[Part I yesterday and Part III tomorrow complete this series.]

Foreign aid comes with countless strings attached. It also “transfers money from poor people in rich countries to rich people in poor countries,” economist Peter Bauer frequently quipped. It is “life support for corrupt dictators,” says James Shikwati, director of Kenya’s Inter-Region Economic Network.

Seemingly perpetual aid keeps people from starving, but often stifles the development of legal, economic, and technological systems that launch nations on the road to self-sufficiency, growth, and prosperity. It has made people worse off, and increased poverty and misery, instead of reducing it. Foreign aid, says Moyo, is “the single worst decision of modern developmental politics.” [1]

Poor countries need access to investment capital to build large-scale modern power plants of every description.…

“Affordable energy brings jobs, improved living standards, and pursuit of happiness. But across the globe, nearly three billion people – almost half the world’s population – still lack regular, reliable electricity. Nearly 1.3 billion people have no access to electricity.”

[Part II and Part III of this series follow.]

For 16 years, in a scene out of pre-industrial America, Thabo Molubi and his partner made furniture in South Africa’s outback, known locally as the “veld.” Lacking even a stream to turn a water wheel and machinery, they depended solely on hand and foot power. But then an electrical line reached the area.

The two installed lights, and power saws, and drills. Their productivity increased fourfold. They hired local workers to make, sell, and ship more tables and chairs, of better quality, at higher prices, to local and far away customers.…