HC Deb 07 August 1975 vol 897 cc460-1W
Mr. Spearing

asked the Minister of Overseas Development if Her Majesty's Government intend to contribute to the new intermediate financing facilities—the Third Window—proposed by the World Bank.

Mr. Prentice

We do intend to contribute to the subsidy fund associated with this new facility. The Third Window will provide additional funds for bank lending over the next year, mainly for the low-income developing countries, at a rate which is four percentage points below the bank's normal lending rate. A fund of $100 millions, which will be sufficient to subsidise additional lending of about $500 millions, is in sight, and Her Majesty's Government have offered a contribution from the aid programme of $10 millions. A Supplementary Estimate to cover this contribution, which will be by way of grant-in-aid, will be submitted in due course. If, in the meantime, payment of the United Kingdom contribution is required, an advance will be made from the Contingencies Fund.