Self-interest argues for enlightenment

In the United Kingdom and the United States, these tough economic times are demanding tough choices. As the U.K.’s coalition government tackles our budget deficit, we have had to take a cold, hard look at how we make efficiency savings and where we need to shift resources in order to advance both our values and our global strategic interests. As part of this challenging process, we have made the decision to maintain our investment in foreign aid.

We made this tough decision because we don’t believe that the books should be balanced on the backs of the world’s poorest people. One of the many traits we share with the American people is a desire to reach out to those in real need. Whether it is providing life-saving aid to people hit by famine in the Horn of Africa, access to HIV drugs or responding to victims of the floods in Pakistan, both our nations have a proud and generous tradition of assisting those beyond our borders.

{mosads}Morally, we believe this is the right thing to do. But it is also the smart thing to do. We recognize that Britain’s aid program doesn’t just benefit others — it benefits us, too. It is aid from Britain, but also aid for Britain. 

We believe that tackling the threats that we face from fragile states is squarely in our national interest. If we allow extreme poverty to fester in countries such as Somalia, Afghanistan and Yemen, we risk their problems growing and spreading. The price of combating terrorism, crime, piracy, disease and unchecked migration is much more than the cost of dealing with those challenges upstream. That’s why we have committed to spend one-third of our aid budget in fragile states and have increased aid to Afghanistan by 40 percent in the last two years.

People talk about “soft power,” but I think the future of aid is about “smart power.” Investing to create vibrant business environments in the developing world and allow private investment and entrepreneurship to flourish makes sense for Britain. The future growth of our economy is tied to those of emerging and developing economies. The poorest two-thirds of the world’s population represent $5 trillion in purchasing power.

In the case of Libya, the National Transitional Council (NTC) faces the formidable but achievable task of re-establishing stability and basic services. By unfreezing Libyan assets and providing short-term moderate assistance, we have an opportunity to make an immense impact on the country’s future stability, thereby contributing to regional security. Our short-term aid is going toward medical assistance and making sure the communications networks, electricity, power supplies, fuel and water are maintained or repaired. The NTC will have the long-term resources to ensure the rebuilding of their country.

While we have safeguarded our commitment to aid, we have not written a blank check. Instead, we have conducted a major overhaul of UK assistance, guided by transparency, effectiveness and impact. We are driven by results, and we must show British taxpayers the incredible impact their money is having, in terms of lives changed and communities transformed.

Our newly introduced Aid Transparency Guarantee allows taxpayers to see where their money is going. All project documentation and all spending above $800 is published. And we have set up an independent aid watchdog that monitors our programs and reports directly to Parliament. 

We have focused our efforts on fewer countries, including cutting aid to countries that don’t need it, such as Russia and China. We will work much more with the private sector to drive economic growth, the key to lifting people out of dire poverty. A hand up is better than a handout. We will invest more in high-performing multilaterals, while we have told some organizations to up their game and walked away from the poorest performers. 

The impact of this work is already clear. Aid has helped to eradicate smallpox, reduce polio cases from 350,000 a year in 1988 to just 1,500 last year, and increase the number of people on vital anti-AIDS drugs from 400,000 in 2003 to more than 4 million in 2008. We work closely with great organizations like The Bill & Melinda Gates Foundation and the Nike Foundation to achieve great results.

Aid is vital, but we must take a smart-power approach to our national and economic security. Helping the poorest people on our planet also reflects our values as a nation. We are proud to share this core value with the U.S., and to work alongside our American partners to meet huge challenges around the world. At the same time, we are planning for the future to ensure that today’s trouble spots don’t turn into tomorrow’s wars. Effective aid can truly be a smart investment.

Mitchell is secretary of State for International Development in the United Kingdom.