Written question asked by Paul Marsden (Labour) on Thursday, 16 March 2000, in the House of Commons. It was due for an answer on Thursday, 18 May 2000. It was answered by Andrew Smith (Labour) on Thursday, 18 May 2000 on behalf of the Treasury.

Treasury

Question: To ask the Secretary of State for Foreign and Commonwealth Affairs, if he will encourage the IMF to develop a detailed audit trail for the sale of oil reserves by countries that abuse human rights; and if he will make a statement.

Answer: Mr. Paul Marsden: To ask the Secretary of State for Foreign and Commonwealth Affairs if he will encourage the IMF to develop a detailed audit trail for the sale of oil reserves by countries that abuse human rights; and if he will make a statement. [115721] Mr. Andrew Smith: I have been asked to reply. The Chancellor of the Exchequer is the UK's Governor of the IMF and is responsible for the management of UK interests at the Fund. The IMF is an International Financial Institution set up to promote a sound world financial system and broad-based economic growth through assistance to countries experiencing unsustainable external imbalances and related economic difficulties. The IMF's remit, as set out in the Articles of Agreement, emphasises that only economic conditions shall be relevant to its decisions. The IMF's Executive Board has, in the last month, agreed to the adoption of a strengthened framework of measures to safeguard the use of Fund resources and to deter misreporting and misuse of Fund resources. A key part of this will be a requirement that all countries making use of Fund resources will be required to publish annual central bank financial statements that are independently audited in accordance with internationally accepted standards.

Secondary information