Joe Costello (Dublin Central, Labour)
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Before I commence, I welcome the fact that a group of children is present in the Gallery. I thank Senators for the opportunity to address the House on Ireland's new policy for international development - One World, One Future: Ireland's Policy for International Development - as well as other recent developments relevant to the Government's commitment to international co-operation.

The past five months have been busy, to say the least. We have been using our Presidency of the Council of the European Union to move towards a common EU position on the post-2015 development agenda and to advance EU policy on both food and nutrition security and resilience. We have also been active responding to the humanitarian crises in Mali, Syria, Somalia and elsewhere and in engaging in the negotiations on the European Union's multi-annual financial framework budget in the context of areas relevant to development co-operation. I will discuss these matters in greater detail later but I wish, first, to return to what is a significant moment for Ireland’s commitment to a sustainable and just world, namely, the publication of One World, One Future: Ireland's Policy for International Development, which the Tánaiste and I launched last week.

In the first instance, I wish to comment on the review of the 2006 White Paper on Irish Aid. Our new policy on international development was born out of that review and out of the comprehensive period of reflection, listening and learning to which it gave rise. A commitment to review the 2006 White Paper on Irish Aid was included in the programme for Government published in 2011. This review, which commenced over a year ago, sought to examine the progress made by the aid programme during the past six years and review the changing context, in Ireland and overseas, in which we operate. An added dimension was to propose clear priorities to guide the Government's overseas aid programme in the years ahead. The review reached over 1,000 people through public consultation meetings throughout the country and overseas. It involved meetings with NGOs, the private sector and other interest groups in Ireland. It also included consultations with the Houses of the Oireachtas, including the Seanad, which I addressed on the matter on 9 May last year. The consultation process, therefore, provided a unique opportunity to listen to the views and experiences of people, both here in Ireland and in the countries in which we work.

At this juncture, I wish to thank those Senators who participated in the review and who made the process relating to it so vibrant. I also wish to acknowledge the Irish Aid expert advisory group, chaired by the former Minister for Justice, Nora Owen, in the context of the independent oversight role it played with regard to validating the review.

As a result of this extensive review I am confident that our new policy, One World, One Future, presents a clear direction for Ireland's contribution to international development in the years ahead. We have set out three goals under the new policy: first, reduced hunger and stronger resilience; second, sustainable development, inclusive of economic growth; and, third, better governance, human rights and accountability. To achieve our goals we have identified six priority areas for action: global hunger, fragile states, climate change and development, trade and economic growth, essential services, and human rights and accountability. Most important, we will work even harder on the inter-connections between all these priority areas for action. Co-ordination is important in this regard.

The new policy reaffirms our leading global role on hunger. It affirms the need for more comprehensive responses to the impacts of climate change and it places particular emphasis on responding to the needs of fragile states, that is, states coming out of conflict, subject to armed conflict or subject to extreme natural disasters. In this context, I refer to the recent announcement that Sierra Leone has been designated a new key partner country for the Government. Just over ten years ago Sierra Leone came out of a civil war. The new approach recognises the importance of human rights in all that we do and, in particular, the need to focus our efforts on better responses to gender equality and disability. We will continue to work with partners who have a proven ability to deliver quality programmes and who deliver results for poor communities. In this context our partnership with Irish-based NGOs will remain as an important dimension of the programme. It will have a particular emphasis on demonstrating value for money, delivering results and contributing to the strengthening of civil society organisations in our key partner countries. While affirming the centrality of the reduction of poverty and inequality, the new Irish Aid policy emphasises the need to attach greater importance to economic growth, the development of the private sector and trade. It emphasises the importance of international co-operation to enable developing countries to grow and finance their own development and, over time, become less dependent on international assistance.

Our clear view under this policy is that aid alone will not solve the problems of poverty and hunger. Our contribution is not only through the financial assistance we provide. We have a strong voice on the international stage which we will continue to use. Moreover, Ireland has clear capacity in our people and in our institutions, which we will harness, including through a new volunteering initiative.

The direction this policy sets out, although focused on the needs of the developing countries with whom we work, is also in our interests. By leveraging the goodwill and strong partnerships that we have built up through our aid programme, we can contribute to our economic recovery in Ireland. Importantly, the policy recognises our ability to contribute to good development outcomes not only through our foreign policy, but through policies right across Government as well. This is why we are committing to a stronger whole-of-government approach and to being more accountable for our actions. The policy will include the submission of a biennial report to the Oireachtas on progress made and results being achieved through Ireland's efforts.

It should be recognised that this new policy has been formulated in difficult circumstances in Ireland and throughout Europe. However, in 2013 it continues to reflect a commitment by the Government to ensure overseas development assistance remains an important policy priority and that this is reflected in annual budgetary allocations.

We have recognised that our spending on overseas aid must be fully transparent, providing maximum value for money and delivering positive results in the lives of those who it is targeting. Accountability will be central in this regard and we have set out clearly in this policy who we are accountable to and how. We will expect the same standards from those through whom we channel aid funding. We will be encouraging an even greater partnership and oversight by the Oireachtas in all that we do, including through engagement with the Joint Committee on Foreign Affairs and Trade. With this new policy we mark the beginning of a fresh chapter for Ireland in international development. It is a policy we enter into with the confidence that there is much to build on and a strong commitment in Ireland at all levels to making a difference in the lives of the poorest and most vulnerable people with whom we work.

I refer to Ireland's Presidency of the European Union Council. Ireland has had an active, efficient and effective Presidency in the area of international development following detailed preparations last year. We have worked in close co-operation with our partners, in particular the EU High Representative for foreign and security policy, Dame Catherine Ashton, and her European external action service, to achieve concrete outcomes in areas of mutual interest. Some 12 months ago we identified three key areas in the European Union's development and humanitarian agenda which Ireland, working with the EU High Representative, would seek to progress during our Presidency. These three areas are: first, ensuring that the EU actively engages in development of the post-2015 agenda; second, highlighting the links between the thematic issues of hunger, nutrition and climate change; and, third, forging stronger links between emergency humanitarian relief and long-term development aid. As we move towards the development segment of the Foreign Affairs Council on 28 May, we can say with justification that we have made substantial progress in all three priority areas and have met or are on line to meet the goals set out at the start of our Presidency.

The main issue in the international development agenda is what will replace the millennium development goals, which were agreed in 2000 and which are due to expire in 2015. Establishing a new development framework is important and this is reflected in the intensity and range of discussions taking place throughout the world, including in the European Union, at the high level panel appointed by the United Nations Secretary General, at the UN open working group on the sustainable development goals and at the 11 thematic consultations and over 50 country dialogues being organised by the UN throughout the world.

