TNAG-2743-FCO40-3958-Visits-by-Commonwealth-officials--ministers-and-public-figur-1993 — Page 57

Secretariat draft

21 June 1993

6. Targets for CDC activities

6.1

CDC currently operates within a framework of targets agreed with ODA

following the 1986 Review. These relate to investment in:

a.

Poorer countries: based on the view that low income countries

are generally regarded by private investors as more risky than

better-off developing countries and that, as a consequence, private

investment flows to or in these countries are comparatively low and

that CDC concentration on poor countries can help redress the

balance;

b.

RNR projects: the 1986 Review thought that as poverty in

developing countries is predominantly rural, CDC investment in

agriculture, forestry and fisheries would tend to be more poverty-

reducing than investment in other sectors;

C. Commonwealth countries: though CDC has authority to invest in

non-Commonwealth countries, this target was intended to preserve the

preponderance of investment in Commonwealth countries in CDC's

portfolio;

d.

private sector projects: it was agreed in the 1986 Review that

greater priority should be given to

be given to investments in the private

section though no specific target was set;

6.2 CDC performance against these targets since the 1986 Review is set

out in section 4. The MMC endorsed the concept of setting activity

targets. We considered whether the 1986 targets were still valid measures

for CDC to target; what the priorities for CDC should be over the next few

years and therefore what targets at what levels should be set, taking

account of the broad framework of financial objectives (section 8).

6.3 The CDC's current Corporate Plan (Annex 0) identifies a number of

internally developed objectives. These include.

1