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Essays on foreign aid in Sub-Saharan Africa (SSA)

Thesis (PhD (Economics))--University of Pretoria, 2017.

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Other Authors: Monkam, Nara
Format: Thesis
Language:English
Published: 2026
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access_status_str Open Access
author2 Monkam, Nara
author_browse Monkam, Nara
author_facet Monkam, Nara
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description Thesis (PhD (Economics))--University of Pretoria, 2017.
format Thesis
id oai:repository.up.ac.za:2263/110043
institution University of Pretoria (South Africa)
language English
last_indexed 2026-06-10T12:38:58.622Z
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provenance_str_mv Harvested via OAI-PMH from UPSpace — University of Pretoria Institutional Repository
publishDate 2026
publishDateRange 2026
publishDateSort 2026
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source_str UPSpace — University of Pretoria Institutional Repository
spelling oai:repository.up.ac.za:2263/110043 Essays on foreign aid in Sub-Saharan Africa (SSA) Monkam, Nara amusako@unisa.ac.za Viegi, Nicola Amusa, Kafayat Olusola Foreign aid Foreign direct investment Aid allocation Sub saharan Africa Domestic resource mobilization Thesis (PhD (Economics))--University of Pretoria, 2017. This thesis examines the indirect channels of the effectiveness of foreign aid1 in Sub-Saharan Africa (SSA) countries. The indirect channels include the nexus between foreign aid and foreign direct investment (FDI), as well as the nexus between foreign aid and domestic resource mobilisation (DRM), specifically taxation. The first essay addresses the determinants of foreign aid to SSA countries from a “traditional” and a “non-traditional donor”2 , namely the United States (US) and China. Using the recently developed database on Chinese aid by Strange et al., (2013) and OECD-CRS database for Western aid, and employing multilevel analysis (for the US) and Heckman’s selection criteria (for China), the study finds that both donor interest and recipient need (economic and developmental needs) are significant factors in US aid allocation, while Chinese aid is driven mostly by donor motives. There is evidence to support assertions that the oil resource motive is a key strategic driver of Chinese aid to the region, as the significance of a resource motive (oil) cannot be ignored in the case of Chinese aid. The empirical evidence does not provide any indication of a change or shift in US aid allocation patterns before or after China’s entry into SSA’s aid space. The second essay examines how different forms of foreign aid impact on foreign direct investment inflows (FDI) to SSA countries. This is done by applying multilevel analysis to data from 31 SSA countries from 1995-2014. The results suggest that both productive sector The results suggest that both productive-sector infrastructure aid and Socio-economic infrastructure aid are complementary to FDI inflows When resource (oil) motive3 of FDI is considered, the results indicate that oil-producing countries that receive both productive-sector and socioeconomic sector aid receive less FDI when compared to non-oil producing SSA countries. The third essay concentrates on the role of foreign aid in enhancing DRM in Nigeria with a specific focus on taxation. Taking an empirical perspective and focusing on non-resource tax revenues in Nigeria, and using foreign aid data disaggregated by type–grants and loans, for the 1980-2013 period, econometric evidence indicates that foreign aid in the form of loans is a more effective tool for enhancing domestic tax revenue Mobilisation in the long-run. The results suggest that by including measures such as policy reforms to ensure adherence to prescripts of greater accountability, foreign aid in the form of loans helps to enhance tax effort compared to unconditional grants that reduce incentives for local authorities to enhance their domestic revenue mobilisation efforts. Economics PhD (Economics) 2026-05-15T17:26:09Z 2026-05-15T17:26:09Z 16/02/17 2017 Thesis http://hdl.handle.net/2263/110043 en application/pdf
spellingShingle Foreign aid
Foreign direct investment
Aid allocation
Sub saharan Africa
Domestic resource mobilization
Essays on foreign aid in Sub-Saharan Africa (SSA)
title Essays on foreign aid in Sub-Saharan Africa (SSA)
title_full Essays on foreign aid in Sub-Saharan Africa (SSA)
title_fullStr Essays on foreign aid in Sub-Saharan Africa (SSA)
title_full_unstemmed Essays on foreign aid in Sub-Saharan Africa (SSA)
title_short Essays on foreign aid in Sub-Saharan Africa (SSA)
title_sort essays on foreign aid in sub saharan africa ssa
topic Foreign aid
Foreign direct investment
Aid allocation
Sub saharan Africa
Domestic resource mobilization
url http://hdl.handle.net/2263/110043