Mission Improbable. Does Petroleum-related Aid Address Corruption in Resource-rich Countries?

Abstract

Petroleum-related aid programmes and projects are a key part of donor activities in oil-rich developing countries. This U4 Issue explores the petroleum-related activities of three bilateral donors: Norad, CIDA and USAID. While governance issues are beginning to receive more attention in these types of programmes, they still form a minor part of programme activities. The petroleum-related aid activities of the donors in question address the issue of corruption only to a limited extent. Given the commercial and political interests of donor countries, questions about the integrity and credibility of these types of programmes can be raised. Moreover, the narrow, sector focus of these programmes makes it unlikely that they will produce the institutional changes needed to lift the ‘resource curse'.