'Concern’ about drop in aid

Press, 17 November 1980, Page 31

'Concern’ about drop in aid

PA Wellington "Deep concern” about a substantial drop in official New Zealand aid overseas has been expressed by a Government-appointed advisory committee, but the Government has defended the falling, aid contribution by saying it is essential to keep firm constraints bn all.: sectors of public expenditure. The Ministry of Foreign Affairs released its review of the 1979 New Zealand aid programme and in a separate paper the report of. the advisory committee on external aid and development. ; , The review paper, written for submission to the development assistance committee of the Organisation • for Co-operation and Economic Development, noted New. Zealand’s official development assistance in the . 1979-80 financial year was held at the same level as in 197879. That was $55 million of 0.30 per cent of the country’s gross national, product.

"The. New- Zealand Government recognises the

target of 0.7 per cent of G.N.P. for official development assistance trans« fers, but -im the current economic circumstances, ■progress-' towards this objective cannot .be viewed separately from the state of the New Zealand - economy as .a 'whole,” it says.In 1975, New Zealand aid reached its. highest level when the country achieved the rate of 0.52 per cent Of G.N.P. in official overseas assistance.. Since then the figure has declined.' ' -•

The advisory committee, a body appointed by the Minister of Foreign Affairs from voluntary aid organisations and chaired by. Professor S. Hoadley, said -the; drop was: of.'.concerh.-., ’■ :

"While accepting that this has to be balanced against the -limits placed on New Zealand. by its own. economic problems, {the committee) sees this in the perspective of the situation of the people we seek to help.

“Those who. have this perspective are, not very moved by protestations

based on our economic plight ” The advisory’ committee has also questioned the high amount of New Zealand aid flowing into the Pacific. The Pacific Islands did not suffer the degree of poverty other countries experienced, and New Zealand aid could ' produce dependency and be a barrier to self reliance. The Pacific emphasis was also affecting New Zealand aid to other countries, such as Tanzania where dairy aid produced valuable responses. Aid to countries like Bangladesh . and India, where "human needs exist on a vast scale,” have also dropped because of aid to the Pacific.'

“Decisions on priorities are always a matter of serious concern, but the committee believes that the general objective of assisting those most in need must never be allowed to be subjugated by political and economic considerations. To this end it is recommended that the Government re-eval-uate its policy on the geographical distribution of

aid to ensure that our programme in the Pacific does not lead to greater dependency, and that our programme elsewhere, small though it is in relation to needs, is focused on' the greatest need,” the committee report said.