§ Mr. Sandys
In view of Zanzibar's present financial circumstances the British Government have agreed to provide the following assistance in 1963–64:
- (a) An interest free loan of £63,500 to cover the Zanzibar Government's share of the cost of compensation; after a grace period of 6 years the loan will be repayable by 19 equal annual instalments.
- (b) A loan of £52,000 on the normal terms for Commonwealth Assistance loans, to meet the local share of the cost of commutation of pensions; after a grace period of 6 years during which interest only will be payable, repayment together with interest will be made by 19 equal annual instalments.
The provision of funds is urgent and a sum of £115,500 will be advanced from the Civil Contingency Fund for this purpose; provision for repayment to this fund will be sought from Parliament by means of a supplementary estimate.