MICHEÁL MARTIN INTERVIEW: In the aftermath of last October's budget the Department of Foreign Affairs was considered to have escaped relatively lightly compared with the deep cuts endured by other Government departments.
When it came to annual funding for Irish Aid, the Government's overseas development division, many in the development sector privately admitted the damage - a cut of some €15 million - could have been much worse given the circumstances.
According to the October budget, the overall spend on aid for 2009 will be €891 million, or 0.56 per cent of projected gross national product (GNP), keeping Ireland on course to meet the UN target of allocating 0.7 per cent of GNP to overseas development by 2012.
The Government has repeatedly stressed its commitment to that UN goal, the most recent example being Taoiseach Brian Cowen's declaration over the New Year holiday that, despite serious economic difficulties, Ireland remained on course to meet the 2012 target.
Minister for Foreign Affairs Micheál Martin says he was encouraged by Mr Cowen's statement but admits there are challenging times ahead.
"We are in a very difficult economic climate . . . If there is negative growth next year of 3 or 4 per cent, how does that affect our commitment to 0.7 per cent of GNP? Because of course all along we've had the experience of economic growth of 4, 5 or 6 per cent," he says.
Ireland's current contribution to overseas development is such that the State is ranked among the top six donors in the world on a per capita basis.
"The growth in our contribution has been enormous and very rapid in a short space of time, so much so that it has raised capacity issues in terms of the administration and management of it," says Mr Martin, who quickly adds that "some work has been done" to address this.
"There is now going to be a tapering, by the fact the economy is not growing. We have to do some assessment of that - is there a natural fall-off that will happen anyway? Will more pressure come on us? It's going to be difficult but we remain committed to [the UN target]. There has been no change on that and that is the position as of now."
The Minister acknowledges, however, that Ireland's generous overseas aid budget may come under greater public scrutiny as economic conditions at home worsen.
"That's an inevitable consequence of the downturn that we are in . . . that kind of pressure will build up," he says. "We would argue that the kind of situations that we are supporting, particularly in Africa, relate to looking after the poorest of the poor. We are basically putting food into the mouths of people but also endeavouring to enable people help themselves in terms of agriculture and so forth."
Mr Martin notes that, for now, the effects of straitened economic circumstances have been more keenly felt within the department itself. "So far the brunt of our cuts has been in the department proper, in terms of payroll costs and new positions not being filled, and that's going to bite this year," he says.
Since taking up the foreign affairs brief last May, Mr Martin has undertaken a review of Ireland's diplomatic missions abroad to see where personnel and resources could be better deployed, particularly in relation to emerging markets in regions such as Asia and the Middle East.
The department is seeking to open an embassy in Abu Dhabi, for example, and the Minister hopes that will be approved.
The overhaul could result in the shutting down of some missions. "We will certainly see a downsizing in certain areas," Mr Martin says. "The closure of some embassies has not been decided yet but it is a possibility."