Statement on ODA levels by the Minister for Foreign Affairs, Mr Micheál Martin, T.D., and the Minister of State for Overseas Development, Mr Peter Power, T.D.

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Statement on ODA levels by the Minister for Foreign Affairs, Mr Micheál Martin, T.D., and the Minister of State for Overseas Development, Mr Peter Power, T.D.

Today, the Government has taken decisions in relation to public expenditure which have implications for Votes across all Departments.

In this context, the Government has taken the difficult decision to reduce the total budget provided for Ireland’s Overseas Development Assistance in 2009 from €891million to €796 million. The size of our aid programme is linked to our own economy, and specifically to GNP growth. Our intention is that by taking action to curb public expenditure at this time, we will establish a platform for the resumption of strong economic growth, and further significant expansion of the Government’s development programme in years to come.

We should not overlook the fact that our aid programme remains at a historically high level - €796 million in 2009 compared to €255 million in 2000. Ireland remains the sixth most generous donor internationally in per capita terms.

The reality is that if our GNP were to continue to decline at the rate now being experienced, there would be an inevitable, and steady, decline in the amounts available for overseas development assistance. Even if we were to continue to increase the percentage of our GDP now allocated to ODA, we would simply be offering a proportionately larger slice of a rapidly shrinking cake. This would not be in the interests of our development partners, or of the credibility of Ireland’s aid programme.

The Government’s development programme remains central to our foreign policy. This year, as in recent years, Ireland will have one of the strongest aid programmes in the world, with a particular focus on the poorest people in the developing world, especially in Africa. We will also continue to take a leadership role internationally on the global hunger crisis. Our aid programme will reflect this priority.

The Irish people are justly proud of the aid programme. Over the past six years, we have provided over €4 billion in total ODA, making a real difference to the lives of millions, particularly in the poorest countries of Africa. In the face of international recession, aid budgets are under pressure everywhere. The Government will ensure that Ireland continues to be one of the most generous donors internationally. We will also ensure that every aspect of the programme is rigorously examined to ensure its effectiveness in fighting global poverty and hunger, and value for money.

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3 February 2009

Press Office