UNCORRECTED TRANSCRIPT OF ORAL EVIDENCE To be published as HC 252-ii

House of COMMONS

MINUTES OF EVIDENCE

TAKEN BEFORE

INTERNATIONAL DEVELOPMENT COMMITTEE

 

 

DFID'S ASSISTANCE TO ZIMBABWE

 

 

Tuesday 23 February 2010

MR GARETH THOMAS MP, MR MARK LOWCOCK
and MR JOHN DENNIS

Evidence heard in Public Questions 50 - 135

 

 

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Oral Evidence

Taken before the International Development Committee

on Tuesday 23 February 2010

Members present

Malcolm Bruce, in the Chair

John Battle

Hugh Bayley

Richard Burden

Mr Nigel Evans

Mr Mark Lancaster

Andrew Stunell

_______________

Memorandum submitted by Department for International Development

Examination of Witnesses

Witnesses: Mr Gareth Thomas MP, Minister of State, Mr Mark Lowcock, Director General, Country Programmes, Department for International Development, and Mr John Dennis, Head of Zimbabwe Unit, Foreign and Commonwealth Office, gave evidence.

Q50 Chairman: Thank you, Minister, for coming to give evidence. This is the final session on our inquiry into the situation in Zimbabwe. Would you. for the record. introduce your team?

Mr Thomas: Mark Lowcock, who is the Director General for Country Programmes, is on my left, and on my right is John Dennis, who is the Head of the Zimbabwe Desk at the Foreign Office.

Q51 Chairman: Thank you for that. As you know, we visited Zimbabwe a couple or so weeks ago. I will start by saying that we have an extract from an Economist article saying that, since we left, things have deteriorated with strikes. It says things like: the unity government is "as good as dead" and that Harare is "abuzz" with talk of early elections and so forth. What is the political situation? Has it changed that dramatically in the last couple of weeks? Perhaps that would be the first question to ask, and then a couple more will arise from it.

Mr Thomas: I do not think the political situation in Zimbabwe can ever have been described as easy. We have always expected that there would be difficult periods between the formation of the Inclusive Government and eventually free and fair elections taking place. You are obviously aware that there have been reports of both strike action over salaries and of other tensions within the Inclusive Government. Whether or not it leads to elections sooner rather than later, I am not in a position to make that judgment, frankly, and I do not think any of us are in a position to make that judgment. We knew that the period between the formation of the government and elections would be a protracted and difficult period, and events are bearing that out.

Q52 Chairman: Have you seen this article from The Economist?

Mr Thomas: I have not seen that article.

Q53 Chairman: Is that an accurate reflection of the current situation? That is worse than the situation we would have observed three weeks ago. Saying things like the Government of National Unity is "as good as dead." and "Mr Zuma appears to agree that the unity government has become a sham" but that he does not want any trouble before the World Cup. It says that Mr Tsvangirai has given up all his demands, other than to try to see if he can get space for free and fair elections. There is then this "indigenisation" rule, saying that every company worth more than half a million dollars needs to provide a 51% stake to black Zimbabweans - which is a blatantly racist policy. That, even in relation to three weeks ago, appears to be a serious degradation of the situation.

Mr Thomas: I have no sense that the President of South Africa has given up on the mediation process that SADC have in place and have under way. Our sense, certainly, is that the key players in the Inclusive Government have not given up the sense of the work programme to which the government is committed. As I say, there are tensions at the heart of the Inclusive Government. As we all recognise, political power continues to be very contested. Inevitably, when you have a situation like that there are going to be moments of high tension as well as moments where tensions are relatively lessened. I think we are probably in one of the tenser periods at the moment.

Q54 Chairman: We will explore this in more detail, but for the ordinary people, some of whom at least were getting access to education and health and other services, has the position changed significantly in the last few weeks? Or, in spite of those background difficulties and the strikes, are those services still being delivered?

Mr Thomas: There has been an improvement in the delivery of basic services, as I think you had the chance to see for yourselves when you were in Zimbabwe. Having said that, there are huge challenges still in terms of the delivery of those services. The crisis in terms of access to healthcare which was at the heart of the cholera epidemic in Zimbabwe has not gone away, albeit there are more health workers in place. In terms of your specific question, our sense is that basic services are still in place, but they are very basic, and there is still a much longer transition to more recognisable, good quality health, education and other services to take place. The Department staff in Zimbabwe continue to look at what else we can do to improve the quality of those basic services, but that is very much a job in hand, as I suspect you will have seen for yourself when you were there.

Q55 Chairman: The final political point: a call for early elections. That was in the air when we were there. The counter-argument was that you could not possibly have free and fair elections if they were early because the register does not exist - and to the extent that it does exist, it is completely stacked to the benefit of ZANU-PF. Is this call for early elections a realistic call? Is it achievable? Is it desirable?

Mr Thomas: It is difficult to believe that free and fair elections would take place if they took place in the short term. As you say, there are substantial changes that are required, in terms of thinking through issues around voter education, constituency boundaries, the behaviour of the security forces, the role of the diaspora in getting the right to vote. It is difficult to see how free and fair elections could take place in the short term, certainly.

Q56 Chairman: That would imply that you think more time is needed to get those issues straight.

Mr Thomas: Certainly, our view is that what was included in the Global Political Agreement in terms of changes that were going to be needed has not happened as yet. The Electoral Commission is not up and functioning yet, albeit its head has been appointed - although not, I believe, formally confirmed. We would want to see the Electoral Commission being able to go about its work, completing the process of reform that everybody recognises is necessary if free and fair elections are going to take place.

Q57 Chairman: Mr Dennis, do you want to add any comments?

Mr Dennis: I have no comments to add, thank you.

Chairman: Richard Burden.

Q58 Richard Burden: One of the pots of support that DFID has been providing has been to the Office of the Prime Minister. We understand that the purpose of that funding is around enabling that as an office to fulfil its role under the GPA. When we met Prime Minister Tsvangirai over there, he felt that that DFID funding had been particularly useful in fulfilling the obligation to the GPA but he felt more could be done and extra support to his office would be well used, in particular, on the same sort of areas: helping the Prime Minister's role to lead executive business in parliament and so on. Are there any plans to increase that support?

Mr Thomas: Certainly, if further approaches for assistance were made to us, be it by the Prime Minister or indeed any other ministry that is committed to reform and to a pro-poor agenda, then we would look at them very sympathetically. As you say, our support is designed to enable the Office of the Prime Minister to carry out the sort of normal functions that a head of state's office would, including oversight of the budget, making sure that the different ministries are following through on the government's agreed work plan, and helping to resolve disputes between government departments were they to happen. Certainly, that has been the purpose behind granting the assistance that we have done. We also, as you may be aware, granted assistance to a number of other departments to help them carry out the basic functions of their ministries, not least the Ministry of Finance to help them with the budgeting process.

Q59 Richard Burden: In terms of the level of that support, if a case were made that increases in that would be consistent with the objectives, would that be something that we would be prepared to look at?

Mr Thomas: Absolutely. We have increased our aid programme to Zimbabwe over the last 12 months from £49 million to £60 million. Of course, we are looking for the measures that can have most impact most quickly in terms of helping the Zimbabweans get access to better services. Clearly, helping key ministries be better functioning so that they can drive that process, is sensible. When a prime minister or other key minister asks for assistance, of course we always look at that sympathetically. We would have to make a judgment about its relative merit as against other programme asks, but we certainly would not rule it out by any means.

Q60 Richard Burden: What kind of conditionality would be applied if funding were to be extended?

Mr Thomas: We would want to make sure that the assistance that is offered is being used to help promote reform, is being used to help deliver pro-poor services. Those would be the key conditions, as such. "Conditions" is probably the wrong phraseology to use in that sense, in that it has a resonance of the bad old days of Structural Adjustment Programmes. "Conditions" is not a term we would use, in that sense. Certainly, in terms of the decisions we might take about how we allocate aid in future, be it by a minister's office or for a big programme of humanitarian assistance, we would want to be convinced that it was helping to deliver a pro-poor agenda, that it was going to lead to significant reforms in the way services are delivered. Those would be, if you like, the guiding principles for the decisions we might take.

Q61 Hugh Bayley: I want to ask a question about support for a free and independent media. I should preface my remark by saying that, if any government anywhere in the world funds the media, you need to ensure that that there is editorial independence and no control from the funder, as, for instance, with the BBC World Service. I recall in the run-up to liberation in both Namibia and South Africa there was British funding for the Namibian newspaper, possibly for The Sowetan, and it was seen as important to have some forums which were not under state control disseminating information. The print media in Zimbabwe is very strongly controlled by the state. I wonder what thought both of your Departments have given to ensure that, in the run-up between now and elections, whenever they come, there is fair and unbiased information about electoral registration, about the platforms of relative parties, the achievements of ministers and their ministries. Is that something which your Department should be funding or possibly the Foreign Office should be funding, or both?

Mr Thomas: First, there is no doubt that we would want to see reforms in the way the media operate and are organised to allow more independent activity by different media operations of one sort of another. The return of the BBC is undoubtedly a positive step. Key to wider change in how the media sector operates is the establishment of the media commission as heralded in the GPA. Again, like the Electoral Commission, it has not yet started doing its work, and that will be a key issue for the international community to continue to watch. It is certainly a key issue set out in the GPA where progress is needed. In terms of the run-up to free and fair elections, absolutely. A substantial programme of voter education would be required, the media clearly would have an important role in that. If we were asked to be part of a multi-donor group supporting an election process, of course we would want to consider doing that. Again, where we have been asked to enable elections to take place in a free and fair way, we have provided support in other countries to election funding arrangements. As I say, we would be happy to look at that, if we were asked, when the time came.

