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Foreign aid can help strengthen the economies of donor countries by boosting entrepreneurship

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Support for foreign aid is declining many developed countries, including Canada. Reflecting this trend, a A recent study found that 59 per cent of Canadians want to cut back foreign aid to developing countries.

This is striking considering that Canada’s foreign aid amounts to 0.38% of gross national productis already below OECD goal of 0.7%.which places Canada in the middle of the spectrum of donor countries.

Cutting foreign aid from developed countries not only hinders international development; it also threatens the international competitiveness of the donor country’s domestic enterprises.

While foreign aid should all the time give attention to eliminating global disparities, alleviating poverty, and improving the well-being of people in recipient countries, additionally it is vital to focus on the positive spillover effects that aid can have on donor countries.

This can help legitimize and maintain support for foreign aid at a time when countries and their persons are increasingly turning inward.

Not just an act of generosity

Despite the general public’s apparent fatigue with foreign aid, the Canadian government announced its increase in the 2024 budgetafter a 15% reduction in the previous 12 months, which was significant criticism from the aid sector.

It is essential to do not forget that foreign aid shouldn’t be just an act of generosity; it can also profit donor countries that provide aid.

Deputy Prime Minister and Minister of Finance Chrystia Freeland presents the federal budget in the House of Commons in Ottawa on April 16, 2024.
THE CANADIAN PRESS/Adrian Wyld

Many governments are actually communicating the importance of foreign aid to their residents. For example, the Australian government introduced the so-called latest development policy in 2023 emphasizing the have to lift people out of poverty in developing countries to make sure peace, stability and prosperity for Australia.

In the same vein, the Government of Canada has emphasized the importance of Canada taking a more lively international role in its actions Announcement of the 2024 budget. Protecting national interests and promoting Canadian values ​​requires lively participation and involvement in international affairs.

Decisions regarding foreign direct investment

As researchers and policy experts, we were concerned about whether foreign aid had positive spillover effects for corporations in donor countries.

If such positive effects occur, reducing foreign aid couldn’t only harm recipient countries but in addition harm the economic well-being of donor countries. For example, a discount in foreign aid could cause Canadian businesses to develop into less competitive abroad, which could end in fewer job opportunities and reduced prosperity in Canada.

Our study examined the role of Japanese foreign aid in foreign direct investment decisions made by 1,451 Japanese corporations in 76 developing countries during 1991–2002. Foreign direct investment refers to investments made by an organization or entity from one country to a different country.

We excluded corporations from the infrastructure and construction industries because their investment decisions could result from the implementation of aid projects and weren’t related to the external effects of aid.

Development aid was a crucial tool of Japan’s foreign policy, especially in the Nineties. In 1991, Japan was the largest aid donor in the world, nevertheless, its aid budget was significantly cut in 2003.

Japan’s first Charter of Official Development Assistance, adopted in 1992, favored low-level tied aid – Japan has largely stopped tying aid implementation to Japanese corporations or products. When the charter was revised in 2003, it allowed Japanese corporations to more easily access aid contracts.

New research conclusions

Our findings showed that each one forms of foreign aid can positively impact donor countries’ foreign direct investment in recipient countries. This includes aid for economic and social infrastructure (roads, telecommunications, education or health) and non-infrastructure aid (corresponding to budget support or emergency aid).

Both types of aid can reduce the costs and risks related to foreign direct investment, opening up latest opportunities for donor country businesses in recipient countries.

A Somali man in a suit gestures with his hands while speaking into a microphone to someone off camera
International Development Minister Ahmed Hussen speaks in the foyer of the House of Commons before query period on Parliament Hill in Ottawa, February 15, 2024.
THE CANADIAN PRESS/Justin Tang

Infrastructure aid improves access to information and networks in recipient countries, improving the market environment. Meanwhile, non-infrastructure aid can reduce market and political uncertainty, making it easier for corporations to operate.

In northern Vietnam, for instance, Japan supported the construction of highways and port facilities in the Nineties. Interviews conducted by the Japan Bank for International Cooperation suggest that without improving transport infrastructure, most investments by Japanese corporations wouldn’t be made in the region. The use of these facilities was vital to those corporations because they relied on imported parts and materials, making fast and cheap transportation to and from ports, in addition to port operations, essential.