At an early stage in our preparations for the Presidency we identified that EU engagement in this global discussion was essential and that Ireland, as holders of the EU Council Presidency during this crucial period, would be well placed to shape and focus the European Union's position, especially on the UN special event on the millennium development goals in September 2013. The special event will be one of the last opportunities for international leaders to review progress being made in advance of the 2015 target date and will be a starting point for considering what will happen after 2015. Working with the EU High Representative, the three commissioners responsible for humanitarian aid, development aid and the environment and the Minister for the Environment, Community and Local Government, Deputy Hogan, we are now in the process of developing an EU position on what a post 2015 framework might look like. Our aim is for a position that is coherent and effective. This will be discussed at the development segment of the Foreign Affairs Council on 28 May. It was also the main point of discussion at the informal meeting of EU development ministers which I hosted in Dublin in February and at which there was unanimous agreement on the way forward.

Given our well-established international reputation in development assistance, I am pleased to note the Irish thread throughout the post-2015 process. In addition to our EU Presidency role, we are a member of the UN open working group on sustainable development goals. Our Ambassador to the UN in New York, Anne Anderson, is co-facilitating the UN special event in September along with her South African counterpart.

As we look forward to post-2015, we should remember that the millennium development goals agreed in 2000 have been a useful international framework to guide the efforts of the international community in reducing global poverty and disadvantage. It will be essential that the discussions on a successor framework for the MDGs for the next 15 years and discussions in the open working group on recommendations for sustainable development goals are coherent and mutually reinforcing and that we work towards a coherent set of goals for the post-2015 framework. This has been the thrust of the work we have been doing during the past six months to bring the European Union together with a common purpose and in a coherent fashion on the sustainable development goals and millennium development goals. We have been speaking with one voice since 2008 because Croatia has been in on all the talks as well.

We will speak with a single voice and common purpose, coming from the European Union, in September when the decisions are due to be made by the United Nations.

On responding to huger, nutrition and climate change, which has been a focus of our global endeavours over the years, the global community has made major progress in fighting poverty since the millennium development goals were agreed in 2000. Despite this, the reality is that one billion people still live in extreme poverty, 870 million people live with hunger, almost one in three children in the world lacks the nutrients they need to develop their full potential physically and mentally, and malnutrition is the underlying cause of the deaths of 7,000 children under five every day. Climate change is already having a direct impact on the poorest communities in the poorest countries, which have done the least to cause it.

The world's population will reach 9 billion by 2050. To feed this population, agricultural production will have to increase by about 60% and, over the same period, it is estimated that climate change could reduce food production by a quarter. That is the dilemma. The major international conference which my Department organised in Dublin Castle on 15 and 16 April, in partnership with the Mary Robinson Foundation - Climate Justice, sought to think about these challenges differently. It focused on the interlinked themes of hunger, nutrition and the impact of climate change, and brought together policymakers and more than 100 representations from grassroots communities in Africa, Asia, Latin America and the Caribbean. The aim was to listen and learn from local views, practices and coping mechanisms in order to contribute to the process of negotiating the post-2015 global development framework. Representatives of farmers, pastoralists, herders, fisherfolk and local civil society constituted one third of the participants at the conference. They brought their own experience of coping with these challenges and we had rich and productive discussions. Stakeholders and decision-makers listened to what was said by those from the grassroots in developing countries.

The clear lessons we learned at the conference were that local people must be listened to, and their solutions must feed into the policy debate post- 2015; we need to link policy development processes more effectively to local reality; we need to invest more effectively in knowledge, education and science; and we need to take dramatic action to empower poor households, especially women, who make up 80% of the smallholder farmers in sub-Saharan Africa, to engage in decision making, which is a political issue. These are key messages which Ireland will take to the policy discussions on a successor framework to the millennium development goals.

Following on the lessons emerging from this conference, Ireland's focus in these discussions will be on the need to set specific new targets on hunger and nutrition. These are areas in which Ireland is already regarded as a global leader by the various development agencies and countries throughout the world. We will consider new targets on hunger and nutrition. There will be a new, stronger, emphasis on agriculture, especially climate sensitive agriculture. There will also be a stronger and much more specific approach to the rights of women and girls.

I will discuss responding to humanitarian needs. When disaster strikes, help is needed, and it is needed fast. Helping the world's most vulnerable populations in crises such as tsunamis, droughts, famines and floods can make the difference between life and death. However, while much has been achieved in terms of poverty reduction across the globe, the number and frequency of disasters such as floods, droughts, landslides and earthquakes are increasing. They will continue to increase as climate change and global warming generate more severe weather related events.

In addition, many emergencies are more complex and protracted, and there is a growing trend of attacks on aid workers. Ireland's policy approach is to provide flexible and timely funding to organisations which demonstrate a clear capacity to deliver effective assistance in a manner that is responsive to identified need and adheres to the core humanitarian principles of humanity, impartiality, neutrality and independence. We are also fully committed to the principles and practice of international humanitarian law.

Irish humanitarian assistance has a particular emphasis on targeting forgotten emergencies where needs are immense but which do not attract the attention of the international media. There may be an immediate focus on an event for a couple of days or weeks, but all of a sudden it is forgotten and the funds dry up. For example, in 2012 funding was provided by Ireland for emergencies in Mali, the Democratic Republic of the Congo, Syria, Niger, Somalia, South Sudan and Yemen. In addition to this emergency humanitarian assistance, funding is provided to assist communities and countries to recover from the aftermath of natural or man-made disasters and to improve their capacity to better prepare for similar crises in the future.

The total funding provided by Ireland for emergency relief and recovery activities in 2012 was €102 million. To date, I have approved funding of €47 million, ensuring that the world's most vulnerable people receive essential, life-saving relief and support to rebuild their lives in countries such as Syria and its neighbours, Mali, the Horn of Africa, Sudan and the Sahel region. An enormous sum of money is also given on a voluntary basis by Irish individuals to various charities and non-governmental organisations, which also reaches many countries.

I will focus on Africa. Politically and economically, it is building on its success of the past decade. Annual economic growth is averaging around 5%, and with this growth has come opportunities for trade and a stronger role for emerging economies in world affairs. The Africa strategy of the Department of Foreign Affairs and Trade builds on Ireland's long-standing relationship with Africa based on political support and the Irish people's commitment to working to end poverty and hunger in some of the poorest countries on the continent. Underlining our strengthened focus on contacts with Africa, last year I led trade focused visits to South Africa, Ghana and Nigeria. It was a particular pleasure to lead the first trade visit from Ireland to west Africa in more than 20 years, and the development of stronger links in that region will remain an objective this year under the Africa strategy, with a full trade mission to west Africa planned for later this year.

