HC Deb 11 November 1998 vol 319 cc351-2
1. Mr. David Borrow (South Ribble)

What assistance her Department has provided to the people of Bangladesh to cope with the damage caused by the recent floods. [57800]

The Secretary of State for International Development (Clare Short)

We are providing £ 22 million to assist with relief and rehabilitation to help Bangladesh recover from the floods. One million pounds was given very quickly to non-governmental organisations to help them to provide food, water, medicine and shelter for the most needy. Eleven million pounds is being used to provide food grains through the World Food Programme to help fill the gap in food supply over the coming months that will result from heavy losses of the monsoon rice crop. The remaining £10 million is being allocated to agricultural rehabilitation and restoration of livelihoods and infrastructure.

Mr. Borrow

I am sure that my right hon. Friend's announcement will be welcomed by the people of Bangladesh. On 29 November, I shall attend a fundraising event organised by the Bangladeshi community at the Koh-i-noor restaurant in Hutton in my constituency. Will my right hon. Friend join me in praising the efforts of the Bangladeshi community in this country to raise funds to assist Bangladesh? That deserves real praise. Given that the difficulties in Bangladesh have arisen from natural disasters, which are always difficult to anticipate, and in view of the recent natural disasters that have struck central America, are there lessons for other parts of the world to be learnt from the way in which the Bangladeshi Government have handled their country's problems?

Clare Short

I am happy to join my hon. Friend in praising the people of the Bangladeshi community in Britain for their fundraising efforts throughout the country. As to the second part of his question, let me say that the way in which Bangladesh has coped with the floods is a model for the world of disaster-preparedness and self-reliance. Not only the Government, but the people of Bangladesh, have coped stunningly well. The contrast between Bangladesh and central America in loss of life resulting from comparable natural disasters shows the advantages of being prepared for disaster, and central America needs to get its systems in place. More than 60 per cent. of Bangladesh was devastated by the floods, and food crops and homes were lost. Bangladesh needs continuing help in order to reconstruct and go forward, so all the money raised by local groups in Britain will be extremely valuable.

Dr. Jenny Tonge (Richmond Park)

In view of the Government's welcome response to debt relief for Nicaragua and Honduras, does the Secretary of State intend to set a precedent for the faster relief of debt for all poor countries that have suffered natural disasters, which category must include Bangladesh since the floods there? Is she not concerned that the media hype about debt relief in central America might make people forget that the help that is most needed is money now for food, medicines and shelter?

Clare Short

I am grateful to the hon. Lady because that was my very point. In the immediate face of a disaster, when people are pulled out of the mud and their lives are saved, the great risks are cholera and hunger, and debt relief cannot cope with those. Debt relief is important for reconstruction, but the immediate task is to provide food and stop the spread of cholera. I have just read a UN report and I am pleased to say that we are making progress on that.

In the case of Bangladesh, the hon. Lady's point is well made. If the groups that campaign on debt pretend that debt relief is all that is needed to deal with catastrophes, Bangladesh will get nothing, which is inequitable. We must give appropriate support to poor countries that need it.

The third part of the hon. Lady's question was about whether we are trying to get flexibility for all highly indebted post-catastrophe countries. The answer is yes. I have spoken to Jim Wolfensohn and read the report of initial thinking in the World bank and the International Monetary Fund, and much effort is being made to try to achieve that flexibility.

Ms Oona King (Bethnal Green and Bow)

I, too, am incredibly concerned about Bangladesh. Does my right hon. Friend's previous answer mean that it will be possible for Bangladesh to become eligible under the heavily indebted poor countries initiative so that the long-term effects of the devastation wrought by the floods can be resolved?

Clare Short

No. Bangladesh cannot qualify for HIPC because, fortunately, it is not a heavily indebted poor country. That is one burden that it does not have. It is not a good thing to be a heavily indebted poor country because it is difficult to get inward investment or borrowing for sensible projects. Bangladesh is a very poor country and has great need of support and help, and we are committed to continuing that. The World bank can provide fast-disbursing loans for emergencies, which we must ensure are well spent. Such work is going on.