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CONFIDENTIAL
If the
reconciliation of differing developmental and commercial aims. proposals in the Report are accepted it will be necessary to ensure that there is adequate interdepartmental machinery to resolve differences of this kind and where necessary to bring them to Ministers for decision. Arrangements for this will be put in hand after Ministers have considered this Report.
ΧΙ
SUMMARY AND CONCLUSIONS
50
Ministers are invited to endorse the following proposals:
(a) the broad commercial/industrial considerations
set out in para 5 should be brought consistently into the calculation in administering the aid programme
Paras
5
(b)
to make limited use of Credit Mixte
16
(c)
to seek other opportunities to associate aid with commercial credit where this would help exports
17
(d)
25-26
(e)
(f)
that possible aid projects should be assessed against both developmental and commercial criteria; and that guidance should be prepared for overseas posts on this
that a limited additional contingency allowance of initially some 5% of the bilateral aid programme should be set aside for developmen- tally sound projects of commercial/industrial importance for which funds cannot be found within the existing aid allocation. This figure should be subject to adjustment in the light of experience and should be treated with flexibility.
a reasonable flexibility in the provision of aid for local costs is necessary in imple- menting any aid strategy (especially one which emphasises rural development) but it would be in our commercial interests that there should be a positive and conscious effort to keep them as low as possible at all times, except where it could help to gain UK exports.
28
29-30
(8)
that the disagreement between officials on the size and composition of aid to India should be noted but that the issue should be settled in the context of the review on India
34
(h)
to increase the positive use of technical co-operation to meet trade objectives
36-38
(1)
to increase aid financed industrial training, both in the UK and overseas
40-42
51
Ministers are invited to note:
(k) the arrangements being made to improve the commercial input into the selection of aid financed projects
24
13
No comments yet.
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