Essay On Foreign Aid

1224 Words 5 Pages
Foreign Aid and the United States For years, countries have helped each other financially. Countries have always loaned money for recovery, to cover other debt, or just for national maintenance. Throughout the foreign aid given, there has been many discussions, and conferences to eliminate poverty, help smaller countries with difficult economies to settle their dilemmas. As these financial support events have come up, there has been this constant debate of whether or not to continue funding. Foreign Aid is very problematic, especially in a country like the United States that they have such a high national debt, foreign aid is something that has to be thought. It is not simply giving the money out and resolving that problem. There are steps the receiving aid must take after …show more content…
The IMF is considered one of the most controversial IGO’s, due to the conditions it carries. Because the IMF requires countries to pay in a certain amount of time, many countries, like Greece, misused that money and did not use it to repair debt. “The IMF cited Greece’s outstanding debts, its inability to collect taxes and the nation’s shadow economy” (Liao 2015) The IMF faced the reality that Greece could in no way pay its debt. This is a huge loss. The quota system obligates the United States to give one-quarter of its quotas, making the United States lose more than the rest of the participating countries. The United States could fund, at almost no cost, but damaging a countries economic stability does have a ripple effect. Foreign aid is not worth the cost to the United States. Foreign aid in this case damaged a country, and has resulted in a major monetary loss for many countries that funded and the EU. This aid is not worth the cost to the US, due to the fact that it can result in the damage of other countries, and the lack of possible future funding’s to improve the economic

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