governmentaid-group15

When LEDCs are experiencing problems such as poverty, MEDs often lend a hand by loaning money, supplies and food. There are advantages and disadvantage to this solution:
 * Advantages || Disadvantages ||
 * Quick solution to poverty and can really help to solve the problem. || The poor countries and often left with huge debts to pay back and sometimes cannot afford it. Interest builds on the debt and makes it greater. ||
 * Helps the country develop more and avoid the problem in the future. || Many believe that governments should not support poorer countries and let them stand on their own two feet and develop themselves. ||

There are many organisations that believe richer countries should wipe out the debt they have imposed on the poorer ones, as it is not realistic that the money will ever be paid back and it just plunges the country into more problems including poverty.