The goal of this research is to propose strategic and institutional policy improvement measures to boost the effectiveness of development aid from Korea as we prepare for an expansion of ODA and a change in the environment surrounding international development and aid. Moreover, the study seeks to contribute to the development of a basis for a mid-term policy for grant aid. Specifically, the dual function of ODA that links foreign policy with humanitarianism is addressed, policy goals regarding the allocation of aid by region, sector and nation, as well as multilateral aid, are clarified and the principles, goals, and values that aid policy must have are presented.