§ Mr. Mike O'BrienTo ask the Secretary of State for Foreign and Commonwealth Affairs what is his policy for encouraging entrepreneurial endeavour on St. Helena.
§ Mr. BaldryWe recognise the importance of encouraging entrepreneurial endeavour on St. Helena, as an essential means of promoting the island's economic prospects, and we are making a substantial commitment to that goal.
Under a three-year project about to he finalised in agreement with the Government of St. Helena, the Overseas Development Administration will he providing some £1.2 million of aid to support the establishment of a new business development organisation for the island. the St. Helena development agency. The aim of the agency is to encourage an export-oriented and import-substituting private sector, reducing the trade deficit and dependence on UK budgetary aid. Its purpose is to promote sustainable private sector development by providing a viable alternative to aid-financed public sector employment in St. Helena. Activities will include the training of private sector staff, the provision of business advisory services and the provision of grants for private sector projects where justified on development grounds.