The Rt. Hon. Sir John Major KG CH

Tag: 1997

  • Mr Major’s Speech in Lahore – 14 January 1997

    Below is the text of Mr Major’s speech to the Pakistan-UK Investment 2000 Seminar, held in Lahore on Tuesday 14th January 1997.

    PRIME MINISTER:

    Prime Minister, Ministers, Distinguished Guests, Ladies and Gentlemen. I am delighted to be here this morning at this seminar and I am extremely grateful to the Prime Minister for joining us here on this occasion. I think that will be very much appreciated by all our guests from the United Kingdom.

    I think, as some of you may have known, I had hoped to return later on this morning for the closing session. But Parliament is a hard task-master and recently scheduled Parliamentary business means that I dare not fail to be back in time to vote in London this evening. So I hope you will understand the exigencies of that, but I no doubt will get a very full and detailed report of your discussions later on this morning.

    I have to say that there were people in London, hard to imagine it but there were people in London who thought that given the present political uncertainty in Pakistan and the imminence of a British general election some time before 1 May, but not I can exclusively reveal before 3 February, some people thought that perhaps I should have stayed in the United Kingdom and not come on this particular visit. Well let me say I didn’t agree with them, I think they are profoundly wrong. I think there were some very sound reasons for coming and I would like just to illustrate one or two of them.

    The relationship between the United Kingdom and Pakistan is very long-standing, very long-standing in business, in intertwined history, in many cultural and legal matters, as well as in many parts of the country with a shared language. And the reality is Pakistan is going through a difficult phase as it comes up to the general election. Well I don’t believe you just stand by your friends in the easy times, friends visit friends at the difficult times as well and I think that was the second reason for being here at the moment.

    There are in any event some very good, very hard-headed reasons for pressing ahead. There is tremendous untapped potential in Pakistan, potential for the people of Pakistan, for the development of Pakistan, for growing prosperity in Pakistan, and as a result of that for inward investment from the United Kingdom in Pakistan as well.

    Our commercial relationship is clearly very substantial now; it is going to be far more substantial in the future. But I don’t believe that a commercial relationship based on history is remotely sufficient. The global market base is more intensely competitive for trade and investment every year. And what we need to ensure, and by we I mean the Pakistan government, the British government, businessmen in Pakistan and businessmen in. the United Kingdom, what we need to ensure is that our relationship stays thoroughly up-to-date if we are to make sure that the right investment takes place, that that is satisfactory and that that is competitive in the present world market.

    Ian Lang, the President of the Board of Trade, and r have brought with us a very powerful delegation of leading British businessmen. They are in essence the decision-takers. Some of them have very long interests here already, others are exploring the opportunities for a new market. It is clear to me from what they have said to me, of what they have seen and what they know of the country, that they share my view of the enormous promise that exists for the future development of Pakistan. They recognise the potential of a country with the highest average GDP growth in South Asia over the last 15 years and perhaps the most liberal and deregulated economy in the region, though there, as in the United Kingdom and elsewhere, there is still scope for further improvement in the future that we all look forward to seeing.

    And the recent trade and investment record between our two countries is impressive. In terms of investment, the United Kingdom is poised to become Pakistan’s leading overseas investor in both of the last two years. British companies have invested more in Pakistan than any other country has done. Indeed last year 30 percent of all new foreign investment in Pakistan was from the United Kingdom. And in terms of trade, bilateral, trade is now worth nearly 1 billion pounds sterling a year – up by nearly 50 percent since 1990.

    Now those are astonishing figures. But if I may say so, I think they only scratch the surface of what is possible in the years to come, and one of the reasons for this seminar is to make sure that that potential is fully tapped. I can see every prospect of the growth continuing provided, and in business and politics there is always a provided, sometimes more provided in politics than business I discover, but provided that businessmen can plan on the basis of sound and determined economic policies, and the prospect of real returns for their investment in both the medium term as well as the short term.

    And perhaps there are some other key requirements as well, well understood and acknowledged, I know, by those I have spoken to over the last few days in Pakistan.

    First, political stability is clearly vital for investment, both domestic investment and certainly for inward investment. And I strongly support, Prime Minister, your present efforts. In the end, trade and investment will only flourish in the long term against a stable political background.

    And second, of course, rapid follow through. Businessmen are sometimes impatient. Having started upon a deal they are quite keen to finish it and I think that is a highly desirable way to proceed. So in practice, contracts awarded in principle need to be concluded and carried forward in practice for the general benefit of all, and that is the way in which businessmen will have a firm basis on which to plan.

    And third, and I was delighted to hear what the Prime Minister had to say, continued liberalisation and deregulation leading to progressively freer trade. We in the West do not have entirely clean hands on the question of free trade, there are still barriers to trade in Western Europe that need to be lifted. I am certainly in the business of making sure that they are lifted and I hope progressively they can be lifted in Asia and other markets as well. The sooner collectively we can move towards wholly free trade around the world, the greater will be the flow of trade and the greater will be the benefits to people in every corner of our world.

    But of course trade and investment, self-evidently good for business, is self-evidently of benefit to both sides but to the wider community as well. They have a trickle down effect, bringing benefits to the whole society, they promote wider regional stability. And I see very great benefits for all South Asian countries in continuing to pursue moves towards-greater regional trade and cooperation, particularly perhaps through SAARC. A great deal has been done, more needs to be done and very much hope that it will be done.

    This is a special year for Pakistan, the Golden Jubilee Year. Over the next 12 months we shall be working hard on a series of commercial events, both to mark this special year for Pakistan and to boost our commercial relationship further. Let me illustrate some of the things that will be happening very briefly. In March the Royal Yacht is due to visit Karachi. The Lord Mayor of London will lead a series of business seminars on board the Royal Yacht dealing with financial services, oil, gas, environmental technology. There will be trade missions coming to Pakistan from British Invisibles, the Southern Asia Advisory Group and the London and Sussex Chambers of Commerce to name but some, others will be arriving as well. The British Council will be organising a series of special exhibitions and other events, all leading up of course to the visit of Her Majesty The Queen in October of this year.

    So that is a very substantial series of events that will take place to mark the Golden Jubilee. I hope we will see the Golden Jubilee as something not just marking 50 years of past success, but beginning to put in place the prospects for much greater success and a much closer business and political relationship in the future.

    So it is, Prime Minister, going to be a very busy year for all of us. I have every confidence that it can be a very rewarding year as well. The Ministry for Industry and the Prime Minister in their remarks a few moments ago both spoke of the nostalgia of the past and the shared elements of history between Pakistan and the United Kingdom. That is very important, it provides a background upon which we can build. But more important is looking forward to what can yet be achieved. If we look forward, if we plan securely and carefully then I think our joint trading and investment prospects are very bright indeed in the future. What has been done is impressive, what can be done is almost unlimited.

    That, Prime Minister, is our purpose in being here today, to make sure in some small way today that those opportunities are taken in the future. I hope they will be, I know that they can be and I wish you well in bringing them to fruition.

