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This is an archived USAID document retained on this web site as a matter of public record.
The full measure of U.S. development assistance
>> Foreign Aid in the National Interest >> Overview >> The full measure of U.S. development assistance Jump to Overview Sections:
>> 50 years of development gains >> Promoting democratic governance >> Driving economic growth >> Improving people's health >> Mitigating and managing conflict >> Providing humanitarian assistance >> The full measure of U.S. development assistance-official and private >> Notes >> Background papers >> ReferencesAlthough this assistance far surpasses official government aid, the data are weak, and the development community knows little about its nature, flow, and the full amounts involved. Donor agencies understand that private international assistance no longer means only relief efforts or missionaries working in isolated villages. Today, this assistance means dollars transferred directly to Salvadoran families from their relatives in America so that they can buy good healthcare and education. It also means dollars starting up indigenous foundations in Kenya that involve community members in creating grants. The size and the impact of private international giving creates new opportunities for development agencies. By learning more and working with this vast private army for assistance, USAID can enhance its effectiveness and define its comparative advantage and role in the 21st century.
Table 3 summarizes all U.S. government international assistance and U.S. private international assistance for 2000, 2005, and 2010. The figure for official development assistance in 2005 does not include additional amounts, still to be decided, for the Millennium Challenge Account, which is to increase that official assistance by $5 billion a year in 2006 and thereafter. Private international giving is not well documented and all categories are underestimated. The table therefore provides a range from the lowest estimates supported by the research to reasonable higher estimates suggested by known gaps in the research. This range of numbers provides a starting point for estimating private international giving.
Foundations. In 1998 all foundations gave an estimated $1.6 billion to international activities, a 66 percent increase from 1994. Since the latest surveys are for 1998, they do not reflect the large international grants by the Bill and Melinda Gates Foundation and by Ted Turner’s UN foundation between 1999 and 2001. These two foundations alone give at least $350 million a year to international projects.
Assuming a modest international giving growth rate of 25 percent rather than the robust rate of 66 percent it knew in the 1990s, foundation giving could reach $2.5 billion in 2006 and $3.1 billion in 2010. Foundation reporting is underestimated since not all of the smaller foundations report. In addition, corporate foundations have underreported or not reported at all for surveys. With better data collection, projected levels will be even higher.
Corporations. The full scope of international corporate giving is unknown. It may well be that not even a small portion of it has been captured. Because these expenditures are relatively new and because of different tax, management, and accounting systems overseas, they are difficult to track. The two latest and most complete studies cover only a small sample, with just over 200 companies included in each. In one sample of 209 U.S. companies, only 83 reported making international contributions and only 74 provided more details for the analysis.
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Last Updated on: October 07, 2009 |