Guia de Estudos - Faap

Guia de Estudos / Study Guide / Guia de Estudios
The advantage of South-South cooperation, when
comparing it to North-South cooperation is a greater
capacity of the receiving country to generate an appropriation
sense; it promotes initiatives that are closer to
the conditions and needs of the receiving country, and it
allows a greater sensibility to some contexts, due to the
familiarity with the reality and the problems of development;
it creates a ”win win” scenario, since it improves
technical and institutional abilities to both parties. It allows
a larger flexibility and adaptation of changing conditions
of the benefited country; for not being connected
to conditions or obligations of assisted purchases, it
is concluded faster, and it is cheaper. Frequently it is given
to countries that are “abandoned” by the traditional
donators and tends to preserve the cultural diversity
and identity of the benefited countries. These are some
reasons, along with contributing to the innovations of
some sectors, the increase of the diversity of actors,
along with the opening of new channels of communication
and ways of learning, made the countries and the
OCDE give more space to South –South cooperation.
The transformation itself is the result of the increasing
weight of emerging countries, the opportunities created by
the international crisis, the search for solutions among developing
countries and the tendency to ‘retreat from traditional
donors’ which has open space for the offer of cooperative CSS,
reducing monopolies in the provision of aid.
As said before, the financial crisis shook the financial
system damaging the flux of resources destined to international
cooperation. However, some of these countries,
developing countries, did well in comparison with
others during the crisis. This happened due to their internal
structure, like in the case of Brazil, that has very
strict bank and financial systems. According to the report,
MDG after the crisis,
a key lesson from the financial crisis is that the economic
and social impact of the downturn would have been
far worse if not for the effective – and often extraordinary
– policy response adopted by many advanced, emerging,
and developing countries, as well as the swift and sizable assistance
provided by international financial institutions and
multilateral development bank. Policy responses and international
cooperation have been better than previous crises.
According to the same report, the crisis hit two critical
drivers of the progress toward the MDGs, faster growth
and better service delivery. The impact was negative be-
cause of the gravity of the recession and the indicators
of human development started to decline much in bad
times then growing in good times. But comparing to
the other crises many countries have maintained social
safety net in the face of income decline, and this is why
the impact on the MDGs are not so hard.
The international community responded strongly to
the crises, trough the use of the multilateral development
banks that protect core development programs,
strengthen the privet sector, and support poor households.
However even with a good crises recover, the
MDG´s are still in a bad situation, and to get recovered
from this situation it is necessary that the developing
countries maintain good polices and effective service
delivery with the global community support.
The fact that countries like Brazil, lower income and
upper middle income that had suffered with economic
crisis throughout their histories to receive financial aid
of the IMF, had to follow some strict rules, demanding
structural changes, allowed the country to mold a structure
capable of creating a system relatively immune to
future crisis.
Another point that must be mentioned is that with
a bigger presence of International Organizations, focusing
financial development, such as the IMF, the World
Bank Group and the UNDP, low income countries and
lower middle income, to continue receiving aid from
the financial, technical and know how cooperation, had
to adjust themselves and follow a mold to develop correctly,
thus going from low income to lower middle income
for example. The fact that the MDGs have 15 years
to be achieved, and even if it is not, made poor countries
start creating solid structures so that they could reach
an adequate development pattern in the future.
This allows these countries to form a structure capable
of receiving investments, financial resources and to
go from receptors to donors in the international cooperation.
This process makes global partnership solidify
itself, ever expanding the possibility to reach the MDGs
(the report says that “the financial conditions are improving,
but financial flows remains below the needs”.
Proving that the structures are being built correctly,
through financial cooperation and programs of development
banks, showing that to overcome the crisis it
is necessary that there is trust in the markets and the
strengthening of the international cooperation policy.
121