TNAG-0205-FCO40-241-Pensions-policy-1970 — Page 92

CONFIDENTIAL

ATTITUDE OF OVERSEA GOVERNMENTS TOWARDS ASIANS AND NON-DESIGNATES

20. The Zanzibar Regime defaulted on its proper pensions responsibilities in 1964 and has wn an increasing antipathy towards the Asians, adopting punitive policies on officers and widows and orphans pensions.

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Tanzania, when it defaulted in 1968, accepted a responsibility for the pensions of those not covered by the Tanganyika Public Officers Agreement and therefore paid the "expatriate" Asians as well as the locally domiciled or truly indigenous Asians of Tanganyika. Because of the intransigent attitude of the Zanzibar Regime and of its desire to avoid offending that Regime, the non POA Zanzibar Asians were not paid by the Tanzanians. It is hoped that these non POA Zanzibar Asians will as a result of HMG's proposal come to have their pensions restored by Tanzania.

22. Kenya has signified that it expects HMG to assume full financial responsibility for the pensions of all officers covered by its POA and the Agreement covers the "expatriate" Asians.

23. The Uganda and EA Community views are not known although the latter have been under pressure by Tanzania to adopt the Tanzanian philosophy. The Uganda "expatriate" Asians are covered by a POA whereas those of the Community are not.

24.

Southern Yemen continues to refute its responsibility for the pre-independence pensions and to reiterate that it cannot in any case afford the cost. The Southern Yemenis will almost certainly never change their policy and pay the Asian and other non-designated expatriates.

SUMMARY

25.

In view of the unambiguous undertaking contained in paragraph 12 of Colonial No 306 as re-affirmed in paragraph 15 of Cmd 1193 HMG is manifestly obliged to ensure the continued payment of the pensions covered by the Public Officers Agreements. If this commitment is to be honoured the Asian and other non-British expatriates can only be excluded from the proposed field of HMG responsibility provided that their pensions are guaranteed by the overseas countries. This guarantee can only be achieved if Tanzania undertakes to take back the Zanzibar POA Asians and Southern Yemen its non- designated/non-indigenous pensioners, both of which groups receive ex-gatia loan advances from British funds. Kenya would also have to change its policy and continue to pay its POA Asians. If Tanzania, Southern Yemen and Kenya do not do so, the British Government would inevitably have to continue with its policy of making loan advances to

If expatriate pensioners; the Parliamentary assurances on this are inescapable. therefore the continuance of the present degree of responsibility cannot be diminished, only expanded, the pensions supplement definition of overseas officer which had prima facie appeal (paragraph 9) is inadequate for the new needs.

26.

It is accordingly considered that the field of HMG's proposed financial responsibility must inevitably be extended to those covered by the Public Officers Agreements. Tanzania and Kenya ought not to object since this is their own philosophy and EAC would find it difficult to take any other course because of the World Bank's requirements.

LOCAL CITIZENS

127.

Where a pensioner is a citizen of the overseas country from which he is in receipt of a pension then it would be reasonable for that pension to be excluded from the "take-over" field on the ground that the pensioner should look to the oversea country for his future protection. Unfortunately HMG's past actions are not conducive to the automatic omission of local citizens.

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CONFIDENTIAL