Can Foreign Funding Help To Stop Poverty In A Country?

[Good-Guy]

Foreign funding is a simple process of investment of funds by a foreign organization or a country into some other country. There are many private institutions, governmental organizations, banks, private businesses, etc that tend to invest finance into other countries. Usually, such kind of organizations also seek their own benefits before actually investing money into a different country. They usually seek the returns on investment in a proper way before they could actually invest money. Many foreign organizations usually invest money into a project that is being established in a different country.

I have always considered foreign funding a good thing for a country, but it entirely depends on the context and the real motive behind such agendas. If a foreign investment is providing good opportunities to the locals of a country along with seeking its own benefits, then I see absolutely nothing wrong with that. Usually foreign funding is used to utilize the natural resources of a country and this might actually be good for people of the country. I think that in this way foreign funding can actually help to stop poverty in a country. So what do you think? Could foreign funding be actually beneficial for a country? Please share your opinions.

 

[sincerem]

Normally development comes in when foreign companies started coming buck to a particular underdeveloped country. I simply agree with you, foreign investment companies is an option of development to a given country. I don't see a massive development if a country lack serious investors from a foreign country. All investors in that country wouldn't be local made only. With the help of those foreign investors it will simply give room for different project, it might even create an avenue for skill acquisition for the youths and capable bodies to enroll in as well. Remember, the government makes more revenue when a large scale foreign investment companies comes in, because it will require them taking better tax from there in order for the companies to settle down for operation. And again, it creates room for employment opportunities for the citizens, which in turn reduces unemployment and crime rate. When you're simply busy working, you think less of evil, and remain committed to work and to earn at the end of the week or month, because salary is sure. Anyone who is wise also grow from there by saving money continuously from his or her earnings from the foreign investment company to start business of its own

 

[Alexandoy]

My analogy in this topic of foreign funding is a small business that needed more capital for expansion. When a friend would provide additional capital as part owner of the small business then it can expand and probably be more profitable. The country is like a business with all the industries inside. When a foreign investor injects a huge sum to a business then that will certainly create employment and other financial benefits like the need for more supplies, more labor and more miscellaneous expenses like deliveries, etc. I can imagine if foreign investors would come to our country to invest in 50% of the industries here then our economy would zoom upward that poverty may not be eliminated but for sure it will be lessened. When the economy becomes dynamic people will have more jobs, they will have more money and their life will be happier that can lead to a lower crime rate.

 

[Caramelle]

The term foreign funding could have different meanings. It could refer to foreign funds assistance that comes for free but has conditions attached. Such foreign funding may or may not be helpful in alleviating poverty depending much on the country's existing conditions prior to the money grant.

As for foreign investments in business, I think it is already a given that such investments bring employment and dynamism to a country's economy regardless of its status. My country, for instance, has been benefiting much from its status as a haven for business process outsourcing. It has been a preferred venue for call center services by many large global companies for the past two decades. The BPO industry has created employment opportunities for its citizens and it is still growing at this stage. It has helped in alleviating poverty by providing jobs and giving hope and optimism to young people and their families.

However, our laws prohibit foreign investment in certain areas and types of businesses including small-scale mining, utilization of marine resources, mass media, security guard services, and the practice of some professions. Such prohibitions were established to ensure that our natural resources will be developed by local businesses, that they will be used primarily to benefit our own people, and protect our national security.​

 

[Kingsley]

In a wise country with a wise and sincere government foreign funding can help to alleviate poverty. I really do not know why Africa is like this most the so called giant of Africa, I don't know why the government here is not been sincere with the people and themselves. We get both direct and indirect foreign funding. When i say direc I mean there are monies that comes into the country through foreign support from foreign bodies and countries to support my country but these funds are not been utilized for the good of the people. I could remember when we got millions of dollars from both outside and inside this country and all the funds grew wings and no one benefited from it. The food that was suppose to be shared by the people to cushion the effect of the lockdown were hiding inside some warehouses and no one got anything from them. I really wonder what is wrong with them and this also happens with all the loans they get from foreign bodies like IMF and world bank.

Thanks to the foreign companies in my country that is helping to create employment that is helping the people to keep their bodies and souls together.

 

[Yusra3]

Foreign funding can be absorbed by efforts to alleviate poverty, though cannot be depended on to do the job alone. Although the financial assistance external aid can offer enable fast development, it is vital that nations concerned balance this with good governance and economic policies that promote growth, education, and crucial infrastructure not forgetting efforts which address root causes such as corruption, conflict, and economic inequality. What is vital in the process of poverty reduction are the investments done both domestically and by the foreign donors so that after some time the economy will lead itself out of poverty.