Publication

This publication assesses the dynamics behind the high net resource transfers by donors and creditors to sub-Saharan African countries. The authors analyze the determinants of overall net transfers for a panel of 37 recipient countries and find that country policies mattered little, as donors actually made greater transfers to countries with high debt when policies were “bad.” The publication thus concludes that comprehensive debt relief has the potential, though not the certainty, to restore selectivity in support of good policies.