As indicated in our new aid policy, I believe there is a great opportunity for the private sector to play a more important role in developing sustainable economic growth in countries such as Ghana and Nigeria. I visited Tema port in Ghana, which is benefitting from the advice and experience of the Dublin Port Company and Belfast Harbour in a training programme with the UN to improve the management structures in the ports in order that perishable goods can be dealt with much more quickly and port activities streamlined. There is a two-year programme, spearheaded by the Dublin Port Company, which has been very successful. It is funded by Irish Aid. Through the Department and our embassies across Africa and in close co-operation with Enterprise Ireland and other agencies and business associations, we have committed ourselves to helping with research, networking and groundwork that can identify and facilitate two-way trade and investment between Ireland and Africa.

On accountability, I know the House will share my deep concern over the misappropriation of Irish development funds in Uganda last year. While effectively managing our aid programme in challenging environments is part of the work we do, Ireland has always made it abundantly clear that we have no tolerance for fraud or any other form of financial irregularity in regard to our development programme. I am committed to ensuring we learn from what occurred in Uganda to strengthen further our systems of financial management. We must do everything we can to minimise the potential for any misuse of Irish taxpayers' funds that is spent in our partner countries, while still being able to make a positive contribution to the lives of some of the poorest and most vulnerable people in the world.

As Members know, the Government of Uganda accepted full responsibility for its misappropriation of Irish development funds and has repaid the €4 million in full. Other countries, including Norway and Denmark, put funding into the same basket, in the same bank, and were affected in the same way as Ireland. For 2013, we are delivering a significantly reduced aid programme for Uganda through non-government partners. In addition, the capacity of the embassy in Kampala in the areas of financial management and audit has been strengthened. The embassy is continuing to work closely with and support the Auditor General of Uganda, who discovered the fraud and is playing a critical role in the oversight of financial management in State institutions. Incidentally, the Auditor General was trained by Irish Aid and was fearless in the face of the fraud he uncovered within his country's banking system.

Several additional steps have been taken to ensure the internal financial and risk management systems used to oversee and manage Ireland's aid programme are sufficiently strong and robust. In particular, the recommendations of the evaluation and audit unit of my Department following its investigation into the Ugandan fraud are being implemented. The ambassadors in the overseas missions that manage Irish Aid's bilateral programmes have undertaken a full review of their financial and risk management systems to ensure any weaknesses are highlighted and appropriate measures are taken to address same. The Secretary General of my Department recently held a high-level meeting with all heads of mission of embassies that manage aid programmes at which the importance of managing risk around Irish development funding and of strong vigilance in the management of aid programmes were underlined.

The evaluation and audit unit will continue to build on the important work already undertaken. The unit has begun an intensive programme of assessments of all our partner countries, including examining the financial controls and risk management systems in place and ensuring those systems are fit for purpose. This work is expected to be completed by the summer and I have asked the unit to report its conclusions to the Tánaiste and me. I am committed to the full implementation of any recommendations the unit may make. I am confident that the lessons we learn from this exercise will contribute to strengthening the oversight and accountability of the Irish Aid programme.

I thank the Acting Chairman and Members for the opportunity to address the Seanad this afternoon. I look forward to our discussion today and any feedback or questions on the issues I have outlined. I am grateful for the opportunity to go through our new policy document, One World, One Future, and to outline the work we have done in the past six months. As I explained, we have had a ministerial informal meeting in Dublin and a special conference has been arranged. The conclusions we will sign up to on 28 May will allow us to present an agreed European Union position on the way forward for the next generation at the United Nations summit in September.

Diarmuid Wilson (Fianna Fail)
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I thank the Minister of State for his presentation and wish him continued success in his work. I now invite Senator Mark Daly to respond.

Mark Daly (Fianna Fail)
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The latest survey shows that 88% of people in this country are proud of Ireland's record in the area of international aid. We have been involved in many excellent initiatives which have saved and transformed the lives of millions of people. Our record as a donor country is undoubtedly a legacy of our own past experience of famine and want. We are now in difficult times, however, and people are rightly seeking assurance that our contribution to donor countries is being spent as effectively as possible.

One of the points my party colleagues and I raised in the discussions on the policy paper was that every cent of our overseas aid budget is now being borrowed and most of that money is not, in fact, going directly to donor countries but rather to various European institutions. Irish people might be less proud and supportive of our work in partner countries if they knew that most of the money we are borrowing for this purpose is going to European institutions and countries which are using it for their own programmes. People are hugely supportive of non-governmental organisations such as Concern, but the reality is that most of our overseas aid budget does not go to those bodies which do tangible work that is of real benefit to people in partner countries. Instead, it goes to EU institutions which disburse it in accordance with their own policies.

During our discussions with the Minister of State on the policy paper, I proposed that at the very least, the interest we are being charged on the €600 million we are borrowing for our overseas aid programme should be taken into account when we are giving it back to European Union institutions. What is essentially happening is that we are borrowing the money from one institution in order to give it back to other institutions. We are talking about hundreds of millions of euro here. I would never suggest that we should cease funding for the overseas aid budget, but we should be more targeted in our approach. This will give us confidence that the moneys we provide are benefitting partner countries in the most effective way, such as in those countries where we are taking a lead role in education and health. During a recent visit to Zambia with the Clinton Foundation, for example, I saw how Ireland's aid programme is making a huge difference to the lives of ordinary people. That is how Irish people want to see the overseas aid budget being spent. They do not want it to be eaten up by bureaucracy at European Union level.

Joe Costello (Dublin Central, Labour)
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That is not what is happening. I will answer the Senator's claim in my reply.

Mark Daly (Fianna Fail)
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The figures are there in the overseas aid reports. The bottom line is that a huge portion of the budget is going to EU institutions and the World Bank. My party, in common with most people in this country, wants to support the overseas aid programme. The fact that it is being rolled up into the Department of Foreign Affairs and Trade probably makes sense in so far as the rate at which many African countries are growing in terms of gross national product means there are huge trade opportunities for Ireland. We do not, however, want to go down the route of our neighbour jurisdiction, which insists on aid and trade being tightly linked. We certainly do not support the notion that the sale of military weapons in certain countries is a form of aid.

In regard to the abuse of aid moneys, the misappropriation of State funding is something that unfortunately happens in Governments throughout the world. In the case of Malawi, we saw the President and Prime Minister appropriating lavish amounts of money for personal expenditure such as weddings. Such reckless spending by recipient countries undermines our overseas aid budget. Likewise, the Minister of State referred to the purchase of fighter jets in Uganda. That these abuses were picked up by our auditing system tells us it is working. These types of abuses will unfortunately arise from time to time, which is why we have an auditing system. My party will not stand over using the exposure of such abuse as a reason to pull back on overseas aid. It would make an easy headline for anybody to declare that we should withdraw our funding for Uganda because moneys already donated have been misappropriated. What is required is an auditing system which ensures that all moneys going into the system are properly allocated and spent.

To return to my first point, will the Minister of State comment on the portion of overseas aid that is going directly to help ordinary people in partner countries?

Everyone wants to see it hitting the ground and being used effectively.

