Greedy Expats in Cambodia

Posted by Stuart at 01:40 PM on November 27, 2006

I have heard of abuses (corruption?) in the NGO community in SE Asia, but I didn't realize it was as bad as a recent article suggests. An article from today's "The Australian" website said that up to 80% of international aid goes to cushy expat employment packages. "A country director for a prominent international charity typically receives a $250,000 package that includes a spacious villa, four-wheel-drive and schooling perks."

If this is true, it is really, really sad. Just taking into account the salary alone, someone making $250,000 a year is making $684 EVERY DAY. According to the CIA World Factbook, Cambodians make an average of around $2,500 EVERY YEAR. So this rich expat is making a an Cambodian annual salary EVERY FOUR DAYS. Makes you wonder who is truly the recipient of the "charity".

I mentioned the book "Leaving Microsoft to Change the World" before. One stat that Tim Woods mentions is that the NGO he founded (Room to Read) only has a 10% overhead, which means that 90% of all donated funds go to the people they are trying to help. That is a very respectable number.

Just goes to show that when you make those contributions, it's a good idea to check to see where they are really going...

The article I referenced above is Expat pay absorbs aid to Cambodia