One of Ireland's biggest charities, Goal, which has been rocked by an investigation into its spending of United States aid money in Syria, is to enter into merger negotiations with Oxfam Ireland.
The boards of the two organisations have approved the move to create a “global development agency headquartered and rooted in Ireland” that will yield “stronger results, save more lives” and help more people to escape poverty.
“Coming together will increase the scale and scope of the organisations’ humanitarian and development programmes around the world and strengthen their voice as advocates for the communities they support,” they declared.
Goal was thrown into crisis last year when it was drawn into an investigation by the US inspector general into alleged collusion and bid-rigging in southern Turkey, used by Goal and other agencies as a base for their Syria operations.
The crisis for the organisation deepened significantly after the Department of Foreign Affairs withheld €7 million worth of funding, although the majority of it has been released and the remainder is likely to be paid.
Meanwhile, Goal received a boost in December when USAID, the US government’s development arm which is Goal’s biggest donor, also released fresh funding for Goal programmes in three countries.
Warning
Last month, however, Goal’s auditors warned it could only survive with continued donor funding and collected debts. In January, the agency’s directors said they had a “reasonable expectation” that it would continue.
Both organisations will continue to operate independently, pending the outcome of talks: "A merger with Oxfam would create a strong organisation in Ireland with a true global reach," said Goal general manager Celine Fitzgerald.
Oxfam chief executive Jim Clarken said the prospective merger would increase the scale of both organisations, which he said "means we can deliver greater impact for people in poverty and in crisis".
Saying that “robust due diligence” will now begin, Mr Clarken said any “partnership with Goal will retain and respect both of our unique heritages to create a better organisation rooted in the Irish tradition of social justice”.
Goal has nearly 3,000 staff working across 17 countries. In 2015 its income exceeded €209 million, while spending came to €201 million. During its 30-year history, it has spent more than €1 billion on aid programmes in more than 50 countries.
Oxfam was founded in the UK in 1942 and now has nine affiliates globally. Present in Ireland since the 1950s, Oxfam Ireland has offices in Dublin and Belfast and shops across the island, supported by more than 2,000 volunteers and 136 staff.