Reacting to Budget 2023

Reacting to Budget 2023, Jim Clarken, Oxfam Ireland CEO, said:

“We welcome the increase of €177 million for Overseas Development Assistance (ODA) announced today. In delivering a cost-of-living budget and responding to challenges at a national level, it is vital we do not forget those who will be hit hardest by this global crisis and we are pleased to see such commitment in Budget 2023, as well as increased humanitarian aid for the Horn of Africa.

“While we welcome the increase, we are also acutely aware of the urgent need to reach our long-standing commitment to spend 0.7% of Gross National Income on ODA by 2030, as well as to provide our fair share of climate finance. A deadly combination of climate, conflict and Covid-19, compounded by a global food crisis fuelled by the war in Ukraine, means the world’s poorest and most vulnerable can’t wait almost a decade for us to deliver on our obligations.

“Our research estimates that one person is dying of hunger every 48 seconds in drought-ravaged East Africa. And across 10 climate-hotspot countries, collectively responsible for 0.13 percent of global emissions, 48 million people are suffering acute hunger with 18 million of those on the brink of starvation.

“Against this backdrop, we cannot have a budget that isn’t strong enough on our commitments on climate finance, which must be scaled up and met outside of our existing obligations on ODA.

“A transformed tax system could provide vital budget contributions in Ireland, helping to address the cost-of-living crisis nationally as well as meeting life-saving commitments globally.

“We welcome the Government’s statement that it’s not fair for companies to earn excess profits from a volatile market. We also welcome their aim to be part of the EU-wide response to capture the windfall gains of energy companies.

“However, we believe this response should extend to all industries, not just the energy sector. The pandemic was a billionaire’s bonanza across big business – in the food industry alone, the last two years saw 62 new billionaires. Meanwhile decades of progress on ending extreme poverty were reversed and millions of people now face hunger and destitution, with women and girls impacted most negatively.

“The Government has missed an opportunity to bring a new complexion to our tax system through progressive wealth and broad windfall taxes, that would combat inequality and help fund the rapid sustainable transformation of our economy to help avert climate catastrophe.

“We proposed a transformative vision for Budget 2023 in which Ireland would take the lead on the international stage by advocating for foreign debt cancellation and reallocating its IMF allocation of €4.69 billion – known as ‘Special Drawing Rights’- to those countries in Africa and Asia facing hunger and climate breakdown. While neither were mentioned in today’s budget, Ireland will still have the opportunity to show leadership on these issues when the IMF and World Bank meet in Washington next month.”

To read Oxfam Ireland’s pre- budget submission see here.

ENDS

CONTACT: Alice Dawson Lyons | alice.dawsonlyons@oxfam.org | +353 (0) 83 198 1869