Canada ranked 7th in foreign aid spending among richest nations

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Canada ranks among the leading providers of foreign aid among affluent nations, yet around 19 percent of its aid, as reported to the Organization for Economic Co-operation and Development, is allocated to refugees and Ukrainians within Canada, never leaving the country’s borders.

Most Canadians would not think that counts, because when we think of foreign aid we think of something happening in other countries, not costs that we have here,” said Elise Legault, who is the Canada director with the One Campaign, an anti-poverty advocacy group.

According to the OECD, Canada holds the seventh position in terms of the amount of money allocated for foreign aid among its predominantly wealthy member countries. The organisation recently published its assessment of aid expenditure for the year 2023. The report reveals that Canada disbursed slightly over US$8 billion in aid last year, with $1.5 billion directed towards supporting refugees, asylum seekers, and Ukrainian migrants who sought refuge in Canada following the Russian invasion, during their initial year in the country.

The data presented includes a comprehensive analysis of both provincial and federal expenditures in this particular area, which encompasses not only direct refugee support but also aid for Ukrainians who arrived in Canada on emergency visas to escape the conflict, albeit without the formal refugee status. This substantial expenditure constitutes a notable portion, accounting for 19 percent of Canada’s overall foreign aid budget, a figure that notably exceeds the OECD average of 13.8 percent. 

Comparatively, the United States allocates a smaller fraction, with only 9.7 percent of its aid budget directed towards domestic initiatives, while the United Kingdom allocates a significant 28 percent to domestic endeavours. What sets Canada apart, according to Legault, is the assurance that this refugee spending does not impinge upon or erode the baseline foreign aid budget, thus reflecting a distinctive approach to humanitarian assistance within its national framework.