Dáil Éireann díospóireacht -
Wednesday, 7 Feb 1990

Vol. 395 No. 4

Written Answers. - Allocations of Third World Funds.

Eamon Gilmore

Ceist:

54 Mr. Gilmore asked the Minister for Foreign Affairs if his attention has been drawn to the fact that the European Commission has been redirecting moneys which were originally intended for the Third World in order to provide assistance to Eastern European countries; if he supports this practice; if, as President of the Council of Ministers, he will ensure that the provision of aid for Eastern Europe will not result in a reduction in Third World aid; and if he will make a statement on the matter.

Minister for Foreign Affairs (Mr. Collins)

I can assure the Deputy that the European Commission has not redirected any money originally intended for the Third World in order to provide assistance to Eastern European countries. The funding for the programme of assistance to Eastern Europe comes largely from a separate line in the Community's budget. Three hundred million ECU have been provided for this budget line from unallocated Community funds. In addition, food aid is being provided to Eastern Europe from savings in the FEOGA system.

I know that there is concern that our co-operation with developing countries may suffer as a result of our response to the momentous changes in Eastern Europe. The idea that financial assistance will be diverted is particularly current. I would like to take this opportunity to allay these concerns.

The European Community and its member states together constitute the most important source of assistance to developing countries. The continuing strength of this relationship was demonstrated vividly by the recent signing of the new Lome Convention. This Convention provides the framework for the Community's relationship with the ACP group of developing countries in Africa, the Caribbean and the Pacific. Under the Convention, the Community is committed to providing over 12 billion ECU, almost IR£9.5 billion over the next five years. This represents an increase of almost 40 per cent over the previous Convention. There is no question of these funds being diverted or affected in any other way by events in Eastern Europe.

With regard to aid to the developing countries in Asia and Latin America, the Commission will shortly present to the Council its reflections on the orientation of this aid in the nineties. I would not wish at this stage to pre-empt that discussion but I can assure the House that developments in Eastern Europe will not have any detrimental effects on this assistance.