Foreign aid slashed in Federal Budget 2015

SHE was the supportive minister in the background as Treasurer Joe Hockey made his Budget speech last night, but her face told a different story.

AS TREASURER Joe Hockey made a speech he hoped would save his career last night, there was one person sacrificed who you just know won’t be happy about it.

Foreign Minister Julie Bishop sat behind Mr Hockey while he delivered a Budget that would see the foreign aid budget cut by almost $1 billion next year.

The Indonesian aid budget has been cut by 40 per cent, while the total money going to Sub-Saharan Africa will drop by a staggering 70 per cent from $106 million to $31.8 million.

While Indonesia’s decision to execute the two Bali Nine ringleaders has made foreign aid a contentious issue, Ms Bishop has been a firm supporter of maintaining Australia’s overall aid contribution.

Earlier this year Ms Bishop was caught in a high-profile eye roll when possible foreign aid cuts were mentioned in parliament.

While she resisted a repeat performance on Budget night, judging from her expression you can’t help but think she’s not impressed.

A picture is worth a thousand words: Julie Bishop listening to Treasurer Joe Hockey during his Budget speech last night. Picture: Kym Smith

Australia wants to cut its aid budget to $4.1 billion next year, a reduction of $980 million.

Asian and African countries will bear the brunt of the cuts except for East Timor, Cambodia and Nepal.

Indonesia, the country that benefits from the largest share of Australian aid, will see its allocation plunge by $542.5 million to $323 million for 2015-16, although officials denied it was related to Jakarta’s execution of two Australians last month.

Treasurer Joe Hockey said no country was specifically targeted by the massive cuts, which were first flagged last year.

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“There wasn’t any specific targeting of any single country at all,” he said, adding that Ms Bishop had also taken into account recipients’ economic growth and where they were located.

“There has been a formula that has been applied by the minister.”

There were concerns ahead of the budget announcement that Indonesia might link aid cuts to its execution of two Australian drug smugglers, Andrew Chan and Myuran Sukumaran, in late April, which soured ties.

“Not at all,” Hockey said when asked if Indonesia had been singled out. He added that Bishop had also factored in the countries’ own aid donations.

“She considered whether those countries themselves were giving foreign aid. A number of countries that we were giving foreign aid to were actually going and giving foreign aid away themselves,” he said.

Many people seemed to support the aid cut to Indonesia on news.com.au’s Facebook page.

David Parker: “should have cut it completely .....charity begins at home”

Renee Walton: “Why are we still giving them aid. They don’t need it or want it. Cut them off.

Teresita Del Valle Rivas: “Australia need this money! !!what about our aborigines? ????”

Kylee Cole: “Can we give that 40% to Nepal, I think they need more!!!”

Kat Garcia Heneghan: “Innocent people doesn’t have to suffer over this heartless president’s barbaric decision. You are hating the whole country over one man? He killed and you all wanna condemn the whole country. The f**k is wrong with you all?!”

But aid agencies have said the move has shattered Australia’s international reputation and could have repercussions in the future.

“If this budget is a test of fairness, it totally fails the poorest in the world. It’s virtually destroyed the aid program in Africa,” World Vision chief Tim Costello said.

“Sixty per cent of the $1 billion savings come from the Asia Pacific. They have long memories. If Chinese companies are bidding against Australian companies for infrastructure contracts, they might win out because China is increasing aid.”

CARE Australia CEO Dr Julia Newton-Howes said the massive cuts to Australia’s aid program in recent years had already seen many lifesaving programs in Australia’s region discontinued or cut short, and Australia’s international standing severely crippled.

“Prior to this budget, Australia’s international aid program — once one of our country’s proudest international achievements — had effectively become the government’s ATM, the place to withdraw funding on a whim,” Dr Newton-Howes said.

“It will take many years for Australia’s aid program to recover from the damage that has been inflicted, and so we call on the Government to make good on its pre-election promise to, like many like-minded economies, bring international aid to 0.5 per cent of Gross National Income.”

Originally published as Foreign aid slashed in Federal Budget 2015