  • Mr Major’s Doorstep Interview in Lahore – 14 January 1997

    Below is the text of Mr Major’s doorstep interview in Lahore on Tuesday 14th January 1997.

    PRIME MINISTER:

    Can I firstly extend my thanks to the Government of Pakistan and to the people for the very warm hospitality that Norma and I have enjoyed over the last couple of days. It has been a trip I have long looked forward to and one I will look back on with a great deal of pleasure for a long time.

    The principal focus of the visit was to advance the rapidly-growing trading and commercial interests between the United Kingdom and Pakistan. Our trade flow has increased by about 50 per cent in the last few years and British investment in Pakistan has gone up by almost four times in the last three years or so. What I am anxious to see and what the Government are anxious to see as well is that growth in trade and mutual interests continuing again in the future. I brought with me a very distinguished group of businessmen. A great deal of work has gone on and I hope that will both add to the trade flow and add to the investment flow in the months that lie ahead.

    I also had the opportunity of lengthy discussions both with the prime minister and the president and with a number of other prominent political personalities and I found those extremely useful and extremely valuable.

    The principal feeling that I have as I come to the conclusion of this tour is that despite all that has been done to enrich the relationship over recent years, there is still far more that can be built upon and the opportunity of a much wider and deeper trading and commercial relationship is there to be taken providing the British Government, the Pakistan government and British and Pakistani business are determined that it shall be so. I think they are.

    QUESTIONS AND ANSWERS

    QUESTION:

    Prime Minister, you spoke earlier on at the seminar and you mentioned political stability. Political stability is obviously conditional on regional stability. Has the UK Government made any suggestions to the prime minister or the president of Pakistan to move in that direction and what would those suggestions be?

    PRIME MINISTER:

    That matter was discussed both with the prime minister and with the president and I think up to a point you are right, regional stability obviously adds to domestic political stability though from the point of the businessmen it is domestic political stability that they are most concerned about but yes, we did discuss those matters, they are essentially matters for Pakistan not for an outsider to deal in but where we can offer help, encouragement and assistance we will be happy to do so.

    QUESTION:

    Prime Minister, what are your views about the Kashmir issue and in the present circumstances how can it be solved and how can you help Pakistan and India?

    PRIME MINISTER:

    I discussed that issue at some length with the president and I think the president subsequently indicated the nature of our discussion.

    There are three essential parties to a solution to the Kashmir issue: the government of Pakistan, the government of India and the people themselves who live in Kashmir. All of those three are going to have an important part in deciding whether there can be a solution.

    Self-evidently, one wants to ensure that comprehensive talks take place. I very much hope that will be possible soon, I hope the governments will be able to get together, I hope they will be able to take full account of the views of the people who actually live in Kashmir. If external help and assistance is required, where it is thought it might be appropriate if we are asked we will be happy to lend a hand but essentially the agreement is going to have to be reached in this part of the world; it cannot be imposed, it must take account of the people who live in Kashmir and it is undoubtedly going to require skill, wisdom and courage by both governments.

    I hope that it will be possible to move forward because to follow up the question from your colleague a few moments ago, if the Kashmir problem were to be be solved over the next few years – and nobody should doubt the difficulties of it – I think that would be a key, not the only key but a key to unlocking a great deal of greater stability, investment and prosperity in the years to come.

  • PMQT Written Answers – 13 January 1997

    Below is the text of the written answers relating to Prime Minister’s Question Time from 13th January 1997.

    PRIME MINISTER:

    Consultants

    Mr. Milburn: To ask the Prime Minister (1) what estimates he has made of the amount spent on external consultants by his Department’s non-departmental public bodies in each of the last five years;
    (2) if he will list the actions his Department has taken on each of the recommendations contained in the Cabinet Office report on the Government’s use of external consultants.

    The Prime Minister: For these purposes my office is part of the Cabinet Office. I refer the hon. Member to the replies given today by my right hon. Friend the Chancellor of the Duchy of Lancaster.

  • Mr Major’s Doorstep Interview at the Khyber Pass – 13 January 1997

    Below is the text of Mr Major’s doorstep interview at the Khyber Pass, held on Monday 13th January 1997.

    QUESTION:

    Prime Minister, give us your impression, if you would, particularly on the work that is going on here to try and reduce the drug trade?

    PRIME MINISTER:

    The work here is clearly vital. One of the most important drug routes, one of the most damaging drug routes, is coming from Afghanistan, through Pakistan and then on to Northern Europe. And one of the principal activities that is being carried out here is to prevent those drugs getting through. There has been a considerable amount of success. We have been working with the Drug Enforcement Agencies in Pakistan for some time, providing helicopters and equipment, and I wished today to have a look at precisely what was being done to see in what further ways we can help.

    QUESTION:

    Looking at the statistics though does look as though anybody who tries to tackle this is fighting a losing battle?

    PRIME MINISTER:

    I think there has been a lot of success. Quite a few tonnes, quite literally many tonnes of heroin and hashish and other drugs have actually been stopped and captured. A large number of drug processing laboratories have been identified and destroyed and that work is continuing and indeed that work is accelerating at the moment. There is a huge amount to do. You only have to look at the nature of the terrain to see the difficulty of the task, and the drugs are coming across the Afghan hills from Afghanistan and coming through this pretty wild and remote area en route to Northern Europe. So there is a huge amount to be done, but a great deal is being done and the contacts between the High Commission here, our Drug Enforcement Agencies and the Drug Enforcement Agencies in Pakistan are very close.

    QUESTION:

    Are you putting more resources in, having seen the nature and the scale of the problem?

    PRIME MINISTER:

    Yes, when we identify precisely what is needed. There is no question of putting resources in for the sake of resources. We have increased resources with some more equipment shortly to be added to the helicopters we have provided before. And we will liaise, and where we can identify a shortfall in equipment that is needed then of course we will consider putting it in.

    QUESTION:

    But the nature and scale of the problem that is being faced by Northern Europe is immense, is it not?

    PRIME MINISTER:

    It is immense, but of course all the drugs don’t come through this route. Some of them come from Latin America and we have already taken action to block off the route from Latin America to the Eastern Caribbean to northern Europe. Now we must make sure that there is similar firm action taken here. A lot has been done, more may need to be done, I am here to look at what needs to be done and then we will make our judgments.

  • Mr Major’s Response to Toast in Islamabad – 12 January 1997

    Below is the text of Mr Major’s response at a toast during a banquet held in Islamabad on Sunday 12th January 1997.

    PRIME MINISTER:

    It is an honour and a pleasure to be here tonight. In keeping with the spirit of economy and modesty shown by the present caretaker government, I shall keep my remarks brief.

    I am delighted to be visiting Pakistan at the start of your Golden Jubilee. Through those years, the United Kingdom has proved itself to be one of Pakistan’s leading friends and supporters. As long-standing partners, we know each other well, and we work well together. I am glad to have this opportunity to reaffirm the continuing importance we in Britain attach to our relationship with you.

