HC Deb 26 March 2002 vol 382 c872W
Adam Price

To ask the Secretary of State for International Development what investigations into the conduct and financial stability of LNM/Ispat projects overseas were initiated by her Department before it decided to support the proposed loan by the European Bank for Reconstruction and Development to assist the purchase of SIDEX in Romania. [44577]

Clare Short

Adherence to sound banking is one of EBRD's three core principles. The Bank routinely prepares rigorous financial analysis and integrity due diligence for all investments. We do not duplicate EBRD procedures.

Adam Price

To ask the Secretary of State for International Development what conditions were attached to each of the loans given by the International Bank of Reconstruction and Development to LNM/Ispat for the acquisition of steel works with particular reference to those attached to the subsequent closure or sale of the steel works in question. [44482]

Clare Short

The International Bank for Reconstruction and Development has not made any loans to LNM/Ispat for the acquisition of steel works.

The International Finance Corporation made loans to Caribbean Ispat Ltd in Trinidad and Tobago in 1995 and to Ispat Karmet in Kazakhstan in 1997 for projects relating to steel works. The IFC negotiates appropriate financial and other conditions with individual clients.

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