The Effect of the Foreign Aid on Poverty Reduction: A Structural Equation Modelling
Abstract
This study scrutinized the impact of the foreign aid on poverty reduction strategy implementation in Chad republic. Quantitative methodology was employed in this study in which primary data was collected using a structured questionnaire with a 5-point Likert scale was used as the instrument for data collection from a total of 537 respondents from community leaders, member of independent association, foreign aid representative and non-governmental organization (NGO). The validity and reliability of the measurement and structural models were determined. Therefore, the Partial Least Square Structural Equation Modeling (PLS-SEM) was used to answer the research objective and to test the hypothesis of the study. The results show that foreign Aid had significant positive effect of poverty reduction strategy implementation in Chad republic.