New Zealand Agency for International Development

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The New Zealand Aid Programme
New Zealand Agency for International Development Logo.svg
Logo of the New Zealand Aid Programme
Agency overview
JurisdictionNew Zealand’s official development assistance (ODA)
Headquarters Wellington, New Zealand
Ministers responsible
Agency executive
Parent agency New Zealand Ministry of Foreign Affairs and Trade
Website https://www.mfat.govt.nz/en/aid-and-development/

The New Zealand Aid Programme is the New Zealand Government's international aid and development agency. The New Zealand Aid Programme is managed by the Pacific and Development Group in the New Zealand Ministry of Foreign Affairs and Trade (MFAT). Previously a semi-autonomous body known as the New Zealand Agency for International Development (NZAID), it was reintegrated back into MFAT as the International Development Group following a restructure in 2009. Its Māori name is Nga Hoe Tuputupu-mai-tawhiti – the paddles that bring growth from afar. [1] The Head of the New Zealand Aid Programme is Jonathan Kings, a lawyer and public servant. According to the OECD, New Zealand’s total official development assistance (ODA) (USD 537.6 million, preliminary data) decreased in 2022 due to fewer disbursements within its three-year budget cycle and represented 0.23% of gross national income (GNI). [2]

Contents

History

NZAID was established in 2002 by the Fifth Labour Government with the launching of a new overseas aid policy, "Towards a Safe and Just World Free of Poverty". The establishment of NZAID as a semi-autonomous body marked a significant shift in the management of New Zealand official development assistance (ODA). Prior to 2002, ODA had been managed by MFAT using largely non-specialist staff, policies and procedures.

A Ministerial Review in 2001 found that New Zealand's management of ODA lacked a clear mission: "Management and staff are pursuing poorly defined development assistance, foreign policy and trade objectives. There is a serious confusion of purpose. At the implementing end, desk officers are uncertain and concerned about the core mission of their work." The 2001 Review found that NZ ODA lacked focus; poverty analyses on which to base decisions; systematic analysis of past performance; and systematic use of good practice in aid design and delivery. The rotational staffing system (whereby career MFAT staff were rotated through the aid management division, rather than recruited specifically for skills and experience in ODA issues) had led to the relevant area of MFAT being regarded as "both a training ground for diplomats and a dumping ground for non-performers". Basic issues of staff and document management were found wanting. The establishment of NZAID was a response to these and other problems.

The Cabinet Minute (01) 28/8 [3] which mandated the creation of NZAID "set the following major directions for New Zealand's ODA:

Structure

The New Zealand Aid Programme, through the Pacific and Development Group, consists of the following organisational divisions:

Development approach

New Zealand aims for “a more peaceful world, in which all people live in dignity and safety, all countries can prosper and our shared environment is protected”. [4] Through its policy for International Cooperation for Effective Sustainable Development, [5] New Zealand progresses the social, environmental, economic, and stability and governance pillars of sustainable development. New Zealand’s ODA spending focuses on countries most in need, particularly Small Island Developing States and Least developed countries. New Zealand’s ODA has a primary geographic focus on the Pacific Ocean, and a secondary geographic focus on Southeast Asia. Beyond this, it achieves global reach through the multilateral system and regional programmes.

Area of operation

In 2009, Cabinet agreed to the mission statement and directed that within this the core focus be sustainable economic development. Cabinet also directed that the Pacific remain the core geographic focus and receive an increased portion of New Zealand's ODA.

New Zealand’s policy for International Cooperation for Effective Sustainable Development was approved by Cabinet on 25 November 2019, confirming the New Zealand Aid Programme's primary focus on the Pacific region, in line with the Pacific Reset. [6] It also affirms four development principles to guide development work: effectiveness, inclusiveness, resilience, and sustainability. They replace earlier policies on development quality, including the Cross-Cutting Issues Policy and Activity Quality Policy.

A February 2021 Parliament Inquiry into New Zealand's Aid to the Pacific recommended continuing to increase ODA to the Pacific, and promoting empowerment, inclusion, and local ownership. [7]

Controversy and criticism

In 2008, the Office of the Controller and Auditor-General and Audit New Zealand released critical reports on NZAID procedures and systems, leading to negative comments in New Zealand Parliament and critical media coverage. [8] [9] NZAID has responded with a programme to "strengthen internal systems and processes". [10]

NGOs in New Zealand have defended the performance of NZAID. [11] The most significant NGO criticism of the New Zealand aid programme is that it should be larger. [12]

The New Zealand National Party have claimed that overseas aid needs "fresh thinking" and that "Over many years and various Governments, New Zealand aid has encouraged the growth of political structures and bureaucracy that are not sustainable." and that "there is no evidence that the major problems identified in the 2005 report by Professor Marilyn Waring have been rectified." [13]

