Thursday 13 January 2011

Should India still receive UK tax payers' money?

India has been receiving more British aid since 1998, than any other country - That is a staggering total of £1.5bn in the last 5 years!


AID: What is it for?
         Who should get it?
         What should they use it for?


On one hand, here is a country which, as Andrew Mitchell, the UK secretary for international development, puts it, "is roaring out of poverty". It is the 11th largest economy in the world - spending $31.5bn on its defence budget and $1.25bn on a space programme. . .
So why, in these difficult economic times is the British Government giving aid to India?


On the other hand, India is counted as one the 22 UK priority countries in its aid programmes. Conservatives class India as a prime example for their "charity begins and ends at home" approach. 


When Mitchell came to office, he made a great fuss about cutting aid programmes to China and Russia. India was to be added to the list, but No. 10 prevailed. 









India is still regarded by the UK public as a poor country, despite its recent economic growth and global power. 
Is this perception correct? Maybe so - I mean, a third of the world's poor live in India - more than those in Sub-Saharan Africa. Shockingly, half of all Indian children are malnourished. So, if aid is about relieving poverty, UK aid to India is justified?!

However, India is now so prosperous that it has in fact started a significant overseas aid programme of its own. India is actually thinking of refusing our aid.
India "seems to have become increasingly tired of being cast in the role of recipient."
There has been some speculation in India that the UK deliberations could be short circuited by India itself deciding it no longer wants British aid - refusing and delivering all which is conditional on things such as government reform. 


Should this mean that this 'unwanted' aid could be put to use elsewhere?


In Haiti for example - this devastating earthquake that struck a year ago, that killed more than 230,000 and abolished an already fragile infrastructure. 


I am not at all implying that we have not given aid and supported Haiti - we most certainly have! In fact, the UK Government has spent £20m to support the people of Haiti. 


This issue will be considered by the UK Parliament's select committee on international development this week. This should be a straightforward issue - but it is most definitely isn't!!


The Guardian reported that one key expert admitted that they change their minds from backing to ending aid to India every other day - Well, a lot of money is at stake. . . 


  



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