HL Deb 29 February 1996 vol 569 cc107-8WA
Lord Avebury

asked Her Majesty's Government:

On what dates Grenada, Dominica and the Solomon Islands first went into arrears with repayments of United Kingdom aid loans; on what dates new commitments of financial aid to those countries were suspended. and whether they will publish a table showing the sums of money disbursed to each of those countries since those dates, listing in the case of each disbursement the previously existing contractual commitment under which it was made.

The Minister of State, Foreign and Commonwealth Office (Baroness Chalker of Wallasey):

The dates on which Grenada. Dominica and Solomon Islands first went into arrears with repayment of United Kingdom loans were as follows:

  • Grenada: 1st October 1991
  • Dominica: 1st December 1992
  • Solomon Islands: 21st April 1991

It is ODA's normal policy not to make new capital aid funds available to countries in arrears on aid loans. In the case of Dominica, therefore, disbursement of a £5 million allocation announced in 1993 was made subject to payment of loan arrears. However, as an exceptional measure, and in recognition of the effects of a severe hurricane in 1995, £200,000 was committed for a Community Development Programme in January 1996 after clearance with the Treasury. In the case of Grenada, the only new grant agreement signed since the date of arrears was for £465,000 in July 1994, also for a Community Development Support Grant. In the case of the Solomon Islands no new grant agreements have been signed, apart from one for 180,000 signed in May 1991 very shortly after the Solomon Islands fell into arrears.

Disbursements to Grenada, Dominica and Solomon Islands under previously existing Grant/Loan Agreements since the date of first default were as follows:-

Grenada Loan 1985

  • 1991/92: £473,246
  • 1992/93: £826,204
  • 1993/94: £437,520
  • 1994/95: £156,660
  • 1995/96: £23,150

Grenada Coastguard Facility Grant 1986

  • 1991/92: £109,183
  • 1992/93: £33,500
  • 1993/94: £6,909

Dominica Loan 1987

  • 1992/93: £41,757
  • 1993/94: £29,444

Dominica Grant 1990

  • 1992/93: £1,004,487
  • 1993/94: £1,897.132
  • 1994/95: £105,042

Solomon Islands Scholarship Grant 1989

  • 1991/92: £35,326

Solomon Islands Baunani Grant 1990

  • 1991/92: £38,867

Solomon Islands Electricity Grant 1990

  • 1991/92: £86,006
  • 1992/93: £80,654
  • 1993/94: £38,599