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1 | P a g e
Source of Finance Analysis for India: An ODA Analysis
Background:
India is one of the most Official Development Assistance (ODA) beneficiary countries in the
world, India taken most of its ODA from Japan and other ODA provider countries and
organizations including United Kingdom, IDA, Germany, Global Fund, EU, Institutions Bill &
Melinda Gates foundation and United States etc. India’s maximum amount of ODA is
undertaken by the bilateral agreement as including project and program aid, technical
cooperation, development food aid, debt relief and humanitarian aid.
India’s receiving ODA finance helps to develop the economic infrastructure and human resource
development as well as the development of social development infrastructure (education, public
health and sanitation) that improves the living standards of local communities along with helping
to achieve the Millennium Development Goals (MDGs). Therefore, ODA and other financial aid
is very essential fund to achieve the Sustainable Development Goals (SDGs) to the post – 2015.
India’s ODA Analysis:
ODA finances are reflected in the economic infrastructure of the country and it particularly help
to progress the living standards of the country like achieving the MDGs. ODA ids the main
financial source to achieve economic and social standards that come from the international
financial sources.
India - Sources of ODA: Top 10 Donors of Net ODA Disbursements (US$M):
Financing for development is needed in each country. It's needed globally. It's needed for the
public sector, private investment. The financing for development approach that we want to take
is that we need to focus both on more financing and on effective financing. (Week 1, Second
Video).
Figure: 1
2 | P a g e
Source: OECD/DAC, Cited: aidflows.org
The figure (1) shows that ODA is still the main source of development finance that is used to
ensure the development activities of India. By recipient’s side, Indian’s main sources ODA come
from Japan, United Kingdom, Germany, and United States respectively. Japan is the largest
ODA donor country of India, at the same time, lowest ODA finance come from GEF out of top
ten donors.
India – Uses of ODA: Gross Disbursements by Sector (in US$M):
Development finance is very important to promote the economic infrastructure and social
welfare for each country. It comes from two sources such as domestic and international sources.
And what we see in developing countries is that the amount of tax, for instance, that lead to raise
around 17% of GDP on average whilst in OECD countries, the average is around 35% and
difference between 17% and 35% in a sense represents a massive opportunity for developing
countries to access more resources from their own people and applying those resources to
development objectives (week 2, one video).
The table (1) shows how ODA use in different sectors by Indian development expenditure for the
year 2007 to 2011. Economic infrastructure and services is the top expenditure sector from 2007
to 2011, on an average, it expenditure is US$ 1014.31. As is presented on the table, education,
health and population and humanitarian aid sector is the most common by the ODA expenditure
side.
0 100 200 300 400 500 600 700
Japan
United Kingdom
IDA
Germany
Global Fund
EU Institutions
Bill & Melinda gates…
United States
UNICEF
GEF
615.14
538.15
349.75
270.79
143.87
94.52
91.42
65.24
39.77
33.08
3 | P a g e
Table: 1
Major Sector Name 2007 2008 2009 2010 2011 Average
Action relating to debt 0.00 0.00 0.00 0.00 0.00 0.00
Administrative costs 4.75 7.20 5.82 4.57 0.00 4.468
Economic infrastructure and
services
880.13 1223.07 1231.02 1736.36 0.09
1014.13
Education 285.60 482.99 770.53 545.19 6.28 418.118
Health and population 685.61 648.67 776.19 773.03 198.57 616.414
Humanitarian aid 30.12 40.27 31.07 21.95 2.74 25.23
Multi-sector/cross-cutting 182.27 208.82 197.99 294.77 20.29 180.828
Other social sectors 566.86 779.21 510.27 706.44 11.30 514.816
Production sectors 303.59 551.25 692.70 561.96 0.00 421.9
Program assistance 35.67 22.24 23.60 4.10 0.06 17.134
unallocated/unspecified 95.37 12.67 18.57 14.02 0.00 28.126
Source: OECD/DAC, Cited: aidflows.org
Net ODA received per capita (current US$):
Net official development assistance (ODA) per capita consists of disbursements of loans made
on concessional terms and grants that are used to promote economic development and welfare in
countries and territories in the Development Assistance Committee (DAC) list of ODA
recipients.
Figure: 2
Source: OECD/DAC, Cited: aidflows.org
The figure (2) shows total net ODA disbursements per capita of India’s trend which trend is
volatile from 2002 to 2007, but after 2007, ODA disbursement per capita is increasing to
increasing trend.
4 | P a g e
To be sum up, India is not on track to meet its Millennium Development Goals properly. We
agree with the current allocation of ODA in this country development, but ODA expenditure will
to be different way to achieve the social and environmental standards that directly linked with
the Sustainable Development Goals (SDGs). Finally, we think that finance of public domestic
and domestic private will be the main concern to achieve the financial success through ensuring
its proper and effective use.

