Foreign aid has been crucial in helping fragile states, especially Afghanistan after 2001, when the international community made significant investments in rebuilding state institutions. Between 2001and 2020, billions of U.S. dollars were allocated to sectors like security, governance, and economic & social development. This paper uses primary and secondary data as well as existing literature to examine the impact of foreign aid on social development, with a focus on school education. The findings show that education received a relatively small share of aid compared to other sectors and that Afghanistan remains economically dependent on foreign aid largely becauseof ineffective donor and government policies and the predominance of short-term, externally driven programs.Although the paper focuseson development outcomes, it recognizesthat larger political and conflict-related dynamics (state legitimacyand fragile governance, strategic interestsand donor politics, armedconflict and insecurity, and limited local ownershipand parallel systems) influencedtheeffectiveness of aidin Afghanistan.
Navid RahmanShahbaz (Wed,) studied this question.
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