When considering many of today’s outstanding problems hampering the efficient distribution and targeting of foreign development aid, it is important to ask whether or not the time has come for a major reassessment in how international organisations committed to improving the plight of the world’s poor construct their priorities and policies towards development. Have donours from the developed world become too complacent in their faith and reliance upon outdated models and flawed approaches which have compromised their abilities to improve the access of those in the developing world to life-sustaining goods and services?

In a perspective-altering book written by former World Bank economist William Easterly, The White Man’s Burden, the author provides valuable insights concerning the pitfalls behind the procedural and policy-oriented failures in the dissemination of foreign aid. A great portion of his work can be seen through the lens of his concern for a growing disconnect present between the top down decisions made by aid organisations and the needs of those for whom aid is designed. The existence of organisations which are established to foster substantive change in improving the world wide living standards of individuals have had a difficult time in living up to their goals. Hence the standards through which the composition and value of aid organisations are assessed must be based on their responsiveness to the specific needs of those who live in areas of crisis as well as to the practical methods through which they seek to implant their agendas.

As it is difficult to imagine a world completely devoid of poverty, there will always be a critical need for foreign aid actors to exist and function efficiently. However, getting them to do so is the challenge. As it seems to be within the nature of most bureaucracies to avoid accountability, they often take on policies and agendas which often fall into great dissonance with the interests and general welfare of those who they seek to help. This phenomenon occurs as a result of many factors.

One particular cause for this can be explained by the current lack of independent oversight presiding over such organisations. Typically, as most oversight that takes place concerning the performance of aid agencies is internal, the necessary impetus to induce substantive changes in how such organisations operate is lacking.

One approach toward addressing this problem is to demand that aid agencies seek more external supervision over their own affairs which would put greater pressure and incentives on aid agencies to be more organised, accountable and responsible in their efforts to reach the poor. Easterly makes a similar case as he writes, “What aid agencies do today is mostly self- evaluation, 60 years … after the founding of the World Bank and IMF, independent is long overdue … how about if aid agencies and international organisations put some of their budget into an escrow account, which would fund independent evaluators to look at a random sample of their projects and programs?” Having independent scrutiny over aid agencies is likely to prevent conflicts of interest that occur when aid organisations are left to supervise themselves.

Greater pressure from supporting donour nations and the public that would require aid organisations to hire independent inspectors to observe, make recommendations and hold aid organisations accountable for their distribution techniques needed to prevent this circumstance from happening. If this does not occur, citizens of the world will continue to remain misguided by the quantity over quality conception of development which assumes that an increase in the amount of money allocated for development signifies progress in development.

Aid organisations similar to that of corporations should embark with a greater entrepreneurial spirit as a means to better determine what is in demand concerning the day to day needs of people living in economic penury. The practical ramifications and implementation of this idea must be clarified and carefully monitored. For it to be useful, the standards used by aid organisations to assess demand must go beyond the local market price that people are willing to pay for a good. For example, if foreign aide organisations such as corporations search for ways to make use of the opportunities to develop grass root affiliates by contracting with small business owners in areas deserving of attention, as a means to determine the local demand for specific goods, such practices would be highly effective.

 Easterly, in his book,provides an account on Shell’s charitable wing, the Shell Foundation, as an example which exhibits the potential techniques that could be used by aid organisations through the use of market-based approaches to address problems facing people in the developing word. Improving indoor smoke-related problems, Shell was able to distribute stoves through specialised financial paying arrangements (micro credit and accepting payments in goods rather than cash.) This is an example of how an entrepreneurial model would enable foreign aid organisations to adapt to the need of their desired aid recipients.

Another reason behind the successful responsiveness of this endeavor was due to Shell’s employment and reliance on local citizens who had direct knowledge of the issues and needs on the ground. This only further substantiates the idea that increasing the flow of information and knowledge of facts on the ground can directly boost the economy of a nation in need.

An important factor worth considering is the need to build incentives and social institutions that promote organic growth, creativity and subsistence within the societies that are in need of development assistance. This is critical because it can prevent the addiction of countries to foreign aide. As the saying goes, familiarity breeds contempt and corruption, continuing to give money to specific individuals or organisations over an extended period of time promotes a lack of responsibility amongst private companies and local government which should ultimately be responsible for attending to the needs of its constituents and local markets. Whether this dynamic be expressed through a particular branch of a foreign nation’s government or any other type independent organisation, preventing poor nations from falling victim to an indefinite and unqualified social welfare mentality based of the financial intervention of other nations is critical.

On the other hand, it would also be unrealistic to assume that governments should be excluded in dealing with foreign aid organisations. There should always be mechanisms set in place for governments to rely upon in order to maintain influence over the foreign aide endeavors that take place within their nations. A complete ignorance of this need and tendency would produce an ugly power struggle amongst citizens and their governments. The need for improvements in the dissemination of foreign aid is great, the challenge is arduous, and the patience and time required for a serious restructuring of changes is extensive. The real question remains, what are we to do in the mean time and how can we use our growing globalised world to assist in this process?