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DFID has sent more than £1 billion of UK taxpayers’ money to India in the last
five years and is planning to spend a further £600 million on Indian aid by
2015.
“We do not require the aid,” he said, according to the official transcript of the session. “It is a peanut in our total development exercises [expenditure].” He said the Indian government wanted to “voluntarily” give it up.
Mr Mitchell last night defended British aid, saying: “Our completely revamped programme is in India’s and Britain’s national interest and is a small part of a much wider relationship between our two countries.
“We are changing our approach in India. We will target aid at three of India’s poorest states, rather than central Government.
“We will invest more in the private sector, with our programme having some of the characteristics of a sovereign wealth fund. We will not be in India forever, but now is not the time to quit.”
DFID declined to comment on why it had asked the Indian government to continue
with a programme it wanted to end.
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