50 SOCIAL SCIENTIST
DONORS: BILATERAL AND MULTILATERAL AGENCIES
There has been a change in bilateral and multilateral aid both in terms of quantity and composition, table 1 gives a picture of changing pattern of foreign aid over past decades:
Table 1: ODA from DAC Countries During 1978/83-93
1978-83 1983-88 1989 1990 1991 1992 1993
(A) $billion current prices
and exchange rates
Total ODA 24.3 34.5 45.7 53.0 56.7 60.8 54.8
Bilateral aid 16.2 24.0 32.9 37.2 41.3 41.2 37.6
Multilateral aid 8.1 10.5 12.8 15.8 15.4 19.6 17.2
(B)$billion 1992 priices
and exchange rates
Total ODA 43.9 52.4 56.1 58.2 60.1 60.8 56.1
Bilateralaid 29.2 36.2 40.1 40.9 43.8 41.2 38.4
Multilateral aid 14.7 16.2 16.0 17.3 16.3 19.6 17.7
(C) Percentage change
over previous year 1992
prices and exchange rates
Total ODA 4.9 1.7 -1.1 3.7 3.3 1.0 -7.8
Biilateral aid 4.8 3.1 3.8 2.1 6.6 -6.3 -7.0
Multilateral aid -1.2 -1.9 -13.5 7.6 -5.6 16.5 -9.5
(D) As percentage of GNP
Total ODA 0.34 0.33 0.32 0.33 0.33 0.33 0.29 Bilateralaid 0.23 0.23 0.23 0.23 0.24 0.23 0.20 Multilateral aid 0.11 0.10 0.09 0.10 0.09 0.10 0.09
Source: Derived from OECD Data as cited in Adrian Hewitt (ODI Special Report): 1994 p.3
From the above Table, it is evident that during 1978/83-92 at current prices total ODA, bilateral aid, and multilateral aid all increased almost two and half times but all substantially declined in 1993—in total a decline by 6 billion dollars.
Secondly, multilateral aid has been declining over previous years (at 1992 prices) during 1978-83,1983-88,1989,1991 and 1993 whereas total ODA declined only in 1989 and 1993 and bilateral aid only in 1992 and 1993.
Thirdly, the share of multilateral aid has been about 30% and that of bilateral aid 70% during this period.
Finally, total ODA, bilateral aid, and multilateral aid as percentage of GNP also declined from 0.34% to 0.29%, from 0.23% to 0.20%, and from 0.11 % to 0.09% respectively. This decline is of much concern against the UN target of donor's aid contribution of 0.7% of GNP during times of economic growth.
Again total ODA declined to $45.7 billion in 1994 and increased to $53.0 billion in 1995 and further declined to a very low level of $40.8 billion in 1996 (World Bank 1997; 3). Why is it so? For the dramatic decline in ODA three factors seem to have worked: first, with the fall of Berlin wall in 1989 and the disintegration of USSR in 1991, the prevailing cold war ended, and copse-