    Pakistan is presently passing through a period of political change.

    But my central message this evening is that the United Kingdom remains fully committed to supporting Pakistan’s development as a prosperous, liberal and democratic Islamic state.

    Over the years, democracy in Pakistan has had its false starts and its reversals, as well as its memorable successes. But above all it has had an accumulating momentum. As a friend of Pakistan, I felt it important to come here now, notwithstanding the uncertainty, and indeed in part precisely because of it.

    So I salute your commitment, Prime Minister, to holding elections within ninety days, as set out in the Constitution. Friends of Pakistan look to you, and to the members and leaders of Pakistan’s political parties, to hold and take part in elections next month which are, and are seen to be, free and fair. We look to you all to set Pakistan on its feet once more. I wish all the parties contesting the elections well. Britain, like other members of the international community, will be sending observers to watch the election process.

    Britain’s commitment to Pakistan is unstinting; and our histories are entwined closely together. But the reason for the closeness of our connection today is not just historical. We are with you not for sentimental or historical reasons We are with you for hard, modern reasons.

    That is why I have come to Pakistan with my colleague Ian Lang, the President of the Board of Trade, and a team of senior British businessmen. They have come because they recognise Pakistan as a market of promise, with the highest average GDP growth in South Asia over the last 15 years, and perhaps the region’s most liberal and de-regulated economy. Some of the companies they represent have long-term investments here already; others are looking at the opportunities.

    In the last two years, British companies have invested more in Pakistan than has any other country. In 1995 – the last figures we have – Pakistan exported more to Britain than we did to you. Last year, 30 per cent of all new foreign investment was British. There could hardly be more concrete evidence of our commitment to Pakistan’s market. Bilateral trade is now worth over a billion dollars a year, up nearly 50 per cent since 1990.

    The picture on investment is equally striking. Over the past two years, Britain has invested more in Pakistan than any other country. Today, the UK is poised to become Pakistan’s top overseas investor.

    What British businessmen and investors will continue to look for are sound and determined economic policies and a prospect of real returns, including over the medium-term.

    There is another ingredient they will be looking for too, namely political and economic stability. We strongly support your present efforts to establish these. For, in the end, trade and investment will only flourish against a stable political background. This is a lesson that we too have had to learn in Europe, at the cost of much blood and treasure. So today, the European Union not only provides a market of some 400 million people, it has also made armed conflict between its members unthinkable.

    But I do not want to talk only of the trading links between us. Britain is also active in helping Pakistan’s people realise their potential. Our aid programme, the third largest of our programmes, focuses on Pakistan’s greatest resource, the wealth of talent of its people.

    We support the provision of better basic health care and primary education. And we particularly applaud Pakistan’s continuing important commitment to your Social Action Programme. British experts and volunteers are working with their Pakistani counterparts across the country, in the North West Frontier, in Buluchistan, in Punjab, in rural Sindh – almost anywhere there is work to be done.

    British non-governmental organisations are of course also very active here, and I am delighted that the British Foreign Office Minister for Overseas Development, Lynda Chalker, plans to visit here in March.

    Underpinning all these other ties, of course, are the remarkable personal links between Pakistanis here and British Pakistanis. Today, there are over 600,000 British Pakistanis in the UK. Nearly one of every hundred people in the UK is of Pakistani origin.

    The Pakistani community in the UK is, and long has been, an integral part of our multi-ethnic society. Last year, almost 55 per cent of British Pakistanis were horn in Britain. They are committed to education. The proportion of British Pakistanis in further education rises every year. And they are active in business and politics; there are now more than 120 British Pakistani councillors in UK local government. Both as individuals, and as a community, Pakistanis in Britain are making an important and distinctive contribution to our national life.

    Britain has a tangible and enduring commitment to Pakistan. What better time to celebrate it than in your Jubilee Year, 1997? The visit of Her Majesty the Queen in the Autumn will be the high point. But many other visits are planned:

    – on the military side, the new Chief of Britain’s Defence Staff, and the First Sea Lord, will be here;
    – a team of British Law Lords visited last week for talks with the Pakistani Chief Justice;
    – the Lord Mayor of London will be here in March on board The Royal Yacht Britannia, supporting a significant programme of commercial activity;
    – and I hope that the Archbishop of Canterbury, the leader of the Church of England, will visit at the end of the year, to meet both the Christian community and Muslim leaders too.

    Meanwhile, the British Council in Pakistan have arranged their largest ever festival here. It will offer the Royal Shakespeare Company in April; a programme of contemporary dance next month; piano recitals, sculpture exhibitions, and photographic exhibitions. An exhibition which charts the influences and links between Islam and the West. And something close to all of our hearts, and exhibition devoted to cricket.

    While acknowledging the past, for me the real importance of 1997 is the chance it gives us to look to the future. One way we have decided to mark the 50th anniversary is by establishing in Karachi a British Management Training Resource Centre, as a means of making a practical contribution to Pakistan’s continued development as a prosperous and efficient state.

    So there is much to look forward to. The friendship between the United Kingdom and Pakistan has proved itself repeatedly over the last 50 years. And so long as I, at least, have anything to do with it – which I trust will be a good few years yet – you will continue to find us firm friends in the future. We may not always be the most flamboyant of partners. But we do make a practice of delivering on our commitments.

    If my experience is anything to go by, your immediate political priorities will continue rather to preoccupy you until next month. But thereafter, you and the people of Pakistan will retain an immense stake in your country’s future success and prosperity. That, Prime Minister, is an investment that we share. And we look for it to thrive.

  • Mr Major’s Joint Press Conference with Sheikha Hasina – 12 January 1997

    Below is the text of Mr Major’s joint press conference with the Bangladeshi Prime Minister, Sheikha Hasina, on Sunday 12th January 1997.

    SHEIKHA HASINA:

    Distinguished Members of the Press. I am happy that the British Prime Minister, the Rt Hon John Major, has successfully concluded a two-day official visit to Bangladesh, and we have been pleased to receive him and Mrs Major in our midst at a time when we are celebrating the Silver Jubilee of our liberation.

    We had formal talks where we discussed the broad gamut of subjects concerning bilateral relations and international issues of major concern. The subject of increasing British investment to Bangladesh came up during the discussion. We also discussed how to increase trade flows between our two countries. He highly appreciated the economic and investment policies pursued by our government, while referring to the friendly investment climate in Bangladesh. The British Prime Minister said that British investors are keen to invest in Bangladesh. In this regard we are pleased to know that a high level British investment and business delegation will be visiting Bangladesh shortly. He also acclaimed the pioneering role of Bangladesh involving micro-credit towers for elevation.

    Prime Minister John Major has agreed to consider sympathetically our request for assistance in the field of education, training for English language teachers, higher medical studies and scientific research as well as a resumption of food aid.

    I am pleased to state that during the visit an agreement was signed between Petrobangla on one side and Cairns Energy plc [indistinct] Limited and Halliburton, Brown and Root Limited on the sale and purchase of gas. It heralds a new chapter in building the confidence of foreign investors in Bangladesh. It involves an actual investment of 188 million US dollars.

