Dáil Éireann Debate, Tuesday - 25 March 2014
252. Deputy Timmy Dooley asked the Minister for Finance the reason Ireland is not a listed, non-regional member of the African Development Bank (details supplied); and if he will make a statement on the matter. [13766/14]
Amharc ar fhreagraAs indicated in the Government s policy document One World, One Future Ireland's Policy for International Development published in May of 2013, the potential benefits of membership of the African Development Bank are under on-going consideration. Ireland is currently a member of several Multilateral Development Banks (MDBs) such as the World Bank, Asian Development Bank, Council of Europe Development Bank and the European Bank for Reconstruction and Development. Ireland considers MDBs to be an effective channel through which to distribute aid because contributions to the MDB can be aggregated with other countries contributions and be spread across a wider number of regions and thematic areas than would be possible through a bilateral aid programme. In this way, the multilateral channel is an efficient and effective complement to Ireland's international aid programme which focuses selectively on key partner countries and priority areas. As the Deputy may be aware, Africa has been the main focus of Ireland's aid programme for many years and eight of Ireland's nine partner countries are in Africa.
As the Deputy will be aware, the Government is conscious of the importance of seeking new sources of growth opportunities for Irish business and this has been a priority of this Government since it entered office. Joining an MDB enables companies from that country to tender for contracts for development projects, however it should be noted that there is not an automatic entitlement or a minimum country allocation for the awarding of contracts. Instead, the focus of the MDB when awarding is on quality and competitiveness, and each tender is evaluated on its own merits.
Joining an MDB is a long-term decision and involves the consideration of many factors such as the strategic fit between the MDB and the country s own development priorities, complementarity with the country s bilateral aid programme and the performance of the MDB and its impact on development issues. Therefore, there are wider considerations than procurement and business opportunities. In addition, I would like to remind the Deputy that Ireland's aid is 100% untied and there is great pride in not mixing development priorities and business opportunities by tying our aid contributions. Another important factor in considering MDB membership is the financial implication for a country, arising from the initial capital requirement and the regular contributions thereafter. As a result of the tight fiscal and budgetary constraints of recent years, Ireland was unfortunately not in a position to consider joining additional MDBs.
I can advise the Deputy that a review of Ireland's MDB membership is in progress. Discussions have been on-going between officials in my Department and colleagues in the Department of Foreign Affairs and Trade regarding potentially joining the African Development Bank. These discussions are in the early stage, with options currently being explored, and this matter will continue to receive careful consideration in the months ahead. Ireland's development policy takes a whole-of Government approach and as such, decisions relating to MDB membership will be taken on that basis and only when all options have been considered and all relevant stakeholders have been consulted.
I would refer the Deputy to Ireland's Africa Strategy which was launched in 2011. This sets out an overarching framework for Ireland's development and trade strategy for Africa. As part of the Africa Strategy, support will be provided this year to assist Irish companies in bidding for contracts tendered under the European Development Fund, of which Ireland is a member, for the Africa region.
