Abstract:
The issue of aid and dependence has never been more topical. Despite increasing levels of assistance, there continues to be a growing divergence in wealth between the North and South. The persistent inability of developing countries to solve the problems associated with poverty requires that a new approach to development be found.
Sustainable development is the current development catch word. Although this term is widely used and applied to development programmes there continues to be confusion about what it means in terms of development policy.
As a developing region, the South Pacific faces many similar problems associated with other under developed countries. Questions of aid dependence, environmental degradation and social instability are a few among many issues that challenge the region's developed and developing countries.
New Zealand's continued constitutional responsibilities and historical involvement in the South Pacific inevitably means many countries look to it for assistance and guidance in solving regional dilemmas. New Zealand, among other donors, sees aid as the primary tool in solving these dilemmas. Yet, previously poorly directed assistance has done little more than artificially inflate the living standards of many island states and increased aid dependence. This problem is particularly acute in the region's smaller island states.