    I am looking forward to attending the Commonwealth Summit Meeting in Edinburgh which I am sure will be very productive. We also discussed matters relating to the forthcoming Conference of the Commonwealth Heads of Government and State to be held in Edinburgh in October 1997. Both Bangladesh and Britain can contribute significantly towards revitalising the Commonwealth. While reviewing our bilateral relations I recalled with gratitude the support extended by the government, the political leadership and the people of Britain during our War of Liberation.

    The visit of the Prime Minister marks a milestone in our bilateral relations. I am confident it will further contribute towards strengthening the relations between Bangladesh and Britain, particularly in the field of trade and foreign investment.

    We look forward to receiving The Prince of Wales at the end of February this year. We greatly value our relations with the United Kingdom which has emerged as the second largest export market and an important source of foreign investment.

    PRIME MINISTER:

    Prime Minister, thank you. Let me just add a few words to that. I think you have set out very fully and very accurately the substance of our discussions over the last couple of days. Let me say how much I have enjoyed this short visit to Bangladesh. I very much enjoyed my meetings and discussions with you, Prime Minister, and with the President, and also the visit to the remarkable Memorial at Savar and the work that is being done across the country. I saw particularly at Manikganj some very remarkable work being done to assist in rural areas.

    It is, as you said, an auspicious time to be here. Auspicious think firstly because of the anniversary to which you referred, but also because it seems an appropriate time to look at a relationship, refresh it, modernise it and take advantage of the business and political opportunities that exist, and very self-evidently exist at the moment, to increase and deepen the relationship between our two countries.

    You have mentioned the importance of trade and investment and I don’t think I need to add anything to that, except to endorse the fact that there is a substantial trade flow now, a substantial investment flow, and there is every indication that that is likely to increase in the future. And I think that is something that we both look forward to and both welcome.

    As you said, we discussed a number of political aspects as well, relationships with the Commonwealth, where again trade, investment and development as a road to prosperity across the Commonwealth will be the substantive theme of the Commonwealth Heads of Government Meeting at Edinburgh later on this year.

    We also noted with some interest that our troops had shared in peace keeping duties in Iraq, in Kuwait and in Bosnia, and spoke also of the opportunities that would certainly emerge in the future for that relationship also to be intensified.

    I came here as the Head of a Government of a country that is already firm friends with Bangladesh. The visit essentially was to act as a catalyst to intensify the relationship in terms of trade and also in terms of politics as well and I think we have managed to achieve that in the discussions we have had over the last day or so.

    In the past there has been quite a heavy relationship [sic] in our relationship on aid and of course the aid will continue in future. But I think it is moving beyond that with the new trading and investment relationship that now exists and you have referred, Prime Minister, to one very substantial investment that has been signed. I am sure that there will be others to come in the future.

    So we wish to see the relationship move on, move on economically to a new emphasis on trade and investment, and move on politically by focusing on democracy and Stability as the new plans and reforms in Bangladesh deepen and settle firmly into the Bangladesh way of government and life.

    I am very keen to maintain the existing links that exist and to diversify them. What I have found very refreshing on this visit is that that is clearly your wish, Prime Minister, and the wish of the government of Bangladesh as well. I am delighted that an early opportunity to develop the business links will come with a substantial trade mission led by the Chairman of the British Overseas Trade Board, Martin Laing, in just a few weeks time. And senior officials from the Overseas Development Agency will be here also to discuss elements of the aid programme for the future.

    So I think we have a very firm basis for a positive and intensified relationship and I would conclude, if I may, simply by thanking you, Prime Minister, your government and the people of. Bangladesh for their very warm and very friendly welcome on this visit.

    QUESTIONS AND ANSWERS

    QUESTION:

    Prime Minister, you have mentioned that your visit to Bangladesh will act as a catalyst to improve the relationship between the two sides. Can you please tell me in what way this will serve as a catalyst? Have you identified any particular areas which will witness tremendous progress after the visit?

    PRIME MINISTER:

    Such a thought would never have crossed my mind. How are we going to act as a catalyst? I think essentially by drawing attention to the investment and business opportunities that exist. There was a growing recognition, but I think not a sufficient growing recognition. A number of businessmen have come here with me on this particular trip. A large contract has been signed. The Prime Minister and I have discussed further options for the future. The trade mission is about to come. The publicity generated by my visit both here, and the publicity generated back at home amongst the business community, will open up the opportunities in Bangladesh to people who might not otherwise have considered them. I hope also we will have the opportunity of seeing businessmen from Bangladesh, and the Prime Minister if that is possible, also visit the United Kingdom. So I think it is in that fashion that there tends to be a catalyst.

    It has been the experience in the past that when there is a substantial trading contract of some sort that is signed, that it tends to emphasise the opportunities that exist. And I think the opening up particularly of the energy market and the remarkable contract between Petrobangla and Cairns to lift very large amounts of gas from the Bay of Bengal, is an indication, the highest single indication, the highest profile indication we have yet seen of the changing face of Bangladesh. So I think in that fashion it will act as a catalyst.

    QUESTION:

    [Indistinct] elections by May this year and there is some strength in British voters of Bangladeshi origin. Do you think their favoured response is to your political party and how much do you count on their votes?

    PRIME MINISTER:

    Every individual elector in the United Kingdom will make up their own mind, you can’t treat them as groups, they are individuals. If you could treat them as groups, life would be easier, you can’t, not in Britain.

    QUESTION:

    You currently have the distinction of having good relations with the countries you are visiting now, links in a variety of ways. Do you or your country have any plan to make very good relationships amongst the countries of the sub-continent that you are now visiting? We are not having a really good friendship or good relations. Do you or your country have any plans to alter the catalyst [indistinct] among countries?

    PRIME MINISTER:

    I think by and large countries can best determine their bilateral relationships themselves. But where Britain is a firm friend of one or more countries, if we are asked to assist in any way then of course that assistance would be made available. But I don’t think we would gratuitously offer ourselves to do so, because I think essentially an improving relationship between countries must come about by those countries themselves. And what has been very striking, I came here, as you know, from India, and the Prime Minister of India, Deve Gowda, was also here meeting Prime Minister Sheikha Hasina, and there is no doubt about the determination amongst India and Bangladesh to improve their relationship. I think the recent water agreement on the Ganges, which has been needed for many years and hasn’t previously been possible to reach agreement, is the firmest possible indication that there is a greater intent to improve the relationships within the area. Certainly that is what the Prime Minister has said to me over the last day or so and I can assure you that that is what the Prime Minister of India said to me as well, and I look forward to similar discussions in Pakistan tomorrow.

    QUESTION:

    You met the Leader of the Opposition, Begum Khaled Zia, yesterday. Can you please tell us what she told you and what you told her?

