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14/04/2017

Wealth of Developing Nations

It is evident that rampant poverty characterizes most developing countries. There have been extensive debates that question whether developing countries should receive resources from the wealthy nations or mobilize their governments to tap and effectively allocate public resources. Even though this issue is complicated and controversial as well, each developing country has its responsibilities to the citizens and should mobilize its resources independently to ensure it caters for the needs of its citizens.

Each developing nation has its elect leaders in the government that are a source of change for a deprived nation. Poverty arises due to poor governance and corruption (Acemoglu and Robinson, 2012). Corrupt government officials in such countries often endorse these vices due to rigid access to public resources. These officials use this wealth for their selfish interest. For example, most governments allocate financial resources that cater to basic needs such as food, shelter, and education to the needy (Pouw and Baud, 2012). Even if the affluent nations step provide resources to underdeveloped countries, the absence of good governance makes such allocation of resources inefficient.

Governments collect taxes and other revenues necessary for implementing economic growth and development. The government officials are responsible for implementing policies that allow access to credit facilities required for development. The International Monetary Fund and other agencies such as the World Bank are set up for giving financial aids to the emerging countries (Ilcan and Lacey, 2011). Developing countries should, therefore, access such credit facilities as opposed to receiving grants and donations from wealthy countries.

In a nutshell, the governments of developing nations should adopt good governance to supplement the efficient utilization of resources and provision of basic needs to its citizens. Vices such as corruptions should be eliminated to ensure developing nations grow and develop economic-wise.

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