Alter

with

109

SUMMARY RECORD OF A MEETING WITH MR TESH IN MR SIMONS' ROOM

AT 11.30 ON 9 AUGUST

Present:

Mr D F Murray, AUSS

HE Mr R M Tesh, HM Ambassador, Hanoi

Mr A M Simons

Mr A K Goldsmith

Mr CTW Humfrey

Aid to Vietnam

SEAD

1. Mr Murray noted that FCO policy was to continue the existing programme of (English Language Teaching) technical assistance for Vietnam. As far as proposals for expanding aid or for making a large aid disbursal were concerned, it would be very difficult to do anything until the Secretary of State had pronounced on the human rights' question. Even then, if there was no progress on the case of Mr White this would inhibit all our considerations.

Mr Murray shared Mr Tesh's view that we should not contemplate giving capital aid. The reasons for this were firstly the human rights considerations; secondly the undesirability of giving capital aid to Communist countries (unless there were particular British commercial interests involved), and thirdly because the Vietnamese prized most what they paid for themselves and we could expect no significant political kudos to accrue from a capital aid programme.

2. Mr Murray said that the FCO supported the DOT's proposal for a contribution from the aid/contingency fund for Platt Saco Lowell's spinning plant project. This was subject only to clearing our lines with the US (as provided for in the 1976 Concordat with ODM on aid to Communist countries). If other projects cropped up where Mr Tesh believed that it would be right to provide Section II cover, he should make out a case

for this.

3. Mr Murray drew attention to three proposals for giving humanitarian aid to Vietnam. These were (i) £25,000 for the British hospital appeal, (ii) £500,000 for UNICEF, and (iii) 6,600 tons of food aid. The FCO would prefer that the Vietnamese did not know about these contributions until progress had been

made on Mr White.

CONFIDENTIAL

14.

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