Asian development bank opportunities

Press, Volume CXII, Issue 33094, 8 December 1972, Page 12

Asian development bank opportunities

Two Asian Development Bank executive officers in Christchurch yesterday said New Zealand manufacturers and business consultants could and should obtain a greater share of contracts issued under the bank’s supervision for the supply of goods and services.

“We are here to see whether we can overcome a possible lack of communication between the A.D.B. and the New Zealand Government, or the A.D.B. and your business community, or between your Government and your business community about participation in A.D.B. financed projects,” said the deputy director of operations, in charge of procurement under A.D.B. loans (Mr S. C. Lee, of Korea). “It seems to us that there is a lack of interest in the A.D.8.-financed projects, in the New Zealand business community.” He told about 25 members of the Canterbury Manufacturers’ Association that the A.D.B. had lent SUS9SOm since its inception in 1968. This year it would lend s3oom; from 1975 onwards it planned to lend s6oom a year.

In 1968, 15 per cent of the loans were from the special fund, at 2 to 3 per cent interest. This year loans from the special fund were about 33 per cent of the total loans; from 1975 it • was planned that loans from the special fund would amount to 50 per cent of total loans. Interest on ordinary loans was 7.5 per cent.

New Zealand was on the brink of becoming a contri-

butor to the A.D.B. special fund; and only contributing members could draw from that fund, Mr Lee said.

Mr Lee said that West Germany, Japan, Britain and the United States obtained the biggest share of contracts let by borrowers of A.D.B. finance. The bank had 37 member countries. Mr Lee said he was convinced that New Zealand firms could obtain small to middle-sized contracts for materials and services and he instanced contracts within the range of SUS3O,OOO to SUSBOO,OOO.