§ Mr. James Johnsonasked the Joint Under-Secretary of State for the Colonies whether it is the intention of Her Majesty's Government to extend financial aid to South Arabia after the country has become independent.
§ Mrs. WhiteIn meeting the aspirations of the peoples of South Arabia for full political independence, Her Majesty's Government appreciate that full economic independence cannot be achieved simultaneously.
Her Majesty's Government recognise that South Arabia, which is receiving budgetary and development aid from Britain, will continue for some time after independence to stand in need of external financial assistance. It remains our wish to see a stable and united South Arabia after independence, and we have readily given the Federal Ministers an assurance that it is not our intention to cease giving aid at independence. The scale, form and extent of the aid to be provided by Her Majesty's Government will have to be decided in the normal way nearer the time of independence. We recognise that this aid will have to take account inter alia of the Federal Government's need to continue to make financial provision for the Federal forces.
If South Arabia is to establish itself as an Arab country which other countries will be willing to support and so to secure 136W the external resources which will be required to achieve economic viability, it will clearly be important to achieve an effective political and constitutional framework for the whole area. It is our hope that, following the recent publication of the report of the Federal Government's constitutional advisers, progress will now be made towards this end.