Development resources used in international development cooperation can be divided into flow and the private donation of ODA, other public funds, private funds. Among them, official development assistance and financial resources to developing countries primarily for the development of: is called (ODA Official Development Assistance). The official development assistance (ODA) is a means to provide a flow of funds to developing countries and international organizations for economic development and improve the welfare of the central or local governments and public institutions in developing countries and aid enforcement of a country. Therefore, military support, activities for funding and manpower commitment, social / cultural exchange program for the donor than the recipient countries, such as peace-keeping are not included in the category of ODA. ODA can be largely cleaned up in three key words.
Who (Donor Country)
- The government and local governments, public institutions
To whom? (Recipient countries / Partner countries)
- OECD Development Assistance Committee (DAC) in developing countries included in the list of recipient countries
- Primarily for economic development and welfare of developing countries improve donation (Grant) * or concessional loans (Concessional Loan) * offer
* Donation (Grant): refers to the donation of cash, goods and services provided without repayment terms, also called grants. Debt, NGO support, also certain costs associated with aid projects implemented during belongs to the donation.
** Concessional loans (Concessional loan): Undersecretary means that the debt be for cash or goods received the support recipient countries. Concessional loans, also called capital assistance are favorable conditions for entry into the car compared to the normal loans in terms of interest rate, repayment period, grace period, in particular donation rate (Grant element) when exceeding 25% are accounted for as ODA.