§ Mr. Peter BradleyTo ask the Secretary of State for International Development what was the average(a) interest charge per year levied by the Commonwealth Development Corporation and (b) bank rate per year over the period 1990 to 1997. [101742]
§ Clare ShortSince 1993 CDC's policy has been to fix its interest rate with reference to a base rate kept in line with the London Inter-Bank Offer Rate (LIBOR), plus a margin ranging from 1 per cent. to 5 per cent. reflecting the credit quality of the borrower and incorporating as assessment of market and project risk.
In the period concerned the rate of interest that CDC was charging on its long-term senior debt was in line with that charged by other development finance institutions such as the International Finance Corporation (IFC), and was not subsidised.
§ Mr. Peter BradleyTo ask the Secretary of State for International Development what was the average value of investments made by the Commonwealth Development Corporation in each of the years 1990 to 1997. [101740]
§ Clare ShortThe value of CDC's average individual investments in each of the years 1990 to 1997 was as follows:
£ million 1991 3.6 1992 3.7 1993 3.9 1994 3.8 1995 3.8 1996 4.0 1997 4.0 The figures for 1990 are not immediately available.
§ Mr. Peter BradleyTo ask the Secretary of State for International Development what are the benefits to recipients, other than favourable treatment for interest rates, of loans provided by the Commonwealth Development Corporation which cannot be provided by commercial borrowing. [101745]
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§ Clare ShortIn many markets where CDC operates, long-term loans are not available to businesses for reasons of perceived credit risk. CDC loans therefore enable businesses to access long-term senior debt which may not otherwise be available to them.
§ Mr. Peter BradleyTo ask the Secretary of State for International Development what was the largest investment made by the Commonwealth Development Corporation in the years 1990 to 1997. [101741]
§ Clare ShortThe largest investment made by CDC between 1990–97 was £38.3 million in the Housing Development and Finance Company in India.
§ Mr. Peter BradleyTo ask the Secretary of State for International Development in which hydro-electric projects the Commonwealth Development Corporation invested from 1990 to 1997. [101743]
§ Clare ShortBetween 1990 and 1997 CDC made investments in three hydro-electric projects. These were: the Hidroelectrica Planatar SA in Costa Rica, the Kapichira Hydro Electric Scheme in Malawi and the Belize Electricity Company Ltd.