TNAG-0835-FCO40-1043-Foreign-and-Commonwealth-Office-seminar-on-the-future-of-Bri-1979 — Page 32

Session 2: The Aims of Aid

Sir Bruce Greatbatch suggested that the aims of aid to the

small island

were the same as for all

d.t's

to assist them to develop their economy both public and

private, to raise standards of living, to create jobs.

Official aid can only oil the wheels. Difference of scale

should make success more likely. For example a few

hotels will mop up surplus labour. Concentrate therefore

on private sector, now that public sector was pretty well

developed and to avoid adding to recurrent charges.

Up to now UK aid had not really succeeded: employment and standards of living falling,due to some wrong objectives, thereby setting up standards beyond local resources to

maintain,

as

much

as

To

acé

pncès etc

Some discouraging conclusions (not all supported) Historically over-emphasis on social services has raised expectations and loaded recurrent costs.

Doubt whether aid alone will achieve the prosperity which is the necessary basis for political stability.

Private enterprise tourism offers Rolls Royce service to a few privileged foreigners with perhaps only 20% spin off to local poor (but this 20% is better than an aid. financed dole). Private enterprise not universally welcomed ideologically but nevertheless it is increasingly sought after by the islands with no other natural resource e.g.

Anguilla, Antigua,

Some quirks

Much aid just finances the local government and societies risk becomming stuck with an over complex machine. Indirectly, aid helps local governments to buy political support: in other words the government controls the electorate instead of the other way round. Aid management thus runs counter to