Introduction In today’s society, International Relations is prime to the economic, social and political development and stability of nations - especially relations with political neighbours. Australia and Indonesia are two such countries - two major political powers in the Asia-Pacific region. One of the key areas of interest in international relations is the imperative issue of foreign aid - important to both Australia and Indonesia to maintain such a large country both in terms of size and population. However, recent diplomatic conflicts have tested relations between the two countries and have created a range of problems, particularly in the area of transfer of foreign aid. On this episode of Investigation Pacific, we will discuss …show more content…
Through this international exchange of aid, both countries can benefit greatly in terms of sustaining its economy and delivering to its peoples interests. Assistance to Indonesia So what actually makes up the foreign aid that is transferred to Indonesia? Australian aid to Indonesia is predominantly based on its economic and political interests – rather than the interests of the Indonesian public. This choropleth map shows the geographical allocation of Australian foreign aid in the year of 2012. As you can see, Indonesia marked in red is the largest recipient of Australia’s foreign aid program, receiving an estimated 137 million US Dollars of Official Developmental Assistance annually. The primary reason for this is the fact that Indonesia, while being one of Australia’s closest political neighbours, is also one the most populated countries in the developing world. Figure 1.1 – Percentage of Australian Foreign Aid given by Region to Indonesia Province/Region Approximate Percentage of Aid Jakarta 7.8 East Java 24.7 Yogyakarta 2.2 West Java 18.3 Bali 12.5 Sumatra 4.8 Other 30.7 As you can see in this set of data, a substantial portion of the aid given is linked to Australia’s economic interests in Indonesia – mainly in the provinces of Java and …show more content…
The issue of drug smuggling is a major cause of the conflict in international relations between the two countries. After nearly a decade of indecision over the fates of convicted heroin traffickers; Myuran Sukumaran and Andrew Chan, in February 2015, incumbent president Joko Widodo made the decision to refuse clemency of the two prisoners to create a ‘case’ for his ‘hard-line’ policies. As a consequence of the resulting executions of the prisoners, the Australian government has taken steps to breaking its international relations with Indonesia – largely as an emotional rather than political response. Secondly, people smuggling and refugees is a primary determiner of the conflict between Australia and Indonesia. From 2001 onwards, this has become a big issue in both countries, with the increased flow of migrants by boat trying to seek asylum in countries either for a better life or to avoid persecution in their countries of origin. In Australia, the problem has been that of determining between the statuses of the two types of asylum seekers. Since Tony Abbott came into power with his ‘stop the boats’ policy, he has mandated the strict enforcement of the detention of asylum
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Indonesia is the largest country in South East Asia and the third most populous in the world. Indonesia’s geographic proximity to Australia makes its bilateral relationship with Australia an important one for both
For example, with consideration to Australia’s bi-lateral relationship with Indonesia, scholars argue the relationship experiences destabilisation due to the two countries not ‘knowing’ each other. Research has also identified a number of people from Asian countries have little knowledge of Australia, except through the focus of koalas and kangaroos., while some Asian minorities consider Australia as white and racist. If Australia wants to maintain strong relations and prosperity in the Asian century, Australia should be prepared to use soft power tools particularly through the arts and Department of Foreign Affairs and Trade to promote Australia and create an image of what Australia
Helping Vietnam overcome poverty and gain sustainable development is in Australia’s national interest and important for regional prosperity and security. ”
And while the last budget under the Labour government did include a small rise in aid spending, it also diverted hundreds of millions of dollars to pay for asylum seeker processing under the banner of “Foreign Aid”. This therefore made Australia the third biggest recipient of it’s own foreign aid. This is quite easy for the Australian government to do as the people that it directly effects don’t have much of a say in the matter. Australian’s themselves are kept in the dark as to how much of our gross national income is spent on foreign aid. The average answer is 16% of the federal budget and this amount has 79% of Australian’s rallying to cut it down - to %12. In actual fact the amount we give to other countries in either bilateral or multilateral aid is only 0.22% of the gross national income as apposed to the original 0.32%. With this amount continuing to drop, is it far of a stretch to think that the Indonesian community might not want to be bilateral aid partners in aid anymore? How would this effect us? And is there a possibility that our stupid actions may result in attacks on the country itself from those citizens who
The arguments on aid have been seen largely from two perspectives: idealistic and realistic points of view. The idealist arguments are normative, with no real possibilities of assessing their validity. In contrast, evidence can be gathered to test the economic consequences of aid although different interpretations of the evidence are always possible and disagreements over the conclusiveness of the test are
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Australia should not reduce its foreign aid commitments. Foreign aid in Australia is a source of funds and support that helps achieve the actions that can be taken to address the problem of poverty in developing countries and regions. Foreign aid can be in forms such as loans or grants and can be provided either directly from one country’s government to another (bilateral aid) or via large international coordinating agencies like the World Bank. In particular, Australia focuses its aid work in the Asia Pacific region as it is one of the poorest regions of the world. By providing Foreign aid to developing countries, such as Indonesia, Papua New Guinea, Pakistan and many others, Australia builds stronger communities and more stable governments.
Aid has never been an altruistic process; countries have always given aid to areas that best further their own national interests. Countries give aid for a number of reasons; they range from securing political connections to creating more favourable trade routes. Pure altruism is not the number one reason any country gives aid, and Australia is no exception. National interest lies at the core of all of her foreign aid policies, (DFAT 2015). As such Australia would most benefit as a nation from concentrating her aid on the Indo-Pacific region. Providing nations within our regional neighbourhood with aid results in economic growth for both Australia and her aid recipients. It also stabilises trade and security within the region, thus providing
There so much said and written about foreign aid that it has become difficult to justify its effectiveness. But if we look at the overall picture in the eye of citizens of a developing country, an honest assessment might conclude that progress has been made. Though, profound social disparities and extreme poverty are still lurking in some parts of this fragile planet.
The giving of aid do can also benefits the health and welfare of Australian citizens and citizens in neibouring counties such as Indonesia or Papa New Guinea. Australia gives over $100 million dollars of aid to Indonesia and Papa New Guinea, as this region has seen vast economic and population growth. But with this growth have come challenges such as the increasing of infectious diseases like HIV and AIDs. Giving aid to these counties helps treat and prevent the diseases there, but also protect Australia but stooping these possible infectious deices spreading rapidly to Australia. A primary example where an aid has helped stop a disease was the USA aid that helped stop and eradicate
Foreign aid plays an important role in the developing countries. War has caused famine, malnutrition, and high rate of mortality in the DRC. There is aid from donors in many countries around the globe. Africa,
“Benefits of foreign aid have recently been under severe scrutiny. Several observers argue that a large portion of foreign aid flow from developed to developing countries is wasted and increases unproductive public consumption. Poor institutional development, corruption,
National development and foreign aid are the two word combinations have been competing on which has been uttered more frequently in the Presidential Palace. Presidents, advisors and even cleaning staff comes and goes but the eternal question remains – to collect or not to collect the international aid to facilitate national development. The ideas range on the spectrum from claims that foreign aid rarely translates into development or that such policies discourage government accountability
There are millions of people suffering in the world, just under 1 billion people live on less than 2 Australian dollars a day, over 2 billion do not have access to clean drinking water and roughly 150 million child are unable to attend school. The Australian government spent over $5.4 billion on foreign aid links in 2012. Aid is the transfer of necessities to assist others on a local, national or international scale. International aid, which this report focuses on, is the assistance given to a developing country by a developed country, which boosts economic growth and living standards. There are three types of aid; bilateral aid, multilateral aid and non-government aid. Bilateral aid is aid provided by one government to another. AusAID is