The government will slash $300 million from Australia’s foreign aid budget, which is supposed to be used to support developing nations. Instead, it will reportedly use the funds to fight terrorism.
In the Budget handed down on Tuesday night, the government said it will spend $3.9 billion on foreign aid in 2017/18, and then $4 billion in 2018/19.
However, the aid budget will then be frozen at that amount for two years, a fall in real terms.
According to Budget papers, the Department of Foreign Affairs and Trade intends to save $303 million from freezing the funding and claims, “savings from this measure will be redirected by the Government to fund policy priorities”.
It’s unclear what the “policy priorities” are, but The Australian reported yesterday the government wanted to divert money from the foreign aid budget to fight terrorism.
Australia is the 13th largest foreign donor among developed nations and focuses its aid budget in the Asia-Pacific region.