HC Deb 07 December 1965 vol 722 cc233-4
45. Mr. Patrick Jenkin

asked the Chancellor of the Exchequer what is the policy of Her Majesty's Government towards requests from Governments of developing countries in the Commonwealth for a United Kingdom Treasury guarantee in respect of a loan to be floated publicly in London by that Commonwealth Government.

Mr. Callaghan

No such requests have been received, but I do not think that providing finance for the developing countries by way of Treasury guarantee would, on balance, present any advantage over the present arrangements.

Mr. Jenkin

Does not the Chancellor realise that an approach has been made to his right hon. Friend the Minister for Overseas Development and that it has, so far, been turned down on the ground that it would create an undesirable precedent? Does not the right hon. Gentleman recognise that it might be a very good way of getting development funds to the developing countries?

Mr. Callaghan

That seems to be a series of assertions without much argument behind it. So far, I cannot see what the advantage is.