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GA/EF/2716

EIGHTEEN PROPOSALS RANGING FROM PROMOTION OF ENTREPRENEURSHIP TO POVERTY ERADICATION DECADE, APPROVED BY SECOND COMMITTEE

12 December 1995


Press Release
GA/EF/2716


EIGHTEEN PROPOSALS RANGING FROM PROMOTION OF ENTREPRENEURSHIP TO POVERTY ERADICATION DECADE, APPROVED BY SECOND COMMITTEE

19951212 Valuing the promotion of entrepreneurship in the development of small enterprises and industries, the General Assembly would examine the role of public administration in promoting partnership for development at its resumed fiftieth session in March-April 1996, by the provisions of one of 18 proposals approved without a vote by the Second Committee (Economic and Financial) in an extended meeting this afternoon.

The draft resolution on "business and development", which was the object of last-minute oral changes, would also have the Assembly recommend that the Economic and Social Council consider in 1996 the time-frame and procedures to complete the draft international agreement on illicit payment.

The Committee also approved a draft on the triennial policy review of the United Nations system's operational activities for development.

Under its provisions, the Assembly would decide that negotiations on new modalities for financing operational activities for development on a predictable, continuous and assured basis should lead to an agreed outcome. Reaffirming that the country strategy note remains a voluntary initiative of recipient countries, it would decide that the note, where in place, should be the common framework for country programmes of United Nations organizations, and also an indication of the level of resources needed.

In a related draft, the Assembly would decide to consider at its fifty- second session the convening of an international conference on the financing of development.

Concerning the external debt of developing countries, a draft resolution would have the Assembly urge the international community to ensure that the debt strategy evolved through the years is fully implemented. It would be recognized that a durable solution to the external debt and debt-servicing problems of developing countries could contribute towards releasing domestic resources and sustaining their development efforts, in particular those for social development.

Acting on trade and development, the Assembly would deplore any attempt to undermine multilaterally agreed measures of trade liberalization over and

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above those agreed to in the Uruguay Round, and reaffirm that environmental and social concerns should not be used for protectionist purposes. It would stress that there should be constructive and effective cooperation between the United Nations Conference on Trade and Development and the World Trade Organization, based on the complementarity of their functions.

The Assembly would proclaim the first United Nations decade for the eradication of poverty (1997-2006) by another draft resolution approved. It would also decide that the aim of the activities for the observance of the International Year for the Eradication of Poverty (1996) should be to support a longer-term, sustained effort to implement fully and effectively the commitments and recommendations agreed upon at major United Nations development-related conferences.

Following on action taken this morning by the Economic and Social Council, the Assembly would endorse the Council's decision 1995/320, to enlarge the membership of the Commission on Population and Development from 27 to 47 members with the following geographical distribution: 12 seats to African States; 11 to Asian States; 5 to Eastern European States; 9 to Latin American and Caribbean States; and 10 to Western European and Other States.

A draft resolution approved under the Second Committee's consideration of the item on environment and sustainable development would have the Assembly decide to convene in June 1997 a special session to review and appraise the implementation of Agenda 21, the programme of action adopted by the 1992 United Nations Conference on Environment and Development.

By other drafts approved, the Assembly would:

-- Request the United Nations system, in particular the United Nations Industrial Development Organization and the Economic Commission for Africa, as well as the Organization of African Unity to continue to play an active and more effective role in the implementation of the programme for the Second Industrial Development Decade for Africa (1993-2002); and

-- Endorse the measures and recommendations contained in the report of the High-Level Intergovernmental Meeting on the Mid-Term Global Review of the Implementation of the Programme of Action for the Least-Developed Countries in the 1990s, designed to ensure its full implementation over the second half of the Decade for those countries.

Also approved this afternoon were eight draft decisions by which the Committee took note of several reports submitted for its consideration during the current session.

The Committee will meet again at 10 a.m. tomorrow, 13 December, to consider its draft biennial programme of work for 1996-1997.

Committee Work Programme

The Second Committee (Economic and Financial) met this afternoon to take action on all outstanding draft proposals before it.

Under macroeconomic policy questions, a draft resolution (document A/C.2/50/L.74) submitted by a Vice-Chairman of the Committee, Max Stadthagen (Nicaragua), on the basis of informal consultations held on a text on the same subject contained in document A/C.2/50/L.15 concerns sources for the financing of development.

Under its provisions, the Assembly would decide to consider at its fifty-second session the convening of an international conference on the financing of development. The Secretary-General would be requested to submit a report on substantive areas, including the consideration of interrelatedness and coordination necessary as a basis for the full consideration of the financing of development and its potential funding sources.

