Written answers

Wednesday, 16 January 2013

Department of Foreign Affairs and Trade

Overseas Development Aid

Photo of Billy KelleherBilly Kelleher (Cork North Central, Fianna Fail)
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To ask the Tánaiste and Minister for Foreign Affairs and Trade his views on the target of 0.7% of GNP to be given as overseas development aid for 2015; and if he will make a statement on the matter. [1578/13]

Photo of Joe CostelloJoe Costello (Dublin Central, Labour)
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Ireland’s aid programme prioritises the fight against global poverty and hunger. It is strongly focused on the poorest countries and communities in sub-Saharan Africa, prioritising investments in the areas of education, health, good governance, food security and nutrition. The programme is central to our foreign policy, has an enviable international reputation, and consistently enjoys strong political and public support.

This Government is strongly committed to Ireland’s aid programme. Our programme for Government contains a very clear commitment to the aid programme and the UN target of providing 0.7% of Gross National Product (GNP) for Official Development Assistance (ODA). However, as I have stated on many occasions in the past, credible progress towards achieving the UN target can only be made through restoring sustainable growth in the economy. This is our absolute priority and we are making solid progress on this front.

Last year, the Government provided €639 million to ODA. For 2013 we have allocated an estimated €623 million - a modest reduction on the 2012 level. Stabilising the ODA budget has been an important and significant achievement for this Government, particularly in light of the extraordinarily difficult economic conditions facing the country.

€623 million remains a very significant allocation of public funds and is a clear indication of our commitment to the aid programme. It represents a genuine investment on behalf of the Irish people to assist those less fortunate than ourselves. The Government is ambitious for the aid programme and is determined to ensure the significant resources allocated continue to maximise results and deliver real and sustainable improvements in the lives of the world poorest people.

Photo of John BrowneJohn Browne (Wexford, Fianna Fail)
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To ask the Tánaiste and Minister for Foreign Affairs and Trade the steps he has taken to address procedures in distributing aid to Uganda; and if he will make a statement on the matter. [1563/13]

Photo of Caoimhghín Ó CaoláinCaoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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To ask the Tánaiste and Minister for Foreign Affairs and Trade the date on which the Ugandan Auditor General is expected to finish his report into the misappropriation of €4 million of aid given by Irish Aid; and if officials or those from an accounting background in his Department will be travelling to Uganda in connection with the case in the coming months. [1680/13]

Photo of Joe CostelloJoe Costello (Dublin Central, Labour)
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I propose to take Questions Nos. 17 and 24 together.

As the Deputies know I was deeply concerned about the misappropriation of €4 million of Irish development funding in Uganda, which came to light last October. Ireland has always made it abundantly clear that we have no tolerance for fraud or any other form of financial irregularity in relation to our development programme. I immediately suspended €16 million of Irish development assistance which was due to be channelled through the Government of Uganda systems in 2012 and I initiated an investigation into the misappropriation of funds by the Ugandan Office of the Prime Minister which was undertaken by a team from the Evaluation and Audit Unit of my Department. Their report has been made public and is available on my Department’s website.

The Deputies will be aware that the Government of Uganda has accepted full responsibility for the misappropriation of Irish development funds and full restitution of the funds has now taken place. I welcome this action which was brought about after intensive dialogue with the Ugandan Government at a high level and is a sign of the strong partnership which has been built with Uganda over many years. This partnership enables very strong and frank dialogue on a wide range of issues including development, human rights and corruption.

The initial report of the Special Investigation by the Auditor General of Uganda into the misappropriation of €4 million of Irish Aid, and other donor funds intended for financing of the Peace and Recovery Development Plan (PRDP) was published in October 2012. The Auditor General will now carry out further detailed follow up assessments and audits in relation to the PRDP, the Office of the Prime Minister, the Treasury Department and on the Government’s Financial Management System. Current expectations are that this work will be completed by mid 2013. My Department will support the Auditor General in this important work.

I am committed to ensuring that we learn from what has occurred in Uganda to further strengthen our systems of risk identification and management as well as monitoring and audit to minimise the potential for the misuse of funds in the future. I fully accept the recommendations set out in the Report of the Evaluation and Audit team and have directed that they should be implemented.

The Director General of Irish Aid, together with other officials, will travel to Uganda shortly to review proposals and appropriate management arrangements for a future programme. Any such programme will build on the previous valuable contribution made by Ireland towards improving the lives of some of the most vulnerable people in the world, but must provide assurance and strong accountability to the Irish taxpayer. The Evaluation and Audit Unit of my Department will also continue to follow up on the important work they have already undertaken in Uganda, with the next audit visit by this Unit to take place in the coming weeks.

Following the exposure of the misappropriation of funds in Uganda, Ambassadors in overseas missions that manage Irish Aid bilateral programmes were asked to undertake a full review of their management and risk assessment systems to ensure that any weaknesses are dealt with. This review has been completed and the Secretary General of my Department will meet with all of the Heads of Mission in February to underline the importance of managing risk around Irish development funding.

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