How aid can be used to keep nations deliberately poor

I was interviewed last week in Australian media outlet Crikey by Charlie Lewis about my… Disaster Capitalism film:

The documentary Disaster Capitalism opens with the earthquake in Haiti, 2010. Through the ghostly fog of CCTV video, we see the ground furiously shake buildings into dust. Fronted by Australian journalist and writer Antony Loewenstein and shot over six years, in collaboration with director Thor Neureiter, Director of Video at Columbia University, the film… visits and revisits three countries — Haiti, Afghanistan and Papua New Guinea —…  riven by various crises and trapped in a cycle of dependence on Western aid. This cycle, Loewenstein tells Crikey, is no accident.
“I thought it was important to look at how these countries are connected politically and financially, in other words, how certain conditions are designed to keep poor countries poor,” he said.
Filming began in 2011, when Loewenstein was working on a book of the same name.
“The aim wasn’t to spend six years making the film,” Loewenstein said. “But there is something to be said for seeing how these countries evolve over six years. All that’s really changed is that PMs or presidents have come and gone, but they remain economically broken and I thought it was important to look at why.”

Cycle of dependency

A key factor in the Disaster Capitalism…  is that these countries are not, and never have been, without the resources to pay their own way. Papua New Guinea and Afghanistan in particular are rich in minerals. Loewenstein says this is part of the problem.
“Trump has been very keen to really…  harness and expand the mining industry if Afghanistan, and they’re tying aid to that ”¦ So aid is being used to not help people, but to enrich foreign businesses. Look at PNG, it has huge resources, and after several decades of those being exploited, it hasn’t helped the locals one bit.”
Aid not only enriches Australian business interests, Loewenstein says, but backs up political aims.
“Aid to PNG has been increased, in my view, to provide a bribe to the PNG government to house the refugees we don’t want,” he said.…  “Obviously not all of the aid money is related to the pacific solution, but aid has gone up since it was revitalised under Labor.”
And the oversight ensuring that aid isn’t misspent or funnelled towards corruption, he says, is weak.

Missing Oversight

“People in government will tell you there’s lots of oversight and reporting with aid. But I think the problem is that there’s almost no political cost to [Western politicians] if Afghanistan’s aid doesn’t do its job — no one is going to lose their seat over that.”
Part of this stems from those bodies tasked with aid oversight — such as the Special Inspector General for Afghanistan Reconstruction (SIGAR) — who expose the misuse of aid, have their findings ignored.
“[SIGAR] do amazing work and deliver important reports, and what happens? They’re largely ignored ”¦ Obama promised to make the system more transparent and open, and did nothing in his eight years. So I think there has to be more of a political cost when aid money isn’t just ineffective, but governments know that it’s actively going to corruption.”
This oversight is even weaker in Australia, where there is currently no equivalent to SIGAR.
“There are senate committees and politicians who ask these questions, so oversight exists, but it’s weak, doesn’t get much of a voice, and get’s almost no media attention.”

What’s next?

Loewenstein says that many of the worst elements effecting aid may, paradoxically, lead to improving the debate.
“The debate Trump has started, ironically enough, asks the question: is more aid automatically a good thing? The argument from the left has traditionally been that we need more money and support for the poor of the world, and what I’m saying is, after 30, 40, 50 years, these countries are not improving. You have to ask why.”
Further, Loewenstein hopes the current sexual assault scandal afflicting… Oxfam — in which aid workers were found to be exploiting vulnerable women —… may help illustrate one of the fundamental problems with the current international aid system.
“A lot of other orgnisations are doing the same thing, and hopefully this makes people more aware of what happens when the relationship between aid giver and aid recipients is really unhealthy,” he said.
“So what I hope comes out of this, and it’s so obvious, but far too often aid is administered without asking the people on the ground what they want. You’d be amazed how rarely that happens.”
Broadcast rights for… Disaster Capitalism… have been sold to several European territories and screenings can be organised through… Demand Films.

Text and images ©2024 Antony Loewenstein. All rights reserved.

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