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Aid Programme

Volume 86: debated on Monday 11 November 1985

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asked the Secretary of State for Foreign and Commonwealth Affairs what assessment he makes of the benefits to British industry accruing from the aid programme.

The benefits to British industry are substantial. Bilateral aid, except finance for certain local costs, is tied to procurement in Britain and brings substantial orders to United Kingdom firms. In addition, aid funds used as part of the aid and trade provision help with further very substantial contracts for Britain. In 1984, 74 per cent. of the bilateral aid was tied. Procurement of British goods and services under multilateral aid programmes exceed our contributions to the agencies concerned.