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If

3.

To make progress on the first of these points, we first need a response from Vietnam to our Ambassador's recent approach. the Vietnamese are prepared to see British voluntary agencies develop such projects, the next stage would be for ODA to call in senior staff of the main agencies likely to be interested (eg SCF, World Vision, Christian Aid) and invite them to put forward

proposals. A meeting has already been arranged for 5 January to debrief on the recent ODA/FCO visit to Cambodia, and this would

provide a potential opportunity to explore the subject of

Vietnam. ODA's contribution to this element would be found from

the £5 million of additional funds recently agreed by the

Treasury. Funds would be disbursed through methods analogous to

the Joint Funding Scheme, and would not involve any government to government agreements, though the Vietnamese Government would no doubt wish to sanction whatever schemes the voluntary agencies

propose.

4.

Extension of the Joint Funding Scheme itself to Vietnam

could be done by simple administrative action. It would then be

for voluntary agencies to put forward projects to ODA in the normal way within the existing allocation for the Joint Funding

Scheme. Again, there would be no need for formal

inter-governmental agreements.

Technical Assistance

Funds have been earmarked in the Unallocated Reserve

exercise for an initial £100,000 for technical assistance to

Vietnam in 1990191. The level of future funding would be settled

in the next Aid Framework exercise starting in April.

5.

6.

In the first year at least these funds would be used essentially for two purposes: training of Vietnamese in the UK (or possibly in third countries) and a normal Heads of Mission

Gift Scheme allocation, which on present rules could be up to

£20,000 of the total.

CONFIDENTIAL

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