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Dáil Éireann debate -
Tuesday, 3 Apr 2001

Vol. 533 No. 6

Written Answers. - Overseas Development Aid.

Enda Kenny

Question:

129 Mr. Kenny asked the Minister for Foreign Affairs the agencies and organisations which receive funding from the overseas development aid budget; the budgetary allocations made to each in the past three years; the monitoring systems in place to have effective spend and results achieved; and if he will make a statement on the matter. [9868/01]

Enda Kenny

Question:

130 Mr. Kenny asked the Minister for Foreign Affairs his views on the effectiveness of the indigenous Irish NGOs, principally Concern and GOAL, and on their professionalism as organisations delivering overseas development aid programmes; his further views on the reason these organisations are not given a statutory guarantee of funds and a realistic percentage of overseas aid on an annual basis; the administration costs of these two organisations as compared to agencies which receive statutory payments from his Department's budget for overseas aid; and if he will make a statement on the matter. [9869/01]

Enda Kenny

Question:

131 Mr. Kenny asked the Minister for Foreign Affairs his views on the allocation to NGOs and missionary organisations of a regular stream of overseas aid funds to deliver a real and effective service subject to conditions of accountability and transparency; his further views on corruption within the delivering agencies of overseas aid generally; the measures he has in place to counteract this; and if he will make a statement on the matter. [9870/01]

I propose to take Questions Nos. 129 to 131, inclusive, together.

I welcome the opportunity to restate my views on the importance of NGOs and missionary orders as one channel of aid delivery. The substantial funding channelled through these organisations, £24.6 million in 1999 and £27.35 million in 2000, that is, approximately 20% of the funds under the direct control of Ireland Aid, constitutes a realistic and regular stream of funding and is indicative of the belief that they are an important channel of aid delivery. The high levels of funding delivered by the Government through NGOs were mentioned by the Development Assistance Committee of the OECD as part of its review of Ireland Aid in 1999. A detailed breakdown of individual funding allocations for all NGOs and missionary groups is set out in the Ireland Aid annual reports which are available in the Oireachtas Library.

NGOs and missionaries are a valuable means of delivering assistance to the poorest of the poor. However, a key objective in delivering and maintaining a high quality programme of development co-operation is the achievement of a balance, utilising all the channels available to promote sustainable development. This objective requires a clear focus, across all sectors, on the need to build capacity at all levels within developing countries. The emphasis must be on the need to support indigenous ownership and processes within poor countries to ensure that development gains for the poor are real and sustainable. NGOs are a valuable means of delivering aid to the poor, but important too, especially for sustained and lasting development, are the partnerships between donors and host Governments. These partnerships are the foundations which foster the human and institutional development that are necessary if the developing world is to break out of the cycle of poverty and crisis. The issues of basic needs and associated enabling policies, governance, economic growth and physical infrastructure are dealt with in this partnership framework. Also vital is the role played by multilateral organisations on a whole range of issues from emergency responses to addressing the enormous and unsustainable debt burden faced by so many developing countries.
The entire aid budget under the control of my Department is voted on by Dáil Éireann. In addition, as I have indicated in previous replies to similar questions, I have ensured that the published Estimates include the specific allocation for block grant assistance, the main NGO co-financing scheme and the local NGO co-financing scheme. The publication of this information contributes to the openness in the management of the aid programme and highlights the developing partnership between Ireland Aid and the NGOs.
I do not propose to single out individual NGOs, or other aid agencies in terms of effectiveness or administration expenditure. The administration expenditures of aid agencies will vary according to the type of activities in which the organisations are engaged and how they define the term "administration". Meaningful comparison of such expenditure must take this into account. The difficulty in the comparison of expenditures is further compounded by differences in accounting for elements of administrative expenditure which are funded by external bodies. What is important is to ensure that administration costs are as lean as possible, but sufficiently realistic to achieve sustainable outputs and lasting outcomes. For example, in emergency situations it is only reasonable that NGOs will have set up costs and reasonable elements of these costs are funded by Ireland Aid.
In relation to possible corruption and accountability in general, all applications for funding from NGOs, including missionary orders, must conform to a detailed set of criteria and guidelines pertaining to the particular sector being funded. Applicants for funding must demonstrate a capacity to carry out the tasks envisaged as well as a clear and coherent strategy to achieve the aims and objectives of the programme or project. The track record of the applicants in terms of planning, management, monitoring and evaluation is also an important consideration when examining proposed projects and programmes. Applications must be carefully costed in advance. Successful applicants are subject to formal contractual arrangements which set out the terms, conditions and reporting requirements.
My Department has a separate evaluation and audit unit tasked with ensuring the highest standards of evaluation and audit and the adoption of best development practice. Independent consultants and international experts are regularly commissioned to assist in the evaluation process. Each year a number of projects and programmes carried out by NGOs are selected for rigorous evaluation and financial audit by Ireland Aid's evaluation and audit unit. NGOs in receipt of public funds must demonstrate that they have a system in place to monitor and evaluate projects and a demonstrated capacity to address issues such as sustainability, participation, local ownership, gender, environmental impact and cost effectiveness. In addition, the evaluation team reports on whether the projects and programmes are performing to expectations, whether the funds are reaching the beneficiaries and whether the projects and programmes funded represent good value for money. In Ireland Aid, evaluation is perceived as a vital tool in learning important development lessons and adopting new and improved ways of bringing about sustainable change in the lives of the poor in the developing world. We must strive to ensure that aid is delivered as productively, effectively and efficiently as possible.
The Government's programme of development co-operation is also subject to rigorous peer review by the Development Assistance Committee of the OECD. As I mentioned earlier, the OECD published its review of the Irish programme in 1999. The OECD review was very positive and stated that Ireland sets very high standards for aid and that there was a clear focus on poverty reduction.
The review of Ireland Aid, chaired by the Minister of State at my Department, Deputy O'Donnell, is under way and will be examining all aspects of the aid programme, including working with NGOs. The review committee has advertised in the national press requesting submissions to its deliberations from interested parties and stakeholders. I hope that there will be a wide response in order that the aid review committee may examine as wide a range of submissions as possible. The committee will also consult with the Joint Committee on Foreign Affairs.

