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Home >> Aid >> Aid And Developing Countries

Aid And Developing Countries

Official aid and developing countries go hand in hand for the overall development of the world. In 2004, the overall official aid to developing countries climbed up by 4.6 percent. A report by OECD (Organization for Economic Cooperation and Development) confirmed that U.S. still staying on as the largest aid donor in the world.

Development aid is generally given by governmental and economic agencies to support and enhance the socioeconomic condition of the developing countries. Development aid may also come from international organizations such as the World Bank.
OECD Reports
The organization for Economic Cooperation and Development (OECD) reveals that in 2004, the official aid by donor countries to developing countries climbed up to a record $78 billion mark.

OECD also reported that the amount of Official Development Assistance (ODA) showed an an increase of 4.6% from 2003 to 2004, following a growth of 4.3% from 2002 to 2003. In 2004, the Official Development Assistance from U.S. amounted to $19 billion, which was 14.1% increase from 2003.

Leading Aid donor countries
The leading aid donor countries include USA, Japan, France, UK and Germany. The member countries of OECD's Development Assistance Committee have shown tremendous performances on expanding bilateral aid to developing countries.

Statistical data regarding aid to developing countries in 2004

In 2004:
  • The overall contribution to international organizations climbed up by USD 3.7 billion
  • The overall amount of aid to Afghanistan and Iraq climbed up by USD 1.5 billion
  • The technical co-operation grants climbed up by USD 1.2 billion
  • The gross debt relief grants dropped by USD 2.1 billion and the net lending dropped by USD 1.3 billion.
In 2004: Growth of aid by leading EU (European Union) countries
  • Austria showed a growth rate by 22 percent
  • Greece showed 13.1% growth
  • Luxembourg showed 10.5% growth
  • Portugal showed 187.5% growth
  • Spain showed 14.5 percent growth
  • United Kingdom showed a growth rate by 8.8%
In 2004, the Official Development Assistance by other DAC( Development Assistance Committee) members were as follows:

The official development assistance by Australia grew by 2.3%, Canada showed a growth rate by 12.2% and New Zealand showed 8.2% growth rate.
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