§ Dr. TongeTo ask the Chancellor of the Exchequer what discussions took place at the Financing for Development Conference in Mexico regarding the achievement of the UN target for spending national income on overseas development assistance and the effect this would have on achieving the 2015 development goals. [46654]
§ Mr. BoatengDiscussions at the Financing for Development conference in Monterrey covered all aspects of development finance, focusing on the UN target for developed countries to give 0.7 per cent. of national income as official development assistance, as a means of financing the Millennium Development Goals. The UK delegation, led by the Secretary of State for International Development, played a central role in these discussions. Countries attending the conference agreed principles representing a new partnership for development; reaffirmed the UN target, and strengthened their commitment to meeting the Millennium Development Goals.
In preparation for the conference, EU member states agreed to raise their development assistance to an average of 0.39 per cent. of national income by 2006. The UK was instrumental in securing this agreement by the EU, which will mean an additional $7 billion each year for poor countries by 2006. Together with the US announcement of an additional $5 billion, the additional resources announced at Monterrey will total $12 billion per year after 2006. These announcements of substantial additional aid, and the broad consensus reached on the measures required by all Governments to secure more, and more effective finance for development, helped to ensure a successful conference.
§ Dr. TongeTo ask the Chancellor of the Exchequer what discussions took place at the Financing for Development Conference regarding his Department's Hold in Trust policy on debt repayments for countries which have not yet reached decision point within HIPC. [46655]
§ Mr. BoatengThe Government continue to press other countries to follow the UK's Hold in Trust policy. While there were no formal discussions scheduled on this issue at the UN Financing for Development Conference, there was agreement reached on the need to keep debt sustainability under review, and to take into account any external shocks when updating debt sustainability at Completion Point.