The Australian Council for International Development (ACFID), the peak body for development and humanitarian agencies, has welcomed Australia’s continued support to the Asia-Pacific which faces complex and interconnected development challenges in a changing donor landscape – including the collapse of USAID.
“Australia is facing an uncertain and challenging global environment. With cuts to development assistance announced by many traditional donors, Australia has sent a clear signal that we are not retreating from our region,” said Interim CEO Matthew Maury.
The international development budget has increased to its highest ever figure, at AU$5.1 billion – up by $135.8 million from last year. However, in terms of ODA to GNI and as a percentage of the Federal Budget it is at its lowest level ever.
“While holding the line is commendable and we welcome the initial steps to fill the gap in this budget, ACFID looks to further commitments that meet the escalating needs across the world,” said Mr Maury.
“For people and communities across the Asia-Pacific, the spread of infectious diseases, an inability to put food on the table, spikes in domestic violence and reduced childhood education are very real and immediate results of the recent aid cuts – unless other partners, like Australia, move quickly to restore programs and fill the gap. ACFID is pleased that this budget shows Australia is moving in this direction.
“ACFID welcomes the $81 million commitment to regional health at a time when health programming is being cut across the region. This will deliver more urgently needed funding for health programs will see a much-needed boost in the Pacific and Southeast Asia including supporting access to maternal health, HIV, and reproductive services,” continued Mr Maury.
“The stakes have never been higher in our region. Australia’s international development budget is at the heart of Australia’s response to an uncertain world – underpinning stability. Any reduction in aid will be felt immediately creating both humanitarian and diplomatic costs, while allowing other nations to expand their influence in the region.
“Most Australians are surprised to learn that aid was just 0.68% of the Federal Budget last year – this has now decreased to 0.65%. While we recognise the financial pressures the Government faces, the need for aid around the world is greater than ever. We call on major parties to provide a pathway to restore our aid program to 1% of the Federal Budget, making the world a safer place for all,” said Mr Maury.
For more information or to arrange an interview, please contact ACFID MEDIA at media@acfid.asn.au or call 0401 721 064.
Background
Australia currently spends 0.65% of the federal budget on aid – the lowest it has ever been.
Australia’s aid generosity has slipped considerably over time. In 2014, Australia was the 13th most generous OECD donor with an ODA/GNI ratio of 0.31% and in 1995, Australia (ODA/GNI ratio of 0.34%) ranked 9th out of all OECD DAC members. Last year’s budget saw a small amount of additional funding for Australia’s development program, but only just enough for the development budget to flatline rather than decline in real terms.
In the last year, the world has grappled with the highest number of conflicts since 1945 amid increasing frequency and severity of natural disasters, with the leading ODA donor, the U.S. announcing cuts to 83% of their aid programs.
ACFID, the peak body for Australian non-government organisations (NGOs) involved in international development and humanitarian action has 130 full members and 22 affiliates operating in more than 90 developing countries.
ACFID’s pre-budget submission can be found here.