International development agencies have failed miserably in their campaign to rid the Africa of widespread poverty, even after distributing billions of dollars in aid over the past half-century or so. Many economists argue that Africa needs a huge sum of foreign money for economic development. But the problem is that is Africa be able to digest aid into development? And how much money it actually reached to where it needed?
World Bank economists believed that a continental make-over for its public health, education, and infrastructure, is an only way for Africa to develop. By Building more village clinic, padlocked and unused, would be re-opened. More local schools need to be built, and a sustainable public transportation would allow the free flow of goods to market. This continental make-over require a huge sum of money. According to Mr. Easterly, the West has spent $450 billion on foreign aid to Africa over the past 40 years.
This money is seemingly enough to help the development of Africa. However, foreign Aid failed miserably over the past 40 years accounting to statistics; the growth would have been surpassed $20,000 per head in most Africa countries as predicted. In fact, despite decades of aid, the aid did not help Africa to grow, whereas, the standard of life, and economy decreased. If we look deeper into the issue, we will find out that human and financial capital outflow and corruption are the main problems of African's development. Accountings to the article, rich African invest 40% of their money outside of Africa. This means that a huge sum of money is not going into the reinvestment of African's economy. Despite the huge amount of Aid from western countries, Aid will not foster economic growth if income doesn't reinvest in the economy. Moreover, between 1991 and 1995, it...