TNAG-0618-FCO40-766-Aid-framework-from-UK-to-Hong-Kong-1977 — Page 57

and designing projects to help the poor. But in a few countries, notablyʊ!

Asia, local cost problems have arisen and we are considering how they

be overcome.

Some examples of poverty-focused projects

55. The Gambia. We are providing £2 million towards the cost of a

£5.7 million rural development project in the Gambia. The World Bank

is providing £2 million, the Arab Development Bank for Economic Development

in Africa £1.5 million, and Gambian farmers the remaining £200,000. The

objective of the project is to increase cereal and cash crop production and to improve animal husbandry among 40,000 people, about 10% of the

country's population, in 65 villages in the West of the country. The

project will help some of the poorest sectors of the Gambia's farming

population. It will increase production by strengthening extension

services, by providing farmers with inputs such as fertilizers, seeds

and oxen in the form of credit in kind, and by improved communications

and marketing, including an adult numeracy programme. The project will be implemented largely through the Gambian co-operative movement. project has the strong support of the Gambian government.

The

56. The British contribution will mainly be to cover the construction costs of the project and to provide technical expertise to help introduce

the new inputs and techniques needed for the project to succeed. Britain

is also providing the project leader.

57. The project is not an easy one. As with other rural development

projects we are financing it will involve changes in farming practice which farmers are rightly unwilling to accept unless the benefits are made clear to them. The development of institutions such as extension services

and credit facilities is therefore crucial. The Gambia is fortunate in having already a fairly well developed institutional structure on which the project, with help from British experts, can be based.

58. Nepal. ODM is contributing almost £5 million for the construction

of a road in the East of Nepal and for the development of the Kosi hills area at the North end of the road. The Kosi hills area is one of the poorest in Nepal, which itself had a per caput income of only about $100 in 1975. The road will open up the area for development and the ODM project will provide inputs to increase agricultural production by improving irrigation facilities, water management, and agricultural extension services. Health and education inputs will also be made as

the