Although the amount of money that we allocate to overseas aid is decreasing due to our situation, we still have commitments to various programmes at EU level. The Minister of State might correct me, but we must contribute 1.7% to a particular fund. I am a member of the foreign affairs committee. Every so often, the Department of Foreign Affairs and Trade's allocation of €120 million to a certain EU fund over five years is discussed. This money comes out of our overseas aid budget and is given to an EU institution into which we have some input but over which we have little control. I suggest that we target funding towards non-governmental organisations, NGOs, and partner countries. We have control over that funding and can achieve better outcomes that are visible to the public, whose support is critical to the-----

Joe Costello (Dublin Central, Labour)
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That is actually the way it is. I will go into greater detail.

Mark Daly (Fianna Fail)
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I will send the Minister of State the report. When the foreign affairs committee received a presentation on the matter, we pointed out the percentage of money that we needed give to EU institutions. We are tied to the figures. That money does not support our overall allocation. However, as the party that committed to the 0.7% target, we are supportive of the Minister of State's efforts and wish him every success in his office.

Michael Mullins (Fine Gael)
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I welcome the Minister of State to the House and compliment him on the launch of Ireland's new policy on international development, One World, One Future. It builds on the solid foundation of the White Paper on Irish Aid, published in 2006, and the 2012 comprehensive review and public consultation process, which the Minister of State led with independent oversight by the Irish Aid Expert Advisory Group, chaired by a former Minister, Ms Nora Owen. The consultation process had credibility, as it engaged with the public. More than 1,000 members of the public attended four regional meetings. There were also stakeholder meetings and various Oireachtas committees discussed the matter, as did the interdepartmental committee on development. Diaspora groups living in Ireland were engaged with, as were the NGOs working at the coalface and the private sector. Some 160 written submissions were made by NGOs, academia, research institutes, members of the public, politicians, political parties and the private sector.

The 2006 White Paper placed the fight against poverty at the heart of Ireland's foreign policy and is the foundation on which much has been achieved in the past six years. Ireland is recognised globally as a leader in the delivery of quality aid where and when it is needed most. Given that much has changed in the world since 2006, it is appropriate that the Government is setting out a credible and realistic agenda to maintain strong public support for our aid programme.

Although we face significant economic difficulties, the majority of Irish people want the Government to provide aid to the world's poorest people, but they want taxpayers' money to be spent effectively and to be accounted for properly. I share some of Senator Daly's concerns in this regard. Despite the downturn, citizens continue contributing generously to the many reputable organisations working in the developed world.

Ireland's One World, One Future policy has a significant mission statement: "A sustainable and just world, where people are empowered to overcome poverty and hunger and fully realise their rights and potential". Clearly aid alone will not solve the problems of hunger and poverty. Lasting solutions must be supported by governments in developing countries, which must address the issues preventing them from raising revenue and attracting foreign direct investment, FDI. The addressing of human rights issues must be closely linked to our provision of aid.

The policy's goals are reducing hunger and strengthening resilience; sustainable development; and better governance, human rights and accountability. The key elements of the new policy document place a stronger focus on stability in fragile countries, particularly those emerging from periods of conflict. Needs are greater in such countries and human rights issues are likely to be more significant. I welcome the fact that Sierra Leone and Liberia have become partner countries. This demonstrates our commitment to helping countries emerging from conflict. The other partner countries are Ethiopia, Lesotho, Malawi, Mozambique, Tanzania, Uganda, Vietnam and Zambia.

The Government remains committed to reaching the target of 0.7% of GNP when our economy improves. In the meantime, the Government is endeavouring to maintain expenditure at current levels. While we all wish that we could reach the target sooner, many better off countries are falling short of the commitments they made at high-level events. A name and shame approach should be taken to expose those that are not honouring their international commitments to the world's most disadvantaged.

I welcome the fact that climate change has been placed at the new policy document's centre. Poor countries are likely to suffer the most as a result of climate change, given its impact on food production and food prices. In a small way, Ireland recently saw the impact of climate change. Our fodder shortage is a reminder of how weather patterns can impact on poorer parts of the world.

The Irish people deserve openness, transparency and accountability, as do our development partners. I welcome the commitment in the document to these ideals. There must be accountability as regards how our money is spent, we must see what is being achieved and members of the public must be assured that the money invested on their behalf is reaching the most deserving people. At home, we need to engage further with citizens so that they might understand the aid programme. We must supply information so that people can know where the money is being spent, how it is accounted for and whether it is achieving progress. I welcome the volunteering initiative under the new document.

I was pleased that, on the day of the document's launch, Mr. Hans Zomer, the director of Dóchas, a network of 49 development NGOs, stated: "Today, we have a document that renews and reaffirms Ireland's vision for a better world and our role in helping to create it. This document celebrates who we are as a people – the values we hold dear and the changes we, as a county, want to bring about". When researching for this debate, I examined materials relating to the 2006 document. They read: "Irish Aid will be there, on behalf of Irish people, as we work to heal wounds of poverty and injustice in a world divided in two parts: those who have and those who want only a fair chance for a fair life". Our new policy document will achieve this objective.

I compliment the Minister of State and thank him for his comprehensive overview of where our money is being spent and where we are making progress. I wish him well for his forthcoming significant meetings on Irish Aid and overseas development aid.

Lorraine Higgins (Labour)
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I welcome the Minister of State. On behalf of the Labour group in the Seanad, I also welcome the opportunity to lead the debate on the recent launch of Ireland's policy on international development. It is essential to any foreign affairs or trade process to have a roadmap covering the various issues that might affect the Department or the Third World. One World, One Future sets out the priorities of our overseas aid programme for the next four years.

I am a fervent supporter of our aid and international development agenda. I recognise the important role it plays on humanitarian grounds but also the significant part it plays in keeping Ireland’s international reputation right up there among the greatest benevolent countries in the world. We, the Irish people, should be incredibly proud of our achievements and the difference we are making in the lives of thousands, if not millions, of the world’s poorest people.

Having participated in a 2011 visit as part of an Oireachtas delegation to Ethiopia I can tell the Minister first-hand the remarkable work that is being done there. Some of the NGOs I visited were to the forefront of gender issues. Others were educating people to escape the poverty trap through entrepreneurial studies and link ups with University College Cork, UCC. I even happened to see the Irish potato being sown in the Tigray region, which was phenomenal, to say the least. All agencies are carrying out tremendous work and Ireland can be justifiably very proud for making such an indelible mark on Ethiopian society, among other countries that are part of our development aid programme. On a daily basis our aid, and the money we give to finance these programmes, is helping eradicate poverty and assist in building the necessary infrastructure. I am glad to see our commitment remain as steadfast as ever in 2013 and into the future through the publication of this policy document.

