TNAG-0128-FCO40-164-Development-aid-1969 — Page 89

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Ay

Stewart

Mr. Wilde

Financial Policy and Aid Department

Management of Aid: Information for Dependent Territories and Associated States

In reply to your minute reference MF.23/3 of (?) January, my interest is limited to the Associated States, and I note from your paragraph 4 that it is proposed to seek the advice of the ODM and the Development Division as to whether the proposed circular should be sent to them. I agree that this is essential; indeed, if the circular is to be sent to them, it would perhaps be more appropriate for it to issue from the OIM rather than the FCO, since our Secretary of State does not have the responsibility for financial matters in the Associated States that he has in the case of dependent territories.

2. My own inclination is to doubt whether there is a need at this stage to send such a comprehensive memorandum to the Associated States. We are under the impression that the Development Division have now 'achieved a satisfactory working arrangement with the local administrations in the islands in regard to the submission of applications for development aid and technical assistance. If that is so, there is some danger that the receipt of a rather formidable document might tend to confuse rather than to enlighten. If the only innovations are the proposals in paragraph 3 about the classification of projects, it might be sufficient to send these only; the Governments will in any case need to introduce these arrangements under the post-1970 procedures.

3. I agree with the points made in Mr. Bennett's minute of 14 January, although his paragraph 3 does not directly concern the Associated States.

C.0.

Mr. Fairclough

Mr. Bennett

Mr. Carter

Mr. Jerrom

L

(T.R.M. Sewell)

North American and Caribbean Department

20 January, 1969

DEIVED IN MIVES No.31

23 JAN 1969