Week Six — Malawi, Democratic Republic of Congo, and Foreign Aid

Consolidated Appeals Process and CHAP

The Consolidated Appeals Process (CAP) helps aid organizations plan and coordinated to respond to disasters or emergencies occurring in developing countries. They create action plans or the Common Humanitarian Action Plan (CHAP). This outlines responses to help respond to emergency situations, and prevent future emergency situations within developing countries.

There has been one flash appeal for Malawi in 2005 that was created to “minimize the likelihood of another food-shortage driven humanitarian crisis.” The plan called for donations to provide food to meet immediate needs and to develop agricultural inputs for small farmers with the goal of achieving long-term food security.

For the Democratic Republic of Congo, there has been a Common Humanitarian Action Plan every year since 2006. Each one outlines structural changes in institutions to provide long-term economic security.

Gross National Income (GNI)

Malawi’s GNI has been declining since 2010, when it was $350 million (in US dollars). In 2013, Malawi’s GNI was $270 million.

The Democratic Republic of Congo’s GNI has been increasing within the past five years. In 2010 the country’s GNI was $320 million (in US dollars). It rose to $430 million by 2013.

Financial Commitments by Developed Countries

Fifteen developed countries from the European Union committed to donate at least 0.7% of their GNI as official development assistance to underdeveloped countries in 2005. Official development assistance (ODA) is a measure that is used aid target assessments of aid performance in underdeveloped countries. Oxfam calls for all developed countries to meet this minimum donation of 0.7% of GNI for foreign aid.

Official Development Assistance (ODA)

In Malawi the top contributor to ODA is the United States.

From 2012-2013, the US gave $191.3 million (in US dollars) to Malawi. Other top contributors include the United Kingdom, the World Bank’s International Development Association, and EU Institutions. The IMF ranks among the lowest of the top ten contributors with $29.8 million in aid.

In the Democratic Republic of Congo the top contributor to ODA is the International Development Association.

From 2012-2013, the IDA gave $461.6 million (in US dollars) to the Democratic Republic of Congo. Other top contributors include Germany, EU institutions, and the US.

Although the US is only the fourth top contributor of foreign aid to the Democratic Republic of Congo, they still provided almost $100 million more to Congo than Malawi.

More about USAID

Currently, the United States gives 0.7% of the federal budget to foreign aid. This was $30.55 million in the year 2012. The US is the largest donor for Malawi with $191.3 million, and it’s the fourth largest donor for the Democratic Republic of Congo with $277.2 million.

Policy Coherence for Development (PCD)

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