There are three main types of aid: humanitarian, bilateral, multilateral. Humanitarian can either be by individual country to country or via a major organization, not in a form of a loan. This is aid is usually for a specific issue like the aid received for the Tohoku Earthquake in the Sendai area from the Japanese Red Cross foundation. Bilateral aid is in the form of a loan given by one country to another although the time needed to repay this loan is longer. It may also be granted as “soft or below market terms”. Multilateral is when separate countries pay money to major foundations who decide how the money is distributed and to whom.
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