Here's why:
* Portfolio Investments: These are investments made in financial assets like stocks and bonds, aiming to generate a return for the investor. They are typically short-term and less risky than direct investments. They focus on financial gains, not providing aid.
* Aid: Aid refers to financial or other assistance given by one country or organization to another, usually with the goal of supporting development, humanitarian relief, or other specific objectives.
While portfolio investments can indirectly contribute to a country's development by providing capital, this is not their primary goal. They are driven by profit-seeking, not altruism.
Sources of Aid:
Aid typically comes from:
* Governments: Bilateral aid from one country to another, or multilateral aid from organizations like the World Bank or UN.
* Non-governmental organizations (NGOs): Private organizations that focus on specific issues like poverty, education, or healthcare.
* Private foundations: Philanthropic organizations established by individuals or families.
* Private companies: Corporate social responsibility programs or targeted investment in developing countries.
Let me know if you have any other questions!