Q62 Hugh Bayley: Given that the barriers to the dissemination of information and the history of intimidation are probably greater in rural areas than in urban areas, I would have thought radio was a particularly important medium. Are you satisfied that there is wide access to radio giving independent and unbiased news across the country?

Mr Thomas: It is not just radio where there is an issue; it is the media in general. There is not free and fair access to the media in any way in which any of us in the room would recognise. That is clearly one of the areas, as set out in the GPA, where substantial reform is necessary. Like others in the international community, we would want to see progress in that area, not just so that elections can take place but, also, so that the executive can be held to account regardless of their political affiliation in that sense.

Hugh Bayley: One final question on culture. DFID does not normally make the promotion of culture a priority: you would defer, I suppose, to the British Council or others. We held a reception at the Bookshop Café and that seemed to me to be an oasis of free expression.

Chairman: From time to time. When it was not being disrupted.

Q63 Hugh Bayley: Relative free expression, yes. There is a strong tradition throughout Africa of music - I think of Fela Kuti and Miriam Makeba - permitting things to be said which could not be published in a manifesto. Would either of your Departments - yours through the British Council, Mr Dennis, or DFID - think about providing unusually and atypically support for freedom of expression through culture or arts?

Mr Thomas: I do not know where the Foreign Secretary is on music. In terms of DFID, again it is about the balance and the opportunity cost of providing funding in one particular way as against others. You are right that freedom of expression is hugely important, whether it is through music, through media, through other sources of activity.

Q64 Hugh Bayley: We were given a couple of booklets published by the British Council, which I thought was quite a courageous bit of work.

Mr Thomas: Do not get me wrong, I think the British Council does hugely important work. We are contributing, along with others, in helping to promote freedom of expression through the constitution review process, where UNDP, with our support, have started to fund work that we hope will allow civil society to engage in thinking about the type of constitution and the type of state that Zimbabwe should have in the future. That is one of the few ways at the moment - though it is very imperfect, as you will, I am sure, have had a sense - in which civil society and Zimbabwean citizens can begin to air views and bounce ideas around about the future of their country. In that sense, it is a hugely important process. It is not just us who are funding it - it is being led, as I say, by UNDP - but it is one way in which we are beginning to see some signs of growing freedom of expression.

Chairman: Mark Lancaster.

Q65 Mr Lancaster: Thank you, Chairman. I want to explore slightly beyond Zimbabwe's boundaries and its relationship with other countries in the region. Of course historically, before 1994, when we saw the end of apartheid, Zimbabwe was very much the centre for the region, but relationships with surrounding countries have deteriorated to a degree, particularly those with South Africa and Botswana because of the Zimbabwe diaspora. What do you think surrounding countries can do to help in assisting the development of Zimbabwe, not least when it comes to finding a permanent political solution?

Mr Thomas: SADC, in that sense, the group of Zimbabwe's neighbours, has a key role to play and has accepted that role in terms of acting as guarantors of the Global Political Agreement. It is encouraging that there is a mediation process underway. It is a process I welcome but it is very much a process that we need to respect, as SADC leading on that process and fulfilling the role that it has. You asked me specifically about South Africa. South Africa is probably the country that has seen most migration of Zimbabweans who have fled the country or have left the country into South Africa. Zimbabwe is very much a domestic issue for President Zuma and the South African government, as it is an international or a regional issue. You are right to flag the continuing importance of the region for resolving the political tensions in Zimbabwe. It is a process that we are obviously monitoring closely, but SADC is very much in the lead in that process.

Q66 Mr Lancaster: I agree with you wholeheartedly, and I think SADC do have a key role to play, but, given the Chairman's opening questions and the deterioration at the moment, and notwithstanding that it is right that SADC should take the lead, what more can we do in supporting SADC to try to resolve some of these situations? Or should we not do anything?

Mr Thomas: First, we have to respect the mediation process that President Zuma has put in place. He has appointed a high-level team with significant reputations themselves to lead on that mediation process and, despite moments of high tension, which we all recognise will occur as the GPA process moves forward, we have to respect that mediation effort that President Zuma's team on behalf of SADC is leading. The other ways in which we can help are more direct, frankly, and that is through our development programme. It is important for the people of Zimbabwe that there has been economic progress, and I think the economic progress is beginning to throw the spotlight on to the lack of political progress that has taken place in Zimbabwe. Through some of the assistance to the Ministry of Finance and through our humanitarian programmes we have played a small role, but an important role, along with others in the international community, in helping the stabilisation of the economy, and in that sense allowing the issues around the political process and the lack of sufficient political reform to be further highlighted, both for SADC to continue to deal with and also for the government to continue to have to deal with.

Q67 Mr Lancaster: Is it quite a difficult tightrope to walk really? For example, when we were there, you will be aware from all the talk in the papers that they had seized on comments that the Foreign Secretary had made in the chamber and they were being spun one way by one party and the other way by the other. Is it quite a difficult tightrope to walk, where on the one hand, everybody in this room, I am sure, wants to see development and progression within Zimbabwe in helping to secure that political process, but, as soon as we are vocal, it can sometimes be counterproductive whilst at the same time trying to support this process? Is that tricky? How do we find that balance between the two?

Mr Thomas: That is not true just of Zimbabwe, it is true of a whole series of relationships that we have with countries. Sometimes, you are right, there is a tightrope to walk.

Q68 Mr Lancaster: Are we getting it right, I suppose is what I am asking?

Mr Thomas: Are we getting it right? I think we are getting the balance right. We have a rising development programme. We do continue to deliver tough messages to all members of the Zimbabwean government, regardless of their political affiliation, and we continue to look to the leadership of both South Africa and SADC more generally to provide that on-the-spot mediation work that they are doing.

Q69 Chairman: Taking The Economist article, it describes SADC as a fairly spineless 15-member regional group. Zimbabwe has already defied their court rulings. They have just adopted another racist agenda which presumably would fall foul of the South Africans. Mr Mugabe's attitude seems to be: "I don't recognise SADC. It doesn't bother me. If it suits me, I will pray them in aid, otherwise I will ignore them." What can we do to persuade SADC to stand up for what it says it believes in?

Mr Thomas: If SADC was not prepared to play the role that it is playing, we would not have seen President Zuma set up a high-level mediation group, and we would not have seen that mediation group engaging in the very direct way in which it has done. I do think we have to be careful not to respond to some of the bluster from particular politicians in Zimbabwe at the moment and allow the SADC mediation process to continue. On occasion, we deliver blunt messages to all the members of the Zimbabwe government when it is required, and we provide direct assistance to help the journey of reform where it is appropriate to do so. There is also this international effort through SADC, and we have to allow it to continue to do its work and not be put off, if you will forgive me for saying so, by particular articles or particular comments by particular leaders in Zimbabwe.

Chairman: Nigel Evans.

Q70 Mr Evans: Thank you, Chairman. President Zuma is in London next week for a State Visit. Do I assume that yourself and the Foreign Secretary will be meeting with him and, if so, that you will raise the mediation process?

Mr Thomas: It would be pretty odd if he came to the UK and there were not conversations with the Foreign Secretary and the Development Secretary. I am sure there will be a whole series of conversations about affairs in southern Africa, and Zimbabwe will inevitably be one of those areas that gets discussed, but there is a broad agenda for the State Visit, so it is not the only issue that will come up by any means.

Q71 Mr Evans: No, I assume that other things will be spoken about as well, but clearly his important role in Zimbabwe is fully recognised by the world community.

Mr Thomas: Absolutely. We recognise that he is playing a key role and we respect that. The decision that he took to set up a three-member mediation team and to include in that team some people who are extremely well respected in southern African politics was a sign of the seriousness with which he views the situation in Zimbabwe, but those were decisions that he took and we have to respect his leadership, given the importance of South Africa to SADC. Obviously, as I say, we will talk inevitably about Zimbabwe. It is one of the issues that will be on the agenda, but there will be a whole series of other issues that we have to talk through as well.

Q72 Mr Evans: I want to touch on land reform, but before I do that the Chairman referred to The Economist piece about businesses having a 51% stake by black Zimbabweans. Does the Government see that as a racist policy?

Mr Thomas: With all decisions in South Africa, the key test is avoiding explosive language. The concern we would have is more about the impact of particular policies on the economy and on the people of Zimbabwe, so if it makes investment in Zimbabwe less likely, if it reduces the chance of jobs being made available, then of course it has to be a considerable concern. One of the issues, as the Committee will recognise, as to why so many people have left South Africa is the lack of job opportunities, so anything that prevents the private sector from beginning to develop, anything that further discourages private sector investment, is clearly going to be a major concern, but in the end this has to be a decision that Zimbabwe takes for itself.

Q73 Mr Evans: But clearly it is a racist policy. If you say that there are a lot of white Zimbabweans living there and people who are not black Zimbabweans living there, surely they should have an opportunity to be able to be a major partner in whatever businesses exist within a country. If any other country did this sort of thing, we would be banging the table and saying, "This is racist."

