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Budget Support as a Sanctioning Device: An Overview of all Budget Support Suspensions in the Period 2000 – 2012

Nadia Molenaers
Universiteit Antwerpen
Nadia Molenaers
Universiteit Antwerpen

Abstract

Panel organizers: Thilo Bodenstein & Jorg Faust - This paper presents a new dataset on aid sanctions, more particularly Budget Support (BS) suspensions in the period 2000-2012. Not less than 150 BS suspensions took place, and 42% of these suspensions related to democratic regress and/or Human rights concerns. The research shows that democratic governance is by far thé most referred to reason to suspend aid or to legitimize the suspension. Secondly, given the quite large number of suspensions in some countries it is also clear that BS is not necessarily more predictable in delivering aid. Given the data presented, the opposite might be actually true. Third, donor darlings do not escape the wrath of donors as they figure high in the suspension list.