Foreign Aid and Conflicts: The Effects of 9/11 on Donor Behavior
IMF Working Papers, January 17, 2025
Source details
- Canonical URL
- Foreign Aid and Conflicts: The Effects of 9/11 on Donor Behavior
Other formats
Bibliographic details
- Authors: Rabah Arezki, Youssouf Camara, Patrick A. Imam, Kangni R Kpodar
- Published: January 17, 2025
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9798400296161.001
Summary of research question and interpretation
- Explores the changing relationship between armed conflicts and non-military foreign aid.
- Interprets results as stemming from a shift in donors’ preferences induced by 9/11 attacks toward supporting conflict affected countries, "confirming the primacy of donors’ interests over recipient needs."
Main empirical findings
- The sign of the relationship linking (bilateral) aid commitments to the onset of armed conflicts in aid recipient countries is statistically significant and goes from negative to positive after the year 2001.
- Results are driven by grants rather than loans.
- Results are driven by aid for health and humanitarian purposes.
- Results are robust to numerous checks including:
- substituting armed conflicts with terror attacks,
- accounting for debt relief initiatives,
- using different estimators.
Subject areas and keywords (as stated)
- Subject: Aid flows, Crime, Development assistance, Foreign aid, Terrorism
- Keywords: Absorptive Capacity, Aid flows, Conflicts, d index donor country, Development assistance, donor behavior, donors' interest, East Africa, Foreign Aid, Global, recipient country, sign of the relationship, Terror Attacks, Terrorism
Content in this bundle
- Working Paper