Mr Thomas: We want everybody in Zimbabwe to have equal economic opportunities in that sense, quite clearly, but sometimes there is a way of recognising that a whole series of reforms are required. I appreciate, Mr Evans, that you might want me to use particular phrases to describe a particular set of policies but, with respect, I am not going to do that. The broad message is that there has been progress in terms of the economy. We do not want that progress put at risk. We want the economy to stabilise still further. That is going to require a whole series of political reforms now to take place to create the conditions for longer-term private sector investment to take place.

Q74 Mr Evans: That leads me on to land reform, which is part of the reforms that clearly are essential to get some sort of progress and stability within Zimbabwe. Have you seen the documentary Mugabe and the White African?

Mr Thomas: I have not, no.

Q75 Mr Evans: I would heartily recommend it because our Committee has had an opportunity to see it. It is quite startling exactly what pressures clearly are on white farmers who exist within Zimbabwe. It is an incredible and very moving documentary. Clearly a number of people have had their lands grabbed, basically in a way that is not helping Zimbabwe. One can understand the reason for reform - we talked to the Commercial Farmers Union when we were in Zimbabwe and they can understand the sense for reform too - but something that is not orderly, something that is not structured, and something that leads to so much farmland being taken out of production and, indeed, then handed over to the cronies of politicians or friends within Zimbabwe, clearly is not doing Zimbabwe any favours.

Mr Thomas: I would agree with that. I would go further and say that not only do we condemn the huge number of farm invasions that have taken place, but we have seen terrible human rights abuses committed as part of those invasions which are completely unacceptable, both on an individual basis, the individual rights of the people affected, but also, as you quite rightly describe it, in terms of the devastating impact it has had particularly on the rural agricultural economy. Frankly, "economic madness" would be an appropriate phrase to use to describe that. I hope that that situation will desist. We will continue to make that clear in our comments to the politicians in Zimbabwe. It is clear that we do need to see a land policy that is fair, that is pro-poor, that is transparent, because that will, as you say, help to revive the economy, particularly in rural areas. It would help to revive the agriculture sector. We are a long way from that point at the moment, but we would stand ready, as part of a wider donor group, to help in that process if the political conditions were right. I suspect, frankly, the first step would be for some sort of land audit to take place, if the Inclusive Government were so minded, but, at the moment, we are not seeing signs that there is a willingness by all the parties to the Inclusive Government for a fairer land policy to take place.

Q76 Mr Evans: They seem to be dragging their feet on doing anything about a land audit, but clearly that looks like being a necessary forerunner to making some real progress in that area. You have just mentioned the international community doing its bit, along with the United Kingdom, in trying to bring some sort of commonsense solution to this issue. What do you think the international community and Britain specifically can do in this area?

Mr Thomas: As I have said, we do stand ready to provide assistance, as part of a wider donor group, if we are asked to. As I have said, the first thing would be to conduct an audit of land. Frankly, we would only see a merit in such an audit taking place if we had confidence that the information that such an audit gleaned would be used to promote the type of pro-poor, sensible, transparent land reform policy that most people independent of some of those in Zimbabwe recognise as being necessary to revive the rural economy there. We stand ready to help as part of a wider international effort if the conditions are right. They are not right at the moment.

Q77 Mr Evans: Even with the hyperinflation that the country has gone through, a lot of white farmers have gone to neighbouring African countries, as I understand it, and set up businesses there and are doing rather well. I suspect that Zimbabwe is importing some of the produce now of the former white Zimbabwean farmers - which is clearly insane. Do you think we are getting any closer to the political reality within Zimbabwe that a solution should be found? Or do you think that the mentality is still: no, we wish to right the wrongs of many generations and we do not care about economic or humane consequences of what the policy is that we are now doing in Zimbabwe?

Mr Thomas: Unfortunately, land is one of those issues around which the political power continues to be very heavily contested. As I described in my comments earlier, whilst we have seen some progress in terms of the stabilisation of the economy in Zimbabwe, we have not yet seen the major political changes which the GPA has set out as being necessary. One of the areas where we are continuing to see (to use a diplomatic phrase) "unfortunate activity" is around land. I hope, as the economy has begun to stabilise, that there will be recognition in all parts of the Inclusive Government of a series of further steps that need to be taken to help that economic progress. If those political realities kick in, then perhaps we will get closer to the situation that you describe.

Q78 Hugh Bayley: Do you not think it would be helpful if the British Government were to acknowledge that the terms on which white settlers, many from this country, obtained land at the end of the 19th century and the beginning of the 20th century was not fair and did not follow the rule of law, and that the consequence for many indigenous people was that they were forced on to marginal land and suffered enormously? If we were to say that, then perhaps we would be in a better position to oppose the wrongs of fast-track land reform and to move the debate on to a position you were talking about, of pro-poor, rural development - which is what Zimbabwe clearly needs - rather than a return to settler plantations.

Mr Thomas: With respect, Mr Bayley, I am not sure it would be helpful. I think I should take responsibility for what we as a party have done since we took power in terms of our aid programmes and our foreign policy since 1997. I am not sure we should try to reach back all the time into history to look at what happened a very long time ago. We need to deal - forgive me for saying so - with the realities on the ground at the moment. In that sense, the report that your party group produced was very helpful in trying to put to bed some of the misnomers that have existed around what happened in 1980, but, despite the importance of that report, we should rather think ahead. We should recognise, as Mr Evans has described, the continuing adverse implications of the land policy which particular elements in the government are pursuing from time to time and recognise that there needs to be a comprehensive change in terms of land policy at some time which needs to be led by the government in Zimbabwe, but which, if the conditions were right, we would stand ready to support.

Q79 Hugh Bayley: I think you are right to want to see a land audit, but if British money alongside money from other donors is to go towards establishing land title for poor landless Zimbabweans, how would you see that process unfolding? In other words, how would you select the landless poor? Who would get land? Who would you compensate?

Mr Thomas: Mr Bayley, with respect, I am not going to go down that particular route. That is a process that the government of Zimbabwe has to lead, and I hope it is a government that would be elected in free and fair elections so that it had a clear mandate. I have said that we would be ready to help as part of a series of donors with such an audit if we could be convinced that the information from that audit was going to be used properly. We do not have those conditions at the moment. We do stand ready to help, as I say, but we are not going to put money on the table when, frankly, we know that there is a series of other priorities where we can have a sense that our money were to achieve good outcomes for the poor in Zimbabwe more immediately. But we recognise the importance of the land issue and staff and ministers will be ready to respond if the political conditions changed.

Q80 Chairman: We agreed, anyway, that, whilst we would refer to the land issue, it was not going to be central to our report because it is such a major issue, but I think Mr Bayley has put his finger on some of the background to it. You just mentioned about effective DFID programmes. Indeed, DFID is doing a lot of the co-ordination on the ground and that seems to be welcomed by a number of the NGOs and charities. Two things were said to us: one was that if things improve a lot more donors are likely to come in and it is important that co-ordination is established in advance, otherwise it could get chaotic. That, on the other hand, may be too optimistic in terms of what is likely to happen. But you cannot give the funding directly to the government in most cases. Does that make it much more difficult to co-ordinate? Clearly other donors may not be very keen to hand it over to one lead donor, so what mechanisms do you need to have in place, or what could you do to ensure that the relationship between donors and the government is more direct than it is now? What are the criteria that would need to be met?

Mr Thomas: We are a long way away from having confidence in the systems of the government of Zimbabwe, so it is a long way off before we would want to be putting money directly into the government of Zimbabwe's budget. Nevertheless, there are a number of ministries which are developing plans which are pro-poor, which are designed to help all communities across Zimbabwe and behind which we feel we can align some of our support, so there are discussions with government about their future plans and we are trying, as you say, to work with other donors where we have confidence in those plans or in the merits of those plans to put our financial assistance to support the achievement of those plans. In terms of the broader issue about donor co-ordination, you are right that donors are co-ordinating in general fairly well, particularly those which are traditional OECD Development Assistance Committee donors. There could still be better co-ordination with the World Bank and others within the UN system. In the longer term, if we can draw some of the non-traditional donors into the donor co-ordination process, players like China, like South Africa, like Brazil, that would clearly be an aspiration that we would want to have, not just in the Zimbabwe context but in a whole series of other developing country contexts too. Also, the donor co-ordination mechanisms are relatively informal at the moment. As you say, if conditions continue to improve and other donors were to come in, then we would need perhaps to formalise some of the donor co-ordination structures that are there at the moment, but, in general, relations between the main donors are very positive, as you describe.

Q81 Chairman: You have increased the programme in recent years in difficult situations. If you were going to put more money in, are you satisfied that the mechanisms you have in place would be effective, or would you need to find different or better ways of delivering it?

Mr Thomas: We are comfortable that the mechanisms we have available at the moment are strong enough and robust enough to ensure that the money that we are spending in Zimbabwe is going to where it should go. Clearly, if you increase your aid programme into a country, you have to think through what implications that has for the particular funding instruments that you use. We work, as you know, with UN agencies and NGOs but also with a number of private sector organisations which manage particular programmes of aid for us. As I say, we have a strong process for monitoring how our money operates. Thus far, we are confident that we have managed to make a significant difference with our money. If we were to increase funding substantially, then clearly we would look at the mechanisms we had available to us.

