To ask the Chancellor of the Exchequer what action he has taken to influence the policy of the European Bank of Reconstruction and Development.

In his statement to the EBRD's annual meeting in London, on 27 April, my right hon. Friend the Chancellor of the Exchequer emphasised the EBRD's duty to use taxpayers' resources as cost-effectively as possible. He stressed the need that the institution, which was established to promote efficiency and enterprise, should itself provide an example of sound financial management. Welcoming the changes agreed by the bank's board of directors to improve the control of its costs, my right hon. Friend argued for rapid and vigorous implementation of these. He also called for the bank to develop its key role in promoting effective mechanisms for assisting small and medium-sized enterprises in the countries of the former Communist bloc.