Development Finance and Distributive Politics: Comparing Chinese and World Bank Finance in sub-Saharan Africa

Image: Flickr, Teloro
Image: Flickr, Teloro

When large windfall gains like foreign finance become available to weak states, which parts of the country will receive the newly available resources?

The existing literature shows that development finance does not always reach the people who need it the most, both within and across countries. While both the donors and recipient countries influence the subnational distribution of development finance, few have examined the two variables together. In this policy brief, I focus on the distributive politics of foreign finance in 48 countries in Africa, the region with the highest number of aid-dependent countries. To examine how donors’ preferences and recipient countries’ domestic politics affect the subnational distribution of development finance, I focus on two types of financiers and four types of regimes.

The views expressed in this publication/article are those of the author/s and do not necessarily reflect the views of the South African Institute of International Affairs (SAIIA).