Seán Fleming (Laois-Offaly, Fianna Fail)
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192. To ask the Tánaiste and Minister for Foreign Affairs and Trade if he has considered providing goods and services in lieu of cash in respect of overseas development aid; and if he will make a statement on the matter. [2604/13]

Joe Costello (Dublin Central, Labour)
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Ireland’s aid programme has been recognised internationally for its focus on poverty and hunger, especially in sub-Saharan Africa, and for its leadership in making aid more effective.

The practice of tying aid to the purchase of goods and services of the donor country has long been recognised as reducing the effectiveness and efficiency of development co-operation programmes, as well as increasing the costs. Studies by international organisations such as the OECD have demonstrated that tying aid can reduce the overall benefit to developing countries by up to 30%.

Ireland is one of a number of key of donor countries whose aid is 100% untied. This is one of the principal reasons that Ireland’s aid programme is internationally recognised as being of the highest quality.

Irish companies already bid and tender for the provision of goods and services to our partner Governments in line with international transparent and open procurement standards. The Department's Africa Strategy seeks to build these opportunities and linkages.

The Programme for Government included a commitment to review the 2006 White Paper on Irish Aid. This review is now complete and a new policy to guide Ireland’s role in global development will be submitted to Cabinet for approval in the near future. This will place greater emphasis on complementing financial assistance with other forms of co-operation from Ireland and will emphasise the importance of collaborative partnerships with Irish research institutions and the private sector.