Wednesday, October 15, 2008

Aid groups view on how the credit crisis effects them

A good story came out overnight about the major aid organizations worldwide and how the credit crisis will effect them.

Some groups have already starting cutting back on their efforts, while others don't know yet if it will effect donations.

All aid groups agree that this will trickle down to the poor at the bottom. The poor will have less help to fend of malnutrition, disease and more.

We boiled down our snippet to the actual reactions from the leaders of top aid organizations. But there is much more in this Associated Press article by Alexander Higgins. We came across the article from the Enquirer Herald website from Eastern New York.

Philippe Guiton of World Vision told The Associated Press that his agency plans to cut back hiring, which will have implications for delivering aid to the needy overseas.

"What we are going to do now is to issue an order to reduce spending, to delay recruitment, delay purchases of capital assets, etc., until we can see clearer how much our income has dropped," he said.
Robert Glasser, secretary-general of CARE International, said the agency has "a number of major donors who have invested heavily in the markets and have now seen their portfolios take a big hit."

What that will mean on the ground could take months or more to gauge - and perhaps years for a complete recovery, aid groups say.
In impoverished Haiti, funding for projects to rebuild from tropical storms that killed nearly 800 people and destroyed more than half the nation's agriculture hangs in the balance.

"It's too soon to tell yet because we haven't heard back positively or negatively from our major donors," Greg Elder, deputy head of programming for U.S-based Catholic Relief Services, said by telephone from the battered southern port of Les Cayes.

The group is waiting for word from the U.S. Agency for International Development on whether it will get $2 million for 10 new food-for-work projects, which provide Haitians with rations in exchange for building roads, irrigation systems and environmental projects.
Medecins Sans Frontieres, which runs AIDS clinics in the Cape Town township of Khayelitsha in South Africa, said it's "far too early" to determine the impact the crisis would have on donations.

"The money we're spending now was collected some time ago," said Henrik Glette, a South Africa-based spokesman for the group.
Dr. Anthony Fauci, director of the U.S. National Institute of Allergy and Infectious Diseases, said "the increases in the budget we had hoped for will not be forthcoming."

Alan Bernstein, head of Global Vaccine Enterprise, said the financial meltdown is "not good news for research in general and vaccine research in particular."

1 comment:

mouse (aka kimy) said...

I just discovered your incredibly rich blog about the struggles of the poor. thank you for maintaining this important resource!

and your contribution to blog action day - I look forward to visiting frequently.