The effect of our commitment to development issues cannot be underestimated when it comes to building political capital with other countries worldwide. It puts us to the fore of exploring economic possibilities and opportunities with aid recipient countries. The key elements of this new policy will go a long way towards providing us with sight lines for fostering sustainable economic growth in our partner countries and providing focus on countries recovering from conflict and instability. The launch of a new volunteering initiative will help harness the experience of Irish people and institutions. Responding to the harmful impacts of climate change in poor countries has become a core priority of ours and the new policy also enhances openness, transparency and accountability, with all aid data to be published under the internationally agreed format by 2015. Promoting and protecting human rights, and addressing inequality, including gender inequality, have become key goals for us. It is clear that the Department is leaving nothing to chance through its multifaceted approach to dealing with the issues which affect those living in under-developed countries.

I will focus on the trade aspect for a few moments. There is no doubt that this is one of the defining characteristics of the next economy and that we fully recognise the essential role to be played by exports. If Ireland is to fully benefit from the transformational changes taking place in world markets, we must re-orientate our economy and the policies that shape it towards increasing our exports. I am very glad to see from this policy document that this is an integral part of the strategy. We must be mindful that Germany came out of the great recession through the force of an export sector that constitutes half of its economy. The top 30 performing metropolitan areas in the world are almost all located in the emerging markets of Asia and South America, while the 30 poorest performers were nearly all located in Europe and the US. This means that as nations around the world leave development programmes as they urbanise and accelerate their growth, they are creating markets for our products. On that basis we must continue to foster trade links with these countries.

In the past, the Tánaiste and Minister for Foreign Affairs and Trade, Deputy Gilmore, and the Minister of State, Deputy Costello, published the Africa strategy which was essentially a stepping stone to the meatier One World, One Future, and this provides us with new political, development and business possibilities within the African continent. Enterprise Ireland and the industrial development agency, IDA Ireland, have a significant role to play here. They must seek out trade development opportunities in aid programme countries. Not only would the benefits be enormous to the aid countries in that they could find new markets for their goods and produce, but we would also benefit in circumstances where we would also have equal markets.

While trade development may not be possible in some countries immediately, we should look at developing and forging links now. Many economies in Africa are growing by 5% per annum, and consumer spending is forecast to double in the next ten years. From my experience of travelling to Ethiopia with an Oireachtas delegation, its economy is growing at 8% per annum and while this growth is starting from an incredibly low base, we also have to look at the fact that there will be possibilities which will be mutually beneficial to all in the forthcoming years. A way of fostering such links is through engaging in a link-up between the major urban centres in Ireland and these countries, particularly those from the BRIC, Brazil, Russia, India and China, countries where their political, economic, social and trading relationships worldwide are evolving.

Ireland has a world-class reputation as being a very generous overseas aid donor, and I think we owe each and every Irish citizen, as custodians of their money, as transparent and effective a system as possible. I see in One World, One Future that this is very much part and parcel of the agenda by the Department of Foreign Affairs and Trade. Last year the integrity of our aid agenda took a serious hit when disturbing revelations were unearthed about money being misappropriated in Uganda. That was very much a one-off case. We have never had a history of this nature in the Department. It is vitally important that deserving countries and programmes do not suffer as a result of mistakes made by others. That is why there is a particular focus on openness, transparency and accountability in this policy, with all aid data to be published under the internationally agreed format by 2015. This must be welcomed wholeheartedly.

As well as being very generous donors, Irish people also have a strong reputation for going abroad to underdeveloped regions to carry out charitable work. For that reason I am delighted to see a new volunteering initiative will be launched as part of our four-year strategy to harness the experience of Irish people and institutions. I hope this will lead to even more people going abroad to help those most in need in the years ahead.

This policy has a keen focus on sustainability, which has been to the forefront of many international debates recently. That means that not only do we want to help tackle poverty and hunger, but also to give people the skills and tools to address it in the long term and to deal with climate change as it arises. We need to look at what is causing poverty, so impoverished countries can chart a future where they will be aid free. It is imperative that the international community work together in solidarity to achieve the same goals of this policy, One World, One Future, which the Government has published. The main goals of reduced hunger and stronger resilience, sustainable development and inclusive economic growth, and better governance, human rights and accountability, portray clearly the essence of this policy. The Minister of State, the Tánaiste, the Department and all its officials need to be lauded for this. These issues are focused on because of the sense of justice and compassion fostered by our mutual histories of famine, suppression and conflict, and because it is the right thing to do.

Mary Ann O'Brien (Independent)
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I welcome the Minister of State. I also welcome his recent White Paper publication and applaud his worthy and excellent new goals of reduced hunger and stronger resilience, sustainable development and inclusive economic growth, and better governance, human rights and accountability. I will put aside my speech because the three previous speakers have covered many of my points and we do not like repetition here in the Seanad. I will touch on a few areas and pose a few questions to the Minister that will, hopefully, provide some more discussion.

Could the Minister of State provide us with a breakdown of how much of the moneys spent through Irish Aid go directly to those most in need and what amounts are being spent on administration? Speaking from his experience, does the Minister of State feel the bigger countries in Europe, such as Spain and France, should contribute more money in aid? We have Greece, Spain and Portugal, but we have suffered a unique economic catastrophe of our own in this country. Last year Spain cut its aid by 39%. Let us look at Ireland as a small sole trader that almost went down in smoke but was saved by the banks and institutions, and is controlled by them now. To continue that analogy, we are borrowing €600 million and paying interest on it and giving it to Irish Aid. I applaud the Minister of State, his officials and the previous speakers, but all us Senators and the Deputies of the other House are meeting the people of Ireland every day.

We meet desperate people every day and we are faced with people committing suicide because they are so desperate about their circumstances. We also meet people with disabilities and illnesses but none of us can get the money to help them. I will not be popular saying this but it needs to be said. I disagree with one or two of the previous speakers. If they talk to fellow citizens over the weekend, they will find that they are not aware of the amount we allocate to Irish Aid. For example, some are not aware of the Ugandan story. I thank the Minister of State for discussing that issue. Hopefully, it was a once-off but the country and Malawi are far away. Thankfully, there are strong auditing procedures in place but we need to be careful. Is the Department collaborating with its counterparts in Norway and Denmark and sharing knowledge at the top level about how to strengthen risk management and auditing procedures on a futuristic basis?

Having read the Minister of State's report and various other commentaries, Africa is not doing bad financially. It is experiencing an annual economic growth rate of 5% but hunger is a major issue on the continent. We have incredible intelligence, knowledge and expertise in this country. I propose that we reduce the allocation of €600 million temporarily until we achieve economic stability but increase our sharing of our knowledge, technical brilliance and expertise.

What interest rate is the State paying on the €600 million that is being borrowed? A body of authors suggest this aid goes to propping up corrupt dictators. The Minister of State referred to our money being used to buy weapons of mass destruction or being taken fraudulently. In the Ugandan case, the country had just spent €600 million on fighter jets. I do not want us to continue to give money to countries that spend it on weapons of destruction. I do not mind giving intelligence and expertise. We are trying to get economies going, not support violence.

