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Dáil Éireann debate -
Thursday, 10 Jun 1993

Vol. 432 No. 2

Ceisteanna—Questions. Oral Answers. - ODA Programme.

Liz McManus

Question:

6 Ms McManus asked the Tánaiste and Minister for Foreign Affairs if he has any proposals to improve the quality and delivery of Irish ODA; if he will institute any process for the independent evaluation of the programme; if he will seek action for improved terms of trade and debt cancellation for developing countries at EC and UN level; and if he will make a statement on the matter.

Ireland's ODA is subject to outside, independent evaluation in the form of regular reviews by the Development Assistance Committee of the OECD. The last Development Assistance Committee review of Ireland's ODA programme took place in March 1991 and the next review is scheduled to take place in September 1994. In addition, as part of the management of the bilateral aid programme, each individual project is regularly reviewed, usually at three-yearly intervals, by a team which frequently includes outside consultants as well as departmental analysts.

I am satisfied that the quality of Ireland's official development assistance is high. The Programme for Government calls for a substantial increase in funding over the next four years which will involve significant expansion of the programme. In that context, a thorough examination of all aspects of the programme is taking place and a broad range of consultations is being held. I hope to be able to announce plans for the expanded programme before the summer recess.

I am aware of the problems arising from the heavy burden of debt carried by many Third World countries. This is a major issue for the world community and needs to be tackled at global level. The role which Ireland can play is to support the efforts of the main agencies through which this problem is addressed, the World Bank and the International Monetary Fund. Within the European Community, we have also given our support to measures to write off the debts of the poorest ACP countries arising under STABEX, the Community Fund set up under the Lomé Conventions.

A fairer trade deal for developing countries is of crucial importance if they are ever to achieve a more equitable distribution of the world's resources. Ireland will continue to argue that trade be given a special priority in the European Community's relationship with developing countries.

At the meeting yesterday of the Joint Committee on Foreign Affairs officials of the Department presented us with a considerable amount of information on this matter and we had a very interesting debate. We very much appreciated the co-operation of the officials. Given that the Minister said he supports the idea of cancellation of the debt owed to the EC will the Minister of State indicate the sources of opposition at European Community level to such a move? What diplomatic efforts are being made by Ireland to overcome this on a bilateral basis?

At a recent meeting which I attended the Community decided that, in regard to the single market for bananas, it should favour exports from traditional suppliers in the Caribbean. Therefore, the Community endeavours to take the needs of developing countries into account. Official debt accounts for the bulk of the debt owed by developing countries in sub-Saharan Africa. As Deputies are aware, no official debt is owed to Ireland. We provide support primarily at World Bank and IMF level. At European Community level some countries have a particular relationship with developing countries but we maintain a consistent and supportive role, particularly in regard to the ACP countries.

I should like to ask the Minister of State a question, which I put to his officials yesterday at the meeting of the Joint Committee on Foreign Affairs, about the impact our official development assistance has had on the fundamental problem of under-development. If I recall correctly we support a livestock improvement project in the Sudan and a hospital improvement project in Tanzania to mention but two. Can we say that the livestock industry in the Sudan and the hospital services in Tanzania and so on have been improved as a result because that is the basis on which this should be judged?

The Deputy and I visited Lusaka some years ago where one of the projects to which he referred, namely the pre-natal and post-natal clinic, is being undertaken. I am confident that we are getting good value for money and that the bilateral aid programme, especially in Africa, has been a tremendous success. That is not just my view or that of the Government but the view of other Governments and many international agencies. The Deputy has raised an important matter. The real challenge facing us is how can we secure sustainable development. That is the challenge facing this and other Governments and it is separate from the need to provide humanitarian relief. As the Deputy is no doubt aware, it is our intention to set up an advisory committee. We also have a Joint Committee on Foreign Affairs and it will be a matter for those committees to decide if they should examine closely the programme we are implementing. That programme can be improved only if independent advice is offered in the case of the advisory committee. The Joint Committee on Foreign Affairs to which the Deputy referred also has a role to play in evaluating our programme.

I welcome the courageous document presented by the Minister of State's officials yesterday. They did not shirk their responsibility to tell us just how disastrous the position was during the past five to six years in regard to our overseas development aid budget. They did not fudge the issue. Will the Minister of State ensure there is an examination of the way the multilateral aid programme funds are spent having regard to the fact that it is such projects rather than bilateral aid programme projects that have been subjected to most criticism? Will he ensure that a hands-on approach is adopted in regard to the cheque-writing exercise that Ireland indulges in at present whereby we write a cheque at the start of the year and forward it to some agency?

The Minister and I are in full agreement that there must be accountability. I instructed my officials to ensure that in preparing the document strong emphasis was placed on bilateral aid programme projects rather than multilateral aid programme projects. It is in that area that Irish aid agencies excel given that a hands-on approach is adopted, be it at official or NGO level. This additional money is welcome and I am privileged to be in this position at a time when the programme is being expanded. Through these projects we can make an impact in the international community. We must invest the additional moneys in such projects, not in multi-lateral aid programme projects. I agree with the Deputy that in many cases we are not sure how these moneys are spent because they are spread out and allocated to large scale programmes. When money is allocated to specific bilateral aid programme projects we can see the results.

The Government deserves to be congratulated for adopting a positive approach towards ODA. It was a major bone of contention over many years that the Government's allocation in this area was declining but this has now been reversed. However, there is a need to ensure that developing countries get a fair crack deal in international trade. Will the Minister of State have any input to the negotiations on GATT which will have a major impact on the quality of life of people living in developing and underdeveloped countries? At this stage we have a friend in court. It is important that we concentrate on other matters in addition to the Common Agricultural Policy.

That seems to be a separate and major issue.

I wish to reassure the Deputy that this issue is constantly on the agenda at EC level. Indeed, it was discussed again at a recent meeting in Luxembourg. I understand that Mr. Peter Sutherland, the new Director General of the GATT organisation, made the point that he has a responsibility not just to the wealthy economies but to the developing world. I should point out that, in line with the positive attitude we have adopted towards the developing world, we have time and again made positive statements at EC level and at EC-Central American country meetings in support of the ACP countries in particular. In some instances, this may impinge on our own prospects for economic development but we must take a broader view of our relations with developing countries and with eastern and central European countries in particular.

The Minister of State said emphasis is being placed on the need to provide increased funding for bilateral aid programme projects and that a hands-on approach has been adopted. How can he explain the reduction in the co-financing in the current year of moneys available for voluntary agencies? I am referring to the bilateral side as opposed to the multi-lateral side. If the Minister's approach is followed through there should be an increase in funding for the Irish voluntary agencies which we support on a co-financing basis.

The figures the Deputy has quoted are for the current year. As I said in my initial reply, we are putting together a very comprehensive plan — it is almost finalised — as outlined in the Programme for Government for the term of this Government. This plan will involve successive increases in all these areas, particularly in the bilateral areas. This will include co-financing, more money for the training of volunteers and more money for APSO, which will produce its report tomorrow.

Why is the co-financing down this year?

The figures quoted by the Deputy relate to the current year. In regard to the areas for which I have responsibility, I can assure the Deputy——

This is the current year.

The point I am making is that a figure was put in for the current year and this will be added to. The figures were put together last year.

The Minister got——

Order, let us move on to Question No. 7 in the name of Deputy Cox.

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