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cannot be sure of the results that would flow from implementing our recommendations.
But they imply a greater awareness of economic and political considerations in the
administration of the aid programme and a complementary growth in understanding
the needs and problems of developing countries among those responsible for our
general commercial and political policies towards them. These changes in approach
should be fostered by the changes in practice and procedure which the approval of
the recommendations in this report would require. This might include revised
instructions to British posts overseas, closer working liaison between the DTI and
the ODA, greater use of the ODA's country policy papers and perhaps a fresh look
at the role of the ODA Projects Committee. The Departments represented on this PAR Committee should appoint a Working Party to carry out this review.
Summary of Main Findings and Recommendations
15. Multilateral Aid and Untying
Greater balance of payments advantage might be achieved by a greater
emphasis reciprocally with other donors on aid through some multilateral institutions
and the EEC (paragraphs 25 and 27).
The UK might at present expect to benefit commercially to a small extent
by the reciprocal untying of bilateral aid loans, either within the EEC or by all
aid donors. This would depend on the agreement of the other major donors, which is
not in early prospect (paragraph 28).
Capital Aid
C. While the extent of a relationship between aid and subsequent commercial
orders has not been demonstrated, there are some particular ways in which aid
might help to promote additional exports on commercial terms (paragraph 31).
d. The commercial advantage from any links between capital aid and trade is
likely to be strongest in countries where aid is initially essential because the
country cannot pay for its imports on commercial terms and where free foreign
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