UK to end financial aid to India 2015

// News | General | UK to end financial aid to India 2015
Email to a friend Plain text Print version // Font size: Decrease font Enlarge font

The UK is to end financial aid to India by 2015, international development secretary, Justine Greening, has said.

British Broadcasting Corporation reports that support worth about £200m ($319m) will be phased out between now and 2015 and the UK’s focus will then shift to offering technical assistance.

 Greening said the move, which will be popular with Tory MPs, reflected India’s economic progress and status.

Giving his reaction, India’s foreign minister Salman Khurshid said: “Aid is the past and trade is the future.”

But charities described the move as “premature” and warned it would be the poorest who suffered.

Until last year, when it was overtaken by Ethiopia, India was the biggest recipient of bilateral aid from the UK, receiving an average of £227m a year in direct financial support over the past three years.

But the UK’s support for India, one of the world’s fastest-growing economies, has been a cause of concern among Conservative MPs, many of whom believed that the UK should not be giving money to a country which has a multi-million pound space programme.

Ministers have defended the level of financial help in the past on the basis of the extreme poverty that remains in rural areas and historical 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 arrangements.

She said the visit confirmed the “tremendous progress” that India was making and reinforced her view that the basis of the UK’s support needed to shift from direct aid to technical assistance in future.

The announcement that the UK is scrapping aid to India has been long expected and will not have come as a surprise to the Indian government.

UK International Development Secretary Justine Greening was in India early this week to meet senior Indian government officials who were briefed on the move.

India has long held the position that while it welcomes financial aid from overseas from those who choose to give it, it will never actively seek it.

The move is also a recognition of India’s economic transformation.

It’s now the third largest investor in the UK and the largest market for British goods outside the EU.

But much of the UK aid money was used to fund projects in some of India’s poorest areas and some will worry that those at the receiving end could suffer.

“After reviewing the programme and holding discussions with the government of India, we agreed that now is the time to move to a relationship focusing on skillsharing rather than aid,” she said.

“India is successfully developing and our own bilateral relationship has to keep up with 21st Century India.

“It is time to recognise India’s changing place in the world.”

Although all existing financial grants will be honoured, the UK will not sign off any new programmes from now on.

Last year the UK gave India about £250m in bilateral aid as well as £29m in technical co-operation.

By focusing post-2015 support on trade, skills and assisting private sector anti-poverty projects which can generate a return on investment, the UK estimates its overall contribution will be one-tenth of the current figure.

In making the decision, the UK is citing the progress India has made in tackling poverty in recent years. It says 60 million people have been lifted out of poverty as a result of the doubling of spending on health and education since 2006.

India spends £70bn on its social welfare budget, compared with £2.2bn on defence and £780m on space exploration.

From 2015, development experts will continue to work alongside the Foreign Office and UK Trade and Investment but focus on sharing advice on poverty reduction, private sector projects and global partnerships in food security, climate change and disease prevention.

Tagged : No tags for this article

Headlines Newsview all

Pastor Chris Oyakhilome's Wife Files For Divorce On The Grounds Of Adultery!

Nothing hides forever. May God forgive me, but I have said it here before that Pastor should come open and tell us if marrying More ... Full story

National Universities Commission Publishes List Of Illegal Universities In Nigeria

The National Universities Commission (NUC) wishes to announce to the general public, especially parents and prospective undergraduates, that the under-listed “Degree Mills” have not been ... Full story

Nigerian immigrants seeking asylum under harsh conditions in Pretoria, South Africa - Video Video

Here are some photos and a video shot that captures the plight of Nigerian immigrants seeking asylum under harsh conditions in Pretoria, South Africa. According to ... Full story

Nollywood Actress Kate Henshaw Going Into Politics - Video

Kate Henshaw has told Reporters that she will be taking a break from acting for now to pursue her political career. She also says she ... Full story

Nigeria’s Health Minister Onyebuchi Chukwu Confirms Ebola Death In Port Harcourt

Nigeria has confirmed its first Ebola death outside Lagos – a doctor in the oil hub of Port Harcourt. Nigeria’s Health minister Onyebuchi Chukwu said the ...