Are countries in receipt of long-term aid asked to meet targets to ensure they are making strides to improve their lot? I refer to accountability. I welcome the work the Minister of State is putting into this issue. Perhaps the Government parties should communicate more with the taxpayer and let them know they are spending money and borrowing on their behalf in order that this is transparent for the public because we are taking the hard pressed taxpayers' money and borrowing. The Minister of State cannot micromanage what is going on in Africa and elsewhere. I would like him to give us more detail and some comfort that there will be no more $3 million weddings while we give a state money and that what happened in Uganda will not happen again.

Feargal Quinn (Independent)
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I welcome the Minister of State. The title of the debate is particularly welcome. We are not talking about aid; we are talking about development, about which I am pleased. I am reminded of the old Oxfam quote: "Give a man a fish and you feed him for a day; teach a man to fish and you feed him for life." International development is what we should engage in. We experienced a famine 160 years ago and it is still in our memories many generations later. This makes it easier for us to understand the need for international development and aid. The number of people who go to bed hungry every night and the number who die annually from starvation in the developing world is far removed from the poverty experienced in this State. It is important that we support international development.

It is a landmark moment for development aid because all bar two countries - Austria and Luxembourg - made cuts to their aid budgets. While we may criticise Ireland for cutting its development aid budget, we must also consider that Germany, which has no budgetary problems, has not lived up to its aid commitments. Its contribution last year fell by approximately 1%. The European Commission recently stated that revenue from a proposed financial transaction tax should be set aside to fight poverty and climate change as an investment against global instability. France has set aside existing national financial transaction tax revenue for development and Germany's development Minister has also spoke in favour of the idea. What is Ireland's position on this issue?

While the target in the millennium development goals of cutting in half the proportion of people without sustainable access to safe drinking water was reached in 2010, the target of improving people's sanitation has not been attained. This has wide ranging ramifications, not least in the case of disease. The UN estimates that poor water and sanitation can cost sub-Saharan countries up to 5% of GDP every year. However, water and sanitation comprised only 3% of the Union's total aid commitment between 2008 and 2010. What is Ireland's policy on this? Are we devoting enough aid in this area? Are Ireland and the EU focusing development aid in the right areas? It is concerning that, according to a European Parliament report last year, only 46% of European aid intended for developing countries goes to low income states, as mentioned by Senator O'Brien, while Turkey, a relatively rich country, is in the top five recipients of Commission aid. Surely this is not right. Can Ireland take a lead in highlighting this more?

Many NGOs argue that due to the recession so-called good aid such as long-term budgetary support is cut first while bad aid such as trade sweeteners remains. Some countries employ creative definitions of "aid", including the cost of repatriating illegal immigrants. Can Ireland draw more attention to this major issue? How does the EU stand over the promotion of democracy, human rights and engagement in development aid when a number of states in the region have engaged in widespread human rights violations resulting in high levels of poverty and dictatorship? Should Ireland push more strongly for disengagement from such states in the provision of development aid when violations take place? The UK Government said it would channel aid in new directions if recipient countries failed to meet four requirements: reduce poverty, adhere to human rights, demonstrate good financial management and show accountability to their citizens. Should the EU not have a similar policy instead of the current patchwork of policies? We have a common EU diplomatic service. Why not have more co-ordination of EU aid? We need to be much more assertive in this regard during our leadership of the Union, especially in the context of the misuse of Irish Aid development funds recently.

Can more business engagement in development aid be encouraged? It is interesting to consider how the private sector has turned to innovative ways to reach untapped markets. This relates more to development than aid.

In Kenya and Nigeria where power outages can last for days, Samsung has introduced solar-powered mobile telephones. Cameroon is overtaking Ireland as one of the consumers of Guinness. What about diverting aid to help start-up companies in developing countries? In that way aid can still become more sustainable. There appears to be a general shift. During the past decade multilateral and bilateral development banks have increased their financing of the private sector from €7.5 billion to more than €30 billion annually. A study of the International Finance Corporation and 30 similar institutions concluded that firms in developing countries need financing to expand their operations as well as better infrastructure and improved business regulations and skilled employees. Does it make sense for donor governments to support the public and private sectors in developing countries? Some would say "Yes" since development institutions are mostly self-funded, using repayments from their investments to support new projects. By contrast, aid to Government has to be funded every year. Could we see a shift to a situation where development is founded more on investing in businesses with a relatively small amount of capital along with advisory services to create economic activity that is ultimately self-financing? I think there should be more emphasis on this type of development. What has impressed me most is the title whereby the Minister of State is talking about international development rather than international aid. We are inclined to think of it as aid but international development takes one back to sustainability. Once we can do that it continues and that is a worthy objective.

I congratulate the Minister of State on what he is doing and I urge that we hold our resolve and maintain the standards we have reached.

Brian Ó Domhnaill (Fianna Fail)
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Cuirim fáilte roimh an Aire Stáit. This is an important topic from a global point of view, not least from our own point of view given that Ireland has always proudly supported overseas development in countries where people were hungry and going without as a result, more often than not, of corrupt practices within those countries, particularly given that €623 million is being spent on foreign aid. Foreign aid is not just aid. While its aim is to support self-development in those countries, often that does not happen. Some 80% of this year's budget is going to African countries. At a time when Moody's and the international economic commentators give this country junk status we are borrowing money to send to organisations such as the UN, to which we have an obligation under the 2002 declaration, the World Bank, regional banks in Africa and the European Union. All of that €623 million is borrowed plus an additional borrowing cost each year which probably runs to €700 million. At the same time, 1.65 million of our own citizens have less than €50 at the end of the month, according to the Irish League of Credit Unions. People in our own country are homeless and going without food and families are having to live on beans, toast and cornflakes. That is happening in my constituency. That is poverty in our own country. While we have an obligation and a commitment to foreign aid, we also have an obligation and a commitment to our own people. In light of the corruption and squandering of vast amounts of money which we are borrowing and giving back to Africa, we have to question the value for money obtained from that spend.

Recently, I met the Honorary Consul of Uganda to Ireland and questioned her on the use of the €670 million spent by Uganda on new military Russian style aircraft. She was embarrassed and outlined my worst fears that the aid money is not going directly to the people who need it. Those who need the development, guidance, education and so on are not getting it. She said there were other ways of ensuring that people were given assistance by our taxpayers but on the basis that it was provided for self-development in those countries. In western society, people continue to throw money at the problem but that does not solve it. We have learned from that in England. America has taken a different view and other western countries are reducing aid going to foreign countries because of the lack of dividend being obtained in those donor countries.

The statistics are alarming. For example, we learn that the African nations are losing billions of euro each year as countries are being raped of their natural resources. What are international governments doing to deal with that problem and to help African countries to be self-sufficient to ensure that the corruption which is taking place at the highest level is stopped? The UN may be better at dealing with that issue than taking the money from a country that can no longer afford to give it.