    PRIME MINISTER:

    Certainly not. Begum Khaled Zia and I have known one another for some time. We met of course during the period she was Prime Minister of Bangladesh, we met at Commonwealth Conferences and I think on other occasions as well, so I had met and known her before. Bangladesh has now turned itself into a democracy. It is standard practice in the United Kingdom that distinguished visitors from abroad will visit the Prime Minister and visit the Leader of the Opposition as well, that is the way democracy works and it works the same way in reverse. And I was delighted to see the Prime Minister, delighted to see the Leader of the Opposition and discuss matters with them. But I have to say those discussions are private. I have no more intention of revealing the private nature of my discussions with the Prime Minister than I have the private nature of my discussions with the Leader of the Opposition. I think it would not enable those discussions in future to take place on quite the same basis.

    QUESTION:

    You are leaving here for Islamabad today. Will you discuss the Kashmir issue with the Pakistan leaders and what is the stand of the UK regarding the issue of Kashmir?

    PRIME MINISTER:

    I think it very probably will come up. It came up with the Prime Minister of India and I think it will undoubtedly come up in Pakistan as well. I think we have made our position clear on many occasions. This is a classic occasion of an issue that cannot be solved other than by India and by Pakistan. Where our good offices can be utilised of course we would be able to assist, but I think it is a matter predominantly for them. We have made it clear that external insurgency doesn’t help, we have made it clear that there is a need for proper elections, there were elections earlier in the year. But by and large I don’t think that I am likely to arrive in Islamabad and solve the Kashmir problem tomorrow. I think that is unlikely and I think it is going to have to be solved between Pakistan and India.

  • Mr Major’s Joint Press Briefing with Ian Lang – 12 January 1997

    Below is the text of Mr Major’s joint press briefing with the President of the Board of Trade, Ian Lang, made en route to Islamabad on Sunday 12th January 1997.

    PRIME MINISTER:

    I thought before we talked about Pakistan you just might like to hear what Ian has been doing over the past 24 hours and of the contracts that you don’t yet know about that have been signed since we came here.

    MR LANG:

    We had a very good positive visit to Delhi. The businessmen, some of them pursued their individual contacts, others took part in seminars. I was at the British Council opening a new Business Management Centre for remote learning involving Strathclyde University and Durham University. That is going extremely well, they are getting a large number of applications from Indians to take part. I also opened a new English language remote learning centre which is also going well.

    I witnessed a number of further signings and it might be helpful to you to know that we really have built up quite a list of signings and contracts during this visit. It wasn’t what the visit was about, but it does illustrate how business is going on all the time in India. And when we talk about the rise in exports having almost doubled in 4 years, and how investment has risen by 50 percent in the same period and now stands at 3 billion pounds – the biggest outward investor in India – it is when you see the day-to-day deals that are being struck that that takes on more reality.

    You have seen details of some Of these already; Bays deal, a 22.5 percent stake in Bharti Cellular Limited; GEC-Alston, a gas turbine project, 110 megawatts with the Usher Group; also with the Usher Group a dedicated computer software centre; the 600 Group, a major machine tool manufacturer, has signed a 4 million pounds contract with Mysore Kerloska [phon] Company to manufacture components for machinery; Rolls Royce Subsidiary has signed a deal with SSB in Bangalore to make high voltage insulators; BCC is expanding substantially in its plants around India; Richard Ellis has done a property development, the biggest in India, to build new housing in Delhi where there was previous industrial activity; and HSBC’s new office, which I opened last night in Delhi, is going to be the basis for its new corporate finance company. Those are all worthwhile deals, none of them are megadeals, but cumulatively they add up to substantial business, and there was an enormously positive response to the business delegation throughout the trip to Delhi and I hope that gives you some flavour of the sort of things that are going on.

    PRIME MINISTER:

    That really just adds to what you heard earlier about India. When Ian made the point that that was not what we were here for, we were looking for much longer term trends, this is work in progress as it turns out, picked up during the course of this particular visit.

    Let me turn minds forward to Islamabad and what we are going to be doing in the next couple of days. The reason for visiting Pakistan is pretty much the same as the reason for visiting India. We have got a very substantial trade flow with Pakistan. I think the trade balance is actually quite narrow, but I think they sell slightly more to us than we do at the moment in terms of normal everyday trade.

    What has been very startling has been the growth of UK investment in Pakistan over the past three years or so. We are now very marginally behind the United States as the largest investor in Pakistan. It is overwhelmingly likely that we will comfortably pass them this year. Our capital investment in Pakistan has pretty much quadrupled in the last three years and is on a very sharply rising trend.

    Again, if I could emphasise the point, we see this as very much a long term endeavour to build up interest in Pakistan rather than any contracts that may emerge in the immediate future.

    The possibilities for Pakistan we think are very substantial, we think that is true in a number of very mega contracts. There are some contracts where agreements in principle have been reached but finance agreement hasn’t been reached and the financial deal hasn’t actually been closed, and I am sure Ian could give you more details of those later privately if you wished.

    Beyond that, we are going to the Afghanistan border tomorrow. There is a very good reason for that. A very large part of the drugs trade which affects Western Europe actually comes down that route and I want some clear briefing on what is actually being done to inhibit that drugs trade and to examine what we, the British, can do to help, and also what we, the Europeans, can do to try and cut down on the amount of that drugs movement. It is a very serious drugs route indeed and I think it will be intriguing to see exactly what is going to happen.

    I know political times are exciting in Pakistan and neither Ian nor I propose to get involved in domestic Pakistani politics. You may well ask, I can’t inhibit your questions, but I don’t propose to get involved in the details of that. We are expecting the elections to take place on 3 February. We think all the mainstream political figures will be candidates in that election. We look forward to the return of a democratically elected government in Pakistan.

    One issue I will raise while I am here with the principal figures I meet in Pakistan is the Kashmiri kidnap. Mr Wells and Mr Mangan have now been missing with two others – three others originally, but you will recall a Norwegian was found murdered they have been missing for 18 months. The last certain information about them was the end of 1985. A great deal of work continues and I will raise yet again our interest in finding out exactly what is, or was, the fate of those four people who were kidnapped.

    So that covers broadly the agenda, a very strong trade balance. I would expect to see Benazir Bhutto and Nawaz Sharif and the President and the Prime Minister and it may well be other prominent figures will arrive at our reception tomorrow night, or at the Prime Minister’s dinner tonight.

     

    QUESTIONS AND ANSWERS

    QUESTION:

    Yesterday you were quite critical of Western European nations for not doing enough to open their markets for developing countries to help lift people out of poverty. Could you elaborate a little bit on that? Also, do you see the single currency as something which would create a fortress Europe, which would take them further along that path?