By another draft resolution (document A/C.2/50/L.75) submitted by Vice- Chairman Stadthagen (Nicaragua), on the basis of informal consultations held on a draft resolution contained in document A/C.2/50/L.7, concerns international cooperation towards a durable solution to the external debt problem of developing countries.

By its terms, the Assembly would recognize that equitable, development-oriented and durable solutions to the external debt and debt- servicing problems of developing countries can contribute substantially to the strengthening of the global economy and to the efforts of developing countries to achieve sustained economic growth and development. It would also recognize that the evolving international debt strategy has to be supplemented by external financial flows to indebted developing countries. The importance for developing countries of continuing their efforts to promote a favourable environment for attracting foreign investment would be stressed as would the need for the international community to promote a conducive external economic environment.

The Assembly would also stress the need to find equitable, development- oriented and durable solutions to the continuing debt and debt-servicing problems of the poorest and most indebted developing countries. It would recognize the efforts of indebted developing countries in fulfilling their commitments on debt-servicing, despite the incurring of a high social cost, and would encourage private creditors and commercial banks to continue their initiatives to address the commercial debt problems of middle-income developing countries.

The Assembly would note the high proportion of multilateral debt of a number of developing countries and invite international financial institutions to examine proposals to tackle those countries' problems in that area, taking

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into account the situation of each country, while preserving the preferred creditor status of the multilateral financial institutions to ensure that they can continue to provide concessional financing to those countries to assist their development.

Also, the Assembly would note with concern the continuing burden of debt and debt-service obligations of middle-income countries, particularly those in Africa, and creditors, including multilateral financial institutions and commercial banks, would be encouraged to continue to address their obligations effectively. It would stress the importance of continued concessional Enhanced Structural Adjustment Facility lending operations for low-income countries. Also stressed would be the need for existing facilities to provide debt-relief measures through various debt-conversion programmes.

The Assembly would urge creditor countries and multilateral financial institutions to continue to extend concessional financial assistance, particularly to the least developed countries, to support the implementation of economic reforms, stabilization and structural adjustment programmes and the eradication of poverty so as to enable developing countries to extricate themselves from the debt overhang and assist them in achieving sustained growth and development. Underscored would be the need for the expeditious conclusion of the ongoing work of the International Monetary Fund (IMF), in close collaboration with the World Bank, on the steps to address the problems of those low-income countries that are undertaking strong adjustment and reform programmes but whose debt situation, including debt to multilateral institutions, may prove unsustainable. Within that context, donor countries would be urged to fulfil promptly their commitments to the tenth replenishment of the International Development Association (IDA) and to support a significant eleventh replenishment of the Association.

The Assembly would recognize that the evolving debt strategy must be accompanied by the full implementation of the results of the Uruguay Round of multilateral trade negotiations, as well as the Marrakesh ministerial decisions in favour of the least developed countries and net food-importing developing countries. The IMF would be invited to continue devising specific policy actions to address the problems faced by indebted developing countries. The need for encouragement of private flows to all countries, especially the developing ones, while reducing the risks of volatility, would be stressed. The urgent need to continue providing social safety nets to vulnerable groups most adversely affected by the implementation of economic reform programmes in the debtor countries, in particular low-income groups, would be further stressed.

The creditor countries and multilateral institutions, as well as commercial banks and other lending institutions, would be urged to ensure that the debt strategy evolved through the years is fully implemented and taken into account. Among factors recognized would be: a durable solution to the external debt and debt-servicing problems of developing countries could

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contribute towards releasing domestic resources and sustaining their development efforts, in particular those for social development.

Included in the text is the call on the United Nations system and invitations to the Bretton Woods institutions, as well as the private sector, to take urgent action for the implementation of the commitments, agreements and decisions of the major United Nations development-related conferences organized since the beginning of the 1990s on development, which also addressed the question of external debt.

Under sustainable development and international economic cooperation a draft resolution (document A/C.2/50/L.76) submitted by a Vice-Chairman of the Committee, Conor Murphy (Ireland), on the basis of informal consultations held on a text on the same subject contained in document A/C.2/50/L.40 concerns the Second Industrial Development Decade for Africa (1993-2002).

Under its provisions, the United Nations system, in particular the United Nations Industrial Development Organization (UNIDO) and the Economic Commission for Africa (ECA), as well as the Organization of African Unity (OAU) and all other partners in the development process, would be requested to continue an active and more effective role in carrying out the programme for the Second Decade, bearing in mind the undertakings made in that regard in the United Nations New Agenda for the Development of Africa in the 1990s. African Governments would be encouraged to strengthen national committees for the Second Decade, in order to monitor its implementation effectively and to fashion policy responses to the challenges and demands posed and opportunities offered by changes in the domestic and international environment for industrialization.