Let us look at the spend on Ireland's foreign aid. The ministerial mercs and the drivers may have stopped here but it has not stopped in terms of our foreign aid budget. For chauffeur-driven cars in developing countries, for example, in Vietnam. the Irish foreign aid budget paid €2,850 in May 2012, a further €1,365 in August 2012, and €11,261 for the visit to Ireland by the king of Lesotho. The list includes expenditure on washing machines, plumbing jobs for embassy staff and €11,000 rental for our ambassador's residence in Zimbabwe. Money is being spent on areas where-----

Joe Costello (Dublin Central, Labour)
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We do not have an ambassador in Zimbabwe.

Brian Ó Domhnaill (Fianna Fail)
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A very comprehensive investigative piece was done by Nick Webb on some of the money which is being spent under the foreign aid budget. If the Minister of State wishes to clarify it, I will accept it.

Joe Costello (Dublin Central, Labour)
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I am sure the Senator does not believe everything he reads. He should check whether we have an ambassador in Zimbabwe.

Brian Ó Domhnaill (Fianna Fail)
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Like the Minister of State, I do not. I did carry out comprehensive research.

Michael Mullins (Fine Gael)
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The Minister of State has said we do not have an embassy in Zimbabwe.

Brian Ó Domhnaill (Fianna Fail)
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Before Christmas I spent a substantial amount of time examining Ireland's foreign aid budget. I carried out this research off my own bat to see how the money was being spent. Some 75% of the money is not going directly to the countries, but to the World Bank, regional banks in Africa, the UN and the EU.

Joe Costello (Dublin Central, Labour)
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It is the Department of Finance that deals with the World Bank.

Brian Ó Domhnaill (Fianna Fail)
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Replies to parliamentary questions showed it. I know that all of the foreign aid budget is not dealt with by the Minister of State's Department and some of it comes from other Departments. Until we get back on our feet, this country should cut foreign aid spending for a period of three years, carry out a comprehensive review and ensure that our own people who are struggling to put food on the table are given a reprieve. That is not too much to ask. Is the money being spent well? According to all of the evidence and information coming into America, the UK and Ireland, it is not being spent well. I am not questioning the Minister of State's authority as he is new in the post - Fianna Fáil Ministers were there in the past - but no Minister, irrespective of his or her party, can say that all of that money is spent in a way which benefits Joe or Sally in the street of Zimbabwe who does not have enough clothes or food today because the money is not going directly to those people. That is why I have an issue with it.

David Cullinane (Sinn Fein)
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I welcome the Minister of State to the House for a very important discussion on international development.

I strongly disagree with the previous speaker, Senator Ó Domhnaill, on his call to cut funding to international aid. That would be a retrograde and wrong step. I also dislike the words look after "our own". Of course, we should look after our own citizens and we make best efforts to do so. Poverty in the State is a problem and there are far too many across the island of Ireland who live in poverty. We have a responsibility to address all of these issues but, equally, we as human beings have a responsibility to ensure, where people have no food at all, where people are going hungry and where people are dying, that we do our best to be part of an international response to ensure that these people get the help and assistance that they need. In fact, in the history of this country, if we want to look back on it, there was a famine and Ireland needed international support. There is a responsibility on us, notwithstanding the considerable problems and the economic crisis in the State, to maintain the levels of funding for international aid while looking to ensure, for example, that there are more progressive taxation systems to look after, as was the previous speaker put, "our own".

We all are conscious of the significant inequalities and injustices which exist in the world, and the considerable poverty and deprivation which exists in the poorer parts of the world, and international development is a crucially important area. Many of these inequalities are not historical legacies. They also are structural and, ultimately, it will take considerable domestic political changes in many countries and internationally to tackle such inequalities. There is a responsibility on big international organisations, such as the United Nations and the World Bank, to play a much more positive role in what happens in Third World countries. One of the areas where I agree with Senator Ó Domhnaill is that many of these countries see their natural resources raped by multinational corporations, and that is adding to the problems of these countries. It is one of the reasons there is such suffering in these countries. No doubt there is a need for a political focus and structural focus on all of these issues as well. Having said that, I also believe that international aid, when clearly focused and adequately monitored, can make a major difference. Of that there can be no question.

One specific question the Minister of State might be able to answer relates to the area of grant and foreign aid to aid agencies. There may be scope for some of those agencies to work together more collaboratively and he might outline his own thoughts on how that can be achieved. Where there are multiple aid agencies doing similar work in similar countries, I am sure that money can be saved if there was greater collaboration among those agencies.

We are having this debate because last week Irish Aid launched a new policy paper entitle, "One World, One Future: Ireland's policy for International Development". This is, basically, a review of the 2006 White Paper. Since that first Irish Aid paper was launched in 2006, there is a need to have this reviewed, and I would support that.

In this new policy paper, the Government outlines that its main focus will be on three goals: reduced hunger, sustainable development and inclusive economic growth, and better governance, human rights and accountability. I welcome the focus of Irish Aid on these core development issues. However, there must be a holistic all-party all-government approach to them and the focus must on the core drivers of institutional causes of hunger, poverty, inequality and repression.

Denis O'Donovan (Fianna Fail)
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Senator Cullinane has one minute remaining.

David Cullinane (Sinn Fein)
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Land grabbing, tax injustice, misuse of natural resources and bio-fuels, under development, civil society repression and climate change are merely some of the key causes of hunger, poverty, inequality and repression that must be tackled. A combination of these factors, as well as political factors, often mean that access to land and other natural resources excludes the poorest and neediest and takes away from the vital needs of food production.

The final point I will make, because I must cut my contribution short, is that in many of these countries it is often the women who suffer most. Many of these countries are dominated by men in terms of leaders and decision makers, in terms of access to education and health care, and even in terms of the basic injustices for workers and exploitation, of which women are often the victims. Perhaps the Minister of State would give a view on that as well.

There is a great deal of work to be done. It is not all about funding, but it is important and it helps. There needs to be a significant focus placed on the political situations and structural problems of those countries.

I will finish the way I started, which is to appeal to the Minister of State to continue to ensure that Ireland plays an important role in assisting those countries. I would not like to see our aid contributions cut in any way. I would hope that the Government can continue to maintain their levels but at the same time, ensure that the funding is spent in the best possible way rather than wasted on other issues. Accountability is important, but the Government needs to maintain the levels of funding we are putting into aid.

Terry Brennan (Fine Gael)
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There are issues that I had intended raising they have been raised already, and I will concentrate on Malawi.

