Vietnam: Aid and Technical Assistance (Hansard, 28 January 1991)

§ Lord Reay
My Lords, the Government are providing financial support to British nongovernmental organisations for projects in Vietnam. We also expect to make a substantial contribution to the major EC repatriation and reintegration assistance programme for returning boat people over the next 2½ years. We have no immediate plans to begin a bilateral aid programme, but we are keeping that question under review.

§ Baroness Ewart-Biggs
My Lords, while I am grateful to the Minister for the small encouragement he gave in his Answer, does he agree that Vietnam's poverty, underdevelopment and high unemployment are all a result of the United States' trade and investment embargo? Does he further agree that any development aid going to the Vietnamese, with all their talents and abilities, would be constructively used and would also help to strengthen our efforts to liberalise their economic policies? Why do Her Majesty's Government's economic policies towards Vietnam continue to be so closely aligned with those of the United States of America?

§ Lord Reay
My Lords, I doubt whether the situation can be explained as simply as the noble Baroness suggests. The aid programme with which we are involved is a substantial one. The EC programme will total 122 million units of account—that is to say, approximately £86 million—over the next two years. That is a considerable programme.

§ Baroness Ewart-Biggs
My Lords, will the Minister answer my question? Why does Britain continue to align its policies with the United States' trade and investment embargo, and its veto on IMF and World Bank loans to Vietnam?

§ Lord Reay
My Lords, we have our own policy on aid to Vietnam which I have already outlined.

§ Lord Lyell
My Lords, I understand that Vietnam's population is about 65 million. Despite what was said in the previous question, does my noble friend agree that aid should be channelled towards that possible new market, especially in Ho Chi Minh city, which is of course Vietnam's leading commercial centre?

§ Lord Reay
My Lords, my noble friend makes two good points. Ho Chi Minh city is a matter that we have in mind although we have no immediate plans.

§ Lord Molloy
My Lords, the Minister mentioned the boat people. That problem causes Vietnam grave concern. It also causes grave concern to Hong Kong. I was a member of a parliamentary delegation that visited Hong Kong a few months ago. The Hong Kong Government, and their colleagues in Vietnam, are of the opinion that much more assistance should be provided by the United States because it, more than anyone else, created the problem.

§ Lord Reay
My Lords, I do not answer for the United States' Government from this Dispatch Box. I answer for Her Majesty's Government, and our policy is the one that I have outlined.

§ Lord Boyd-Carpenter
My Lords, is not this country's capacity to provide overseas aid for Vietnam much restricted by the high cost of our expenditure on the Gulf operations and the paltry measure of support that we are receiving towards those operations from our European friends?

§ Lord Reay
My Lords, my noble friend is introducing other matters which he will have an opportunity further to pursue later in the week.

§ Lord Boyd-Carpenter
My Lords, I asked my noble friend whether that high expenditure to which we are committed reduces the amount available in aid for Vietnam. Will he please answer that question instead of reproaching me for raising a different matter?

§ Lord Reay
My Lords, I have absolutely no wish to reproach my noble friend and have no intention of doing so. The aid which we are committed to give to Vietnam has not been affected by recent events.

§ Lord Cledwyn of Penrhos
My Lords, we have considerable responsibilities in Hong Kong. Will the Minister confirm that there are already 53,000 economic emigrants from Vietnam in Hong Kong? As I understand it, the number is increasing. In these circumstances, is it not vital, looking towards 1997, that we make a positive approach to the IMF and the World Bank to see whether money can be obtained from that source?

§ Lord Reay
My Lords, the noble Lord the Leader of the Opposition is correct: there are nearly 52,000 boat people currently in Hong Kong. That is about 10 per cent. fewer than the peak figure. It is extremely important that as many as possible of these people should return to Vietnam. In pursuit of that objective, the aid programme is carried forward.

§ Lord Cledwyn of Penrhos
My Lords, is it true that the numbers are increasing and that they increased in the last quarter of 1990?

§ Lord Reay
My Lords, the noble Lord is correct. The total arrivals in December 1990 and January 1991 —this month and last month —were 200 per cent. higher than last year.

§ Lord Bonham-Carter
My Lords, does the noble Lord agree that the problems to which the noble Lord, Lord Cledwyn of Penrhos, and the noble Baroness, Lady Ewart-Biggs, drew attention, involving refugees and economic under-development as well as poverty, would be greatly alleviated if the United States were to remove their embargo? If, as the noble Lord stated, we have our own policy towards Vietnam, might it not be good for us to bring pressure to bear upon, or at least request, the Government of the United States to change their policy on that matter?

§ Lord Reay
My Lords, our objective is the repatriation of all non-refugee Vietnamese boat people by the implementation of the comprehensive plan of action that was agreed by the international community. With respect to the United States, Secretary of State Baker has said that they will use their best endeavours to help us achieve that aim.