ABSTRACT

Development aid has gone a long way in addressing some of the most fundamental problems facing developing countries. The aid is outpaced by the economic cost of state instability, fragility, and failure by a factor of almost four to one. This chapter first addresses the notion that aid is a critical driver of development. It discusses some of the theoretical foundations of approaches to development, followed by a discussion of the historical evolution of trends in development. The chapter focuses on issues of priorities, distribution, and assessment of impact of aid on global poverty. Finally, it provides a guide to development aid goals through brief examination of the Millennium Development Goals (MDGs) that the United Nations (UN) set for 2015, and a more detailed discussion of the emerging Sustainable Development Goals (SDGs), set for adoption by the UN General Assembly in 2014-2015 for achievement by 2030. This discussion addresses the areas of poverty, health, education, equality, agriculture, and urbanization.