Friday, November 9, 2012

UK is to stop giving financial aid to India by 2015, reflected India's economic progress


41القاهرة اليوم ‏@alkaheraalyoum
UK to end financial aid to India    
David Cameron has pledged to spend 0.7% of the UK's national income on foreign aid
The UK is to stop giving financial aid to India by 2015, the international development secretary has announced.
Support will be gradually cut by about £ 200m ($ 319m) between 2013 and 2015 before being wound up completely.
Minister Justine Greening said the move reflected India's economic progress and status as a global force.
The UK's financial support to India, one of the world's fastest-growing economies, has been controversial for some time - particularly among Tories.
Ministers have defended it in the past on the basis of the extreme poverty persisting in rural areas and historic colonial ties between the two countries.
Ms Greening has been conducting a review of all financial aid budgets since taking over the role in September and visited India earlier in the week to discuss existing aid arrangements.
'Changing place'
She said the visit confirmed the "tremendous progress" that India was making and the basis of the UK's support needed to shift from direct aid to technical assistance in future.