>## Key Findings from Lowy Institute Pacific Aid Map > Australia now tops the list as the largest donor to foreign aid across the Pacific, with a funding share of around 37%. China ranks fifth with a funding share of just six percent. While Australia has edged out china in aid spending, Beijing still plays a big role in the region. >## Australian Government Commitment > A major proportion of the money donated is directed towards infrastructure spending through the Australian Infrastructure Financing Facility for the Pacific (AiFFP). The AIFFP has already given more than $850 million to Pacific states. >## What Does This Mean? > The map’s lead author, Riley Duke of the Lowy Institute says the latest data presents a 'striking' shift. While historically China was in the leading position for foreign aid spending, Australia now finds and funds infrastructure projects worth billions of dollars across much of the Pacific. > For many small Pacific island states, Chinese loans have caused significant issues - it is unclear if this will happen to Australian loans to smaller Island nations however. This marks a new era of infrastructure finance that puts pressure on Australia to prove themselves in these projects. >## China’s Influence Still Present > Although Australia has moved up the rankings in terms of foreign aid spending, China continues to exert significant influence over much of Pacific states via Chinese-built Projects and Grants - many grants provided by China are being handed out at a much higher rate. >## Success in Infrastructure Spending > The Lowy Institute estimates that from 2019-2021 the AiFFP gave $2.3 billion towards infrastructure projects alongwith around 900 million more dollars in grant money.
National Team
Australia supplants China as Pacific's biggest lender
The United States is no longer the top destination for foreign aid under the Biden administration, however a new data dump published by the US Agency International Development. The Australian government has committed nearly 37% of total development spending to 20 countries across the region.
