'Emerging donors' and the changing landscape of development, by Emma Mawdsley

The ‘emerging donors’ and the changing landscape of development Emma Mawdsley

Development in the next 50 years Context : the changing geographies of economic and political power (and their impacts on development) BRICs: Brazil, Russia, India, China

The ‘Asian Drivers’ Framework
Direct impacts: Many of the key impacts of the Asian Drivers are felt as a consequence of direct bilateral links. For example:
China and India export products to other low-income economies which may lower consumer prices, and supply cheap machinery and inputs
Commodity-rich economies may gain by exporting to the Asian Drivers
Foreign Direct Investment from the Asian Drivers may enhance productive capabilities
China, India (and many others) offering foreign aid and debt relief to poorer countries

The ‘Asian Drivers’ Framework
Indirect impacts: Other impacts are more indirect in nature, and are experienced in third-country or global settings: For example:
Chinese manufactured exports make export-oriented manufacturing much more difficult for other countries
Commodity producers may not export directly to the Asian Drivers, but may gain indirectly as a consequence of higher world prices resulting from rising Asian Driver demand in global markets
India’s acceptance of global intellectual property rights in pharmaceuticals reduces the availability of low-cost generics drugs

Direct Complementary Competitive Indirect Cheap Chinese exports good for poorer consumers Indian demands for a fairer world trade system might help lower agricultural barriers for all LDCs Mexican maquiladora workers lose jobs as manufacturing migrates to China The BRICs resist climate change progress – bad news for Africa

Direct Complementary Competitive Indirect Indian demands for a fairer world trade system might help lower agricultural barriers for all LDCs Mexican maquiladora workers lose jobs as manufacturing migrates to China The BRICs resist climate change progress – bad news for Africa Aid?

Direct Complementary Competitive Indirect Indian demands for a fairer world trade system might help lower agricultural barriers for all LDCs The BRICs resist climate change progress – bad news for Africa Aid? Cheap Chinese exports good for poorer consumers

DEVELOPMENT ASSISTANCE COMMITTEE (OECD) members Australia, Austria, Belgium, Canada, Denmark, European Commission, Finland, France, Germany, Greece, Ireland, Italy, Japan, Luxemburg, New Zealand, Norway, Portugal, South Korea, Spain, Sweden, Switzerland, The Netherlands, United Kingdom, United States.

The main non-DAC donors Brazil, Bulgaria, China, Cuba, Cyprus, Czech Republic, Estonia, Hungary, Iceland, India, Israel, Kuwait, Latvia, Lithuania, Malta, Mexico, Poland, Romania, Russia, Saudi Arabia, Slovak Republic, Slovenia, South Africa, Taiwan, Thailand, Turkey, United Arab Emirates, Venezuela

Typologies
a) OECD countries which are not members of DAC
(e.g. Turkey, Iceland, Korea, Mexico, Czech Republic, Hungary, Poland and Slovakia).
b) EU countries not members of the OECD
( Bulgaria, Cyprus, Estonia, Latvia, Lithuania, Malta, Romania and Slovenia)
c) The Middle Eastern OPEC countries
(e.g. Saudi Arabia, UAE, Libya)
d) The others
(e.g. Venezuela, Chile, Brazil, India, South Africa, Russia, Malaysia and Thailand)

Terminologies
‘ Emerging’ or ‘new’ donors?
Postcolonial donors?
Non-DAC donors?
‘ Development assistance’ or ‘foreign aid’
‘ Development partners’ or ‘donors’

Key points
There is no easy way to capture or categorise the diversity of the ‘non-DAC donors’ (or indeed, the DAC donors).
Although the NDDs have historically contributed a significant share of official aid, western academic and policy analysts have tended to overlook their roles and activities – something that is now changing.

Questions
1) What will be the impacts of the NDDs on humanitarian intervention, longer-term development, poverty reduction and economic growth in poorer countries?
2) What will be the impacts of the NDDs on the existing architecture of foreign aid – the ideologies, policies and practices of the dominant institutions, including the bilaterals, UN agencies, and NGOs of all varieties?
3) What part will NDD development assistance play in the changing global geographies of economic and geopolitical power that are taking place and predicted to accelerate?
4) What challenges does the (re-)emergence of the NDDs have for theorizing critical development studies?

`“In Africa and elsewhere, governments needing development assistance are skeptical of promises of more aid, wary of conditionalities associated with aid, and fatigued by the heavy bureaucratic and burdensome delivery systems used for delivery of aid. Small wonder that the emerging donors are being welcomed with open arms” (Woods 2008: 1220)

DAC donors ‘ Emerging ’ donors Charity Opportunity Moral obligation to the unfortunate Solidarity with other Third World countries Expertise based on superior knowledge, institutions, science and technology Expertise based on direct experience of pursuing development in poor country circumstances Sympathy for different and distant Others Empathy based on a shared identity and experience The virtue of suspended obligation, a lack of reciprocation The virtue of mutual benefit and recognition of reciprocity

DAC donors ‘ Emerging ’ donors Commercial and geopolitical self-interest Commercial and geopolitical self-interest Hegemony The challenge to hegemony National superiority National superiority Inadequate responses to gross inequality Growing differences in interests within the Third World Inadequate acknowledgement of past and present responsibility Interference in the sovereign affairs of other states

The symbolic power of aid
“ By refusing these gifts [foreign aid after the tsunami] India refused once again to enter into the subordinate role of a hopeless developing country dependent on foreign benevolence. Instead the refusal is the expression of a newly gained Indian self-consciousness of strength and independence” ( Bjerg 2005 p.17)

“ After Hurricane Katrina …Sri Lanka offered aid to the US. Even though it was only a small amount of money, this symbolic act was important for Sri Lanka to regain dignity and to escape from the status of a ‘pure’ recipient country, as a victim country. Now Sri Lanka had become a donor country. It also showed how Sri Lanka could feel compassionate to Westerners, being generous, within their capabilities, to the distant needy, but also able to rebalance the asymmetric relations that had developed after the tsunami, where Westerners were always donors and generous, and Asians were always recipients and forced to be grateful” Korf (2007: 370-1)

References
Manning, R. (2006) Will ‘Emerging’ Donors challenge the face of international co-operation? Development Policy Review 24 (4), pp.371-83.
Woods, N. (2008) ‘Whose aid? Whose influence? China, the emerging donors and the silent revolution in development assistance’ International Affairs 84(6): 1205-1221.
Mawdsley, in Randall et al (eds) (forthcoming) Politics in the Developing World. 3 rd edition.
Mawdsley, E. (2010) The Non-DAC donors and the changing landscape of foreign aid: the (in)significance of India's development cooperation with Kenya. Journal of Eastern African Studies 10 (1)
Kaplinsky, R. and Messner, D. (2008) Introduction: The Impact of Asian Drivers on the Developing World. World Development 36 (2) 197-209.
Kharas, H. (2007) The New Reality of Aid. Brookings Blum Roundtable 2007.
Mohan, G and Power, M. (2008) New African choices? The politics of Chinese engagement in Africa and the changing architecture of international development, Review of African Political Economy 35(1), pp. 23-42.

'Emerging donors' and the changing landscape of development, by Emma Mawdsley

by The Humanitarian Centre on May 20, 2010

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