HC Deb 19 February 1970 vol 796 cc564-5
4. Mr. Farr

asked the Minister of Overseas Development what is her policy in relation to Commonwealth Development Corporation investments in Rhodesia.

Mrs. Hart

The investments made before the illegal declaration of independence remain but no new investment will be sanctioned.

Mr. Farr

As one of the objects of the C.D.C. is to improve living standards for the masses in under-developed countries, would the right hon. Lady now see how it can help to improve the living standards of out-of-work African workers in Rhodesia?

Mrs. Hart

There can be no question of any new investment by the C.D.C. in Rhodesia so long as that country remains under the control of the illegal régime.

Mr. Braine

Will the right hon. Lady explain why the C.D.C. has to pay interest on its investments in Rhodesia although it cannot draw any dividends from that country due to a political decision by the Government? Is that fair to the C.D.C., bearing in mind that Parliament put on it a duty to earn a profit on its investments?

Mrs. Hart

As the hon. Gentleman knows very well, the C.D.C. cannot get funds out of Rhodesia on its investment. This creates a very difficult situation.