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Tied aid credits are official or officially supported Loans, credits or Associated Financing packages where procurement of the goods or services involved is limited to the donor country or to a group of countries which does not include substantially all developing countries (or Central and Eastern European Countries (CEECs)/New Independent States (NIS) in transition).

Tied aid credits are subject to certain disciplines concerning their concessionality levels, the countries to which they may be directed, and their developmental relevance so as to avoid using aid funds on projects that would be commercially viable with private finance, and to ensure that recipient countries receive good value.

Source Publication:
Glossary of Key Terms and Concepts. From the "Development Co-operation Report: Efforts and Policies of Members of the Development Assistance Committee".


Statistical Theme: Financial statistics - Financial flows to aid recipients

Created on Sunday, November 18, 2001

Last updated on Tuesday, June 11, 2013