§ 39. Colonel WEDGWOODasked the Under-Secretary of State for the Colonies what is the present position of the proposed Palestinian loan and the commencement of the harbour works at Haifa?
§ The UNDER-SECRETARY of STATE for the COLONIES (Mr. Ormsby-Gore)I regret that I am not at present in a position to make any statement about the issue of the Palestine loan. A survey party proceeded to Haifa last month to prepare detailed specifications and estimates for the harbour works.
§ Colonel WEDGWOODI have two questions to ask arising out of the answer. First, in connection with the loan, is the right hon. Gentleman aware that there is extensive unemployment in Palestine today, and will he therefore hasten the floating of this loan by making representations to the Palestinian Government? Secondly, are the harbour works at Haifa to be carried out by tender or by direct work by the Public Works Department?
§ Mr. ORMSBY-GORERegarding the loan, the question for the Palestinian Government is as to the most favourable time, from the point of view of the Palestinian taxpayer, of raising the loan on the London market on good terms. In answer to the second question, it is proposed to carry out these harbour works departmentally.
§ Colonel WEDGWOODSo far as the loan is concerned, is not the right hon. Gentleman aware that all the railway works as well as the harbour works are being held up because this loan has not been floated, and why should other places, like Kenya, have precedence over a Government-secured loan?
§ Mr. ORMSBY-GOREThat is not so. I do not understand that it is a fact that these works are being held up pending the floating of this loan on the London market. The Kenya loan was 1395 raised under its own credit, not under the Loan Act passed last Session by this House.
§ Colonel WEDGWOODThis is better secured, and therefore should be easier to raise.