Written answers

Thursday, 23 April 2009

Department of Foreign Affairs

Overseas Development Aid

5:00 am

Photo of Michael D HigginsMichael D Higgins (Galway West, Labour)
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Question 14: To ask the Minister for Foreign Affairs the consequences of the recent supplementary budget in terms of commitments to overseas development aid; if the cuts to the ODA budget are disproportionate in his view, particularly in view of budget 2009, the effects of which were felt particularly heavily in the overseas aid area. [15360/09]

Photo of Seán SherlockSeán Sherlock (Cork East, Labour)
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Question 51: To ask the Minister for Foreign Affairs his views on whether Ireland will achieve its stated aim, given several times over at the United Nations, of reaching 0.7% of GNP for overseas aid by the year 2012. [15361/09]

Photo of Noel CoonanNoel Coonan (Tipperary North, Fine Gael)
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Question 53: To ask the Minister for Foreign Affairs the percentage of GNP he plans to allocate to the overseas aid budget in each year up to 2012; and if he will make a statement on the matter. [15927/09]

Photo of Billy TimminsBilly Timmins (Wicklow, Fine Gael)
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Question 55: To ask the Minister for Foreign Affairs the location where the cutbacks of €95 million have been made in Irish Aid; and if he will make a statement on the matter. [14684/09]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 154: To ask the Minister for Foreign Affairs the extent to which overseas development aid is expected to proceed in 2009 in view of the likelihood of increased need arising from the world economic downturn; and if he will make a statement on the matter. [16118/09]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 156: To ask the Minister for Foreign Affairs the intended expenditure in 2009 under the bilateral aid programme; and if he will make a statement on the matter. [16120/09]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 157: To ask the Minister for Foreign Affairs the intended expenditure in 2009 under the multilateral aid programme; and if he will make a statement on the matter. [16121/09]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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I propose to take Questions Nos. 14, 51, 53, 55, 154, 156 and 157 together.

The total Official Development Assistance (ODA) budget for 2009 will be €696 million. €571 million will be administered by the Department of Foreign Affairs with the balance of €125 million being contributions to development co-operation by other Government Departments and through Ireland's allocation to the EU Development Co-operation Budget. This represents 0.48% of estimated GNP for this year which should mean that Ireland will retain its position as the world's sixth largest donor on a per capita basis.

I very much regret the fact that the Government was obliged, in response to budgetary pressures, to make short term reductions in the development assistance budget. However, I do not consider this temporary reduction to be disproportionate to the long term need to return the economy to the pattern of growth necessary to fund further sustained expansion of the aid programme.

Adjustments will be implemented across the programme in such a way as to minimise the impact in any one area. Given the range, diversity and geographical spread of the aid programme it is necessary to look in detail at all aspects of our aid expenditures. This work is under way. The continuity and quality of our programmes will be maintained, but funding timeframes will have to be extended and disbursement rates modified.

For example, I expect that the programmes and projects in our priority countries will be modified to adapt to the new budgetary reality. In practical terms this will mean slower disbursement, but will not affect the final outputs, such as the number of schools built or teachers trained. There will be no reduction in the enormously valuable technical expertise that Irish Aid officials continuously bring to their work with our partners.

We will maintain our position as one of the most generous donors internationally to the non-governmental sector. This year, notwithstanding the budget adjustments, Irish Aid will provide well over €100 million to NGOs and civil society. This is a very large sum and will make an enormous difference to the lives of millions in the developing world.

Our programmes of strategic co-operation with key UN development agencies such as UNICEF and UNHCR and others will also be maintained, but within lengthened timelines and some reductions in 2009 allocations will be implemented. These adjustments must be seen in the context of historically high contributions to the UN system. We expect to deliver over €100 million to address HIV and AIDS and other communicable diseases. We also remain ready to assist in any sudden onset of natural and man made disasters. Funding of over €75 million has been set aside to address humanitarian emergencies, fragile states and conflict resolution. Our pre-positioned emergency supplies remain in place and will be replenished as necessary.

While the cut in the ODA allocation for 2009 is significant, it should be noted that it follows a period of unprecedented increases in ODA volumes. In 1999, for instance, total ODA was just over €230 million. The allocation of €696 million for 2009 represents a trebling in the volume of ODA delivered over the last ten years. This is an achievement of which all Irish people should be proud.

The difficult decision to reduce the ODA budget for 2009 will make it somewhat more difficult to achieve the target of spending 0.7% of GNP on ODA by 2012. We will continue to work towards the target and a full assessment of our capacity to achieve the target will be made in the context of the preparation of the 2010 Budget. It is important to note that Ireland remains the sixth largest donor in the world on a per capita basis, and well ahead of most of our EU partners for the EU target of 0.7% of GNP by 2015.

Our aid programme has just been reviewed by the OECD Development Assistance Committee (DAC). The OECD DAC is the pre-eminent international body in relation to benchmarking donors such as Ireland against aid quality. This key report will be published shortly. I am gratified to know that the report will state that "Ireland is a champion in making aid more effective" and that "Irish Aid is a strong cutting edge development programme". These are the views of an independent, objective and critical international aid organisation from which we can draw pride. The Government will be working to ensure that these high standards are maintained.

Our aid programme remains one of the best in the world. We retain our core values of supporting the world's poorest in a way that builds capacity and addresses the fundamental causes of poverty. Our growth trajectory will recommence as soon as our economic circumstances permit.

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