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Foreign Aid in Bosnia 2003-2013

Has it reduced poverty?
Bosnian War 1992-95
Fall of Communism

Three sides
Over 100,000 deaths
Internal partition of the state
Massive infrastructural damage
Foreign aid in bosnia 2003 2013
Bosnia: Socio-economic Picture
Large mineral resources
Over $5 billion in FDI (2003-2011)
GDP per capita: $8300 (2012)
Economy weaker than in 1991

19.5% classified as poor
Women and rural dwellers vulnerable
Classed with High Human Dev (81st)
Percentage of population below
poverty line (UNDP)
30
25
20
15

FBiH
RS

10
5
0
Entities
Who Aids Bosnia?: Bilateral
EU: largest (100m annually*)

USA: civil society, market oriented
economic growth ($1.5b)
Sweden, Germany, Norway, Japan, I
taly, Switzerland
Total: $8 billion
Who Aids Bosnia?: Multilateral
 UNDP:
environment, water, youth, employment
($25m)
 Unicef: immunizations, children with
disabilities
 World Bank, IMF

 International NGOs:
GAVI, IDA, YBI, Amnesty
International, USIP, Save the
Children, CARE, Red Cross
Foreign Assistance Disbursements by
Fiscal Year
Disbursements (US$)
35
30
25
20

Disbursements
(US$)

15

10
5
0
2009 2010 2011 2012 2013
Category Disbursement Details,2013
US$ Millions
12
10
8
6
4
2
0

US$ Millions
Eradicate poverty and hunger
Promote business, monitor
budgets

Improved education
Primary to Secondary transition

Gender equality
Education system

Improve health
Technical and medical aid to
hospitals

Environmental Sustainability
Creation of EPA, better laws, landuse policy
 Justice sector reform
 Donating to initiatives

 Stability in the banking sector
 Financial and technical assistance

 Fiscal policy reform
 Energy sector reform
 Playing a lead donor role

 Election monitoring
 Supporting local government
 Lobbying efforts and local civil initiatives
 Provides training and technical assistance
in;
Youth program development,
Conflict management,
Youth civic engagement,
Helping youths find employment,
Repairing public buildings and
playgrounds, and
Promoting youth-led environmental
initiatives.
Aid Successes
 Strengthening and modernization of public
administration systems
 Strengthening of State institutions
 Centralised defence command and control
structures
 Roads, power supply, telecommunications, water
supplies, health and education infrastructure back
to near pre-war levels
 Growth fuelled by substantial donor aid (IMF)
Areas of little success
 Little development of the entrepreneurial
sector

 Poor structural reforms
 High levels of corruption
 Child mortality still short of MDGs

 60% leakage in water supply
 Low monthly wages
 Ranks very low of Global Competitiveness
indices (WEF)
Infant Mortality Rate
(deaths/1,000 live births)
25
20
15
10
5
0

Infant mortality rate
(deaths/1,000 live
births)
Literacy Rate
% OF PEOPLE AGES 15-24
99.9

99.8
99.7
99.6
99.5
LITERACY RATE - %
OF PEOPLE AGES 1524

99.4

99.3
99.2
99.1
99
98.9

2000

2008

2010

2012
Poverty rate (World Bank)
% of Population
25
20
15
% of
Population

10
5
0
2000

2004

2007
GDP per capita

World Bank (US$ in millions)
16,000.00
14,000.00
12,000.00
10,000.00

Croatia

8,000.00

Bosnia

6,000.00

Serbia

4,000.00

2,000.00
0.00
2003 2006 2009 2012
Conclusion
 No way of knowing what rates would be like
without the massive international aid donated
 Infant Mortality and Poverty rates have (by
most accounts) decreased
 GDP per capita is rising
 I conclude that the injection of aid probably
has had a positive effect, certainly has not
had a noticeable negative effect
 Opinion remains divided

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Foreign aid in bosnia 2003 2013

  • 1. Foreign Aid in Bosnia 2003-2013 Has it reduced poverty?
  • 2. Bosnian War 1992-95 Fall of Communism Three sides Over 100,000 deaths Internal partition of the state Massive infrastructural damage
  • 4. Bosnia: Socio-economic Picture Large mineral resources Over $5 billion in FDI (2003-2011) GDP per capita: $8300 (2012) Economy weaker than in 1991 19.5% classified as poor Women and rural dwellers vulnerable Classed with High Human Dev (81st)
  • 5. Percentage of population below poverty line (UNDP) 30 25 20 15 FBiH RS 10 5 0 Entities
  • 6. Who Aids Bosnia?: Bilateral EU: largest (100m annually*) USA: civil society, market oriented economic growth ($1.5b) Sweden, Germany, Norway, Japan, I taly, Switzerland Total: $8 billion
  • 7. Who Aids Bosnia?: Multilateral UNDP: environment, water, youth, employment ($25m) Unicef: immunizations, children with disabilities World Bank, IMF International NGOs: GAVI, IDA, YBI, Amnesty International, USIP, Save the Children, CARE, Red Cross
  • 8. Foreign Assistance Disbursements by Fiscal Year Disbursements (US$) 35 30 25 20 Disbursements (US$) 15 10 5 0 2009 2010 2011 2012 2013
  • 9. Category Disbursement Details,2013 US$ Millions 12 10 8 6 4 2 0 US$ Millions
  • 10. Eradicate poverty and hunger Promote business, monitor budgets Improved education Primary to Secondary transition Gender equality Education system Improve health Technical and medical aid to hospitals Environmental Sustainability Creation of EPA, better laws, landuse policy
  • 11. Justice sector reform Donating to initiatives Stability in the banking sector Financial and technical assistance Fiscal policy reform Energy sector reform Playing a lead donor role Election monitoring Supporting local government Lobbying efforts and local civil initiatives
  • 12. Provides training and technical assistance in; Youth program development, Conflict management, Youth civic engagement, Helping youths find employment, Repairing public buildings and playgrounds, and Promoting youth-led environmental initiatives.
  • 13. Aid Successes Strengthening and modernization of public administration systems Strengthening of State institutions Centralised defence command and control structures Roads, power supply, telecommunications, water supplies, health and education infrastructure back to near pre-war levels Growth fuelled by substantial donor aid (IMF)
  • 14. Areas of little success Little development of the entrepreneurial sector Poor structural reforms High levels of corruption Child mortality still short of MDGs 60% leakage in water supply Low monthly wages Ranks very low of Global Competitiveness indices (WEF)
  • 15. Infant Mortality Rate (deaths/1,000 live births) 25 20 15 10 5 0 Infant mortality rate (deaths/1,000 live births)
  • 16. Literacy Rate % OF PEOPLE AGES 15-24 99.9 99.8 99.7 99.6 99.5 LITERACY RATE - % OF PEOPLE AGES 1524 99.4 99.3 99.2 99.1 99 98.9 2000 2008 2010 2012
  • 17. Poverty rate (World Bank) % of Population 25 20 15 % of Population 10 5 0 2000 2004 2007
  • 18. GDP per capita World Bank (US$ in millions) 16,000.00 14,000.00 12,000.00 10,000.00 Croatia 8,000.00 Bosnia 6,000.00 Serbia 4,000.00 2,000.00 0.00 2003 2006 2009 2012
  • 19. Conclusion No way of knowing what rates would be like without the massive international aid donated Infant Mortality and Poverty rates have (by most accounts) decreased GDP per capita is rising I conclude that the injection of aid probably has had a positive effect, certainly has not had a noticeable negative effect Opinion remains divided