and the Sir Y K Pao Foundation will pay £1.4m per year, and Britain
(ODA) will pay £700,000. There will be a shortfall in the first
year because the Chinese have not managed to put forward enough
candidates for 420 awards. Sir Y K Pao will chair the second
meeting of Supervising Commission in Hong Kong on 2 June. Britain
will have ODA's Chief Education Adviser, Doctor Iredale.
G. NINGBO STEELWORKS
Sir Y K Pao, who comes from Ningbo, is pushing this project
(estimated costs £l billion). He was told in 1986 by the Prime
Minister and other Ministers that we can provide ATP. Minimum grant
allowed under OECD consensus rules would be about £250 million.
Embassy told the Chinese this in June, but said that we might
consider funding a small separate project in the region if it could
be done without breaching international obligations. There has been
no response.