Indus Waters (Hansard, 29 February 1960)

§ Mr. Alport

Her Majesty's Government in the United Kingdom have 113W learned with great satisfaction that substantial progress has been made in the negotiations between the Governments of India and Pakistan under the auspices of the International Bank over the division of the waters of the Indus basin. I understand that the Bank hopes that a Water Treaty may be concluded between these two countries within the next two months. On behalf of Her Majesty's Government I should like to pay warm tribute to the Bank's outstanding services during the long process of negotiation which has now brought in sight the solution of an extremely difficult problem.

I am informed that the Bank estimates that the total cost of the works required to implement its proposals will be in the order of £360 million in local and foreign currencies spread over a period of 10 years. A proportion of this total sum is being met from the resources of India and Pakistan. In addition the Governments of Australia, Canada, New Zealand, the United Kingdom, the United States and Western Germany have agreed to make substantial contributions if a Water Treaty is concluded, while the President of the International Bank is to recommend to the Bank's directors that the Bank should make loans to India and Pakistan. Subject to Parliamentary approval the United Kingdom Government propose to make a grant of £20,860,000 to be paid over a period of 10 years into a fund to be administered by the International Bank.

Over 40 million people live in the Indus Basin and the Indus River system is pre-eminent amongst those whose waters are devoted primarily to irrigation. The United Kingdom Government are glad to be associated with their Commonwealth partners as well as with the Governments of the United States and Western Germany, and the International Bank, in making possible a development plan of great significance to India and Pakistan, and therefore to the Commonwealth as a whole.