large-aid-allocation-1

The morning of May 27th, 2015, Prof. Mark McGillivray from Alfred Deakin Research Institute and Dr. Phung Duc Tung from MDRI held a seminar examining the relationship between aid allocation and provincial poverty in Vietnam by posing the following question: Has the allocated aid been consistent with the relative poverty levels in the respective provinces?

To address the critical concern of potential disparities between rich and poor, the study developed an index of fairness. The index serves to measure fair aid allocation, defined as when each province’s share of national aid is equivalent to its share of national poverty. After comparing the actual allocated aid with fair aid, the poorer provinces such as Dien Bien and Ha Giang were shown to have received far less aid than the richer provinces (Da Nang, Can Tho, etc.).

Although Vietnam has generally seen an enormous reduction in poverty thanks to reform efforts by the Government and generous support from international donors, data evidence for years 2006-2012 showed large deviations between each province’s actual need for aid and the amount provided.

large-aid-allocation-2

Following the overview presentation of the issue, the seminar ended with an open discussion and Q&A on effective ways to further the research and to increase the allocation of fair shares of aid in such provinces.

The morning of May 27th, 2015, Prof. Mark McGillivray from Alfred Deakin Research Institute and Dr. Phung Duc Tung from MDRI held a seminar examining the relationship between aid allocation and provincial poverty in Vietnam by posing the following question: Has the allocated aid been consistent with the relative poverty levels in the respective provinces?

To address the critical concern of potential disparities between rich and poor, the study developed an index of fairness. The index serves to measure fair aid allocation, defined as when each province’s share of national aid is equivalent to its share of national poverty. After comparing the actual allocated aid with fair aid, the poorer provinces such as Dien Bien and Ha Giang were shown to have received far less aid than the richer provinces (Da Nang, Can Tho, etc.).

Although Vietnam has generally seen an enormous reduction in poverty thanks to reform efforts by the Government and generous support from international donors, data evidence for years 2006-2012 showed large deviations between each province’s actual need for aid and the amount provided.

large-aid-allocation-2

Following the overview presentation of the issue, the seminar ended with an open discussion and Q&A on effective ways to further the research and to increase the allocation of fair shares of aid in such provinces.

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