1. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER Lindsay Whitfield Project Senior Researcher, DIIS Presentation of The Politics of Aid

2. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER Why aid has had a limited impact 1.Some policy advice and conditions have been inadequate, irrelevant or wrong 2.A lot of aid goes to non-productive sectors 3.A lot of aid intended for productive sectors is used in non-productive ways 4.Aid is a game

3. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER The Politics of Aid: African strategies for dealing with donors IntroductionAid and Sovereignty, Lindsay Whitfield and Alastair Fraser Chapter 1Negotiating Aid, Lindsay Whitfield and Alastair Fraser Chapter 2Aid Recipient Sovereignty in Historical Perspective, Alastair Fraser Chapter 3Understanding Contemporary Aid Relationships, Alastair Fraser and Lindsay Whitfield Chapter 4Botswana: The African Success Story, Gervase Maipose Chapter 5Ethiopia: Retaining Sovereignty in the Face of Aid, Xavier Furtado and Jim Smith Chapter 6Rwanda: Milking the Cow? Creating Policy Space in Spite of Aid Dependence, Rachel Hayman Chapter 7Ghana: Breaking out of Aid Dependence? Economic and Political Barriers to Ownership, Lindsay Whitfield and Emily Jones Chapter 8Mali: Origins, Patterns and Limits of Donor-driven Ownership, Isaline Bergamaschi Chapter 9Mozambique: Contested Sovereignty? The Dilemmas of Aid Dependence, Paolo de Renzio and Joe Hanlon Chapter 10Tanzania: A Genuine Case of Recipient Leadership in the Aid System?, Graham Harrison and Sarah Mulley with Duncan Holtom Chapter 11Zambia: Back to the Future?, Alastair Fraser Chapter 12Aid and Power: A Comparative Analysis of the Country Studies, Lindsay Whitfield ConclusionChanging Conditions?, Lindsay Whitfield

4. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER In defence of sovereignty ‘“Paternalism is the greatest despotism imaginable.” This is so because it is to treat men as if they were not free, but human material for me, the benevolent reformer, to mould in accordance with my own, not their, freely adopted purpose.’ Isaiah Berlin, Two Concepts of Liberty (1958), Oxford: Clarendon Press, p.22, quoting Immanuel Kant In fact, of course, not every independent state is free, but the recognition of sovereignty is the only way we have of establishing an arena within which freedom can be fought for and (sometimes) won. It is the arena and the activities that go on within it that we want to protect, and we protect them, much as we protect individual integrity, by marking out boundaries that cannot be crossed, rights that cannot be violated. As with individuals, so with sovereign states: there are things that we cannot do to them, even for their own ostensible good. J.S. Mill, paraphrased in Walzer (1977: 89)

5. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER Simplified model of an aid negotiation Recipient Negotiating Strategies Derived from perceptions of relative negotiating capital and policy preferences Aid Agreements Priorities, terms and conditions of transfer Donor Negotiating Capital Derived from economic, political, ideological & institutional prior conditions Donor Negotiating Strategies Derived from perceptions of relative negotiating capital and policy preferences Recipient Negotiating Capital Derived from economic, political, ideological & institutional prior conditions Implementation Phase Outcomes Relative degrees of donor and recipient control over implemented policy

6. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER Conclusions of the country studies: Assessing the degree of control Botswana Ethiopia Rwanda Strongest Weakest Spectrum of Government Control in the Country Studies Ghana, Zambia, Mali, Tanzania, Mozambique

7. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER Aid dependence of case countries

8. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER Explaining the degree of control Debt & Balance of payments crises in early 1980s Rwanda & Weak group Botswana & Ethiopia Rwanda Mozambique, Tanzania, Ghana, Mali, & Zambia Different economic conditions Different ideological, political, & institutional conditions Strong national development vision Strong bureaucracy Centralized aid management Geo-strategic importance Moral high ground State of permanent negotiation Institutional entanglement Politics of aid dependence

9. DIIS ∙ DANSK INSTITUT FOR INTERNATIONALE STUDIER Perverse outcomes of aid reforms  Instead of decreasing the bureaucratic burden of aid management for recipient governments, increasing it.  Instead of strengthening and using recipient government systems, intensifying institutional entanglement.  Instead of increasing ownership, expanding donor participation and creating norms that legitimize it.