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DT 15 years ago

Nordic exports drop in African aid market

DT 3/92 reported on the dramatic decline in Norwegian exports to African aid markets.

The World Bank had implemented the so-called Open General License where donors could channel untied funds for import support. In Tanzania the system meant that local firms could for the first time in many years buy currency if they could afford to pay.

Moreover, Norwegian and Swedish suppliers could not benefit from lucrative tied contracts in the new system and their exports plummetted.

The result was that Nordic companies had to travel to Africa in search of trade partners if they wanted access to aid markets. Perhaps aid could begin to contribute to real trade between Nordic and African countries, Development Today wrote.

March 06, 2007

© Copyright 2007 Development Today AS

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Articles

Giant Swedish hydro project hangs in balance

Development Today’s cover story in January 1992 was about the uncertain fate of the giant hydropower project in Kashmir, Uri Dam.

An exclusive interview with Lars Wahlund, the Swedish diplomat who was expelled from Mozambique in December 1991, was on the cover of Development Today in February 1992.

Economists at Sida argue in a report entitled “Debt Trap" that the only solution for the poorest countries is total cancellation of bilateral debt. (See DT 4/92)

Copenhagen, UN city

The UN Development Program (UNDP) considers expanding its presence in Copenhagen, UNDP Administrator William H. Draper III said in an interview with Development Today 15 years ago. (See DT 5-6/92)

In April 1992, Development Today reported that following Vietnam’s withdrawal from Cambodia, Danida decided to return to Vietnam, which had been the second largest recipient of Danish aid during the late 1970s.

Drastic cuts in Finnish budget for 1993

Decline was expected, but few anticipated that it would be so drastic.

These were good times for Danish companies in the aid market.

Vietnam, Laos and Nepal were on the travel agenda of Director General Per Grimstad of Norad for his Asia tour in June 1992. (See DT 11/92) Though not priority recipient countries, the three were of interest to Norwegian hydropower and oil companies.

Eritrea, about to become a recipient country for Swedish development aid, strongly criticises Sweden’s past record in Ethiopia and its current behaviour, DT 12/02 reports in July 1992.

Four Danish companies were invited by Danida to tender for a diesel engine for a SONABEL power station in Burkina Faso.

No Norad contract for ABB in Tibet

A Norwegian subsidiary of ABB, Elektrisk Bureau, came under fire for its application to Norad for a mixed credit for deliveries to the Yang Zhou Yong hydropower plant in Tibet. (See DT 14/92)

In a re-shuffle of the government of Gro Harlem Brundtland, Greta Faremo was promoted from Norwegian Development Minister - widely viewed as a low-status post - to Minister of Justice, DT 16/92 reported.

Four major Finnish NGOs - Red Cross, Service Centre for Development Cooperation, Finnish Committee for Unicef and Finnchurchaid - criticised the cuts proposed in the budget proposal for 1993, and launched a campaign to bring Finnish aid back up to the level of 0.7 per cent of GNI by 1996. (See DT 17/02)

While the Nordic countries are often considered to be in the forefront on environmental issues, they lag far behind in the World Bank, according to American environmentalists.

Reflections on Danida’s demise

In May of 1991, the independent Danish aid agency DANIDA ceased to exist. Instead, the Danish Foreign Ministry took over responsibility for Danish development assistance, reducing “Danida" to a name on a letter head.

Denmark aims for 1.5 % of GNP aid level

As part of an agreement supported by seven of the eight parties in Parliament, Denmark’s aid is scheduled to reach 1.5 per cent of GNP before the year 2000, DT 22/02 reports. This is part of Denmark’s response to the Earth Summit in Rio de Janeiro six months earlier.

Social Democrats take helm in Denmark

DT 2/93 reports that the new Social Democrat coalition government in Denmark strengthens the aid portfolio by reinstating Danida as an automous agency.

Sweden, Japan join forces

In January 1993, Development Today reported that Japan and Sweden decided to collaborate more closely in international aid.

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