Charly Boy Gives Lessons On Marriage

Son of late Justice Chukwudifu Oputa, Charles, better addressed as Charly Boy, says marriage is not all about finding someone who matches up with on ... Full story

Samuel Sadela, Nigeria’s Oldest Pastor, Dies At Age 114

The Founder and President of the Gospel Apostolic Church, Pa Samuel Sadela, has passed on. He was aged 114. Although a senior pastor in the church reportedly ...

Nigerian soldiers that fled to Cameroon following a fierce battle with Boko Haram militants, return

Some of the Nigerian soldiers that fled to Cameroon following a fierce battle with Boko Haram militants in locations around Borno and Adamawa states have ...

Pastor Chris Oyakhilome Says Many Pastors Will Go To Hell

Founder and head pastor of Believers Love World, popularly known as Christ Embassy, Chris Oyakhilome left members of his church shocked with his revelation while ... Full story

Ebola scare: Passengers quarantined at Scottish Airport after 10-year-old Nigerian passenger became ill

 Shocked airline passengers were recovering following a terrifying ebola scare which saw them quarantined for 90 minutes at a Scottish Airport yesterday, Mailonline reported.More than ... Full story

Fulani clash with Eggon youths in Nasarawa State leaves 17 dead

No fewer than 17 people were killed on Sunday night during a clash between suspected Eggon youths and their Fulani counterparts in  Alingani Fadaman Bauna, ... Full story

Comment on: UK to end financial aid to India 2015

Rate this article

0

Featured author

Reinetta Zachary

Breaking News

Stella Damasus Speechless As Daughter Takes After Late Husband

Nollywood actress, Stella Damasus, best known for her social media activism on the challenging issues facing the country, has relaxed her voice as she is ...

I Gave Maheeda Clothes and Never Had Any Affair………..Ruggedman

Nigerian rapper, Ruggedman, has cried out to those that care to listen that he is not having any affairs with controversial singer, Maheeda.Ruggedman explain that ...

I Will Soon Be Getting Married But Not From Nollywood…….Baba Suwe

Special specie created by God as he best describes himself, comic Nollywood actor, Babatunde Omidina known as Baba Suwe, has disclosed that he will soon ...

Rita Dominic Reveals Present Relationship Status

Rita Dominic has revealed her relationship status. The actress said she is dating someone and she is happy that she is in the right place.The ...

Saidi Balogun Vows Never To Speak To Fathia Balogun Again

Few years after the rift and the marriage break up of actor Saidi Balogun and actress Fatiha Balogun recently starred in Mercy Aigbe’s new movie ...

Paying Back With Bad, Adds No Value To Your Life………….Actor, Chinedu Ikedieze

Nollywood actor, Chinedu Ikedieze, has taken his time out to advice fans on how to tolerate one another no matter the situation surrounding them.The actor ...

Chris Oyakhilome's Wife, Anita Files For Divorce On Adultery Grounds

News reaching Nigeriafilms.com from The Cable has it that the dissolution of the marriage between Christ Embassy Church founder, Pastor Chris Oyakhilome, and his wife, ...

"You Do Not Have To Have University Education To Be Able To Make It" Folorunsho Alakija

No one would immediately believe that Mrs Folorunsho Alakija one of Africa's richest women and chairman of Famfa Oil never had a University education.The mother ...

Davido Lied! He Can’t Afford The Acquisition And Maintenance Of A Private Jet, See Why- Pas Chikero

Davido Lied! He Can’t Afford The Acquisition And Maintenance Of A Private Jet, See Why- Pas Chikero Nigerian Entertainers love to create hype with things ...

"The Devil Is Taking It Personal To Attack Marriages" --Mercy Aigbe

Nollywood actress Mercy Aigbe is giving advice to ladies who are not yet married, she said there is no need to rush into marriage and ...