March 10, 2023
The Republic of China (Taiwan) provides foreign assistance in line with the principles of steadfast diplomacy, reciprocity, and mutual support and in the spirit that Taiwan can help. It works with partners based on mutual respect and is mindful of their needs when promoting projects that benefit their countries and peoples.
Taiwan assists diplomatic allies and friendly nations in the Pacific mainly in the domains of public health and medicine; agriculture, fishery, and animal husbandry; education; vocational training; and clean energy. In addition, owing to the global pandemic and other developments in recent years, Taiwan has proactively engaged in international cooperation in fighting disease, addressing climate change, building civilian infrastructure, and other initiatives. The excellent outcomes of related projects have been recognized by people in diplomatic allies. Taiwan’s approach is completely different from that taken by China, which shows no respect for recipient countries; employs bribery, coercion, and other illegal tactics; and proposes ostentatious projects that do not meet local needs and eventually leave countries mired in debt.
Major countries around the world have foreign aid projects in the Pacific region. According to the latest Pacific Aid Map prepared by the Lowy Institute, an Australian think tank, foreign assistance to Pacific countries from major grantors in the 13 years from 2008 to 2020 is as follows:
Australia provided 42 percent of total aid to the region (US$15.17 billion); New Zealand, 7 percent (US$2.53 billion); the United States, 6 percent (US$2.3 billion); Japan, 7 percent (US$2.5 billion); and China, 9 percent (US$3.37 billion). Taiwan accounted for only 1 percent (US$497 million).
Taiwan’s official development assistance budget allocated for international cooperation and development totaled about US$309 million in the past year. The figure accounted for 0.04 percent of Taiwan’s gross national income, below the 0.7 percent target recommended by the United Nations for developed countries. This puts paid to the notion of “dollar diplomacy” that certain individuals claim Taiwan is engaged in. To describe the long-term foreign aid policy of the R.O.C. (Taiwan) as “dollar diplomacy” is unfair and disregards many years of efforts and achievements in supporting diplomatic allies’ development.
Providing foreign assistance is certainly not “checkbook diplomacy” or “dollar diplomacy.” Taiwan will not engage in financial aid competition with China. It will continue to uphold the aforementioned foreign aid principles to fulfill its international obligations, give back to the global community, and support allies’ efforts to promote cooperation projects that benefit people’s livelihoods.