Organization for Economic Cooperation and Development

Aid to developing countries from richer nations will fail to hit aid targets set five years ago at the Gleneagles summit, a study has suggested. Total aid will be USD107 billion in 2010 against 2005 pledges of USD128 billion, the Organization for Economic Cooperation and Development (OECD) has forecast. Africa will suffer the biggest shortfall in aid, the OECD said. The continent is likely to receive just USD12 billion of the USD25 billion pledged. The promise made in 2005 by 15 EU countries to raise their aid to at least 0.51 percent of national income would be broken by six of them: France, Germany, Austria, Portugal, Greece and Italy, The Financial Times reports. The U.S., Canada, Australia and New Zealand appear on track to meet their various targets, while Japan seems likely to fall well short, the OECD said. The organization said that of the USD21 billion gap between promises and likely actual aid, the large majority – USD17 billion – was a result of the donors not hitting their targets, while just USD4 billion was caused by the global financial crisis reducing their national income.

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