    PRIME MINISTER:

    I don’t think a single currency would make any difference. The reality is that Western Europe has been quite slow to open some of its markets. It is moving in the right direction but it isn’t moving fast enough. And the point I have made before I will reiterate again. It is an oddity to provide aid to countries on one hand, while on the other hand you fail to give them something they need every bit as much, and that is access to Western markets. So we very much believe that open markets and free trade are in everyone’s interest. They are never entirely a pain-free option, don’t let me suggest that they are, but it increases the sum amount of trade. And I think if you see some of the poorer nations of the world and you look at their prospects for becoming self-dependent, well they are not going to become self-dependent if they cannot export what they have to export freely into Western markets. If we are serious about helping them then we have to accept that markets must progressively be freed, and that is what we would like to do. I don’t think the impact of a single currency would have any difference either way.

    MR LANG:

    Can I just add that we pressed hard at the WTO Conference in Singapore to adopt the initiative of Director, General Rugeiro of the WTO. We gave a lead on this within Europe. We believe it is the best way of helping poor countries to improve their conditions.

    QUESTION:

    The Americans at one stage recently suspended aid to Pakistan because they believed that Pakistan was seeking to acquire materials to become a nuclear power, Do you have any worries about Pakistan’s ambitions in this direction and if you found hard evidence of Pakistan attempting to acquire such materials, would you consider suspending British aid at any stage?

    PRIME MINISTER:

    I think we would consider what action if and when we had hard evidence. But we are certainly very keen to see Pakistan and India, and China for that matter, sign the Comprehensive Test Ban Treaty. That has been an objective of policy for some time. Each of the nations is unwilling to do so because they foresee difficulties, if they do so, without the others doing so also and so that is pretty much left in stalemate. But clearly I think it is desirable, on economic as well as political grounds, for action to be taken to make sure there are no more nuclear weapons in this part of the world.

    QUESTION:

    You have mentioned the substantial list of contracts that have been signed both in India and which expect to be signed tomorrow. As a result of this trip do you expect some even more substantial contracts to be signed both with India and Pakistan by UK companies over the next few months, can you give any indications of that?

    MR LANG:

    Yes I do and I know of one or two that are in negotiation, but because they are in negotiation they are confidential at this stage. But I would expect that in addition to those that are being negotiated, the high profile that has been given to this delegation’s visit within India, and the very positive reception arising from Prime Minister Gowda’s involvement as well, will lead to a further flow of business. Certainly the Indian press have been positive and the businessmen that we have met have been very positive.

    QUESTION:

    It has been suggested today that Labour’s windfall tax is illegal. Do you believe that Labour’s windfall tax is illegal?

    PRIME MINISTER

    I don’t really want to get involved in domestic matters until I get back.

    QUESTION:

    Would you anticipate at all, so far as the north-west frontier is concerned, making representations at the European Union if you thought it was necessary to make a greater commitment so far as choking off the drug supply there?

    PRIME MINISTER:

    Absolutely. We have produced a number of initiatives, some of them with the French, some of them with the Germans, to deal with the problem of drugs at a European Union level. For example, the initiative to cut off the Latin American route at the Eastern Caribbean by providing more resources, providing ships to cut off and providing extra resources for policing. And most certainly I will report back to our European partners on what we discover on this occasion. Because these are drug routes that come to Western Europe, not just to Britain, and we have seen the drug problem in some parts of the world, it is very important that Western Europe acts early and decisively to cut off the drugs route whenever it can. So the answer to your question is unequivocally yes.

    QUESTION:

    Will there be a financial commitment?

    PRIME MINISTER:

    Maybe, maybe financial, maybe help with policing, maybe a range of things, maybe extra action within Western Europe to stop it coming in. It could be any or all of these things. But by and large you need to take action at source, either at source or on the route of the drug trade, and I think that is the sort of thing I would be likely to report back to them. And I would expect to have a ready and willing hearing for that message.

    QUESTION:

    You talked a moment ago about access to Western markets, but drugs are one thing which do have an access to Western markets and ready buyers. How does one compensate the kind of people who are very poor, who grow many of these drugs, in terms of aid and give them an alternative livelihood, as the Americans have tried to do in South America?

    PRIME MINISTER:

    I think the majority of the money doesn’t actually go to them so the compensation really would be in terms of providing alternative sources of employment and alternative investment and that is something I think we would have to look at across Western Europe and in North America. For example, if I could go back to the Caribbean exercise, the drugs that come from Latin America to the Eastern Caribbean then go in two directions: they go northwards to the United States and they then go westwards to Western Europe. So I think there is scope. You are quite right, you need to deal with the primary source as well, though I don’t think we are in the direction of redirecting our aid budget for example into Afghanistan. I wouldn’t wish to hold out that that was a policy that we had in mind. But collectively I think Western Europe and the United States would be looking to see what could be done in terms of trade and other things to deal with the problems in the countries of primary supply. They are growing the poppies or whatever, but it is the people who buy them and traffic in them that are really making the money.

    QUESTION:

    You were talking yesterday about the way in which Western countries block off trading options to developing countries. Do you feel in terms of your aims and flexibility within the EU, the broader question of flexibility within the EU, that you are anywhere nearer to seeing a way through the disputes?

    PRIME MINISTER:

    I don’t think what I have in mind in flexibility would make a great deal of difference to that particular problem. What we need to do is to try and persuade the European Union as a whole not to be quite so restrictive in some areas and I think that will progressively happen, the question is how rapidly it happens. The big problem of course is agriculture but it is by no means the only one.

    QUESTION:

    Do you feel you are any closer on flexibility?

    PRIME MINISTER:

    Yes I do. Flexibility isn’t a new invention as far as I am concerned. I spoke of the necessity of flexibility in the William and Mary Lecture over 2 years ago now and I have no doubt that it is inevitable that the European Union cannot continue in its present form. At its membership grows, it will have to be more flexible. Now the great debate is how flexible will it be and what sort of flexibility will it mean, and that is where the debate is concentrating at the moment. But I think I will be able to make progress on that, yes.

    QUESTION:

    Before Amsterdam?

    PRIME MINISTER:

    I doubt the progress will be finalised until Amsterdam. It is likely, as it was at Maastricht, all to come together in the end game I would guess. So we may make some progress beforehand but I think it will only be enshrined in treaty form when the Heads of Government meet at Amsterdam.

    QUESTION:

    When you are being even-handed with the political leaders, will you also be expressing any concern about the increased role of the army in Pakistani politics and the threat that that might pose to democracy?

    PRIME MINISTER:

    I think what I will be saying is that I look forward to the elections and a return to democratically elected government. We have said that before, there is nothing new in that, and I would expect to reiterate that in my private discussions over the next few days, yes.

    QUESTION:

    You said that you expect to see some progress on flexibility, and I realise that you are not going to reveal your negotiating hand, but does that mean any suggestion that we could accept the German position which is that they could go ahead with flexibility against our wishes, or is that enshrined in stone?

    PRIME MINISTER:

    No it does not mean that. I don’t think flexibility against the wishes of member states, that is not the flexibility I have in my mind.

    QUESTION:

    Presumably you have got to wade through the flexibility minefield if you like, have you got a way of unlocking this particular problem?

