What does aid to Africa finance

@inproceedings{Devarajan1999WhatDA,
  title={What does aid to Africa finance},
  author={Shanta Devarajan},
  year={1999}
}
If a donor gives aid for a project that the recipient government would have undertaken anyway, the aid finances expenditures other than the intended project. The notion that aid in this sense may be"fungible"has recently received empirical support. The authors look at why aid isfungible or nonfungible, and the extent to which it is fungible in Sub-Saharan Africa. Their results suggest that aid may be partially fungible in Africa and suggests some reasons. They find relatively little evidence… Expand

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