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Has ODA contributed to growth? An assessment of the impact of Japanese ODA

Yasuaki Momita, Tomoya Matsumoto and Keijiro Otsuka ()

Japan and the World Economy, 2019, vol. 49, issue C, 161-175

Abstract: Japanese ODA is uniquely different from that of Western countries in its strategic focus on economic growth. This paper examines whether it has indeed contributed to economic growth in its partner countries, as an attempt to respond to the question of how ODA can promote growth. It employs an econometric analysis using a panel dataset of 117 countries from 1980 to 2010 and disaggregated ODA flows from five major donors and the sum of all the other donors. Our study finds that Japanese ODA is positively associated with industrial growth in its partner countries, through which it has contributed to their economic growth.

Keywords: Aid; Industrialization; Growth (search for similar items in EconPapers)
Date: 2019
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Handle: RePEc:eee:japwor:v:49:y:2019:i:c:p:161-175