Thursday, June 03, 2004

Where's the loot?

Finally USAID (US Agency for International Development) has got back to me. Back in April when Honduras decided to pull its troops out of Iraq, I looked for the list of coalition partners and was struck how many of them came from the Third World. I wondered how much the US was giving in aid money to its coalition partners. I suspected promises of more financial aid might be on the cards, because it might 'buy' the presence of other nations to stand alongside the US.

Anyway, USAID have finally sent me details of the agency's financial commitments for the years 2002, 2003 and 2004. Of the 48 countries in the US coalition, 21 are recipients of American aid. By looking through the data, I have managed to compile the table below, showing how much each received in the year before the Iraqi war (2002) and last year, when they were committed to providing military or (mostly) moral support to the US war effort.

At first glance the money given to these 21 countries increased at a much higher rate than the overall agency budget, by 13% compared to 0.1% - confirming my suspicions (call me cynical if you will!). This equates to a rise in the proportion of the budget spent on these 21 countries from 19.8% in 2002 to 23.3% in 2004.

But if you look more closely, more than half the 2004 budget to these 21 countries is taken up by aid to Afghanistan. Indeed, the figure is so high as to distort the rest of the table. But then Afghanistan has been the recent recipient of American bombing and military presence and so therefore may be deemed a special case.

However, if we take Afghanistan out of the equation then we can see that aid to the remaining countries actually fell by more than 40%, with most of the countries in the coalition seeing their aid contributions declining. In fact, apart from Afghanistan, only the Dominican Republic, Eritrea, Ethiopia and Honduras saw an increase.

Which begs the question, what do the other members of this coalition really get out of it all? Indeed, Honduras, who decided to leave Iraq, only saw its share of the US aid budget rise by 4% - not nearly enough to take the flak from world opinion.

I don't know whether the countries involved got involved because they were promised much needed money by the Americans. But the reality seems to indicate that there's not much to be gained from joining Bush's 'coalition of the willing'. Can we therefore expect more countries to pull their troops out before the US-British deadline next year as they realise the road to Baghdad is not paved with gold?

US Aid to Iraqi Coalition Partners





























































































































Country 2002 ($'000) 2004 ($'000) Percentage Change 2002-04
Afghanistan 191,423 1,070,558 +459.3%
Albania 35,213 27,835 -21%
Angola 89,182 37,502 -57.9%
Azerbaijan 46,538 40,933 -12%
Bulgaria 33,993 27,835 -18.1%
Dominican Republic 18,282 26,664 +45.8%
El Salvador 86,493 35,755 -58.7%
Eritrea 16,472 18,322 +11.2%
Ethiopia 105,792 132,219 +25%
Georgia 91,310 73,657 -19.3%
Honduras 36,043 37,550 +4.2%
Mongolia 12,000 9941 -17.2%
Nicaragua 43,008 40,673 -5.4%
Panama 8705 8304 -4.6%
Philippines 83,058 69,063 -16.8%
Romania 35,992 27,835 -22.7%
Rwanda 35,500 21,592 -39.2%
Turkey 400,000 99,410 -75.1%
Uganda 87,182 84,222 -3.4%
Ukraine 156,540 94,339 -39.7%
Uzbekistan 104,944 35,688 -66%
Coalition Total 1,717,670 1,950,903 +13.6%
Excluding Afghanistan 1,526,247 880,345 -42.3%
USAID Total 8,673,520 8,682,224 +0.1%


Source: USAID Country Allocation Summary - Appropriated Levels, Tables 4B, 4C and 4D

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