Chairman: If we are moving on to that, I will bring in John Battle.

Q82 John Battle: In a sense, the real issue is governance, from my experience of the visit we did, in particular the field visit. I would like to express gratitude to the staff at DFID who took us out of Harare to Bulawayo. I went with some of our colleagues to Tsholotsho and I was very encouraged and impressed by work on the ground, not least around the Protracted Relief Programme. All these things have great titles, but I found a programme there to reach to people who were poor, the poorest of the poor, the people who were landless, to try to get back their livelihoods, with a whole range of activities from home care right the way through. I was very, very impressed by that programme. I just want to ask you a couple of questions about it. If that has gone in the right direction, can it be amplified and done elsewhere? The programme has two phases, as I understand it, and we have just entered Phase II. Phase I was going for a few years. I am lost at the scale of it. As I stood in a field in Tsholotsho with those older women, trying out new cultivation techniques for getting more water into their plants so that their fields of maize and cowpeas would look rather healthier than the ones across the way, I asked whether there was just one field or thousands of fields like that. In the DFID letter it says that the programme is reaching over two million poor and vulnerable people, but the plan for Phase II is to reach two million people, and sometimes we include the two million that we have not quite yet reached. I want to know the extent of the programme. Is it really being disseminated across? Do you have just one field in Tsholotsho or do you have programmes elsewhere in the country? Can it be scaled up? I know the programme is working with other donors as well, but is the scaling up happening and is it possible for it to happen? Can you find the land? Can the people respond to it? Can it be a much more mobile programme than just one or two little pivotal projects?

Mr Thomas: I will bring in Mr Lowcock in just a minute, but, first, thank you for your comments about DFID staff in Zimbabwe. If I may, I will to put on record my appreciation for the work they do. They have had to operate in some extremely difficult circumstances in the past.

Q83 John Battle: Indeed.

Mr Thomas: As Members will recognise, we have some of our most talented staff deployed in Zimbabwe, given the importance of the work we are doing there. The Protracted Relief Programme has expanded. It is not just that one field that you were sent to, but let me bring Mr Lowcock in to amplify on that.

Mr Lowcock: It is a long time since I have been in Tsholotsho, so I am glad to hear that particular report. The programme covers 300,000 households, which is about two million people, which is probably 20%.

Q84 John Battle: At present?

Mr Lowcock: At present, yes.

Q85 John Battle: The target for Phase II was to reach two million people.

Mr Lowcock: I think that is the current coverage.

Q86 John Battle: So you are already well ahead.

Mr Lowcock: I think that is the case, Mr Battle, yes.

Q87 John Battle: Good. What about the range of activities? Many of the NGOs praise the programme for its innovation in reaching from home care, and quite personal support, to innovative agricultural techniques, including community participation. While we sometimes focus on, as I said, governance at the government level, the new engagement of the people is the real innovative work that DFID and other NGOs are leading internationally. Is that integration being extended? Is that development of those kinds of participatory tools able to take place? I felt the local officials were not resisting it at the local level, which augured well for the future of Zimbabwe if it could be scaled up from the bottom. Is that the view of the Department in the work that is going on at field level, at floor level?

Mr Thomas: Absolutely. We would want to continue to see that programme scaled up. There is a series of developing countries - and I think of Afghanistan - where we have similar grassroots programmes. We are particularly fortunate in Zimbabwe to have very many committed civil society organisations which are playing, as you describe, a crucial role in helping to identify who needs the support that the PRP programme can give in communities most. As you say, the range of support we are able to give is a particularly important feature of the programme, from the very direct assistance, be it seeds and fertilizers or home care, to some of the more technical assistance, to help NGOs help the individual farmers understand what they have to do to increase their yields. As you say, it is an innovative programme and we have been encouraged by the international community's response to that programme. As you know, Phase I was very much a programme that DFID initiated. Phase II has had much broader donor support and in that sense has become a proper multi-donor programme.

Q88 John Battle: What struck me as well was that perhaps with the word "farmer" in English we think of some strapping young man who is ultra-fit out there in the fields, but there were women who were older than I am and what impressed me immensely was they have not had the benefit of my education but their knowledge of agriculture and agricultural techniques was incredible. I was quite excited by this new conservation agriculture method and I wonder whether your Department is able to feed that into DFID and some of the climate change discussions and see if those methods can be tested out elsewhere in Africa and South East Asia so that the learning from innovation can be passed on? I thought as well as the process of engagement with the people there may be some good agricultural science in there that could be very helpful as well.

Mr Thomas: Far be it from me to suggest recommendations to the Committee but drawing that particular point out would certainly help us continue to spread some of the lessons from the Zimbabwe programme across our other country programmes. As you quite rightly said, the lessons in terms of climate change, in terms of the particular farming environment, if you like, in which our programme operates does potentially give information that would be useful in a whole series of other developing countries - Sedex - particularly in the climate change context. As you know, one of the priorities that the Secretary of State set out in last year's White Paper was for us to do more on climate change in developing countries. Learning the lessons from successful programmes such as the PRP where there is a climate element is exactly the type of thing that we need to continue to spread across the Department.

Q89 John Battle: It was noticeable that we were speaking directly with the women, the farmers themselves, not through an intermediary, an agent, the NGO's leader or even the DFID person. DFID is actually involved in the programming. If I can put it to you this way: I understand DFID now uses managing agents and some of the conversations suggest that using agents can become bureaucratic and can tie up resources of the partner NGOs having to fill in analyses and sometimes the direct link with DFID is not quite there, as it were. Although we had the experience of talking to someone in the field, when the process is taking place on a daily programme basis is the use of managing agents causing delays in the transaction between DFID and the work on the ground? Is it sometimes holding up the provision of DFID support?

Mr Thomas: We need to recognise that there was a substantial difference between Phase 1 of the PRP and Phase 2. Phase 2 is inevitably much more ambitious and involves a series of other donors. In a sense, what you want from your staff is that they make things happen on the ground in terms of developing countries. Our staff initiated this programme and as others come onboard the pressures on those staff and their ability to do other things would inevitably have been much more constricted if they had continued to run the programme direct, so we took the decision to bring in a private sector operator and there was an international tender, as I understand. Inevitably, when you have that sort of change there are one or two bumps along the process. What the head of the DFID office in Zimbabwe is making sure happens is that there are regular, I believe quarterly, meetings with the heads of civil society groups in Zimbabwe to make sure that we continue to have good coordination with civil society. That will clearly be of importance, not just in terms of the PRP programme but also in terms of the other programmes that we have.

Q90 John Battle: I will pass to Andrew in a second. It was expressed to us that there could be a distancing built in. What would worry me is that what seems to be really radical - to use a word, I think it is connected to the word "roots" - about DFID's work is that ability to reconnect at the ground floor level and get the pro-poor development going on there and then feed it back up through. If you build a layer in that cuts them off again it could undermine some of the good work that has been done. I think Andrew wanted to follow through on this.

Mr Thomas: May I just pick that point up and bring Mr Lowcock in in a second. I think if there was not regular communication with civil society then, you are right, that would be a concern. In order specifically to avoid any suggestion that we are getting remote we wanted to set up a proper process for communicating with key players in civil society, and that is what we have now initiated.

Mr Lowcock: I would just like to put on the record that we have three members of staff in the Harare office who still work primarily on this programme and they are spending less of their time on the routine administration and more of it on the strategic dialogue and, indeed, at least once a month going out to regions like Tsholotsho and seeing what is happening. In terms of the objectives of making sure we stay in touch with the goals and the delivery of those goals, the way we have organised the work is an improvement on the past arrangement.

Q91 Andrew Stunell: If I could just pick up where John finished. First of all I want to say that we saw some excellent on the ground projects which will be the anecdotes and illustrations of my presentation about the work the Department does for a long time. They were very good projects.

Mr Thomas: But.

Q92 Andrew Stunell: The "but" is that there are so many levels between the money going in from the office in Harare to the wheelchair-bound lady with her four chickens in the compound outside Bulawayo that we have paid for. There is the managing agent, there is the Zimbabwe-wide NGO and there is civic society. When we pour £100 in at the top in Harare, how much goes out and buys chickens at the bottom, where does the other money stop on the way and what is the value of that other money on the way in terms of the investment in civic society and so on?

Mr Thomas: I would have to get you the exact breakdown in terms of the portion of what we put into the PRP programme that is taken up, if you like, as administration costs. We need to be careful and to recognise that those different layers, as you have described them, also play a key function in helping us to account for how the money is spent, making sure that money goes to the most needy people in Zimbabwe but also that we have proper accounting processes in place. I can see that as the programme has got bigger certainly one or two people have raised concerns, but I do think it is important that we have that administration element in there so that we do have proper checks and balances. We will very happily provide for the Committee, Mr Stunell, a more detailed explanation of what portion of the PRP programme goes as administrative costs if that would be helpful.

Mr Lowcock: May I make an additional point? As well as the cost of delivering the programme we need to think about what the returns and benefits of the programme are. It costs about $70 per household to provide the assistance we provide under the PRP and the value of the production that is generated by that $70 is about $140, it is a very high rate of return. The alternative to providing some of the inputs that we have provided would be in many cases to provide food aid which would cost us between $700 and $1,000. The opportunity saving of this programme is very high and the rate of return on the programme is also very high. The numbers I have given you reflect the administration costs as well as the costs of the inputs. We honestly think that in terms of value for money this is a very effective programme.

