Aid, debt and Loans

Development aid

Aid that can be in the form of money, food, goods, advice and technical assistance.

International aid

Any form of assistance provided by one country or multilateral institution to another.

Bilateral aid

The provision of assistance from one country to another country from governments.

Multilateral aid

Financial assistance provided by multiple countries or international organisations to support development projects in recipient states.

U.S. aid to other countries in 2015

In 2015, America provided 31 billion dollars to more than 40 countries, with significant aid going to Mexico and Pakistan.

Congressional military aid to Pakistan

The US military is cancelling 300 million dollars in aid to Pakistan over Islamabad’s failure to take action against military groups and terrorist networks.

IMF's role in lending money

The IMF lends money to provide economic health checks, maintain stability, and offer cheaper loans than other sources.

Conditions for IMF assistance

Countries may request IMF assistance if their economies cannot keep up, if they waste money, or if there are issues like insufficient tax revenues.

Issues with Argentina's 50 billion loan

The loan has led to protests and may worsen the recession, with inflation above 30 percent and the peso losing more than half its value against the dollar.

Benefit of debt relief programmes

Debt relief programmes can lead to free healthcare, increased budget resources, and improvements in sectors like health, education, and sanitation.

HIPC initiative

Heavily Indebted Poor Countries (HIPC) initiative was created in 1996 to ensure no poor country faces an unmanageable debt burden, requiring countries to meet specific criteria.

Countries receiving substantial debt relief

Countries like Mexico and Brazil have received significant debt forgiveness, with Mexico receiving 7.48 billion dollars.