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A donation deal is when a player donates real life money to the game on another (usually larger) nation's behalf, in exchange for aid. The nation receiving the donation gains bonuses such as:

Amount Nation Cash Bonus Infrastructure Bonus Land Area Bonus Technology Bonus
$25.00 $1,000,000 500 500 50
$20.00 $800,000 400 400 40
$15.00 $600,000 300 300 30
$10.00 $400,000 200 200 20
$5.00 $200,000 100 100 10

At higher levels, infrastructure becomes very expensive, as does technology. If the buyer (player receiving the donation) can agree to pay the seller less money in aid than it takes to buy the infra/tech/land directly, it becomes worthwhile to buy donations.

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