The UNIDO, the ECA and OAU would be called upon to enhance their assistance and coordinate their activities in human resources development for industry, with a view to improving the competitiveness of the industrial sector in Africa in the light of the globalization of production and the growth of related trade, investment and technology flows. The Secretary- General would be asked to take into account the implementation of the programme for the Second Decade when preparing for the 1996 mid-term review of the United Nations New Agenda for the Development of Africa in the 1990s.

Another draft resolution (document A/C.2/50/L.73) submitted by Vice- Chairman Conor Murphy (Ireland), on the basis of informal consultations held on a draft resolution contained in document A/C.2/50/L.17 concerns international trade and development.

Under its terms, the Assembly would stress the urgent need to continue trade liberalization and the elimination of discriminatory and protectionist practices in international trade relations, and to improve access to the markets of all countries, in particular those of the developed countries, in order to generate sustained economic growth and sustainable development.

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Further, the Assembly would underscore the need for the full integration of the economies in transition, as well as other countries, into the world economy and would recognize in that respect the importance of open regional economic integration of interested economies in transition among themselves as well as with developed and developing countries in creating new possibilities for expanding trade and investment. The importance of the timely and full implementation of the agreements contained in the Final Act Embodying the Results of the Uruguay Round of Multilateral Trade Negotiations would be emphasized as would the significance of the entering into force of the Agreement Establishing the World Trade Organization (WTO) on 1 January of this year.

The Assembly would emphasize the importance of the continuing implementation of the provisions contained in the Final Act that confer differential treatment for developing countries, including decisions giving special attention to the situation of the least developed countries and the net food importing developing countries. It would note the work undertaken jointly and separately by the United Nations Conference on Trade and Development (UNCTAD) and the WTO on the impact of the Uruguay Round on developing countries. The ninth session of UNCTAD would be invited to transmit its assessment on challenges and opportunities arising from the Uruguay Round agreements from a development perspective to the Ministerial Conference of the WTO.

The Assembly would deplore any attempt to bypass or undermine multilaterally agreed measures of trade liberalization, through resort to unilateral actions, over and above those agreed to in the Uruguay Round, and reaffirm that environmental and social concerns should not be used for protectionist purposes. It would note the work of both UNCTAD and the WTO on trade and environment. The urgent need for assistance to African countries for evaluation of the impact of the Final Act Embodying the Results of the Uruguay Round and to enable them to implement adaptive measures to enhance their competitiveness would be emphasized. Also, the Assembly would request preference-giving countries to improve their preferential schemes, and invite the 1996 Policy Review on the Generalized System of Preferences to examine possible adaptations to the system.

Also by the draft text's terms, the Assembly would reaffirm the role UNCTAD has been playing as the focal point within the United Nations for the integrated treatment of development and interrelated issues in the areas of trade, finance, technology, investment, services and sustainable development; and in that context, would stress that there should be effective cooperation between the Conference and the WTO, based on the complementarity of their functions. It would recognize that UNCTAD will consider, among other issues, the future role of the Conference, including its relationship with other international institutions, to generate synergies among them and, on the basis of the mandate of the Conference and with a view to strengthening the United

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Nations system, the Conference should be enabled to become a more effective instrument for promoting development.

In addition, UNCTAD would be invited to consider, in close cooperation with other competent organizations, new and emerging issues on the international trade agenda, taking into account the new multilateral trade framework with a view to fostering international consensus-building among Member States in such areas as trade and environment, and competition policy. Among other things, the Assembly would welcome the measures taken by the secretariats of UNCTAD and the WTO and invite them to continue to develop their working relationship, mutual cooperation and complementarity.

Also, by the draft, the Assembly would emphasize the importance to the international trading system of the inclusion in multilateral trade agreements of all countries that are not members of the WTO, and urge the international community to assist those countries in the steps to accede to that organization. The UNCTAD would be requested and the WTO invited to address trade and environment matters comprehensively in accordance with their mandates and to report to the 1997 Assembly's special session on the concrete progress achieved on the issue of trade and environment.

A further draft resolution (document A/C.2/50/L.72) concerns the implementation of the Programme of Action for the Least Developed Countries for the 1990s. It was submitted by Vice-Chairman Murphy (Ireland), on the basis of informal consultations held on the draft contained in document A/C.2/50/L.31.

By the new text, the Assembly would endorse the measures and recommendations contained in the report of the High-Level Intergovernmental Meeting on the Mid-term Global Review of the Implementation of the Programme of Action. Those measures are designed to ensure the Programme's full implementation over the second half of the decade. It would call on all governments, international and multilateral organizations, financial institutions and development funds, the United Nations system and all other organizations concerned to take immediate, specific steps to implement the Programme. Full account would be taken of the measures and recommendations of the mid-term global review to ensure economic growth and sustainable development in the least developed countries and to enable them to participate in and benefit from the process of globalization and liberalization.