Q93 Chairman: I think it is a very important question that Mr Stunell is asking. As you will know, Minister, we are up against rather tight timetables. The constitutional requirements tell us that we have to have this report done in a very short space of time, so if you are able to give us that breakdown we need it very soon. I think it would be very helpful.

Mr Thomas: Okay. We will see if we can do that.

Q94 Andrew Stunell: I just want to underline that point. To give us real confidence that Mr Lowcock's presentation is resilient, it would be helpful to have an additional report and note from you.

Mr Thomas: Okay. We will get that to you even quicker than usual.

Q95 Richard Burden: This is really on the same subject. From what we saw, I think we do understand why managing agents are used and the good pressures that lead DFID to go down that road. It is also fair to say that in terms of the projects we saw in Tsholotsho and the engagement of the women from GRM there it appeared to be good. However, I think the uncertainty that some of us still feel is whether we will get to a stage where the tail starts to wag the dog. If the need to have those managing agents is because of their expertise and they get such expertise that they are used not just by DFID but other partners as well, the danger is that they could then become intermediaries that start determining what happens rather than intermediaries that do what is required from the grassroots or reflecting policy. I do not think we are saying that is what is happening but we see there is a danger that could happen. The question really is, is it right that could be a danger and, if so, how do you guard against it?

Mr Thomas: Let me bring Mr Lowcock in in a second. When we take a decision that we want to contract out, if you like, the management of a particular programme there are a whole series of well-established processes which we follow. We are very happy to provide some further information to the Committee if that is what you need to give you some confidence that the tail will not wag the dog in this particular context. There is good donor coordination in Zimbabwe and, as I say, we have some very experienced staff operating in our office, so I do not believe, if you like, the worst case scenario that you are posing would happen. Let me bring Mr Lowcock in to give you some further detail.

Mr Lowcock: I think you are exactly right, Mr Burden, that in principle the problem you have described could be one we face. We have tried to describe how we are mitigating it in this case. The Committee knows very well the staff of the Department is quite stretched. If we had more staff available to us in Zimbabwe my own view would be that are were other things I would rather they did next before more administration and more detailed monitoring and engagement on the PRP. I am satisfied with the approach that we have to the management of the PRP at the moment.

Mr Thomas: Just one other point to make. It is not just us as one donor who plays a role in this, there are a series of other donors who also are funders of the PRP. In a sense, it is a shared process for looking at the administrative cost element and taking decisions about tenders, et cetera, which in that sense I hope gives further confidence and further checks into the system.

Q96 Andrew Stunell: I would like to hear from Mr Lowcock that if he did have those extra staff and it is not what Mr Burden was postulating, what would it be that the extra staff would be dedicated to?

Mr Lowcock: One of the issues that came up in discussions yesterday with the finance minister in Harare was follow-up to a discussion he had in Washington last week when the board of the IMF restored Zimbabwe's voting rights. He had some discussions with the staff of the IMF about what it would take for Zimbabwe to move towards fuller normalisation of its relations with the international financial institutions, including potentially debt relief. We have a very good economist, who I am sure you met, in our office in Harare, who is one of a rather small number - I think I could count them on my fingers, excluding the thumb, of one hand - of international macroeconomists in Harare at the moment. That is a big prize for Zimbabwe to normalise its relations to that degree, an awful lot has to be done to secure that prize, but that would certainly be an area where it would be worth putting additional professional resources in. We will find ways to do that. That is one example I would give in answer to your question.

Q97 Mr Lancaster: We will move on to health, if we may. The Committee visited two hospitals, the Mpilo Hospital in Bulawayo and a hospital in Harare. We saw the maternity unit and we saw programmes associated with HIV/AIDS which Mr Evans will ask questions about in a moment. What we saw was very good. One of the key points that was put across to us, and perhaps we should not be surprised at this given the diaspora and the migration, was that there is a real shortage of skilled health workers, many of whom have gone abroad. For example, in the hospital in Bulawayo they had only recruited approximately 50% of midwives, although there is a midwife shortage in the UK so perhaps that is a bad example. What are we doing to try and recruit and retain health specialist staff in Zimbabwe?

Mr Thomas: One of the things, as I suspect the Committee will be aware of, that has, if you like, continued to focus our attention on the health sector was the cholera crisis in 2008/09 where the crisis was sparked by a long-term lack of investment in water and sanitation, but also the substantial deterioration in the health sector which was caused by many health workers wanting to migrate or simply not coming into work because they were not being paid. What we have done is to ensure that there is an allowance paid directly into health workers' bank accounts to provide that direct incentive for them to turn up to work and to go about their business. We can provide direct assistance in that way, but in the end there has got to be further economic stabilisation and a further reduction in the political instability that exists in Zimbabwe. We can make a difference in terms of public services, but to get anything like the type of public services that we would recognise here in the UK those broader economic and political changes are going to have to happen. As I say, we are making a difference in terms of the allowances we fund directly into health workers' bank accounts which has helped recruitment to pick up. We are also helping to fund the supply of crucial drugs. If you look at the government of Zimbabwe's budget, they simply cannot afford to pay all the salaries of health workers that are required or all the needs for drugs, so it is the donor community which has to plug that gap. It is not just us, it is a number of other donors too that are playing a role.

Q98 Mr Lancaster: You say the government cannot really afford to pay the wages, so given that we have strikes at the moment in Zimbabwe, and I think they are currently paid $200 a month and they are demanding $500, is that realistic? What effect would that have? What can we do?

Mr Thomas: One of the things we can do is not to get involved in what is a conversation that has to take place between those workers themselves with their own government. What we can do, as I have said, is to respond to the requests that we have had from the government, the Inclusive Government, to provide support to the health sector, and through the continuation of these allowances that is what we are doing and by making further money available to target, for example, maternal health and to continue our different aid programmes.

Q99 Mr Lancaster: Workers' pay and drugs to one side, I suppose the other key element to try to improve the health structure in Zimbabwe will be infrastructure. I know that we are investing in six hospitals in Zimbabwe at the moment. Can you perhaps outline what the aims of that programme are and whether or not you intend to increase it, or how you see it us moving forward in that area?

Mr Thomas: Obviously we want to move from, if you like, the crisis phase of the health support to getting a longer term plan in place for the health sector, one that can tackle all the different health challenges that the people of Zimbabwe face. I would not want to underestimate to you the scale of the challenge that there still is, we are still in a situation where I think substantial humanitarian assistance will have to be provided for Zimbabwe. The scope to dramatically expand our health programme, whilst I think it is there, is perhaps more limited than we would like. You are right, we have to continue to invest in infrastructure but continue to make sure there are health workers in place and that those health workers are being paid and, crucially, that the basic drugs and other supplies that they need to go about their business are in place. If you like, the next ambition that we have is to try to reduce maternal and child mortality where there has been a substantial deterioration in Zimbabwe more recently. We have recently committed some £25 million over the next five years to help people continue to get better access to family planning services, to antenatal care, to obstetric services and newborn care services. If you like, that is the next iteration of our support to the health sector.

Q100 Mr Evans: Another health subject is HIV/AIDS, which you have already touched on. We all had an opportunity to see some of the projects involved with that and I think we were all impressed with what we saw. It is tremendous if one considers that in parts of Zimbabwe some of the aid is somewhat thin. Certainly where we were in Bulawayo and Harare we saw some tremendous projects, so I was very pleased with that, but still last year 140,000 people died in Zimbabwe of AIDS. Compared to other countries, Zambia for instance, where the amount of money spent is way above, I think it is US$187 per person as opposed to Zimbabwe where it is $4, why is there such a staggering disparity?

Mr Thomas: I think often the disparity, frankly, relates to the political situation in Zimbabwe and the ability for the international community to spend money effectively to tackle HIV/AIDS. With our programmes on the health sector we have wanted to get to a stage where other players in the international donor community would support it. The Global Fund are now funding the health workers' support programme. As I say, I think as the economic situation stabilises there will be more opportunities to do more on healthcare, of which HIV/AIDS will continue to be a priority for ministers. Nevertheless, I think the UK can take some pride in the success that there has been, notwithstanding the significant levels of death because of AIDS that there is in Zimbabwe, for the fact that it has not been even higher. HIV prevalence has come down, it has halved over the last ten years, and our aid into the sector over that period has been absolutely pivotal to helping those who wanted to make a difference in this area in Zimbabwe be able to do so.

Q101 Mr Evans: I have got no doubts about that whatsoever. We went to see one of the hospitals there where the storeroom had eight months' worth of supply whereas two years ago they would have had nothing.

Mr Thomas: That is right.

Q102 Mr Evans: Getting the capacity and getting those drugs out into the villages and into the more rural areas is clearly something that needs to be done. Within the infrastructure that exists there, are we able to target some of the high risk groups like sex workers, children and, indeed, gays and lesbians?

Mr Thomas: We have a behaviour change communications programme which is run by an organisation, Population Services International, who are very well established in this field who are doing hugely important work in terms of getting those prevention messages out on AIDS. There is a whole programme of work around voluntary counselling and testing which has also been very important in making a difference. I am sure the Committee will be familiar with the way in which those who have migrated from Zimbabwe potentially would not get access to information about how to avoid becoming HIV positive, but through funding we give to the International Organisation on Migration we have been able to provide support for them to get help and information to those migrating from Zimbabwe to avoid the obvious risks at transit points, et cetera. One of the keys in terms of preventing the spread of AIDS and HIV infection is making sure there is good access to condoms and that is something we have continued to be in the lead on in the provision in Zimbabwe.

