TNAG-0128-FCO40-164-Development-aid-1969 — Page 31

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

IMMEDIATE

CONFIDENTIAL

Reference...

ез

RE ̃EIVED IN

Y No.51

12 AUG 1969

никою

Nu

immianus

Southern European Department South-West Pacific Department Far Eastern Department South-East Asian Department Caribbean Department American Department North African Department Arabian Department

Near Eastern Department

West African Department

East African Department

Central and Southern African Department Finance Department

South Asian Department

U.N. (E&S) Department

Gibraltar and South Atlantic Department

Hong Kong Department

Pacific and Indian Ocean Department

West Indian Department

Aid Programme - Contingency Reserve 1969/70

Mr. Loveridge's circular minute of 12 June asked Geographical Departments dealing with independent countries if they foresaw any claims on the remaining balance of £6.65 million in the contingency reserve of the 1969/70 aid programme.

In

on

2. The situation has now changed radically. addition to the unallocated part of the contingency reserve, the O.D.M. anticipate that there will be, present progress, an underspending of the £205 million aid-ceiling to the extent of some £8-£12 million. The reason for this is that the rate of disbursement has been particularly slow this year; several factors are blamed for this-e.g., civil disturbances, late submission of requests, poor procedures in recipient countries and delays in project implementation.

£1 million

B. In an attempt to bridge the disbursement gap the O.D.M. are proposing to expend the following amounts on new items in this financial year:

Commonwealth Development Corporation World Food Programme £0.65 million Ghana £1 million of programme aid Sierra Leone - £0.25 million

Miscellaneous Africa - minor amounts Indonesia £0.5 million of general purpose aid Pakistan - £0.5 million of general purpose aid Ceylon - £0.5 million of general purpose aid. The O.D.M. are, or will be, consulting relevant Departments in the F.C.O. about their proposals.

4. Even if all the above 0.D.M. proposals are implemented there is still scope for bids from the F.C.O. You will note that all the new items proposed by O.D.M. are

in kan Tah lamed bro quickly disbursable and will not involve us in | Womedor qualify

continuing commitments in future years.

This spare

money is in effect an unexpected bonus for this year bnly and we cannot start on major programmes which would involve us in extended aid commitments on the sole ground that we have spare money in the Aid Programme

this year.

CONFIDENCIAL

5./

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