

Originally a large part of development assistance was spent on the development of industrial and infrastructure, which could not bring the expected growth. Furthermore, in many cases, this assistance has increased the waste cost of the local ruling party. Some countries have become more dependent on donors for their own development, such as the cost of helping agencies than government expenditure in countries like Malawi.

 

The world in front of the new reality

Western countries are reducing foreign aid due to their internal demand, security expenditure and economic constraints. European countries are also on the contrary to the cost of supporting Ukraine and the increase in the defense sector. As a result, the poor countries have to take responsibility for their economy and find themselves for development.

Experts say that the projects that fail to bring about practical improvement need to be given more importance with health and humanitarian assistance. For example, the prevention of epidemics, preparation against climate change and assisting in emergency situations.

 

The policies of the Trump administration are not planned, but they are considered to be politically motivated. It is uncertain whether countries like China and the United Arab Emirates will fill this vacancy of Western assistance. But obviously the day is over -dependent on foreign aid for the poor countries. Now they should improve administrative skills, prevent corruption and adopt self -reliant economic policies.

 


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