How is Australian ODA changing over time?

Australian ODA fluctuated between 2020-2024, peaking at US$3.6 billion in 2021 before declining to US$3.1 billion in 2022. ODA volumes recovered to US$3.3 billion in 2023 and reached US$3.4 billion in 2024. As a share of GNI, Australia's ODA reached 0.22% in 2021, then declined to 0.19% in 2022 and remained at that level through 2024. The drop in 2022 represented both a reduction in absolute volumes and a decrease in ODA as a proportion of national income, indicating reduced prioritization of development spending during this period.

The Australian Labor government budgeted AUD5.1 billion (US$3.4 billion) in ODA for 2025-2026, before implementing a policy of 2.5% annual increases in AUD volumes starting in FY2026/27. With inflation potentially exceeding 2.5% per year, the annual increases represent a real-terms reduction in ODA year on year. Constrained by political resistance to tax rises, an aging population, and COVID-19-era debt, the Australian government is very unlikely to increase the overall inflation-adjusted volume of ODA through 2027.