Does the Threat of Killing Gays Deter Foreign Aid: The Case of Uganda's 2014 Anti‐Homosexuality Act

ABSTRACT Much attention has been drawn on Uganda in recent years due to the strengthening of its anti‐LGBTQ legislation and rhetoric. Our study explores the aid‐deterring effect of anti‐LGBTQ legislation in an experimental setting using the Synthetic Control Method. It allows us to quantify the effect of Uganda's 2014 Anti‐Homosexuality Act (as an adverse anti‐LGBTQ policy shock) on aid flows provided by specific OECD donor countries. Contrary to any initially stated threats, intentions and expectations, we find that Uganda's Anti‐Homosexuality Act did not have a deterring and sustained aid effect for the majority of OECD donor countries.