Dáil Éireann Debate, Tuesday - 10 February 2026
169. Deputy Mairéad Farrell asked the Tánaiste and Minister for Finance the reason former Minister for Finance chose to pledge €141.1million to the World Bank in 2025, €10 million more than the World Bank requested, given that the Department’s business case stated that the lower amount of €131.4 million was ‘in keeping with Ireland’s International development policy’; and if he will make a statement on the matter. [10051/26]
Amharc ar fhreagraDeputy from the outset let me say that for transparency, and to guide donor countries, the International Development Association (IDA) provided an illustrative contribution key for each donor to help secure the aggregate collective goal. These potential contributions developed by IDA are indicative, non-binding and do not constitute a request, per se. It is open to donors to opt for any, or none, of these potential indicative contributions, depending on their strategic objectives and financial situation.
As the deputy is aware, International Development Association (IDA), one of five organisations in the World Bank Group, provides funding for the poorest people in the world’s poorest regions. It currently works with over seventy countries, thirty-nine of which are in Africa and is the single largest donor for basic infrastructure and social services in these countries.
Since we joined in 1961, Ireland has been a long-standing and strong supporter of IDA which remains one of the most effective ways to deliver on Ireland’s global development priorities, uphold our commitment to multilateralism, and ensure that Irish resources generate real impact in the areas of greatest need.
IDA is well aligned with Global Ireland 2025, the Government’s strategy for doubling the scope and impact of Ireland’s global footprint and influence by 2025, recognised that international development cooperation amplifies, and sustains, Ireland’s place in an increasingly inter-connected world.
IDA is also well aligned with A Better World, Ireland’s policy for international development which commits to contributing to the United Nations Sustainable Development Goals (SGG), and in particular on reaching those furthest behind first.
Ireland’s contributions to IDA contribute towards our Official Development Assistance (ODA) commitments and, assist Ireland to deliver on the United Nations target of allocating 0.7 per cent of Gross National Income (GNI) for ODA by 2030.
Amongst the projects which Ireland's contributions have contributed to are relief efforts after Cyclone Ditwah, in Sri Lanka, ongoing efforts by the Zambian Government's to address climate change and promote climate-resilient livelihoods and support green jobs in priority sectors, this funding is also vital to bringing clean and reliable electricity to nearly six million people in Ethiopia.
IDA is funded by member countries who are asked, usually on a three-year cycle, to make contributions to fully refresh its resources for the next three-year operating period. This is done under a negotiation process denoted as an IDA replenishment. Negotiations on the twenty-first IDA replenishment, IDA21, concluded in early-2025. This Replenishment covers a three-year period, from July 1, 2025 to June 30, 2028.
Based on likely support from donor countries, there was a consensus that an overall IDA21 package of $104.5 billion (c. €100 billion) was a realistically attainable collective goal. Donor country pledges of approximately $26.5 billion would be required to achieve this.
The Department of Finance prepared a detailed Business Case on a contribution to the IDA21 Replenishment, as required under the Department of Public Expenditure, Infrastructure, Public Service Reform & Digitalisation’s guidelines for public expenditure above €100 million. The Business Case concluded that a contribution of either €131.4 million or €141.4 million could be considered appropriate for Ireland, and in keeping with current budgetary policy, while meeting strategic objectives for Ireland’s international development policy.
While officials formally recommended that the Minister approve a contribution of €141.4 million, it was also noted that it was open to the Minister to consider a higher contribution of €150 million given the global uncertainty in relation to Official Development Assistance (ODA) funding and support for IDA as a result of positions taken by international partners during early-2025. The Minister disagreed with this suggestion, and he did not demur from the recommended €141.4 million contribution.
It is important to note that Ireland is not an outlier in the IDA21 replenishment.
Of all the twenty-three EU Member States that contributed to the IDA21 Replenishment, the average increase in contributions from them over IDA20 levels is 34% in Currency of Commitment (primarily EUR) or 24% in USD terms.
The figures for Ireland are 1 percentage point and 2 percentage points below the average respectively, at 33% and 22%.
