CONFIDENTIAL

M. Langheut.

Hong

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Keng Ochan Jeht. than in para 4C.

THE USE OF AID IN SUPPORT OF POLITICAL OBJECTIVES

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1. The basic aims of our foreign policy are to maintain

and improve our national security and prosperity; these

two are inter-locked and depend in turn upon the maintenance

of international stability. In the Third World we are

concerned both to protect our investments and trade, to

secure a reliable supply of strategic materials, and

soften the antagonisms which might arise from the widening

economic gap between the rich and poor nations, which would

provide an opportunity for communist penetration. We, of

course, also have a special continuing responsibility for

the administration of our dependent territories. These

aims can be served by an aid programme, based on enlightened

self-interest, and commensurate in size and quality with

Britain's place in the world. Such a programme can support

our overall relationships with individual countries, both

developing and developed, and enable our representatives to

speak with authority in international fora. This latter

point will be of particular importance after our entry into

the European Communities.

2. If "political objectives" are defined in the general

terms used in the preceding paragraph there is clearly no

/significant

CONFIDENTIAL

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