Oxfam International Failure

James Wolfensohn had admitted as the new head of the World Bank that they had made a big mistake in Africa and their policies had created even a bigger gap between the rich and the poor as well as a serious crisis where their total debt almost equaled the annual gross national product of the entire continent. As a result, 25 percent of their children were dying before the age of 5 due to the lack of health aid (Wild & Wild, 2016. pp. 273).
Some groups debated that those developing countries should be receiving grants to prevent economic collapses and debt problems as they were already facing. For many years, a nongovernmental organization (NOGs), such as advocacy group Oxfam International had lobbied the Bank and the International Monetary

Fund (IMF) to write off loans to the poorest borrowers and just calling debt forgiveness. Finally, in 1996, the World Bank and IMC announced a plan called Heavily Indebted Poor Countries (HIPC), to help reduce the debt stock by 50 percent of the world’s poorest countries in Africa, Latin America, Asia and the Middle East.
Then in 2006, a Multilateral Debt Relief Initiate (MDRI) was launched by the world’s largest lending institutions along with HIPC to help those countries reach their debt relief goals and by late 2014, of 39 countries eligible, 35 were already receiving full debt relief and all 39 countries had their debt stocks reduced by 80 percent and saw their GDP drop from 114 percent to 35 percent. One of the model countries with a success story thanks to this program was Uganda, which was one of the first countries to receive debt relief under HIPC. Uganda boasts a steady growth rate of 5 percent with coffee as their main export and pledged to improve health care and to make primary education to all Ugandan families (Wild & Wild, 2016. pp. 273).