Our study also shows that not all corporations benefited from foreign aid to the same extent. Some corporations, corresponding to those with less experience in the recipient country, were more depending on foreign aid to handle local challenges that they were unable to handle on their very own.

Threatening national interests

Our research findings highlight that cutting foreign aid from developed countries not only hinders international development; it may not directly threaten national interests.

While The primary goal of foreign aid should all the time be to extend the well-being of the people of developing countriesit is necessary to recollect the positive unintended effects that aid may have on donor countries.

A more nuanced understanding of foreign aid is important for Canadians as they assess how aid policies impact each Canada’s economic prosperity and its global influence.

Maintaining a strong foreign aid program shouldn’t be only an ethical imperative, but in addition a strategic necessity for countries like Canada. By continuing to support international development efforts, Canada can protect its economic interests while strengthening its commitment to global equality and stability.

This article was originally published on : theconversation.com
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Business and Finance

David Shands and Donni Wiggins host the “My First Million” conference at ATL

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December is the birth month of David Shands and Donnie Wiggins, friends and business partners. Most people have fun by throwing a celebration. Others imagine it must be catered for. The chosen ones spend the day relaxing in peace and quiet.

Then there’s Shands and Wiggins.

The two decided that the best birthday gift can be to offer individuals with resources for generational wealth through a conference called “My first million”in Atlanta.

It’s a compromise between how their families and family members need to honor them and their desire to proceed to serve others. Shands acknowledges that almost all people won’t understand, and he unapologetically doesn’t expect them to.

“It’s not up to us to convince anyone why we do what we do,” admits Shands.

“I think everyone does what they do for different reasons, and I would just attribute it to a sense of accomplishment that I can’t explain to anyone else.”

He doesn’t need to clarify this to Wiggins because she understands his feelings. Wiggins has had a passion for serving others for so long as she will be able to remember.

“When I was in middle school, there were child sponsorship ads on TV featuring children from third world countries. I was earning money at the time and I asked my mother to send money,” she says BLACK ENTERPRISES.

She recalls how sad she felt for youngsters living in a world with so many opportunities, but at the same time going hungry. Her mother allowed her to send money, and in return she received letters informing her of their progress.

“It was very real to me,” Wiggins says, now admitting she’s undecided the letters were authentic. “I received a letter from the child I sponsored, a photograph and some updates throughout the 12 months. It was such a sense of being overwhelmed and it was something I felt so good about. I didn’t even tell my friends I used to be doing it.”

She carried this sense throughout her life, even when she lost every little thing, including her house, cars, and money. She still found ways to serve and give back, which is the basis of her friendship with Shands.

They each love seeing people at the peak of their potential, and that is what “My First Million” is all about. There can be no higher birthday gift for them than helping others create generational wealth.

What to expect during the “My First Million” conference.

They each built successful seven-figure empires, then train others, write books about it, and launch an acclaimed podcast Social proof.

Now they’re imparting that knowledge through the My First Million conference, an event for aspiring and existing entrepreneurs. Shands and Wiggins need to prove that being profitable is feasible and encourage people to bet on themselves.

“David and I, on paper, are not two people who should have made millions of dollars. Number one, we want (people) to see it,” Wiggins says. “Then we want them to actually get out of that room with practical and actionable steps.”

Both are clear: this just isn’t a motivational conference. This is a conference where people, irrespective of where they’re of their journey, will come away with clarity about their business and what they must be doing as CEOs. Shands and Wiggins want individuals who do not have a transparent marketing strategy or are considering starting a business to also attend the meeting.

“A few areas we will cover are inspiration, information, plan and partnership,” adds Shands. “We will give you 1-2-3 steps because some people get depressed and uninspired. Even if they know what to do, they won’t leave, go home and do it. So we have to really put something into their heads and hearts that they come away with.”

Sign up and enroll for My First Million Here. The conference will happen on December 13 this 12 months. but Shands and Wiggins say it definitely won’t be the last for those who miss it.


This article was originally published on : www.blackenterprise.com
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Business and Finance

Operation HOPE on the occasion of the 10th annual world forum

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Operation HOPE Inc. takes over Atlanta for the biggest game in the country dedicated to financial literacy and economic empowerment, Saporta reports.

