How is Australian ODA changing over time?

Australian ODA fluctuated between 2020-2024, peaking in 2021 before declining in 2022. ODA volumes recovered in 2023 and increased again in 2024. As a share of GNI, Australia's ODA reached a peak in 2021, then declined in 2022 and remained at the 2022 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 the 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.