CGD in the News

Lawmakers Weigh Value of Development Aid (Reuters)

July 28, 2011

Research fellow Ben Leo was quoted in a Reuters article on development aid.

From the Article

Trimming U.S. funding to the World Bank and other global lenders would reduce American influence in developing countries and give China a competitive edge, lawmakers were told on Wednesday. With Democrats and Republicans haggling over raising the U.S. debt ceiling and spending cuts, Congress is now weighing cost-saving measures that could reduce the U.S. contribution to the World Bank and other development banks.

The Obama administration is requesting $3.3 billion for multilateral development bank-related commitments for fiscal year 2012.

Already, the House appropriations committee, which sets the budget for government spending, has proposed slashing $729 million from last year's federal budget for multilateral assistance programs. A bill under consideration by the House would eliminate U.S. funding for the World Bank-administered Clean Technology Fund and Strategic Climate Fund, which promotes cleaner energy technology and greenhouse gas emissions cuts in poorer states.

"We're definitely in a what have you done for me lately moment," Ed Perlmutter, a Democrat from Colorado, told a House Financial Services Committee hearing considering whether World Bank and other programs are generating jobs.

Read it Here.