Aid and Trade Provision

HC Deb 03 March 1997 vol 291 cc467-8W

Mr. Patrick Thompson

To ask the Secretary of State for Foreign and Commonwealth Affairs if he will make a statement on aid and trade provision. [18277]

Dr. Liam Fox

Given the success of British companies in winning business with ATP support, the ATP budget in Asia is under severe pressure. This is why companies were advised of a hold on new offers of ATP support in Asia last November.

I have now finalised the future allocation of aid resources following the Budget. The allocations for ATP in the next two years have been increased by 45 per cent. and 37 per cent. respectively, to £77.7 million in 1997–98 and £70.7 million in 1998–99. The 1999–2000 allocation is £49 million.

In Asia, these enhanced levels will allow ODA to meet contractual commitments; to support those projects on which offers of assistance have been made; and to proceed, subject to satisfactory appraisal, with identified projects for which appraisals are nearly complete or are close to approval. Further ahead, we shall fulfil our obligations under the concessionary finance arrangements signed with overseas Governments as aid programme resources allow. In practice, with the exception of the small number of projects mentioned above where appraisal is well advanced, no further offers of ATP in Asia are likely to be made for some time. However, ATP remains a significant element in the ODA aid effort, and the position will be reviewed again during this year's public expenditure round.

In Africa where demands are fewer, business can continue as usual within the resources allocated.

Companies seeking further information on ATP in either Asia or Africa should consult the ODA or Department of Trade and Industry.

Mr. Martyn Jones

To ask the Secretary of State for Foreign and Commonwealth Affairs which five companies were allocated the largest sums from the United Kingdom aid and trade budget between 1978 and 1994; how much cash was allocated during this period; and what percentage of the budget for this period their allocation represented. [18019]

Dr. Fox

I refer the hon. member to the reply given by the Minister of State, Foreign and Commonwealth Office, my right honourable Friend the hon. Member for Richmond and Barnes (Mr. Hanley) to the hon. Member for York (Mr. Bayley) on 15 January 1996,Official Report,column 357.