Abstract

ODA plays a crucial role in supporting poverty reduction efforts in developing countries. However, its effectiveness is contingent on sound policies and practices that ensure efficient allocation, targeted delivery, and effective utilization. By addressing these challenges, ODA can be a powerful tool in achieving the SDGs and fostering sustainable development in Egypt and other developing nations.

This study investigates the effectiveness of Official Development Assistance (ODA) in reducing poverty in Egypt in light of the Sustainable Development Goals (SDGs) 2030 during the period from 2000 to 2022. It starts with an introduction to the problem of poverty and its significance as a global challenge, highlighting its negative impacts on economic growth, social stability, and security. It then reviews the concept of ODA and its role in promoting development in developing countries.

The study presents a detailed analysis of poverty trends in Egypt, utilizing data from the Central Agency for Public Mobilization and Statistics (CAPMAS) income and expenditure surveys. The analysis reveals that poverty rates in Egypt have fluctuated over the study period, with a significant increase observed since 2016. The study also examines the historical trends of ODA received by Egypt from 2000 to 2020, disaggregating the data by source and type of assistance.

To assess the effectiveness of ODA in poverty reduction, the paper employs an econometric model that controls for various factors influencing poverty, including economic growth, population growth, and inequality. The results of the model indicate that ODA has had a positive and statistically significant impact on poverty reduction in Egypt. This implies that ODA has played a crucial role in supporting poverty alleviation efforts in the country.

The study concludes by emphasizing the importance of ODA as a complementary tool for achieving the SDGs, particularly the goal of eradicating poverty. It highlights the need for effective targeting and utilization of ODA to maximize its impact on poverty reduction. Additionally, the paper calls for domestic policies that address the root causes of poverty, such as unemployment, lack of access to education and healthcare, and inadequate social protection systems.