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within the legislative and executive competence of the federal Government. It would not be the business of the Board or of the Minister to intervene in native policy within the responsibility of the territorial Governments nor in any speare subjectofn87t came within the Page 40.1 of 587
ANNEX IV
(Para. 66 of Report)
ECONOMIC FUNCTIONS OF THE FEDERAL GOVERNMENT
1. The Conference's recommendations on economic affairs are divided into three parts: external economic affairs, inter-territorial and territorial economic affairs, and development.
EXTERNAL ECONOMIC AFEAIRS
2. In a federation external economic relations would naturally be the responsibility of the federal Government and Legislature. From the prac- tical point of view there would be great advantages in arranging for trade negotiations and discussions with other countries to be conducted by a single authority rather than three authorities. The following matters therefore should be a federal responsibility:—
Import and Exchange Control
3. At present the import and exchange control policies of all three terri- tories are directed to the same ends in accordance with the general economic policy of the Sterling Area. The Southern Rhodesia Government is repre- sented at Commonwealth conferences dealing with economic policy and acts in accordance with the decisions of such conferences. Similarly, general policy with regard to import and exchange control for Northern Rhodesia and Nyasaland is laid down by the Secretary of State for the Colonies in accordance with the decisions of Commonwealth conferences. The detailed arrangements for Northern Rhodesia and Nyasaland—including their dollar ceilings are determined by consultation between the Governments of these territories and the Colonial Office, which acts in close consultation with other interested Government departments in London. The Southern Rhodesia Government also acts in close consultation with the appropriate Government departments in London through the High Commissioner's Office, although such action is, of course, on a purely voluntary basis. Although the detailed arrangements made by the Southern Rhodesia Government and by the Northern Rhodesia and Nyasaland Governments at present may be some- what different, it is believed that the results are broadly the same. There should therefore be no difficulty in arranging for these matters to be handled for British Central Africa in the same way as they are at present handled for Southern Rhodesia.
Export Control
4. Export control is only exercised at present by the three Governments for a limited number of goods, which are not the same for the three terri- tories. No special difficulty should arise over export control.
Export Promotion
5. A small organisation has recently been set up in the appropriate Ministry in Southern Rhodesia to encourage the use in other countries of