At short notice, I had the pleasure to invite Bishop Martin Mtumbuka of Karanga, northern Malawi, to Leinster House on Tuesday afternoon last. The first person I tried to contact when I heard he was coming was the Minister of State, Deputy Costello, because I am aware of the good work he, as Minister of State, is doing in Malawi. He was in London and was not back until 7 o'clock or 8 o'clock on Monday night, but I had a great chat with the bishop. Bishop Mtumbuka acknowledged the Irish aid that has been given to Malawi. As the Minister of State will be aware, Malawi is one of the poorest and most under developed countries in the world.

I acknowledge the affinity and links of my county of Louth and the Malawi committee of Louth County Council with Malawi. The Minister of State may not be aware of the work over the past ten years of that voluntary committee, including the county manager, councillors, office staff and administration, some of whom have voluntary deductions made from their weekly wages towards the Malawi funding. I acknowledge again my council colleague, Councillor Peter Savage, who initiated this approximately ten years ago. The committee is holding its seventh ball in June and I take this opportunity to invite the Minister of State to attend it.

Malawi is one of the poorest countries in the world. The Louth local authority and the Malawi committee have raised upwards of €0.5 million in the past seven or eight years. Reference was made here to administration costs, money being spent unwisely, etc. I can assure the Minister of State on what has been done in Malawi. The committee has built schools and houses. As I stated previously, they have provided animals such as oxen, one of which is called after my good self - I will not say what the newspaper called me. To give a short list of what they have done, they have provided, as I stated, schools, houses and animals, water schemes and sanitation, the latter matter of which was mentioned by Senator Quinn. In addition, they have provided sewing machines for the women to make their own clothes, and bicycles to be used as ambulances.

I cannot not say enough about them. Perhaps I do not do enough myself. I know of individuals who send books to schools in Malawi despite the astronomical postage costs, but they have this commitment. Not one cent of the €500,000 has been used on administration. I sincerely congratulate the Minister of State because he takes his portfolio very seriously and is committed. Like Senator Cullinane, I appeal to him to do his best to maintain the levels of funding provided to less developed and poorer countries.

Joe Costello (Dublin Central, Labour)
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As everybody knows, we have a long missionary tradition, particularly in Africa but also in many other areas such as Asia and South America. When we joined the European Economic Community in 1973, one of the conditions was to have a development programme. Every member state of the European Union has a development programme, including Ireland. Targets were set by the United Nations, and agreed by the European Union, that the top 15 member states of the European Union should have a target for development aid of 0.7% of gross national income. Only a couple of countries in the European Union have reached this, namely, the Netherlands, Finland, Norway, which is outside the European Union, and the United Kingdom, which reached the target this year. The United Kingdom was at the same level of approximately 0.5% as us last year, but it has made a big push to increase it under the new Conservative government. It is considering introducing legislation to make it mandatory for future governments to have a minimum of 0.7%. This is the direction it is going although it has difficulties at present. Other countries have not been able to maintain the level expected.

Our commitment in the programme for Government is to reach 0.7% by 2015. It will be difficult to reach this target. We have been endeavouring to hold it at more or less the same level. It is slightly less than 0.5% at present and has reduced by 32% since 2008. We have lost one third of what the programme was in the halcyon days of 2008 when it was at €900,000, and it is now at approximately €622,000. This is the background and context.

Two thirds of the funding goes to NGOs or bilaterally to the various partner countries. We have nine partner countries and all except Vietnam are in sub-Saharan Africa. These are the poorest countries in the world according to the human development index, and we have deliberately targeted them because we have a legacy in this respect. Hunger and nutrition are core elements of our policy. We are recognised globally as world leaders on hunger and nutrition, and this is part of our legacy from the Famine. We prioritise the 1,000 days from pregnancy to two years of age. We work with a number of governments, including that of the United States. This happened first under the Fianna Fáil-led Government in 2010 when Deputy Micheál Martin and Hillary Clinton came together. In many ways the United States has provided most of the funding while we have provided policy and it has worked out very well. It is now regarded as the most important of all programmes implemented. It is at the cutting edge and other countries are getting involved. We will mark the third anniversary of the programme in June in Washington. It is a real winner. Half of this two thirds of the funding goes to our embassies in each programme countries, which manage the programmes. Approximately 36% of the total goes to NGOs and approximately 30% goes to multilateral agencies such as the United Nations, UNICEF and the food programme, which deal with those in greatest need. For example, all of Gaza is run by UNRWA.

We are very much involved in formulating policies, and under our Presidency not only are we formulating EU policy for the coming years, but we are close to the heart of formulating global policy, because we are linking to the millennium development goals which will last for the next 15 years. We have been tic-tacing with the United Nations, USAID and the European Union and we hope to sign off a EU policy with Council decisions on 28 May which will be brought to United Nations which is broadly in acceptance. Our influence on multilateral policy is huge. It is important that we make a contribution.

Our policy on economic development is built on the 2006 White Paper, in particular with regard to nutrition and hunger. We have expanded into climate change because there is a necessary linkage. We must be at the cutting edge in fragile states where poverty is greatest. We may consider moving to a different degree in some of the countries we are in at present and focus on bringing embassies to more fragile states, a number of which exist, to ensure humanitarian development which builds into sustainable and economic development. There is continuum in our thinking.

We very much champion the idea of trade and development; there is no question of aid on its own being able to bring developing countries out of poverty. We must engage the private sector and provide experience and our expertise in a whole of Government approach. We will make trade, development and investment more critical parts of our contribution than has been the case in the past. This builds up the economies of countries which need economic engagement, partnership and investment, which we have not done in the past. We have concentrated on development. As well as developing the countries, this is also of benefit to us. Last week, the Irish Exporters Association stated our exports to Africa are worth €2.7 billion and have grown 200% in the past two years. People do not know this. The association predicts by the end of the decade, which is only seven years away, our exports to Africa will be approximately €24 billion. At present, I am engaged in building hubs and bases in Africa and we have a big base in South Africa.

We are dealing with Africa as a continent in terms of trade and development using the Africa strategy which compliments what we have always done with Irish Aid which remains untied. We are creating the right environment in our embassies through Irish business networks and our global network in order for Irish business to go to Africa. At present about 200 Irish businesses are engaging with us, interest is growing and they want to be involved in Africa. A whole new dimension is being created which will be in the interest of all of the African countries that have rapidly grown from a very low base of 5%. It is predicted that these emerging economies will continue to grow. Our engaging with them will be in their interest and also in our interest. We have a new policy and direction and, to a large degree, are influencing what is happening in Europe and the rest of the world.

If time was available I would have loved to have answered all of the points that were made. Perhaps I shall get an opportunity to do so at another time. I thank Senators for their contributions. Irish Aid is doing very good work throughout the world for the people most in need.

Denis O'Donovan (Fianna Fail)
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I am sorry to rush the Minister of State but we must move on to deal with another type of aid. The Minister for Agriculture, Food and the Marine, Minister Coveney, is waiting to discuss farmers' aid, fodder and so on. I thank the Minister of State for his contribution.