    PRIME MINISTER:

    Yes I can see a way of unlocking it. We still, have to negotiate our way through, but I can see now how it can be done and I will endeavour to ensure that it is done in the discussions over the next few months. Rut we have to agree not just with the Presidency, we have to agree with other members, and that is why I think it is very unlikely to be finalised until we finish the treaty negotiations hopefully in Amsterdam.

    QUESTION:

    On the drugs matter, again the Americans put a lot of effort into saying that you have to tackle the problem at the end, not of supply but of demand, and penalties in the United States have been raised to swingeing levels. Is this an instance where the customer is always wrong and if so are UK penalties what they should be?

    PRIME MINISTER:

    Penalties for the drug user or the drug supplier?

    QUESTION:

    Drug user.

    PRIME MINISTER:

    I think the view we have taken all the way through, both in terms of soft drugs and hard drugs, is that we need to take a very firm hand. I don’t in any way favour the legalisation of soft drugs.

    Some people do, I think that is profoundly mistaken as policy. Most of the people who move on to hard drugs graduate to hard drugs through using soft drugs. I don’t know what the current. statistics are but I remember at one stage there were said to be over 90 percent of the people, 95 I think was the figure I saw some years ago, of people who took hard drugs graduated to hard drugs through the on-trade system of using soft drugs. So I think we have to be pretty tough on both. And as far as the drug supplier is concerned, we have increased penalties for that and I think it is entirely right that we should do so. It is a particularly evil and pernicious trade.

    QUESTION:

    On flexibility, is your proposal along the lines of that put by Wim Kok in your talks at the beginning of last week? Do you have the Dutch Presidency backing yet for your own proposal on this?

    PRIME MINISTER:

    The Dutch Presidency will hold the ring, they won’t take a line in favour of our position or against it I don’t think. There are many shades of flexibility and I don’t propose to go into my negotiating position, I don’t think it would be prudent to do so. But I would simply make the general points which I think I will have to ask you to rest on. The European Union is becoming more flexible. Some people aren’t members of Schengen, some people have opt-outs on monetary union, some people have opt-outs on social affairs. That is going to accelerate in future, it is going to accelerate as the European Union enlarges and as we see it accelerate I think there is greater scope for countries taking part in those aspects of European Union activity that are in its own interest, and not being dragged into parts of European Union activity that are unpalatable to it. Now that is not a message that will be very easy for all our European partners to swallow, but it is the only way the European Union is going to be able to develop in the years ahead. It cannot develop with 15, 16, 20, 25 members all going ahead in the same way at the same time.

    But if you will forgive me, Phil, I don’t propose to go into details.

    QUESTION:

    You and your opponents in the British general election will exploit every opportunity you get over the coming weeks with an election coming, quite naturally. Are you worried that Pakistan’s politicians will attempt to use your visit to their own purposes?

    PRIME MINISTER:

    I think that is a good reason for making sure I see each of the leaders of the main parties who have asked to see me, and I shall do so and I shall not enter into any views on their internal election.

    QUESTION:

    Do you see what you are doing in Europe as a renegotiation of British membership?

    PRIME MINISTER:

    The IGC is a renegotiation, it is semantic to call it .a renegotiation or not. But if you are negotiating and you are renegotiating some things that exist already, as for example the position of the Commission and the size of the Commission, it is simply a matter of factual accuracy to call it a renegotiation. The trouble is that these terms, they become a term of art to mean things other than they really mean. This is a renegotiation because some things that exist are being renegotiated. It isn’t a renegotiation in the sense that all parts of the acquis are being torn up and thrown away.

    QUESTION:

    But presumably what you are doing on flexibility is quite a big thing, that is quite a fundamental step?

    PRIME MINISTER:

    That is a new negotiation rather than a renegotiation, but yes it is a big thing.

  • Mr Major’s Doorstep Interview in Islamabad – 12 January 1997

    Below is the text of Mr Major’s doorstep interview in Islamabad, held on Sunday 12th January 1997.

    QUESTION:

    Prime Minister, what issues did you discuss in your talks with our Prime Minister?

    PRIME MINISTER:

    We had some very interesting and worthwhile discussions. They overran a little and I think that reflects the fact that we covered a lot of ground and they were very interesting. Let me summarise some of the things we discussed for you. We discussed, of course, the celebrations for the 50th Anniversary of Independence, we discussed the many events that will be taking place both in the United Kingdom and in Pakistan, and in particular The Queen’s visit in October and the arrival of the Royal Yacht and the Lord Mayor of London earlier in the year. We regard this as a very important anniversary and we are very anxious to make sure that it is a success.

    We also spent a lot of time discussing the trade and investment opportunities. I have brought with me to Pakistan a very distinguished large group of very senior businessmen, indeed there are no more senior businessmen that I have brought with me, to Pakistan. We have seen over the last few years a significant increase in trade between our two countries and a truly remarkable increase in British investment in Pakistan. And the Prime Minister and I have been discussing this and we have been discussing the tremendous opportunities that exist to increase mutual trade and to accelerate investment in Pakistan and I very much hope that we are going to be able to achieve this.

    We discussed also the drugs problems. We are working together to deal with the drugs problems. As you may recall, the United Kingdom were able to provide two helicopters recently to help in that. We began discussions on further measures that we might be able mutually to take to deal with the problems of drugs.

    We discussed a series of individual trading matters and I raised earlier in my private discussion with the Prime Minister our continuing concern about the kidnapped captives from Kashmir. Those and a range of other matters were part of our agenda this afternoon. I don’t promise you that that is an absolutely comprehensive list of the things we discussed, but it is at least a good starting point for you.

    QUESTION:

    There are serious human rights violations in occupied Kashmir, would you please comment on this?

    PRIME MINISTER:

    We are very concerned about human rights violations wherever they occur, and we will have the opportunity to discuss Kashmir. We didn’t discuss Kashmir at length this afternoon. I am sure we will discuss Kashmir at greater length tomorrow, that is certainly the case, but thus far we didn’t. So we will deal with that and other matters tomorrow.

    QUESTION:

    Do you think that Kashmiris should be given the right of self-determination under the UNO?

    PRIME MINISTER.

    We will be discussing Kashmir tomorrow and I will comment on it when we have discussed it tomorrow?

    QUESTION:

    Did the question of Afghanistan come up in the discussions?

    PRIME MINISTER:

    The question of Afghanistan did come up in the discussions, it came up in the context of drugs initially, but also our concern to make sure that there is a ceasefire and a proper series of negotiations in Afghanistan and that the Taliban and others cooperate with the United Nations Special Mission, and we spent some time discussing that.

    QUESTION:

    Since you are coming here from New Delhi and Dhaka, what is your assessment about the regional security situation and what role can Britain play to promote peace and stability in South Asia and to discourage the arms race initiative by our eastern neighbour, India?

