TNAG-2765-FCO40-3982-UK-Hong-Kong-Scholarship-Scheme-donation-to-the-UK-Governme-1993 — Page 29

A trial increase in the overcommitment rate on DW-funded FCOSAS from 8% to 12%, to take account of the higher drop-out rate this year

The introduction of a new 10% overcommitment on the

ODA-funded FCOSAS

An increase of £50 000 in provision for Marshall Scholarships (for the US) to restore the number of awards to the 40 laid down by Parliament

4.

We also propose to use £100 000 to provide a pool to be available for matching funds for Posts with small allocations (up to £50 000) to help promote so-sponsorship schemes. We have found the absence of matching funds to be a major disincentive to Posts to seek co-sponsorship. The Secretary of State has

just reiterated his support for jointly-funded schemes.

5. The total sum available for initial Post allocations is £20.5 m. I attach proposals for the allocation of this money. These take account of

FCO priorities approved by Ministers and the Board of Management

TMR returns

Correspondence with Posts and our knowledge of their ability to absorb funds and use them well

Advice from the ODA on the allocation of their funds

Existing commitments (carry-over, flagships, jointly-funded

schemes)

6. AUSS are entitled to switch DW funds between countries within their commands, subject to existing commitments. first time they may also comment on the proposed allocation of ODA funds if they wish. Any proposed changes to the latter would have to be cleared with the relevant AUS in the ODA. CRD would be happy to do this on a coordinated basis if that would be helpful. Conversely, ODA AUSs are invited to comment on the proposed allocation of ODA funds and of DW funds in countries of interest to the ODA.

7. It would be helpful to have your comments and proposals by 1 December so that allocations can be notified to Posts as soon as possible. CRD will pass a list of agreed allocations to RMOS for them to notify to Posts. We will also send a telegram to Posts setting out the background to the allocations exercise, and thanking Posts for their vote of confidence in the FCOSAS and their help with the recent evaluation exercise. In slower time we shall write to Posts giving them more information about the results of this exercise and other developments of interest in this area.