Wednesday, January 15, 2014

Haiti earthquake: where is US aid money going?

American companies and NGOs continue to receive the lion's share of US aid funding for projects in Haiti four years after the earthquake that levelled the capital Port-au-Prince, despite US government promises to spend more money through local organisations.

Data released by the US agency for international development (USAid) last year shows it spent more than $270m on projects in Haiti in 2013, with US-based companies receiving almost half of this and American non-profits a further 37%. One Washington-based company, Chemonics International, received more than $58m of USAid funding for agriculture, infrastructure and other projects.

Critics have argued for years that donors' practice of spending aid money through organisations located in their own countries has hampered efforts to build self-sufficiency abroad, and works to the detriment of local businesses and industries.

Economists say the impact of donor funds has drastically altered the business ecosystem, with mixed results locally.

No comments:

Post a Comment