History of development cooperation

Pestalozzi 7/2012International Development Cooperation

History of development cooperation

Part 2

Milestones towards a new architectureof development cooperation

Trogen, 3 July 2012


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the „Invention“ of Underdevelopment

• Inaugural Speech of US-President Harry S. Trumann, 20th Januay 1949: Four point program for peace and liberty

1. Creation of the North Atlantic Treaty (Defence) Organization (NATO)

2. Continuation of the „Marshall-Plan“ and similar programs to reconstruct world economy after 2. World War

4. Support to „underdevelopped“ regions

3. Support of the UN


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“Fourth, we must embark on a bold new program for making the benefits of our scientific advances and industrial progress available for the improvement and growth of underdeveloped areas.

More than half of the people of the earth are living in conditions approaching misery. Their food is inadequate. They are victims of disease. Their economic life is primitive and stagnant. Their poverty is a handicap and a threat both to them and to more prosperous areas.

For the first time in history, humanity possesses the knowledge and skill to relieve the suffering of these people. ...

I believe that we should make available to peace-loving peoples the benefits of our store of technical knowledge in order to help them realize their aspirations for a better life. ....

We invite other countries to pool their technological resources in this undertaking. .... This should be a cooperative enterprise in which all nations work together through the United Nations and its specialized agencies whenever practicable. It must be a worldwide effort for the achievement of peace, plenty, and freedom.

With the cooperation of business, private capital, agriculture, and labour in this country, this program can greatly increase the industrial activity in other nations and can raise substantially their standards of living....”

Extract of Truman‘s Inaugural speech 1949 (Point-Four Declaration)


• What do you think of the perceptions and concepts of the „Point Four Declaration“ ?

• What are positive aspects of this declaration?

• Where would you criticize it?

• What is still valid today?

(10 minute brain-storming)

Group work


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60th/70th: The „Third World on Advance“

Mao Tse-Tung 1966

Student movement in Mexico, Massacre of Tlatelolco, „The sad night“3. October 1968

Daniel Cohn BenditParis, May 1968


Vietnam War, 1972

Evacuation of US-Embassy Saigon 1975



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The „Third World“ – a factor in world policy during the 60th and 70th

• Fight against imperialism of the North: 68th movement in Europe, solidarity movements with „Third World“

• Independance Mouvements in the SouthFight against the White in South Africa, Rhodesia, Angola, Mozambique and liberalisation movements in Latin America

• „Carnation-Revolution“ in Portugal (1974) result in independance of last colonies (Angola, Mosambique, Guinea-Bissau, Cap Verde)

• Cultural Revolution in China (1966/67)

fascination of the left wing movements for the radical ideas of Mao Tse Tung

• Sympathies for socialistic ideas in the Third World African Socialism in Tanzania (Nyerere)

• Critic of industrialized countries development model: 1972 first UN-conference on Human Environment (Stockholm); Club of Rome: „The Limits to Growth“ (1972)


Carnation revolution, Portugal 1974 Victory of mosamb. FRELIMO,Independancefrom Portugal1975



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Development Cooperation since the 80th: the search for impact

• The basic needs strategies of the 80th and 90th

• The rough wind of the 80th

• The end of the cold war

• Searching for aid effectiviness

• Milestones to a new development cooperation architecture


Basic needs strategy: Pearson-Report (1969) World Bank Strategy during President McNamara (1972)

• Satisfaction of basic needs:

Development must be oriented towards the satisfaction of basic needs of the poorest social strata: Nutrition, drinking water, housing, education and infrastructure

• Participation:

Population must be involved in change processes and given the possibility to activly participate in planning and implementation of change processes. Development of participative methods:

bottom-up approaches

development of participative methods

Debate - skepticism and opposition by:

•adherents of growth and macro-economic approaches

•many developing countries which believed that industrialized countries try to distract them from the new dynamic of the world economy and industrialization by promoting the basic needs strategy.


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Transfert into practice: Period of Integrated Rural Development Projects / Programs (70th – 90th)

• IHDP: Integrated Hill Development Project, Nepal (1975-1990)

• DRI Yoro, DRI Margoas, DRI Chinorte: Desarrollo Rural Integrado, Honduras and Nicaragua (80-er und 90-er Jahre)

• TIRDEP: Tanga Integrated Rural Development Program, Tanzania (1972-1991)

Orientation towards basic needs: Agriculture, education, health infrastructure, living conditions etc.

Community Development starting in the 80th

Participation: bottom-up approaches; methodologies to pro,mote participation (target oriented project planning/ZOPP, Participatory Rural Appraisal, Selfpromotion),

Base organisations:promotion of base organisations (e.g.cooperatives, producer organisations etc..)

Appropriate and sustainable technologies: low extrenal input strategies, agroforestry, animal traction instead of tractors etc.


towards macro-economic stability in developing countriesStructural Adjustment Programs (SAP)

Debt crisis in developing countries

Targets:

•Restoration of liquidity and credit worthiness

•Control of (hyper-) inflation

•Balance of state expenditures and external trade

•medium- and lonterm improvement of the chances to achieve economic growth and orientation towards world marke

Implementation of neoliberal economical and financial reform measures in developing countries (under leadership of World Bank and IMF)

Structural Adjustment Programs (SAP) impulsed by donors

critic: Redistribution of wealth and poverty reduction are not(explicit) targets of the SAP


Costs of the SAPs

• social costs for poor:

social services (education, health etc.) became expensive

price oncreases: basic food (was often subsidized before), transport, energy, water etc.

reduction or loss of specific governmental support programs such as:rural extension, health advice, adult education ......

social mitigation measures (since end of 80th)

the 80th: a lost decade?in many countries economic growth decreased or became even negativepoverty reduction stagnated or poverty even increased (deterioration of child mortality reduction, school enrolment .... )


Comprehensive Development Framework (CDF), World Bank (1998)

Concept of holistic national development strategies as common basis for national and international actors inside a country

(national government, civil society,and private sector, multi- and bilateral donor organisations, international NGOs)

Principles of the CDF:

Long-term holistic vision

Country ownership

Country-led partnership

Results focus


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Poverty Reduction Strategy Papers (PRSP), World Bank and IMF (1999)

• concrete instrument to implement CDF-concept

• primary goal of development aid is poverty reductioneach developing country elaborates a national poverty reduction strategy

• PRSP pre-condition to participate at debt-relief initiative for highly indebted countries (HIPIC)


OECD/DAC: „Shaping the 21st Century“ (1996)

„Shaping the 21st Century: the Contribution of Development Cooperation“

4 principles fo a partner-based cooperation:

1. Country priorities: Interests and priorities of developing countries have to be in the center

2. Ownership: Every country has to elaborate its locally owned strategy, which should orient the progams and activities of donors

3. Multi-Stakeholder approach:Planning and implementation have to involve a multitude of stakeholders from the state , private sector and the Civil Society

4. Local capacities: Development processes have to strengthen and be built on local capacities


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History of development cooperation