In such autocratic systems, from Cameroon to Cambodia, from Egypt to Uzbekistan, leaders stay in power by distributing corrupt largesse to their narrow circles of supporters, rather than by providing the schools, clinics, markets, courts, roads, and other public goods that could eventually make the whole society rich. To stay on top while running their countries into the ground, they also have to violate human rights and the rule of law. There is no way to fix such a system with debt relief or more aid. Aid to African states grew at more than 5 percent a year during the last quarter century, and the average African country now derives more than 10 percent of its GDP from foreign aid. As a result, aid is simply relieving the state of key functions, now accounting for a third to half of all education and health expenditures in Africa.
Money is fungible.
Even when aid goes for social services, it still leaves dictators free to loot the rest of the national treasury for themselves. True economic development will only come when the survival of political leaders depends on delivering the goods for the society as a whole, not just for a small band of fellow soldiers, cronies, ethnic kin, or party hacks. If international donors and churches and moral crusaders want to lift countries out of poverty, they must focus first and foremost on the political conditions that foster sustainable development. A bill requiring just such conditions for relief or cancellation of debt owed to the United States was introduced in the House of Representatives in October by Congressman Frank Wolf. The international donor community must not be satisfied with the creation of institutions that merely give the appearance of meeting the new standards of accountability.