Enda Kenny

Question:

132 Mr. Kenny asked the Minister for Foreign Affairs if it is intended to increase funding during 2001 to UNFPA from £1 million to £2 million as reported; and if he will make a statement on the support programmes for which such moneys are used. [9871/01]

Ireland Aid began contributing to the UN Population Fund, UNFPA, in 1993. Until then, Ireland was the only member state of the European Union not to support the fund's programmes and activities. This year's contribution of IR£1 million has been paid.

Ireland has now entered into a multi-annual funding arrangement with the UNFPA as well as with the UN Development Programme, UNICEF, the UN High Commission for Refugees and the Office of the High Commissioner for Human Rights. Such an arrangement serves to confer a degree of financial predictability, thus enabling the agencies to plan future programmes and strategies. This facilitates effective aid management and helps the process of reform in the agencies concerned.
In the context of the multi-annual funding arrangement, Ireland has given non-binding indicative commitments to UNFPA of IR£1.45 million and IR£2 million for 2002 and 2003 respectively. Ireland's funding of the UNFPA and the other funds and programmes of the UN system takes the form of core contributions. Our voluntary payments are made to the general budget, meaning that they are not earmarked for specific programmes. This is very much in line with the preferences of the UN agencies themselves, as it provides programmatic and budgetary flexibility. This approach avoids oversubscription to high profile or popular programmes while funding for other, equally meritorious programmes goes neglected.
The UNFPA's work is guided by the programme of action of the international conference on population and development held in Cairo in 1994 and to which Ireland subscribes. The Cairo agreement called on Governments to provide universal access to reproductive health care by 2015 as a global human rights imperative. The conference recognised that meeting individual needs in this regard, enabling couples to choose the number and spacing of their children, would lead to smaller families and early stabilisation of population growth. Our support for the UNFPA, both political and financial, underlines Ireland's commitment to fulfil its international obligations arising out of the Cairo programme of action.
It is estimated that some half a million women in the developing world die each year due to pregnancy-related causes and that 350 million women have no access to any form of contraception. The money provided by Ireland Aid contributes to the UNFPA's efforts, saves the lives of thousands of women each year and helps prevent hundreds of thousands of unwanted pregnancies.
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