Q103 Mr Evans: One other area which helps greatly is male circumcision which apparently improves the rate of protection to 60%. The target is to circumcise 80% of the males within Zimbabwe as soon as they possibly can. Apparently the cost of that will be around $140 million but they will save over $3 billion if that could be achieved. We visited one of the clinics and talked to a couple of people who had gone through it, so they were acting as peers to encourage other males to go through the procedure. Do you envisage upping the amount of money that we will be directing towards male circumcision within Zimbabwe over the coming months?

Mr Thomas: Rather than just focusing on one specific intervention in response to one specific disease, however important that disease is, and I have a longstanding interest in HIV/AIDS, I think the challenge for us, both in DFID and the wider donor community, is how do we get more support more generally into the health sector in Zimbabwe and get a clear coordinated plan that looks at maternal health, that looks at HIV/AIDS, that looks at a range of other diseases too. Many of the responses that you need to tackle HIV/AIDS or to tackle maternal health are common across the piece in terms of having good health workers and good infrastructure in place. The challenge is to continue that process of coordination under good leadership from the government of Zimbabwe to get a series of clear health priorities in place which the international community could get behind. That is certainly what our ambition would be to support. Whether it has to be just DFID upping our funding levels on healthcare or whether there are other players in the international community, such as the Global Fund, who can take up that extra financial need is something that we need to continue to review. Health is certainly one of the areas that we watch very closely.

Q104 Mr Evans: Clearly all the donor organisations talk to one another anyway and that is important to make sure there is no duplication or people working against one another. When we visited the clinics we saw a number of posters with famous Zimbabwean footballers who were saying that they were getting this procedure and encouraging others to do so. It does seem to me to be economic commonsense, never mind humane commonsense, to ensure that as many people as possible have this particular procedure to better protect the nation, particularly when you look at the colossal number of deaths. This is a bit of a lobbying plea really. All I would ask is that you look at this again and make absolutely certain that not for the want of directing the money there, which as I say will pay dividends in the short and medium-term, we support this procedure as much as we possibly can.

Mr Thomas: I recognise both the lobbying plea and I fear one of the specific recommendations that will emerge from your report, and will obviously respond to the report in the usual way and no doubt faster than we would normally.

Q105 Chairman: I think it might be the next government that has to deal with that.

Mr Thomas: Mr Evans, I think your point in general about support for HIV/AIDS is well made, not only in the context of Zimbabwe but actually in the context of Sub-Saharan Africa more generally. We are five years on from Gleneagles where that commitment to try to deliver universal access to anti-retroviral drugs was one of the pivotal elements of the Gleneagles Agreement. We are probably two-thirds of the way towards achieving that commitment, so massive progress has been made but the target has not yet been reached. One of the issues that ministers in DFID are looking at is how we can use the international meetings that are taking place this year to refocus attention on that commitment to universal access, to look at what has worked in Sub-Saharan Africa, what has not worked perhaps, and what else the donor community needs to do. There will be an international meeting that takes place in London very shortly that looks at exactly that question.

Q106 Mr Evans: Hopefully when President Zuma comes as well on South Africa, maybe pushing him a little bit more on that area.

Mr Thomas: I hear your message, Mr Evans.

Q107 Richard Burden: One of the other major health areas, and you have alluded to it yourself, is the issue of water and sanitation. Six million people still have not got access to clean water and sanitation and obviously there was the bad cholera outbreak just a little while ago. When we met the Mayor of Bulawayo during our visit, if there was one priority that he wanted to identify it was the issue of the water system in the city. He said it was close to collapse and that was not unique in Bulawayo and his plea was for donors to concentrate on trying to address that as an issue. Where would you see the issue of investing in the water and sanitation infrastructure to rank compared to other priorities in terms of health and so on?

Mr Thomas: That is a very difficult question to answer. In the longer term there is no doubt that for a series of economic and social reasons as well as health reasons we need to see more investment in water and sanitation in Zimbabwe. That is absolutely clear. Through some of the programmes that we already have, not least the Protracted Relief Programme, there is work taking place on water and sanitation, but I would not want to give you the sense that there is a clear long-term sector-wide plan on water and sanitation which we are leading. This is one of the issues where as the humanitarian situation stabilises and as hopefully too we see progress on the politics in Zimbabwe the donor community with the government can start to put together a plan for beginning to see much longer-term, more sustained investment in water and sanitation going forward. It might be one of the areas potentially that the Multi Donor Fund that we are in the process of trying to establish under the leadership of the World Bank can look at. In the same way that water and sanitation is a key long-term issue, so is investment in the road network in Zimbabwe and investment in access to electricity. These are long-term issues which we will have to address. However, given the humanitarian need that still exists, and I think will exist for at least another couple of years, the balance of our programme focusing on the delivery of basic services plus, where we can, targeted assistance to support reforms in key ministries is broadly right for the moment, but we have got to keep in view those longer term issues like the Mayor of Bulawayo has identified, I think that is absolutely right.

Q108 Richard Burden: When you mention the Multi Donor Trust Fund, are you saying that this is an issue they could look at?

Mr Thomas: Possibly, yes.

Q109 Richard Burden: Or that they are looking at?

Mr Thomas: The Multi Donor Fund is not up and running yet, there is still a series of preparatory meetings that are taking place to sort out how the fund will operate and what it will focus on. Exactly what it does we are still in discussion on, but it certainly could look at water and sanitation issues. Frankly, if you are looking at a series of other longer term issues, such as infrastructure, roads, et cetera, you have got to think about water and sanitation issues to some extent anyway.

Q110 Hugh Bayley: Could I come in on the issue of the diaspora before we move on to a different subject. There are many thousands of Zimbabweans in this country and they tend to be relatively better educated because the better educated migrants migrate longer distances. They are very committed to their country and because of human rights abuses or political or economic pressures they do not want to be there at the moment, but might well return if there was political change. When the Government is talking next week to President Zuma, will you be talking about the issue of a right to vote given particularly that South African citizens in this country are entitled to vote in South African elections?

Mr Thomas: I think the point you make about the issue of the right to vote for the diaspora has been recognised as one of the issues that the Electoral Commission when it gets on to do its work will have to address. We all want to see progress on those political parts of the GPA where progress has been much slower. I think the big ticket items are getting the Electoral Commission established so that it is in a position to do its work, of which looking at the voter roll and the issues around the diaspora is one of a series of issues that are key to getting free and fair elections to take place.

Q111 Hugh Bayley: One other thing I wanted to raise that affects the diaspora is this: there are circumstances, as you are acutely aware, where money from the UK may appear politically tainted in Zimbabwe. The diaspora traditionally sent a lot of money back through remittances which has played a vitally important part in allowing Zimbabwe to survive an economic collapse. When I met the Institute of Migration's director of programmes in Zimbabwe, she talked about imaginative schemes that operate in other countries of the world whereby the government of the country in question from which the migrants have migrated and donors match dollar for dollar, pound for pound remittances that are sent back. Given that remittances tend to be spent locally, not by government agencies but by families on essential services, would your Department look at the feasibility of setting up a scheme both to encourage Zimbabwean citizens living in this country to remit money and to find a good channel for transmitting money from your Department? Is that something you would examine?

Mr Thomas: I am not sure we would want to look at a programme that matches exactly what one particular Zimbabwean living in the UK or elsewhere donates to his or her family as such. There are a whole series of obvious technical difficulties with such a scheme. We certainly do want to make it easier for remittances to get back. I would go along with the director-general of IOM in this regard: there are a whole series of innovative programmes around remittances and the use of technology making it easier and cheaper for people to get remittances back which are being deployed in other countries. One thinks of Kenya's M-PESA programme, for example, where remittances are being sent using mobile phones from a whole series of countries, as I understand it, to the individual recipient in-country. We are looking at a programme of work to try and spread the benefits of that technological innovation around remittances. I would hope Zimbabwe would be a beneficiary in that regard. As you may be aware, we have tried to get much more information into the public sphere about the different rates of interest and different types of financial product that are available for people who want to remit money to be able to do so to try and create much greater competition and, as a result, drive the administrative costs, commissions, down for those sending money back.

Q112 Andrew Stunell: Children have certainly been victims of the current difficulties and it could be said probably that Zimbabwe used to have the best educational system in southern Africa, it has now probably got the worst, yet DFID is still only contributing about 2% of aid to education. I wondered if you could give us some account of how that priority was set and whether you feel it should be a greater contribution in the future.

Mr Thomas: We have a couple of programmes that are supporting the education sector. One is a programme of support to orphans and vulnerable children, which is managed by UNICEF which helps to pay the school fees of a number of the most vulnerable children in Zimbabwe. We estimate that we have helped almost 250,000 schoolchildren through that process and we are hoping that the programme will expand this year to reach almost 600,000 children directly. Some of the other benefits of that programme include better access to nutrition, to healthcare, to welfare and to psychosocial support services for those young people so that in turn they can benefit better from the education that is available to them. The other source of funding for the education sector is an Education Transition Fund which we launched the idea of back in June last year and pledged £1 million to it. Our interest has generated pledges now worth a total of $50 million and we are in the process of sorting out the procurement process to enable the purchase of substantial textbooks for schools in Zimbabwe. One of the problems in the education sector, as I suspect you will have seen, is as a result of the political instability there has been a substantial loss of good quality materials for teachers to use. We hope that this fund will be one opportunity to begin to restore that damage.

