§ Mr. Ronald Bellasked the Secretary of State for Foreign Affairs what he estimates to be the probable total cost to British public funds of all British undertakings or declared intentions in respect of the South Arabian territories in the three years after 9th January, 1968; and what part of this is aid which is solely economic.
§ Mr. George ThomsonI estimate that the probable total cost of Her Majesty's Government's financial assistance by way of outright grants to South Arabia after18W independence will be of the order of £55 million. Of this figure, which must be regarded as approximate since detailed costs of the recently agreed additional military aid have still to be worked out, £9 million will be available to the South Arabian Government for general budgetary support, and the remainder for military aid. In addition Her Majesty's Government are ready to provide South Arabia with interest-free development loans for economic projects in amounts to be decided later.