ABSTRACT

Aid, by its very definition, is a manifestation of inequality. Could aid then be improved by recognizing its various forms of inequality, including the unequal distribution of power? Being poor usually means being powerless; but the aid system is dominated by the interests of the powerful, as opposed to the powerless. Aid has historically been influenced by political processes, the world economic environment, commercial and political interests, as well as the success or failure of poverty reduction initiatives. But change within this system has not been linear and although trends can be identified, development agencies have reacted with a diversity of approaches and behaviours. What has emerged is a complex system of aid based on competing demands, operating within a wider, unpredictable global system. This ‘big picture’ matters in the politics of aid allocation and in the construction of the aid system.