    PRIME MINISTER:

    We are very keen to see greater security in Asia. I understand the problems that have arisen with China, with India and Pakistan and they are matters also that we will be discussing tomorrow. We have not yet had the opportunity of discussing them this afternoon, it has been a preliminary discussion. But at the end of the day, that improvement of security cannot be brought about by external forces, it can best be brought about by agreements between India, Pakistan and, where appropriate, China. We would very much like to see such agreements, we have made no secret of that. We are very keen to see an ending of the arms race, particularly insofar as nuclear weaponry is concerned. But essentially the decisions are actually going to have to be taken by the nations themselves. We would actively seek to see that happen, we think it would be very desirable that it does happen and I daresay that is another matter we will have the opportunity to talk about tomorrow. But this afternoon the Prime Minister and I have principally been talking about trading and related matters.

  • Mr Major’s Arrival Statement in Pakistan – 12 January 1997

    Below is the text of Mr Major’s arrival statement in Pakistan, made on Sunday 12th January 1997.

    PRIME MINISTER:

    I am delighted to be visiting Pakistan at the start of your Golden Jubilee. Over those years, the United Kingdom has proved itself one of Pakistan’s leading friends and supporters; and I am glad to have this opportunity to reaffirm the importance we attached to our relationship. The United Kingdom is committed to supporting Pakistan’s development as a prosperous liberal and democratic Islamic state. As long-standing partners, we know each other well, and work well together.

    Pakistan is currently passing through a period of political change. It is not my purpose, or my business to make observations on the present election campaign. But I am pleased to note that elections are due on 3 February, as originally announced, and in accordance with the Constitution. I wish all the parties contesting the elections well. Britain, like other members of the international community will be sending observers to watch the election process.

    I have come to Pakistan with my colleague Ian Lang, the President of the Board of Trade, and a team of senior British businessmen. They have come because they recognise Pakistan as a market of promise, with the highest average GDP growth in South Asia over the last 15 years, and perhaps the region’s most liberal and deregulated economy. Some of the companies they represent have long-term investments here already; others are looking at the opportunities.

    Over the last two years, British companies have invested more in Pakistan than has any other country: concrete evidence of our commitment to Pakistan’s market. Bilateral trade is now worth over billion US dollars annually, up nearly 50 per cent since 1990. The UK is poised to become Pakistan’s top overseas investor. What British businessmen will continue to be looking for are sound and determined economic policies and a prospect of real returns including over the medium-term.

    We have other links too. We work closely together in administering one of the UK’s largest overseas aid programmes, focused particularly on the development of employment. We have an extensive series of cultural exchanges, which will be particularly active in this 50th anniversary year. And we have the strongest ties of all between our communities: nearly 1 per cent of the British population are of Pakistani origin.

    So I much look forward to my visit. Times such as these are the true test of friendship. That between the UK and Pakistan has proved itself repeatedly over the last 50 years. I fully expect that it will continue to do so. One such opportunity is now. It is a pleasure and an honour to be here.

  • Mr Major’s Doorstep Interview in Manikganj – 11 January 1997

    Below is the text of Mr Major’s doorstep interview in Manikgank, given on Saturday 11th January 1997. BRAC is the Bangladesh Rural Advancement Committee.

    QUESTION:

    Were you impressed, Prime Minister, by the contribution Britain has been able to make to this project and many others?

    PRIME MINISTER:

    Britain has made a substantial contribution and I shall be increasing that contribution again this afternoon so that B.R.A.C. can carry on this sort of work. I think it is astonishing the degree of self-help and the way in which the sums have been used; relatively small amounts of funds in some cases have been used by B.R.A.C. to very great effect and I think we have seen that this afternoon.

    QUESTION:

    How much is Britain contributing? It is, after all, just a drop in the ocean to us, isn’t it?

    PRIME MINISTER:

    In terms of Bangladesh, Britain contributes something over £53 million a year at the moment, it is one of our larger aid programmes and has been for some time and I would imagine it will continue to be so.

    QUESTION:

    And how much more are you able to give?

    PRIME MINISTER:

    There will be another few million today specifically for health programmes for B.R.A.C.

    QUESTION:

    Overall, though, the aid budget has gone down, hasn’t it?

    PRIME MINISTER:

    Not in direct aid to countries that are poor, no. There are elements of the aid budget that have fallen but we have protected that consistently and you have seen this afternoon why – because this is aid going to people who are in very distinct need. Relatively small amounts often go a long way and there is not only the question of the direct provision of cash resources, there is also the provision of expertise and help and we do protect that part of the aid budget and I think anyone who has been here this afternoon can see why.

    QUESTION:

    Can we have an election pledge then that you will put it up?

    PRIME MINISTER:

    We look at it every year, Michael. You must get elections off your mind, you must concentrate on other matters, I am not here considering that. I have just given some more money now and you mustn’t ask me to deal with next year’s public expenditure round but don’t think one is unmoved by what you see on these occasions. Even you hard-bitten hacks look to me as though you have learned something this afternoon, I think it is a very worthwhile trip.

    QUESTION:

    Do you see lessons for the work of the ODA in general in what you have experienced of the B.R.A.C. project here?

    PRIME MINISTER:

    I have seen it here for the first time but of course the ODA haven’t, the ODA have people resident in Bangladesh. I was speaking to ODA officials earlier today, they are very familiar with B.R.A.C. We are one of the larger donors to B.R.A.C. and have been for some time and will continue to be in the future so ODA are very closely involved with what has gone on. B.R.A.C. was established I think nearly a quarter of a century ago and you can see the astonishing work that has grown out of what in the beginning was one man’s dream of what could be done.

    QUESTION:

    But, Prime Minister, we do not tell people back home about this.

    PRIME MINISTER:

    I think we do a fair amount but of course it isn’t often that sort of news that catches the headlines and catches people’s imagination. Certainly we do a lot but I think more important than telling people at home what is being done is making sure that there is the capacity to continue doing the work in future and that is what the ODA is about, it is why it distributes its resources in the way it does.

    QUESTION:

    How does the aid programme work in with the trade and investment programme that you are also running here?

    PRIME MINISTER:

    Of course, trade and investment has its own impact upon people’s living standards. If trade increases, if investment increases, jobs are created, if jobs are created people have money to spend, if they have money to spend that has a trickle-down effect even down to the smallest of rural enterprises. This afternoon we have seen the rearing of chickens, some of them for sale some of them for consumption, we have seen the spinning of silks. That trickle-down effect of trade and investment provides a market, provides opportunities and provides jobs so it is very important and the overall impact of increased trade and investment not just in Bangladesh but in other countries as well probably cumulatively dwarfs the sum total of overseas aid whether from the United Kingdom or all countries combined so it is very important and that is the principal reason why we keep arguing for free trade, why we keep arguing that the western democratic nations, the relatively rich nations of western Europe, should open their markets more and not keep them so closed. I think, frankly, there is something immoral in western Europe and the large wealthy countries providing aid resources with one hand but closing their markets to those countries with the other hand. If they opened their markets, then a great deal more good could be done and that is very much what Britain wishes to see.

    QUESTION:

    Isn’t the European Union to a degree [indistinct]?

    PRIME MINISTER:

    Sometimes but we argue for virtue within the European Union and will continue to do so.