Sinéad Gibney (Dublin Rathdown, Social Democrats)
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179. To ask the Minister for Foreign Affairs and Trade his Department's position on sovereign debt restructuring and debt forgiveness in the global south in the context of the fourth International Conference on Financing for Development which was held in Seville recently; and if he will make a statement on the matter. [40569/25]

Neale Richmond (Dublin Rathdown, Fine Gael)
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The Government recognises clearly that a country’s ability to borrow is essential to enabling investment in sustainable development. However, growing debt servicing costs continue to constrain developing countries’ fiscal space, potentially translating into reductions in expenditure on health, education and social protection. This seriously risks further setbacks on poverty and inequality levels, disproportionately affecting the most vulnerable.

There is strong recognition internationally that the persistent debt challenges facing many developing countries require us to work to lower the cost of borrowing. Ireland is not, of course, a significant creditor, which means we are generally not actively involved in discussions on specific country debt situations. Nevertheless we are continuing to engage internationally on debt sustainability issues, particularly with regard to the impact in countries where we have bilateral development assistance programmes.

We recognise that the global debt architecture must continue to develop in order to provide timely, predictable and fair debt restructuring and relief for affected countries. The Paris Club, of which Ireland is a member, works to find coordinated appropriate solutions to debt sustainability challenges in borrowing countries in a timely manner. Further developing the global debt architecture is a complex process, in part due to the growing prominence of non-traditional creditors and the historical accumulation of debt owed to various countries.

The outcome document from the fourth International Conference on Financing for Development, which I attended in Seville, contains a number of important measures to address the debt situation. We fully support the efforts included to further strengthen the G20 Common Framework for Debt Treatments, establishing a borrower’s platform, and operationalising the Small Island Development States (SIDS) Debt Sustainability Support Service.

Sinéad Gibney (Dublin Rathdown, Social Democrats)
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180. To ask the Minister for Foreign Affairs and Trade if his Department has raised concerns at EU level over the cuts to aid and development funding and increased emphasis on military spending, and its potential impact on diplomatic relations with countries across the global south; and if he will make a statement on the matter. [40570/25]

Neale Richmond (Dublin Rathdown, Fine Gael)
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The Government remains firmly committed to Ireland’s international development assistance programme and to its overriding priority, to reach the furthest behind first.

The Department of Foreign Affairs and Trade has been following closely the reports and announcements by a number of major donors which are reducing their Official Development Assistance (ODA). The OECD estimated recently that global ODA may be reduced in 2025 by up to 17%, with further reductions projected for the coming years. Least developed countries are projected to see a fall in net bilateral ODA of up to 25%, with countries in sub-Saharan Africa particularly affected.

Our Embassies and missions abroad are monitoring developments and the impact on our aid partnerships and programmes on the ground, especially in Africa. The impact of cutbacks in ODA by major donors, notably by USAID, but also by some of our EU partners, is already being felt, particularly in sectors such as global health, humanitarian response, and governance and human rights.

The situation featured strongly in discussions at the meeting of Development Ministers at the Foreign Affairs Council which I attended in Brussels on 26 May. I have also discussed the impact during my

visits in recent months to Kenya, Tanzania, Sierra Leone and Liberia, and will do so next week when I visit Zambia, Zimbabwe and South Africa. I have had discussions with counterparts and partner organisations during the Financing for Development Conference in Seville and will engage again when I attend the G20 Development Ministers' meeting in South Africa on 25-26 June. I, and officials, are in regular contact with partner governments, UN Agencies and NGOs on the impact of the cutbacks. We have assured them that we will continue to provide support that is both predictable and flexible with a view to helping partners to adapt as well as possible to rapidly changing contexts.

It is clear from discussions in Brussels with our EU partners that there must be a sharp focus in all ODA on development outcomes – on the quality of our ODA rather than necessarily its quantity. Our engagement will be particularly important as we enter the negotiation phase of the EU’s next seven year budget, which will commence following presentation by the Commission on 16 July of its proposed Multiannual Financial Framework for the period 2028-2034.

The Government has reaffirmed Ireland’s commitment to our Official Development Assistance (ODA), working towards achieving the target of 0.7% of Gross National Income.