Determinants of bilateral ODA allocation by DAC donors: an analysis of recipent country characteristics from 1990 to 2023

Official Development Assistance (ODA) is a key instrument in the global effort to reduce poverty and foster sustainable development. This dissertation examines how re cipient country characteristics influence the allocation of bilateral ODA from DAC donors between 1990and2023. Usingapanelregressionapproach, theanalysis considers a broad set of economic, social, environmental, and institutional indicators influencing ODA al location. The findings show that countries with better economic and social development tend to receive less aid, while those with higher trade openness, greater dependence on natural resource rents, and lower gender equality receive more. Additionally, higher in come inequality is associated with lower aid, and countries with a higher share of forest receive more ODA. No significant relationship is found between CO2 emissions and aid, while higher perceived corruption is linked to greater aid inflows.