Development Aid, Administration, Internships: How the Foreign Ministry Saves

The Foreign Ministry is applying budget cuts to development cooperation and administration. The funds for the Foreign Disaster Fund (AKF) and the Austrian Development Agency (ADA) will be reduced from 219.1 million euros last year to 183.6 million (2025) and 148.9 million (2026). In the federal government's double budget for the years 2025 and 2026, the Foreign Ministry will also "make a contribution to overall state consolidation," according to a statement.

Budget of the Foreign Ministry

In numbers, the double budget means 655.7 million euros for the year 2025, which is 21.5 million less compared to 2024, and 619.7 million euros for 2026, which corresponds to a decrease of 57.5 million compared to 2024. The Federal Ministry for European and International Affairs (BMEIA) will "simultaneously strengthen its role as the first point of contact for Austrians abroad as well as a reliable partner on the European and international level."

Savings will also occur in administration and transfer payments. Furthermore, every financial position has been scrutinized in the sense of "saving within the system." Cost reductions are achieved, among other things, through cuts in advertisements, foreign internships, or service vehicles.

UN and Ukraine

In contrast, Austria's engagement in international organizations will be intensified by the candidacy for a non-permanent seat on the UN Security Council and financially supported with ten million euros per year. Additionally, the federal government will continue the support for Ukraine that has been ongoing since 2022. Besides focusing on reconstruction efforts, in which the domestic economy will also actively participate, it will also continue humanitarian aid. Austria will support the Ukraine Humanitarian Coalition in 2025 and 2026 with ten million euros each year.

"In the budget negotiations, we have clearly communicated that the BMEIA, along with its worldwide network of representations, is the central representative of the interests of Austrians and domestic companies abroad," stated Foreign Minister Beate Meinl-Reisinger (NEOS). This involves consular protection of citizens, Austria's "anchoring as a reliable partner in the world," and the support of export-oriented companies. "With this double budget, we ensure that the BMEIA will continue to perform all these tasks reliably and consistently, even in particularly challenging times."

No Embassy Closures

Additional costs are also incurred by the new State Secretariat for Deregulation and Government Coordination, located in the Foreign Ministry, under State Secretary Sepp Schellhorn (NEOS), writes "Presse" foreign policy chief Christian Ultsch on Tuesday in his newsletter: 1.6 million euros this year and 1.7 million euros next year. No embassies will be closed.

Regarding savings in the area of development cooperation, the Foreign Ministry points out that funds have recently been massively increased. Despite the reduction, they are still significantly above the level of 2019 (117.5 million euros) before the coronavirus crisis. In 2024, Austrian public development aid, according to the Organization for Economic Cooperation and Development (OECD), was at a level of 0.34 percent of the gross national product (GNP). The internationally agreed target for development aid is 0.7 percent of GNP.

(APA/Red)

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