§ Lord Judd
asked Her Majesty's Government:
Whether the forward plans of CDC Group plc will ensure that (a) over the next five years more than 70 per cent of its new investments will be in countries with a Gross National Product per capita of less than US$1,740 based on World Bank data published in 1998; and (b) more than half its new investment each year will be in sub-Saharan Africa and South Asia. [HL2005]
§ Baroness Amos
At the end of 1999 84 per cent of CDC's total investment portfolio was in poorer countries and 51 per cent was in sub-Saharan Africa and South Asia. CDC plans its business strategy taking account of the requirements placed on it by its investment policy. These are entrenched by means of the special share. It is a requirement that over a rolling five year period 70 per cent of new investments should be in poorer countries. The aim of making at least 50 per cent of new Investment each year in sub-Saharan Africa and South Asia is a target, and success in meeting it may be affected by local factors outside100WA CDC's control. It is the intention of CDC year on year to strive for compliance with it. CDC is taking steps to structure its deal generation capacity in such a way as will ensure an adequate deal flow from the countries targeted under the investment policy.