third world debt and Cambodia

[McNally, David J. (LNG-MBC)]

It does sound as if there should be some sort of code of conduct, such that
development loans shouldn't be spent on companies or goods from the country
giving the loan.  This wouldn't necessarily end up helping developing
countries, and I'm sure there would be quid pro quo agreements between
nations (Japan gives a loan to Cambodia to pay British engineers, so Britain
gives loan to somewhere else to pay Japanese engineers), but it might remove
some of the self-interest in this sort of "aid".

David.


> -----Original Message-----
> From: Jean-Christophe Helary [mailto:helary at eskimo.com]
> Sent: Tuesday, February 29, 2000 1:12 AM
> Subject: third world debt and Cambodia
> 
> [snip]
> 
> One of the main road in Cambodia has been reconstructed 
> thanks to a Japanese
> loan. The money was used mostly to pay Japanese engineers, Japanese
> machinery, Japanese materials etc... Only the low level work 
> was handled by
> Cambodian workers.
> 
> [snip]