Trevor Loudon, a member of the free market liberal ACT Party, has criticised NZAID as an organisation, and individuals within it, for having a "socialist bent" and funding organisations that are "more political than aid oriented". [14] However, there has been noticeably less criticism of this sort in New Zealand than in Australia. [15]

Related Research Articles

<span class="mw-page-title-main">Department for International Development</span> Former department of the UK Government

The Department for International Development (DFID) was a department of HM Government responsible for administering foreign aid from 1997 to 2020. The goal of the department was "to promote sustainable development and eliminate world poverty". DFID was headed by the United Kingdom's Secretary of State for International Development. The position was last held between 13 February 2020 and the department's abolishment on 2 September 2020 by Anne-Marie Trevelyan. In a 2010 report by the Development Assistance Committee (DAC), DFID was described as "an international development leader in times of global crisis". The UK aid logo is often used to publicly acknowledge DFID's development programmes are funded by UK taxpayers.

Official development assistance (ODA) is a category used by the Development Assistance Committee (DAC) of the Organisation for Economic Co-operation and Development (OECD) to measure foreign aid. The DAC first adopted the concept in 1969. It is widely used as an indicator of international aid flow. It refers to material resources given by the governments of richer countries to promote the economic development of poorer countries and the welfare of their people. The donor government agency may disburse such resources to the government of the recipient country or through other organizations. Most ODA is in the form of grants, but some is measured as the concessional value in soft (low-interest) loans.

<span class="mw-page-title-main">Development aid</span> Financial aid given to support the development of developing countries

Development aid is a type of foreign/international/overseas aid given by governments and other agencies to support the economic, environmental, social, and political development of developing countries. Closely related concepts include: developmental aid, development assistance, official development assistance, development policy, development cooperation and technical assistance. It is distinguished from humanitarian aid by aiming at a sustained improvement in the conditions in a developing country, rather than short-term relief. Development aid is thus widely seen as a major way to meet Sustainable Development Goal 1 for the developing nations.

Danish International Development Agency (DANIDA) is the brand used by the Ministry of Foreign Affairs of Denmark when it provides humanitarian aid and development assistance to other countries, with focus on developing countries. There is no distinct Danida organisation within the Ministry.

<span class="mw-page-title-main">Department of Foreign Affairs and Trade</span> Federal foreign affairs and trade department of the Australian Government

The Department of Foreign Affairs and Trade (DFAT) is the department of the Australian federal government responsible for foreign policy and relations, international aid, consular services and trade and investment. Australia's total official development assistance (ODA) decreased in 2022 due to differences in Australia's financial year reporting and the timing of its COVID-19-related expenditure, representing 0.19% of gross national income (GNI).

<span class="mw-page-title-main">Export credit agency</span> Intermediary between governments and exporters

An export credit agency or investment insurance agency is a private or quasi-governmental institution that acts as an intermediary between national governments and exporters to issue export insurance solutions and guarantees for financing. The financing can take the form of credits or credit insurance and guarantees or both, depending on the mandate the ECA has been given by its government. ECAs can also offer credit or cover on their own account. This does not differ from normal banking activities. Some agencies are government-sponsored, others private, and others a combination of the two.

Japan emerged as one of the largest foreign aid donors in the world during the 1980s.

Nepal relies heavily on foreign aid, and donors coordinate development aid policy through the Nepal Development Forum, whose members include donor countries, international financial institutions, and inter-governmental organizations. Japan is Nepal's largest bilateral aid donor, and the World Bank and Asian Development Bank are the largest multilateral donors. Donors have been reported as losing confidence in Nepal as a result of political interference and corruption in poverty relief efforts as well as the country's apparently poor capacity to utilize aid. According to World Bank figures, official development assistance increased from US$8.2 million in 1960 to US$369 million in 2003 and then fell to US$177 million in 2004. According to Nepal's Ministry of Finance, total foreign aid committed in fiscal year (FY) 2003 was US$555 million, with 63.3 percent in grants and 36.7 percent in loans. In FY2004, total foreign aid committed was US$320 million, of which 37.7 percent was grants and 62.3 percent, loans. In June 2004, active World Bank credits totaled US$302 million, with the greatest portions allocated to the financial sector and to energy and mining. By the end of 2012, the outstanding World Bank IDA loan totaled $ 1.48 billion.

<span class="mw-page-title-main">Directorate-General for International Partnerships</span> European Commission department

The Directorate-General for International Partnerships is the European Commission department responsible for international development policy. It operates under the authority of the European Commissioner for International Partnerships, Jutta Urpilainen.

<span class="mw-page-title-main">Development Assistance Committee</span> OECD committee

The Organisation for Economic Co-operation and Development's (OECD) Development Assistance Committee (DAC) is a forum to discuss issues surrounding aid, development and poverty reduction in developing countries. It describes itself as being the "venue and voice" of the world's major donor countries.