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Source of finance analysis for india edited by ayub

  • 1. 1 | P a g e Source of Finance Analysis for India: An ODA Analysis Background: India is one of the most Official Development Assistance (ODA) beneficiary countries in the world, India taken most of its ODA from Japan and other ODA provider countries and organizations including United Kingdom, IDA, Germany, Global Fund, EU, Institutions Bill & Melinda Gates foundation and United States etc. India’s maximum amount of ODA is undertaken by the bilateral agreement as including project and program aid, technical cooperation, development food aid, debt relief and humanitarian aid. India’s receiving ODA finance helps to develop the economic infrastructure and human resource development as well as the development of social development infrastructure (education, public health and sanitation) that improves the living standards of local communities along with helping to achieve the Millennium Development Goals (MDGs). Therefore, ODA and other financial aid is very essential fund to achieve the Sustainable Development Goals (SDGs) to the post – 2015. India’s ODA Analysis: ODA finances are reflected in the economic infrastructure of the country and it particularly help to progress the living standards of the country like achieving the MDGs. ODA ids the main financial source to achieve economic and social standards that come from the international financial sources. India - Sources of ODA: Top 10 Donors of Net ODA Disbursements (US$M): Financing for development is needed in each country. It's needed globally. It's needed for the public sector, private investment. The financing for development approach that we want to take is that we need to focus both on more financing and on effective financing. (Week 1, Second Video). Figure: 1
  • 2. 2 | P a g e Source: OECD/DAC, Cited: aidflows.org The figure (1) shows that ODA is still the main source of development finance that is used to ensure the development activities of India. By recipient’s side, Indian’s main sources ODA come from Japan, United Kingdom, Germany, and United States respectively. Japan is the largest ODA donor country of India, at the same time, lowest ODA finance come from GEF out of top ten donors. India – Uses of ODA: Gross Disbursements by Sector (in US$M): Development finance is very important to promote the economic infrastructure and social welfare for each country. It comes from two sources such as domestic and international sources. And what we see in developing countries is that the amount of tax, for instance, that lead to raise around 17% of GDP on average whilst in OECD countries, the average is around 35% and difference between 17% and 35% in a sense represents a massive opportunity for developing countries to access more resources from their own people and applying those resources to development objectives (week 2, one video). The table (1) shows how ODA use in different sectors by Indian development expenditure for the year 2007 to 2011. Economic infrastructure and services is the top expenditure sector from 2007 to 2011, on an average, it expenditure is US$ 1014.31. As is presented on the table, education, health and population and humanitarian aid sector is the most common by the ODA expenditure side. 0 100 200 300 400 500 600 700 Japan United Kingdom IDA Germany Global Fund EU Institutions Bill & Melinda gates… United States UNICEF GEF 615.14 538.15 349.75 270.79 143.87 94.52 91.42 65.24 39.77 33.08
  • 3. 3 | P a g e Table: 1 Major Sector Name 2007 2008 2009 2010 2011 Average Action relating to debt 0.00 0.00 0.00 0.00 0.00 0.00 Administrative costs 4.75 7.20 5.82 4.57 0.00 4.468 Economic infrastructure and services 880.13 1223.07 1231.02 1736.36 0.09 1014.13 Education 285.60 482.99 770.53 545.19 6.28 418.118 Health and population 685.61 648.67 776.19 773.03 198.57 616.414 Humanitarian aid 30.12 40.27 31.07 21.95 2.74 25.23 Multi-sector/cross-cutting 182.27 208.82 197.99 294.77 20.29 180.828 Other social sectors 566.86 779.21 510.27 706.44 11.30 514.816 Production sectors 303.59 551.25 692.70 561.96 0.00 421.9 Program assistance 35.67 22.24 23.60 4.10 0.06 17.134 unallocated/unspecified 95.37 12.67 18.57 14.02 0.00 28.126 Source: OECD/DAC, Cited: aidflows.org Net ODA received per capita (current US$): Net official development assistance (ODA) per capita consists of disbursements of loans made on concessional terms and grants that are used to promote economic development and welfare in countries and territories in the Development Assistance Committee (DAC) list of ODA recipients. Figure: 2 Source: OECD/DAC, Cited: aidflows.org The figure (2) shows total net ODA disbursements per capita of India’s trend which trend is volatile from 2002 to 2007, but after 2007, ODA disbursement per capita is increasing to increasing trend.
  • 4. 4 | P a g e To be sum up, India is not on track to meet its Millennium Development Goals properly. We agree with the current allocation of ODA in this country development, but ODA expenditure will to be different way to achieve the social and environmental standards that directly linked with the Sustainable Development Goals (SDGs). Finally, we think that finance of public domestic and domestic private will be the main concern to achieve the financial success through ensuring its proper and effective use.