§ 28. Mr. R. Carr
asked the Minister of Overseas Development what criteria she adopts in establishing priorities between competing requests for aid by developing countries.
§ Mrs. Castle
So far as requests for aid constitute competing claims on our resources, the main criteria are the relative needs of the recipients and the prospects of the effective use of the aid.
§ Mr. Carr
Can the right hon. Lady indicate whether these criteria represent a change from the criteria applied by the previous Government, and, if they do, what effect she anticipates they will have on the distribution of aid between different countries? Secondly, can she say at what level consultation takes place between her Department and the overseas Departments in making these decisions?
§ Mrs. Castle
Owing to the division of responsibilities for overseas aid among so many different Departments under the previous Administration, it is very difficult to make out exactly what criteria were being followed. On the question of consultation with the overseas Departments, I keep in close touch with them in the application of our aid policies.
§ Mr. Tilney
Is the right hon. Lady aware of the important part played in the past by private enterprise investment and that the suggested Corporation Tax, affecting detrimentally double taxation agreements, may have a very detrimental effect on that investment?