<span class="mw-page-title-main">Korea International Cooperation Agency</span> Governmental organization

The Korea International Cooperation Agency was established in 1991 by the Ministry of Foreign Affairs of South Korea as a governmental organization for Official Development Assistance (ODA). KOICA's goal is to enhance the effectiveness of South Korea's grant aid programs for developing countries by implementing the government's grant aid and technical cooperation programs. KOICA is led by three-year-term president of the board who is appointed by the President upon the recommendation of Foreign Minister.

<span class="mw-page-title-main">Jorge Moreira da Silva</span> Portuguese politician

Jorge Manuel Lopes Moreira da SilvaGOIH is a Portuguese engineer and politician of the Social Democratic Party serving as the Executive Director of the United Nations Office for Project Services, UNOPS, since 2023.

The Portuguese Institute for Development Support is a development aid agency under the Portuguese Ministry for Foreign Affairs. Since January 2003, the institute is responsible for the coordination, supervision and direction of the Portuguese official development assistance to developing countries.

The East Asia Climate Partnership (EACP) is Korea's international initiative for global cooperative development. Led by the Korea International Cooperation Agency (KOICA), a Korean government agency responsible for providing overseas grant aid, the EACP helps tackle climate change in developing countries and promotes green growth in Asia.

<span class="mw-page-title-main">Policy Coherence for Development</span>

Policy coherence for development (PCD) is an approach and policy tool for integrating the economic, social, environmental and governance dimensions of sustainable development at all stages of domestic and international policy making. It is the aim of Policy Coherence for Development to make foreign relations to be as ecologically, economically and socially coherent as possible and thereby to make international co-operation for international development more effective.

<span class="mw-page-title-main">Irish Aid</span>

Irish Aid is the Government of Ireland's official international development aid programme. Irish Aid is managed by the Development Co-Operation and Africa Division (DCAD) of the Department of Foreign Affairs (DFA). According to the OECD, Ireland’s total ODA increased in 2022, mostly due to higher in-donor refugee costs and higher contributions to international organisations. ODA represented 0.64% of gross national income (GNI). The Irish Aid programme is an integral part of Ireland's foreign policy.

Four high level forums on aid effectiveness were held between 2003 and 2011 as part of a "continuous effort towards modernising, deepening and broadening development co-operation and the delivery of aid" coordinated through the OECD. They took place at Rome (2003), Paris (2005), Accra (2008) and Busan (2011).

<span class="mw-page-title-main">Sustainable Development Goal 17</span> 17th of 999Sustainable Development Goals to achieve a partnerships for the SDGs

Sustainable Development Goal 17 is about "partnerships for the goals." One of the 17 Sustainable Development Goals established by the United Nations in 2015, the official wording is: "Strengthen the means of implementation and revitalize the global partnership for sustainable development". SDG 17 refers to the need for the nonhegemonic and fair cross sector and cross country collaborations in pursuit of all the goals by the year 2030. It is a call for countries to align policies.

<span class="mw-page-title-main">Aid for Trade</span>

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References

  1. ↑ Who is NZAID?, New Zealand Agency for International Development website
  2. ↑ "OECD Development Co-operation Profiles" . Retrieved 4 October 2023.
  3. ↑ Ministerial Review of Progress in Implementing 2001 Cabinet Recommendations Establishing NZAID
  4. ↑ "New Zealand's International Development Principles" (PDF).
  5. ↑ "Policy Statement: New Zealand's International Cooperation for Effective Sustainable Development (ICESD)" (PDF).
  6. ↑ "Case Study: The Pacific Reset - A Year On". New Zealand Ministry of Foreign Affairs and Trade (in French). Retrieved 20 October 2021.
  7. ↑ "Inquiry into New Zealand's Aid to the Pacific — Reports - New Zealand Parliament". www.parliament.nz. Retrieved 20 October 2021.
  8. ↑ e.g. Audrey Young (18 February 2008). "NZAid 'too weak' to cope with more money, say MPs". The New Zealand Herald.
  9. ↑ "New Zealand Agency for International Development: Management of overseas aid programmes". Office of the Auditor-General New Zealand. Retrieved 14 March 2011.
  10. ↑ NZAID | Who is NZAID? | Our organisation
  11. ↑ "NZAID's effectiveness needs to be recognised". Archived from the original on 24 July 2011. Retrieved 15 March 2008.
  12. ↑ "Campaigns". Archived from the original on 24 July 2011. Retrieved 15 March 2008.
  13. ↑ "Foreign Affairs, Defence and Trade Discussion Paper" (PDF). Archived from the original (PDF) on 27 February 2013. Retrieved 15 March 2008.
  14. ↑ "The New Zeal Blog has moved..."
  15. ↑ "Redefining NGOs: The Emerging Debate". www.aph.gov.au. Archived from the original on 24 December 2003.
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