Which of the following is TRUE of foreign aid?
A)It can adversely affect countries seeking assistance.
B)Loans that qualify as aid loans must be provided at current interest rates.
C)Most of it is multilateral.
D)Its largest recipient is the United Arab Emirates.

Question

Quizplus · Accepted Answer

Foreign aid can have negative effects on recipient countries, such as creating dependency and hindering economic growth. This is a well-known critique of foreign aid. Additionally, choices B, C, and D are not true. Aid loans can have concessional interest rates, most foreign aid is bilateral, and the largest recipients of foreign aid are usually lower-income countries, not high-income countries like the United Arab Emirates.

Which of the Following Is TRUE of Foreign Aid