It is disappointing the Gillard Government has moved to delay its commitment to boost aid spending to 0.5% of gross national income, a move that will mean $2.9 billion less for the world’s poorest over four years.
The increase in aid spending of $300 million in the 12/13 Budget to $5.2 billion is welcomed, especially amid a tight Budget in order to deliver a surplus. World Vision Australia estimates the aid budget could save the lives of an extra 550,000 people over four years.
World Vision Australia chief executive Mr Costello said but for the last minute intervention of Foreign Minister Bob Carr the aid budget would have been far worse.
“Yet the reality is if the government had kept its promise to boost aid to 0.5 of GNI by 2015 there would have been over $300 million more in aid in this budget alone,” Mr Costello said.
“And there will be $2.9 billion less for aid by 2015/16 as a result of this delay. It is disappointing because the commitment on aid was bipartisan and strongly supported in the Australian community.”
Mr Costello said there were welcome initiatives in the Budget including 70% of aid being directed to the Asia Pacific region with new programs in PNG, the Pacific and Burma.
The Budget also included significant increases in funding for humanitarian emergencies, boosted funding for UN agencies (including the World Food Program and UN Women) and aid and development agencies.
Mr Costello said the new Comprehensive Aid Policy Framework would also provide greater certainty in multi-year funding in aid as well as giving Australians a better idea of how the money is spent.
“It is important to acknowledge that the aid budget did increase, while this increase is less than promised, this money will make a difference in the lives of the world’s poorest,” he said.
Australia currently sits 13th out of 23 OECD countries in terms of the generosity of its aid giving.
“This is a critical time for global efforts to tackle poverty, to ensure the rate of children dying before their fifth birthday continues to fall. Yet the international financial crisis means global aid is now falling for the first time in 14 years,” Mr Costello said
Although wealthy countries spend a small amount on aid it is having a big impact. In the past 20 years, child deaths have been reduced from 12 million to less than 8 million a year, a 36% fall, and aid has played a huge part in this progress.
Media contact: Chloe Adams – 0427 413 816 / chloe.adams@worldvision.com.au