The HOPE Global Forums (HGF) Annual Meeting 2024 strengthens the crucial link between financial education, innovation and community upliftment in hopes of finding solutions to the problems that stifle challenges around the world.

Organized by Operation HOPE founder John Hope Bryant, together with co-chairs Atlanta Mayor Andre Dickens and U.S. Ambassador Andrew Young, the forums, to be held December Sep 11 at the Signia Hotel, will have fun its 10th anniversary with three days of engagement discussions, observations and forward-looking presentations.

Under the theme “The Future,” Hope Bryant says attendees are looking forward to a “powerful moment in history.”

“Over the past decade, we’ve brought together great minds with daring ideas, servant leaders with voices for change, and other people committed to a brand new vision of the world as we realize it. “‘The Future’ is a clear call to action for leaders to help ensure prosperity in every corner of society,” he said.

The extensive program includes influential and well-known speakers who address business, philanthropy, government and civil society. Confirmed speakers include White House correspondent Francesca Chambers, media specialist Van Jones and BET Media Group president and CEO Scott M. Mills.

“John Hope Bryant and his team have been doing this for ten years, and every year HGF raises the bar,” Young said. “Discussions about the FUTURE are important not only for civil dialogue; they are also essential to bridging the economic divide and solving some of today’s most important problems.”

Atlanta is predicted to welcome greater than 5,200 delegates representing greater than 40 countries.

“I have long said that Atlanta is a group project, and through our partnership with HOPE Global Forums, we are inviting the world to join the conversation,” Dickens mentioned. “From home ownership and entrepreneurship to youth engagement and financial education, HGF will offer bold and innovative ideas to ensure a bright future for all.”

It coincided with the organization’s annual meeting launched one other path to enhance financial knowledge with HOPE scholarships. With three tiers of scholarships – HOPE Lite, HOPE Classic and HOPE Silver – clients could have access to free financial coaching and academic resources.


This article was originally published on : www.blackenterprise.com
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Business and Finance

New Orleans’ black business district is marked by history

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New Orleans, Black Business Disctrict


New Orleans has given a historic monument to a Black business district closed for interstate construction.

The marker was a project fulfilled by in response to the initiative of Plessy and Ferguson. Founded by descendants of men involved within the Plessy v. Ferguson case that legalized segregation within the United States, the organization worked with other community groups to put a marker under the Claiborne Viaduct.

Before the upheaval, Black New Orleanians could find stores owned by other members of their community on Claiborne Avenue. Racial discrimination originally limited the power to buy on the famous Canal Street. Given this, blacks as an alternative flocked to the realm to purchase every little thing from groceries to funeral arrangements.

This mall was home to many Black-owned businesses, and emerging and established entrepreneurs had arrange shop for generations. Consisting of pharmacies, theaters, studios and more, it helped maintain a vibrant black culture in the realm. It reigned because the most important street of Black New Orleans from the 1830s to the Seventies.

The street once featured a picturesque cover of oak trees surrounding bustling businesses. However, its decline began with the expansion of roads within the southern state. The first casualty was the oak trees that were cut all the way down to make way for the development of Interstate 10, and shortly thereafter, the district’s thriving entrepreneurs suffered an identical fate.

Many residents do not forget that they didn’t know in regards to the upcoming investment until the trees began falling. Raynard Sanders, a historian and executive director of the Claiborne Avenue History Project, remembered the “devastation” felt by the community.

“It was devastation for those of us who were here,” Sanders told the news outlet. “I was walking to school and they were cutting down oak trees. We had no warning.”

Despite its eventual decline, the district stays an integral a part of Black New Orleans entrepreneurship. Now the town will physically resemble a historic center where Black business owners could thrive. They celebrated the revealing of the statue in true New Orleans style with a second line that danced down Claiborne Avenue.

“The significance of this sign is to commemorate the businesses, beautiful trees and beautiful people that thrived in this area before the bridge was built, and to save the people who still stand proud and gather under the bridge,” also said Keith Plessy, a descendant of Homer Plessy’ ego.

The growth of local black businesses continues. Patrons and owners alike hope to evoke the spirit of Claiborne’s original entrepreneurs, empowering the community.


This article was originally published on : www.blackenterprise.com
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