HC Deb 17 February 1998 vol 306 cc608-9W
Ms Drown

To ask the Secretary of State for International Development what assessment she has made of the impact of the Multilateral Agreement on Investment on the ability of developing countries to pursue policies to(a) diversify their economy and (b) promote domestic industries. [29954]

Clare Short

Foreign investment can make a substantial contribution to development and the elimination of poverty. Many developing countries, particularly the least developed, are currently marginalised from global investment flows. The Government believe that a better international framework for investment has an important part to play in helping to meet the objective of eliminating poverty. My Department is commissioning a study of the development implications of the Multilateral Agreement on Investment (MAI) which will be ready in good time to present to our negotiating partners before the agreement is concluded.

Mr. Chaytor

To ask the Secretary of State for International Development what assessment she has made of the benefits for non-OECD countries of the proposals in the current draft text of the Multilateral Agreement on Investment. [29917]

Clare Short

The Government support the aim of providing a better international framework for investment, increased investment in developing countries, we believe has an important part to play in helping to meet the objective of eliminating poverty. My Department is commissioning a study to look at any implications the Multilateral Agreement on Investment (MAI) may have for developing countries, which we will share with our negotiating partners. The UK is also pressing for "special and differential treatment" in the accession process, which would allow some flexibility for the needs of developing countries to be taken into account, if they seek to accede to the MAI.

Ms Drown

To ask the Secretary of State for International Development what steps her Department will take to include the views of government and non-governmental organisation experts from developing countries in its assessment of the impact of the MAI on developing countries. [29953]

Clare Short

Officials from my Department have already taken part in consultations organised by the Organisation for Economic Cooperation Development (OECD) with governments and NGOs of developing countries on the Multilateral Agreement on Investment (MAI). My Department has also consulted NGOs on the study we are undertaking of the development implications of the MAI which will also consider discussions on international investment rules in the World Trade Organisation and UNCTAD.