12% rise will bring Ireland's overseas development assistance to record £137m

Spending on Irish overseas development assistance is to increase by 12 per cent next year, bringing the value of Irish aid to a record level of £137 million.

Because of the boom in the economy, however, the increase expressed as a proportion of gross national product - the normal yardstick for international comparisons - is more modest. Next year's total will amount to about 0.32 per cent of GNP, compared to 0.31 per cent this year.

This is well short of the target of 0.45 per cent of GNP which the Government is committed to reaching in its lifetime. Both the Taoiseach and the Minister of State for Overseas Development, Ms Liz O'Donnell, recently reaffirmed their commitment to reaching this figure by 2002.

The previous government also presided over large increases in aid, but equally failed to keep its promise of a yearly increase of 0.05 per cent of GNP each year. The level recommended by the United Nations is 0.7 per cent of GNP.

Ms O'Donnell said the increase of £15 million in the Irish Aid allocation was evidence of the Government's commitment to the Third World.

The Minister also signalled a "significant shift" in the Government's approach to development aid. Irish taxpayers' money would increasingly be spent on reducing poverty and addressing basic human needs such as food security, human development and the empowerment of women. She said assistance would be increasingly linked to democratisation and human rights issues. "We cannot be oblivious to the political climate which prevails in certain countries. We see it as unacceptable that tyrants should violate the basic rights of their peoples."

Spending on foreign affairs is set to increase by 6 per cent next year, to almost £60 million. Provision for the Programme for Peace and Reconciliation, the EU-sponsored fund which supports projects in Northern Ireland and the border counties of the Republic, is up threefold to almost £6 million. Support for Irish immigrant groups abroad drops 9 per cent to £169,000.