Aid agencies have done more harm than good

The recent suspension of operations of the United States Agency for International Development (USAid) under the Trump administration has sparked a critical and long-overdue debate about the agency’s true role.

Ethiopia has often been cited as a prime example of USAid’s involvement and a major beneficiary of its funds. While supporters of USAid portray it as a force for good in the development of Ethiopia and other poor nations, my experience as an Ethiopian citizen working in both governmental and non-governmental organisations in Africa for over 12 years has shown me a very different reality.

Much of the aid money and goods never reach the people who need it. Instead, it benefits corrupt aid workers, government officials, bureaucrats, the media and corporations involved in the aid industry. 

For example, during Ethiopia's recent challenges with civil war and poor governance, while the aid sector claimed to be increasing aid, reports emerged of widespread misuse of food aid. Similarly, many donated medicines are sold in markets. USAid also funds numerous media outlets, YouTubers, political parties and local NGOs, some of which spread disinformation and exacerbate ethnic tensions.

The structure of aid agencies is also designed to ensure that most of the money stays in the donor country. This is achieved through mandating that all project items must be purchased in the donor country, even if the same items are available locally at a lower cost. The exorbitant salaries paid to ‘consultants’ and experts from the donor country, as well as lavish international meetings, workshops and “capacity building” training, further deplete the funds intended for the recipient population.

Wasteful spending is another hallmark of the aid industry. Funds are squandered on an endless, largely useless meetings and trips to expensive hotels and resorts. Many meetings are held abroad or in expensive hotels. These meetings are often opened by government officials who receive substantial payments for their brief appearances.

Many aid agencies’ records are fraudulent, showing serious problems with honesty and professionalism. They often falsify reports, saying that aid has reached people when it hasn't. Tricks such as staged photos and misleading graphs are used to support fabricated success stories. Testimonies come from bribed officials and selected beneficiaries, and "independent" evaluations are manipulated. Even project monitoring is often fake.

In a country where professional salaries are shockingly low, aid agencies offer salaries 200 to 300 times higher than government rates. This has discouraged professionals from public service.

The overwhelming evidence of systemic aid failure and its long-term damage demands urgent action.

Shimels Hussien (Dr), Addis Ababa