asked the Minister for Agriculture if he will make a statement on the operation of the International Fund for Agricultural Development indicating the areas of operation of this fund and the manner of its operation.
21.
Ceisteanna — Questions. Oral Answers. - International Fund for Agricultural Development.
12.
asked the Minister for Agriculture if he will give details of the level of participation by Ireland in contracts offered by the International Fund for Agricultural Development, indicating an estimate of Ireland's percentage participation in the total number of external contracts offered by this organisation since its inception.
I propose to take Questions Nos. 12 and 21 together.
The International Fund for Agricultural Development, IFAD are a specialised development agency of the United Nations, based in Rome, whose establishment was agreed by the UN on 13 June 1976 and which came into operation on 30 November 1977 when the agreed level of one billion dollars in initial pledges had been obtained. Initial funding eventually totalled $1,034 million and further contributions of $1,000 million and $460 million were pledged in 1982 and earlier this year.
The primary goal of IFAD is to help end the chronic hunger and malnutrition suffered by at least 20 per cent of the people of Africa, Asia and Latin America. They seek to achieve this goal by mobilising funding to help developing countries — and especially low-income, food-deficit countries — to improve their food production and nutrition. Their main targets are the very poorest sections of the rural populations of developing countries, both small farmers and the homeless, rural poor. The fund is concerned not only with promoting food production but also with improving development, nutrition and income which are major elements in the problem of hunger.
In pursuance of these objectives the range of projects financed by IFAD includes irrigation and water control, integrated rural development, agricultural settlement and development, agricultural credit to small farmers, livestock development and fertiliser supply. The Government's assessment of IFAD's record in achieving their objectives — a view which is shared by other donors — is that they are one of the most efficient UN agencies, channelling assistance to where it is most needed and where it will be most effectively used.
The fund's main areas of operation are Sub-Saharan Africa, which accounted for 39.3 per cent of loans in 1985 and for which a separate special programme has been established this year; the poorer Asian countries, which received 30.7 per cent of loans in 1985; the near East and North Africa which together received 23.8 per cent of the loans in 1985; and Latin America, which in 1985 received 6.2 per cent of the funds available.
The manner of the fund's operation is through the provision of loans for suitable projects on highly concessional or low interest terms and the provision of grants for technical assistance. The majority of IFAD sponsored projects are co-financed with other financial and development institutions such as the World Bank, the International Development Agency and the various regional development banks. Beneficiary Governments are required to contribute to all projects in their countries.
As regards the award of contracts, it should be stressed that the fund confine themselves almost exclusively to the provision of funding. In these circumstances, procurement formed only a very small element of their expenditure, amounting to a total of a mere $219.2 million since their inception, or less than 10 per cent of total funding. In addition, since the fund do not involve themselves in project implementation, the small level of procurement which is funded is organised almost entirely by the recipient countries — the only exception being some consultancy work commissioned directly by the fund. Given this practice, precise details of the total number of contracts awarded in connection with IFAD funded projects are not available. However, of the expenditure recorded for procurement, Ireland obtained $112,000 or 0.08 per cent of total expenditure, all of it being for supply of goods. It is possible, however, that additional IFAD funded contracts could have been awarded to Irish firms directly by beneficiary Governments or partner agencies but no further information is available on this.
Could the Minister indicate to the House the number of Irish people who have obtained jobs in foreign countries as a results of involvement by this country in the International Fund for Agricultural Development?
As I stated in my reply, I have not the exact numbers, but they are comparatively small.
Could the Minister give us any indication whatever?
None whatever.
Can he get us the information?
I can get the information from the Department.
Will the Minister pass that on to us?
I shall, of course.