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THE COMMONWEALTH

Colombo Plan

7. Mr. Ritchie. Mr. Cavell,¹⁰ accompanied by Mr. Hume Wright of the Department of Finance, will be leaving next week for his annual visit to Asia to consult with local government officials on possible projects for Canadian Colombo Plan aid and to examine these projects on the spot. Our missions in Ceylon, India and Pakistan have been requested to do everything they can in the way of advance preparation so that the Cavell trip will have maximum results in lining up suitable projects for inclusion in the 1953-54 programme and for a basis of future operations. Mr. Reid will accompany the party for at least part of the Indian tour and he has been asked to assign an officer of his staff where he cannot go. Mr. Kirkwood has also been asked to release an officer from his mission to accompany the party in both East and West Pakistan, and Mr. Thurrott¹¹ will join Mr. Cavell and Mr. Wright for the visit in Ceylon.

The $25 million Canadian contribution voted by Parliament for 1951-52 has been completely earmarked for projects which are either completed or under way. The 1952-53 programme, for which Parliament also voted $25 million, has not yet been worked out in full. India has already received $5 million worth of wheat during the current year and certain projects, for which direct capital assistance is required, are nearing the point of final agreement. The total cost of all these projects would just about use up the funds available for India. The Ceylon programme also is just about complete, with a $1 million fisheries project already under way and a $1 million rural electrification project almost certain to be undertaken. Unfortunately, very little progress has been made with the Pakistan programme due to the fact that all the projects submitted by Pakistan, with one exception, have proved upon investigation to be impractical or inadequately prepared, or for some other reason unsuitable for Canadian assistance at least during the current year. The one exception, a hydro-electric plant, is very highly recommended but it may have to be deferred pending the completion of a survey of the whole development plan of Pakistan, to be undertaken by an International Bank Mission.

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