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In Bertie Ahern's cabinet reshuffle of 2004, he was appointed as Minister of State at the Department of Foreign Affairs with special responsibility for Overseas Development and Human Rights.
Lenihan restructured Ireland's international aid programme, creating Irish Aid, the Irish Government's programme of assistance to developing countries.
Through Irish Aid, Lenihan administered a budget of almost a billion euros which is used to help developing nations thus continuing Ireland's tradition of reaching out to other post-colonial nations.

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