HC Deb 27 February 1984 vol 55 cc16-7
44. Mr. Deakins

asked the Secretary of State for Foreign and Commonwealth Affairs what progress has been made in discussions to provide additional funds for the International Development Association; and if he will make a statement.

Mr. Raison

The association's management has not completed its discussions with all other donors and it is therefore too early to expect a report from it. We have made clear our willingness to participate in a supplementary fund of up to $3 billion, subject to satisfactory detailed arrangements and equitable burden-sharing among donors.

Mr. Deakins

Is there not a serious prospect that the work and plans of the World Bank for development in the poorest countries of the world will be seriously and adversely affected if progress is not made soon on the part of the replenishment with which we are dealing?

Mr. Raison

As the House knows, we were disappointed, to put it mildly, about the $9 billion level that was reached. For this reason the British Government took the lead in stating that they would support supplementary funding, and we hope that a good measure of this will be achieved.

Mr. Forman

Is my right hon. Friend aware that the Government's positive response to the setback —engendered in the United States—to the future of the International Development Agency was welcome? How do Her Majesty's Government see the way forward to getting some supplementay funding? Will it come from the Arabs or from some of the newly rich countries?

Mr. Raison

By and large, the supplementary funding will come from those who already contribute to the main funds in the same portions. There is a gap as far as the United States is concerned, and in addition the Federal Republic of Germany and Japan have doubts about joining the supplementary fund, but we have expressed, particularly to the German Government, our hope that they, too, will decide to join.