The Effects of War and Peace on Foreign Aid

Posted: March 26th, 2020

The Effects of War and Peace on Foreign Aid

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The Effects of War and Peace on Foreign Aid

1. Assess the positive and negative effects that peace and war respectively have on the distribution of foreign aid in the developing country you have selected.

Peace and war have different effects on foreign aid. During times of peace, some countries may consider it necessary to increase foreign aid. Other countries receive foreign aid during times of conflict. Peaceful countries encourage foreign investments. Some people might reason that peaceful countries will benefit more from foreign aid. For instance, wealthier countries have often used the promise of foreign aid as a form of encouraging agreements between warring factions or as a negotiation strategy (Cunningham, 2011). On the other hand, during times of war, the countries might receive more foreign aid to enable them to deal with the underlying causes of the conflict. The type of aid received will determine the state of the country. for instance, food aid often fuels violence as people fight for the available resources. This was the case in Rwanda during the genocide. International aid agencies helped the refugees in the camps not knowing that they had been responsible for the violence in the country (Polman, 2011).

War and peace do not necessarily determine the foreign aid received. In the case of Rwanda, the country received foreign aid before and during the civil war started. However, this did not stop the emergence of the violence in the country. To date, the country continues to receive huge amounts of foreign aid. It is important to note that this has enabled it to develop economically since it has enabled the country to invest in different areas and to develop economically. Peace and political stability encourage donors to give to the country. They want to contribute to the development of the country. War can be destabilizing and this can have different effects on the donors. On the one hand, many donors want to help the country during a time of crisis. On the other hand, they may be fuelling the war and making it worse, and this will discourage many donors from giving.

Analyze the specific actions that the leadership of the selected country has taken through the use of its foreign aid from donor nations and international lending institutions, to relieve the severe problems caused by warfare

The government has worked with different aid agencies. It has worked on a variety of projects. Some of the projects are concerned with physical development while others focus on matters concerning justice and reconciliation. Many people in Rwanda were affected by the genocide. The differences that occurred were between two groups. It was important for the country to start the healing process by ensuring that there was justice. Some of the foreign aid received has gone towards this achievement. In addition, people are taught about the importance of reconciliation. Children learn this from an early age. The government has emphasized the importance of unity among the people.

Some of the foreign money received goes towards the construction of physical infrastructure. The government has committed to rebuilding the country since the genocide happened. It has constructed numerous schools, hospitals, and roads. Other funds are used for health services. The government has embarked on various projects in the past, which are aimed at improving the health services in the country. This includes programs dealing with HIV and malaria prevention, and those concerned with food security (USAID, 2015).

Other funds go towards sustainability projects such as the development of agriculture. Agriculture forms a main part of the country’s GDP. It is important for people’s employment and food security. The funds go towards educating farmers and providing them with the necessary tools for farming (USAID, 2015). These programs and projects are important for the people. The people were divided by the war and it caused hostility among them. Most of them were displaced from their homes. Many lost loved ones and they watched as their neighbors turned against them. Most lost their sources of livelihood and a large part of the country was affected. Therefore, the funds used for the purposes of ensuring justice and reconciliation, building of infrastructure, and agricultural sustainability are important.

Discuss whether or not the extension of foreign aid has successfully reduced poverty and the incidence of warfare in the selected country

Rwanda has benefited greatly from foreign aid, especially since the genocide of 1994. The country has maintained political stability since then and this has enabled economic development. It has undertaken measures aimed at reconciliation and unity among people. This has included changes in the way people identify themselves and transforming the education sector. The availability of foreign aid has enabled the government and other organizations to develop and implement such programs. Since 1994, the country has not experienced the same amount of conflict and tension, as was the case during the civil war.

The country remains relatively dependent on foreign aid, which makes 30-40 percent of the budget. This is a huge percentage, and it shows the influence that the aid has on economic development. The government has used foreign aid to end poverty by creating jobs. About one million in the country have managed to come out of poverty because of the foreign aid provided by different governments, organizations, and institutions (Manson & Wallis, 2012). The presence of foreign aid has had some negative consequence. The government has been accused of providing military support to rebels in the nearby country. Many people reason that this would not be possible if the government did not have sufficient funds (Murphy, 2013).

References:

Cunningham, E. D. (2011). Barriers to peace in civil war. Cambridge, MA: Cambridge University Press

Manson, K., & Wallis, W. (2012). Rwanda seeks to reduce reliance on aid. The Financial Times. Retrieved from http://www.ft.com/intl/cms/s/0/57e6aea2-f75e-11e1-8e9e-00144feabdc0.html#axzz3foyA8UWy

Murphy, T. (2013). Why Blair and Buffet are wrong about Giving International Aid to Rwanda. Retrieved from http://www.theguardian.com/world/2013/apr/12/rwanda-kagame-blair-aid

Polman, L. (2011). War games: The story of aid and war in modern times. Penguin Books Limited

USAID (2015). History of USAID/Rwanda. Retrieved from http://www.usaid.gov/history-usaidrwanda