Mr Lowcock: Can I just clarify the point on your 2% figure, which I suspect we gave you.

Q113 Andrew Stunell: You did, yes.

Mr Lowcock: I think that refers to the £1 million towards the wider Multi Donor Fund programme the Minister has just described for textbooks in particular. Probably what we should also have explained is that the programme of support for orphans and vulnerable children, which again the Minister has described, is also that education dimension, so to give a fair overall summary of how much we are putting into education we should include that as well. I apologise that we did not do that the first time. I just wanted to correct that on the record.

Q114 Chairman: How much is that?

Mr Lowcock: I will have to calculate that for you, Chairman. It is significant, and we can do it quickly.

Q115 Andrew Stunell: Can I just pull out a couple of points from your two replies, if I may. The underlying problem is that a lot of schools have been lost to use and a lot of teachers have emigrated or fled from the country. Are there any specific plans that DFID is developing or working with the Zimbabwean government on to get the restoration of school buildings and bringing back teachers?

Mr Thomas: One of the things that the Inclusive Government did when they came to power was to offer a $100 allowance to all civil servants, including teachers, which has helped to see a series of teachers returning to post and in that sense has made a difference.

Mr Lowcock: The biggest issue in our opinion is teachers. I am afraid it is going to be a significant challenge for Zimbabwe to attract back many of the best teachers who have left the country. The thing that will attract them back over time is an improvement in the political and economic situation and confidence in the future of their country, so it all turns back on what the Minister was describing about the overall political situation. Clearly there is also a school infrastructure problem and textbook issue, but we think first teachers, second textbooks and probably third infrastructure would be the order of priorities.

Q116 Andrew Stunell: Can I just ask a question about textbooks? I asked a number of questions in Zimbabwe and we received representations from some of the witnesses there. My impression was that we had gone for a big bang solution to getting textbooks in which was leading to a substantial delay in getting any textbooks in, when it might have been better or more appropriate to have gone for a small-scale solution with more rapid results. We were told by an official from the Department of Education, I think, that they were still waiting for textbooks which were supposed to have been ready at the beginning of the school year, et cetera. I would be interested in your commentary on that situation and for some assurance about how the textbook programme, for which we appear to have set aside funds, is actually going to be delivered to a sensible timetable.

Mr Thomas: I think the first thing is that our initial interest back in June in making money available for the supply of textbooks has sparked considerable interest from the wider donor community, perhaps more than certainly I had expected. What we are trying to do is to make sure that money collectively is well spent by having a central procurement programme. We believe that will deliver substantial economies of scale. There has been a process by which the Zimbabwe Ministry of Education has been looking at trying to prioritise a particular core set of textbooks to be delivered across the country. I recognise the appetite inevitably for teachers to want to have access to those books, but it is right that we get the procurement process right and it is right that we try to deliver economies of scale. Given the size of the pot and the increase in the size of the pot it has clearly taken some time to get that right, but we hope we are close to achieving that and getting the textbooks out.

Mr Lowcock: I would, if I may, like to answer the question we promised you a subsequent answer to, which is the share if we had included the programme of support in our total programme in education. It would be about 6%, about £2.4 million going into education through the programme of support and then £1 million this year through the Education Transition Fund. As the Minister said, we were trading off speed with efficiency and value for money. We have got a much cheaper deal and, therefore, can buy many more textbooks in the way we have done the procurement, but I take the point you have made about needing to think carefully about that trade-off between speed and efficiency.

Q117 Andrew Stunell: So when do we now expect those books to be available to schools, bearing in mind the money was allocated back in July, August last year?

Mr Lowcock: We will need to check when we expect the first deliveries, but the procurement process is advanced now.

Q118 Andrew Stunell: And the schools have no books.

Mr Lowcock: Well, most schools have some books. Clearly, yes, there is an issue and that was the trade-off we were trying to manage. I will find out for you exactly when we expect the first deliveries.

Q119 Mr Lancaster: The Committee went to see some projects directed at orphans and vulnerable children and the Department estimates that more than 90% of the country's orphans have been absorbed by the extended family. Indeed, 40% of households in rural areas actually care for orphans and vulnerable children but they have almost no financial assistance, so how do you feel that external donors can help in this process and support them?

Mr Thomas: There are a number of programmes that we contribute to which have an impact on orphans and vulnerable children and the financial needs either of the individual children themselves or those who are looking after them. I described the programme of support to orphans and vulnerable children in answer to Mr Stunell. Paying for education fees of the most vulnerable children is one obvious way in which we can help. The second is through the Protracted Relief Programme which we talked about in answer to questions from Mr Battle. That also provides support often to some of the young people of Zimbabwe who have lost parents and who perhaps head up households themselves because of the loss of parents. Many of those people who have taken in orphans and vulnerable children are beneficiaries of the Protracted Relief Programme and in that sense get support from the international community. As a Department we do not pick the individual recipients, that is done through the NGOs who, if you like, deliver the process and the support on the ground.

Q120 Mr Lancaster: I accept the answer, but I suppose what I am really pushing for is given the sheer scale and how a relatively small percentage are being reached given limited resources from the Department, how can we move forward perhaps in greater collaboration with others. That is really what I am asking.

Mr Thomas: I think the Protracted Relief Programme is expanding. It has gone from the first phase when it was largely just the UK funding it to a much bigger programme which is allowing us to reach many more people, including orphans directly or those who are looking after orphans. Similarly, the expansion of the number of children who will get support through the overseas programme up from about 250,000 so far to, we hope, 600,000 this year is an example of the way in which we are trying to expand the numbers that we can access. As we have discussed, in the end it does come back to the economic and political situation in the country moving forward and donors being willing to do more as a result and, frankly, more resources being able to be generated in-country.

Q121 John Battle: If I could just go back to the issue of food security. I think the UN at one point said five million people would be food insecure and the Crop and Supply Assessment Mission estimated around 2.8 million might need humanitarian assistance before the next harvest, which is this April. Some of the reports are suggesting that the weather has not been all that good and the harvest might not be that good. What is your latest prediction for food aid requirements that are coming up in the next year from April?

Mr Thomas: In terms of prediction in terms of hard numbers, I am not sure I can give you that specifically now. We share the analysis that you employed that there are some early indications that this year's harvest is not going to be as good as in previous years. As I said, notwithstanding that sense of what this year's harvest is going to be, I think we will have to provide humanitarian assistance anyway at least for the next two years.

Q122 John Battle: The next two years.

Mr Thomas: In recent years there has always been a substantial humanitarian component of our aid programme at different times, almost 50% or more. We work very closely with organisations such as the World Food Programme who deliver that food aid and humanitarian assistance. Frankly, the development of the Protracted Relief Programme is not only an attempt to meet the immediate food needs of those affected but is trying to get at some of the deeper roots of that humanitarian crisis. As well as giving the seeds and fertiliser programme direct support, we are also giving support to NGOs so that they can give actual guidance to people as to how to use those seeds and fertilisers to increase the yields that they do get.

Mr Lowcock: I was going to add a point on when we will have a better sense of this year's harvest. It will be March-time probably. Most people think that it will be better than 2008 and possibly less good than 2009, so the numbers requiring emergency assistance will be in that range that you described.

Q123 John Battle: Can I thank you for the way in which you gave the answer to that longer term rather than immediate relief. Forgive me, I am not sure I clearly understand this. You provided £9 million to the World Food Programme in 2009 and that aid was mainly for food relief programmes. I wonder whether the World Food Programme itself has that longer term food programme development as well as relief. It is that distinction between your work on the programmes I referred to earlier that are getting sustainable agriculture again, but are you working with the World Food Programme itself on getting those longer term programmes in as opposed to just dishing out food aid, frankly?

Mr Thomas: We are, but it is important to recognise that the World Food Programme has particular expertise at getting food aid to those who need it instantly, who are hungry now in that sense. We are looking as a donor community, which includes WFP, at a cash transfer programme, in a sense, which helps people both to plan for a slightly longer term process as well as meeting their immediate needs now.

Q124 John Battle: If I could follow through from Mark Lowcock's comment. When will the figures be available? We are in March next week, are we not, so is there a chance that an assessment could be included in our report? Have we got time to get that far?

Mr Lowcock: Normally it is sensible in Zimbabwe to make an assessment of the harvest level by late March. We will give you any update we can at the point at which you want to go to press, but late March is probably the earliest at which we can say something resembling an authoritative answer.

Q125 John Battle: If I can be absolutely clear, that is two things: one to get on to those longer term food development programmes, both our own and working with the World Food Programme, and the other is to look to cash transfers to stimulate that rather than going to handouts. Have I got that right?

Mr Thomas: That is effectively where we are now. Obviously if the harvest is better than anticipated then we can move further up that particular long-term process earlier.

Q126 John Battle: Also not to lose, and sometimes it is lost, may I say, and criticism is made of the UN and the World Food Programme sometimes. People standing in queues and just getting it dished out to them does not always encourage community participation, whereas other methods might include that engagement of development with the people at the local level, which is where I am hoping our programmes are geared towards now.

