Wednesday, March 22, 2006

Hillary Benn, the minister for International Development, has written to the Independent attempting to rebutt the stories they published about corporations in Iraq (March 13th), which Corporate Watch contributed a major part of. Use of private contractors is essential in the rebuilding of Iraq Letters to the Editor BYLINE: HILARY BENN Sir: It is not the case that the Department for International Development is a "champion of privatisation in developing countries" ("The war dividend", 13 March). We do not have, as claimed by Corporate Watch, a policy to push British firms as lead providers. Every contract for which we invite tenders is subj ect to strict competition rules and is open to companies from other countries. The use of private contractors in Iraq is essential, given the varied skills and expertise required over a substantial period. Above all, this is about recognising the value of private-sector investment - not privatisation - as hugely important to help kick-start failing economies. Growth means jobs for local people and food for their families. Decisions about Iraq's future and its development are being made by the Iraqi people. To whom they go for help, advice and expertise is a matter for them. Iraq has already come along in a short time but there is a huge job to be done to change it from a dictatorship to a democracy. That's where we are helping. Our support is helping to build a political system so that people can vote and manage their own affairs' providing advice on how to rebuild the economy, which is based on massive state subsidies, and providing specialist expertise to help train people to install power and water systems. The UK, through its assistance to Iraq, is providing support where it can - including through private sector contractors - so Iraq becomes prosperous and stable. For instance, UK aid has helped to seal 4,880 leaks in water pipelines across the south-east of Iraq and has repaired electricity transmission lines from Hartha power station to Basra city, securing electricity supplies for 1.5 million residents. The UN, with UK support, has distributed education kits to more than six million students in more than 17,000 schools and has trained 2,000 health workers. HILARY BENN SECRETARY OF STATE, DEPARTMENT FOR INTERNATIONAL DEVELOPMENT, LONDON SW1 LOAD-DATE: March 18, 2006

Tuesday, March 21, 2006