Mr Thomas: You have to use a range of ways of getting help to people and you have to look at the reality on the ground and adjust what you do to reflect that reality.

John Battle: The direction of the overall programme is very clear from that answer, thank you.

Q127 Richard Burden: Could we move on to the question of internally displaced people, which is clearly a very, very big issue. Estimates vary of IDPs making up between just over 4% of the population and 7.5% of the population. Yet there is also difficulty, there is quite a lot of evidence, a lot of concern being voiced that as far as the Zimbabwean Government is concerned, because they take the view that IDPs do not exist, IDPs are being fairly systematically excluded from a number of relief and humanitarian programmes. Some of the NGOs are saying that really the UN as an institution is not tackling this head on and that it needs to be a lot more assertive around the question of IDPs, both in terms of Zimbabwe's own obligation under UN obligations but also from a straight humanitarian point of view; aid is not getting to where it should be getting. What is your response to that?

Mr Thomas: I think that was a situation that was certainly true of the previous Government. I think the Inclusive Government has been better at recognising both the existence of IDPs and their needs, but I would not want to downplay the challenges that still remain. I think many of our existing programmes upon which we have touched are also giving assistance to those who are internally displaced within Zimbabwe but who are perhaps living with other families or who are vulnerable in some other way. Clearly there is more we need to do, as we have described, across the range, but I do believe that our programmes and those of others in the international community, are helping to get aid to those who are internally displaced, albeit there is clearly a lot more that could happen.

Q128 Richard Burden: Certainly the impression we got was that a number of NGOs and others were saying that yes, whilst things may have improved since the formation of the Inclusive Government, the issue is still very much there as far as IDPs are concerned. Partly because of the nature of some of the security ministries, it is quite easy to get in the way of aid programmes where necessary.

Mr Thomas: In that sense, absolutely, I would agree with that. There is a huge problem in terms of the ability of IDPs to move around in terms of particular locations and the level of need that we have described in terms of humanitarian issues, in terms of children or young people, if they have been internally displaced, it is particularly acute in that sense. What I would want to avoid the Committee having the impression is that none of our programme is thinking through issues around IDPs; they very much are. However, as NGOs have described to you, certainly there are real difficulties for IDPs in terms of the security situation.

Q129 Chairman: The aid programme to Zimbabwe has more than doubled in the last four years. You said in a press release last August that the Department was willing to re-engage and support recovery in Zimbabwe provided the new Government can demonstrate: its commitment to sound economic management; the democratic process and respect for human rights; the rule of law; full and equal access to humanitarian assistance; and a timely election held to international standards. I would suggest none of those things is what is happening on the ground. The serious point behind that is, nevertheless, you have increased it. What capacity is there for increasing it further or perhaps, putting it the other way round, how do you assess your ability to deliver and whether you should do more or less? What is the process that goes round the Department in evaluating this?

Mr Thomas: We do look firstly at the humanitarian situation on the ground and we would provide humanitarian aid almost regardless of the political situation, and it is clearly right that we do get help to people who are in desperate need, despite the particular governments that they have. In terms of long-term development assistance, you are right, we will have to look at the political and economic conditions that are operating and are on the ground before we can make big decisions about be it substantial increases in aid or substantial changes in the nature of our programmes. I think there has been progress in Zimbabwe, in particular in terms of the economics of the country. Clearly the political progress in Zimbabwe has been much, much slower, and that certainly affects our ability to do more and more quickly; there is no question of that. If we were to see faster political progress, then there is no question that we could do more, and more quickly, and I am sure that others in the international community would probably see things in the same way.

Q130 Chairman: We were told, and indeed we saw for ourselves, that in spite of the migration of some of the brightest and best people from Zimbabwe, the administrative capacity to deliver services was one of the best in Africa. Even now we saw effective delivery. Do you envisage a situation, if the political background were transformed, where government support or sector support would be a possibility? Obviously it is not today but can you see a scenario where it would and how would you judge that? Is that something you could even incentivise?

Mr Thomas: I think it is a long way off. I would hope that we could get to a situation where the politics of Zimbabwe had moved so radically forward that we could have confidence in government systems or in the particular sector plans of particular ministries. I think we are a long way off from having confidence that the Government's financial systems are strong enough and robust enough and would be free from political interference. Having said that, there are ministries that are committed to reform and who are starting to try and give direction to what should happen in their particular sectors, and where we have confidence in the plans of those ministries, then we are trying to align our support as a donor community behind those plans. I think moving down the route of sector support or budget support is a long way off. The first stage is what we are embarked on, which is where we have confidence in the plans of a particular ministry thinking through how, without going through government systems, we can support those plans and move forward.

Q131 Chairman: And if you were increasing the funding further, how would you allocate that between multilateral or donor partnerships as opposed to the bilateral work that the NGOs are doing, which, to be honest, is mostly what we were looking at, which was extremely good, but the question is whether it is best to expand that or would it be best to expand it through multilaterals or would it be a parallel process?

Mr Thomas: I do not think we have a fixed view, frankly, in that sense. We would want to spend money in a way that was going to have most impact most quickly and for which we can properly account. Whether that is through UN organisations or through civil society, I think in reality it will be through a mixture and quite what the balance of that mixture would be going forward, I do not think we are yet in a position to say. It does depend on how particular programmes work. I think the Protracted Relief Programme is a programme, for example, that has a mixture of a whole series of civil society organisations and is making a significant difference. If the humanitarian situation were to deteriorate, clearly using organisations like the World Food Programme would make a huge amount of sense, but they, too, use civil society organisations, as I understand it, so it is not a question of either/or. I think it will simply come down to a hard decision as to which particular organisations are going to get money on the ground where it needs fastest.

Q132 Chairman: In spite of the very heavy anti-British rhetoric, the general dynamic on the ground is the attitude between the Zimbabwean and British people is quite positive in terms of that underlying trend. It was suggested to us that Zimbabwe ought to be one of the overriding priorities for the UK, in other words one of the three or four countries in which we do most, not because of that particular British interest, which is just stated as a positive underlying fact, but because it would have such a dynamic effect on the whole dynamic of Southern Africa if it could be turned around. Do you accept that as a possible analysis and, if you do, what could DFID do more that would reflect that priority, taking on board entirely that it is complicated and unpredictable but the argument that so long as you were working in the right direction it justified that kind of prioritisation?

Mr Thomas: Zimbabwe takes up a significant amount of both ministerial and very senior official time in both Departments in that sense, so it is accorded a high level of priority. I think the analysis about the importance of Zimbabwe to sub-Saharan Africa is absolutely right. There is no doubt that if we were to see further economic stability and progress and further political progress, Zimbabwe's recovery could help to drive progress towards the Millennium Development Goals across the whole of the region. I have a particular interest in regional integration and in the transport infrastructure that helps to drive, if you will forgive the pun, that integration, Zimbabwe has a pivotal place in the north-south corridor, a network of key roads, and therefore the investment, or lack of investment, that Zimbabwe puts into its road network has a fundamental impact on the capacity of sub-Saharan Africa to trade between the countries in that area. I think the analysis is spot on and that is why I hope that we will see the type of economic progress and political progress that I suspect all of us would want.

Q133 Chairman: Thank you very much. The Committee would want to repeat the thanks that have already been made to the DFID staff for the visit they organised. All eight members of the Committee who went on the visit came away with a much more positive impression of what is going on than we had anticipated, although I would hasten to add we are not naive enough not to realise the huge political difficulties and underlying tensions and threats that could blow it all away. We understood that. What we saw was impressive. Our report has to focus on the development agenda rather than the political agenda, but, again, you cannot deliver the one without the other. Our intention is to complete the report in advance of an Election unless we are ambushed.

Mr Thomas: With that in mind, I wonder if I can ask Mr Lowcock to give you the answer on the textbook delivery timescale. I think we have that information.

Q134 Chairman: Anything you have now and anything you do not have now if you can think days rather than anything else.

Mr Lowcock: Could I preface the answer to Mr Stunell's question by saying that of course we are not in complete control of this because we are a tiny part of the financing. We have to get all the other players into place as well. The answer to the question is that the contract will be let in the next few weeks and the first books will be delivered from about eight weeks from then, so about 12 weeks from now the first books will be delivered.

Q135 Chairman: The Committee will obviously watch with interest the developments which obviously go through convolutions almost daily. Perhaps the one positive thing Mark said was that whilst nobody knows where it might head, the feeling was that things had got to the point where going back to a situation where there was no space was perhaps unthinkable unless the situation deteriorated beyond all hope. If I may say so, there were comments and compliments about DFID's role, and indeed the Foreign Office's role because it is important to recognise this is a joint operation, in doing that. I think it was the Dutch development representative who said specifically that he wanted to put on record his appreciation of the leadership role that was being provided by DFID in Zimbabwe and how important it was, both politically and in terms of development. I am happy to put that on the record and say that we appreciate it and we appreciate that the team there are doing really good work in difficult and challenging situations, but at the moment not unrewarding because there is something coming back for it. Can I thank you very much indeed for your evidence. I genuinely hope that our report is something that will make a useful contribution to both your work and a wider understanding of what we are trying to do.

Mr Thomas: Thank you, Mr Bruce.