The Assembly would urge all donor countries to implement their commitments fully and expeditiously in all relevant areas, including the agreed menu of aid targets and commitments as set out in the Programme of Action, as well as the measures agreed upon at the mid-term global review to provide a substantial increase in the aggregate level of external support for the least developed countries. The increased needs of those countries, as well as the requirements of the countries added to the list of the least

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developed following the Second United Nations Conference on that matter would have to be kept in mind.

By other provisions of the text, the Assembly would stress the critical importance of providing multilateral assistance for the least developed countries, in the form of grant-based multilateral programmes, and would call attention to the need to ensure adequate replenishment of the IDA and the soft-term windows of the regional development banks. It would emphasize the serious debt problem of the least developed countries and encourage the Bretton Woods institutions to expedite the ongoing consideration of how to address the issue of multilateral debt, including those concerning the least developed countries.

Reiterating that increased opportunities for trade can help reactivate economic growth in the least developed countries, the Assembly would call for significantly improved market access for their products. It would emphasize the importance of effectively applying the provisions of the Final Act Embodying the Results of the Uruguay Round. It would further emphasize the importance of expeditious concrete action to fully implement the Marrakesh Declaration as it related to the least developed countries and the ministerial decision on measures in their favour as well as others agreed at the mid-term global review.

The Assembly would also emphasize the importance of the Trade and Development Board's annual reviews of progress made in the implementation of the Programme of Action and the pressing need for enabling representatives of the least developed countries to participate in those reviews. Towards that end, the Secretary-General would be requested to defray the cost of their participation by mobilizing extrabudgetary resources for that purpose and by reallocating existing resources of the regular budget, if required. The UNCTAD would be called upon to take into account, at its ninth session, the outcome of the High-Level Intergovernmental Meeting. The Secretary-General would be requested to submit to the Assembly at its fifty-second session a report on the implementation of the resolution.

A statement on the financial implications of the above draft (document A/C.2/50/L.77) states that should it be adopted an exception would have to be made to the rules governing the payment of travel and subsistence expenses to members of principal organs of the United Nations and subsidiary bodies. Also, it would be the intention of the Secretary-General to mobilize extrabudgetary resources under the Trust Fund for the Participation of Least Developed Countries in Intergovernmental Meetings so as to finance the travel requirements of one representative from each least developed country for participating at the annual meetings of the Trade and Development Board.

A two-part draft resolution (document A/C.2/50/L.80) submitted by the Committee's Vice-Chairman Murphy (Ireland), on the basis of informal consultations held on draft resolution A/C.2/50/L.39 concerned the Observance

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of the International Year for the Eradication of Poverty and proclamation of the First United Nations Decade for the Eradication of Poverty.

By the terms of the draft, the General Assembly would urge all governments, the international community, including the United Nations system, and all others in society to pursue seriously the objective of the eradication of poverty within the context of the International Year for the Eradication of Poverty (1996).

The Assembly would decide that the aim of the activities for the observance of the Year shall be to support a longer-term, sustained effort to implement fully the commitments, recommendations and measures undertaken and the basic provisions already agreed upon at major United Nations conferences since 1990, in particular the World Summit for Social Development and the Fourth World Conference on Women.

The Assembly would also decide that to achieve the goal of eradicating poverty, activities during the Year, at all levels, shall be guided by a series of principles, including the following:

(a) A sustained, collective commitment and effort shall be mounted by governments, local administrations, all relevant actors of civil society, including non-governmental organizations, business and corporations, supported by the international community, including the United Nations system and relevant subregional, regional and other international organizations; and anti-poverty strategies and programmes shall be designed, implemented and monitored with the full participation of people living in poverty;

(b) Measures shall be adopted to ensure that people living in poverty have access to the resources and opportunities necessary to escape from poverty, and policies shall be adopted to ensure that all people have adequate economic and social protection during unemployment, ill health, maternity, child-rearing, widowhood, disability and old age;

(c) Access of all people living in poverty to basic social services shall be ensured, as well as their participation in the economic, social, cultural and political life of society;

(d) Women shall be given the economic and social opportunities to contribute to development, and anti-poverty strategies and programmes shall be designed with a gender dimension;

(e) Targeted programmes shall be developed to meet the special needs of particular social and demographic groups, including young people, disadvantaged older persons, persons with disabilities, and other vulnerable and disadvantaged groups of persons;

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(f) The international community shall provide continued and effective support to broad-based development, particularly in the developing countries of Africa and the least developed countries;

(g) The efforts of the United Nations system to achieve the overall goal of eradicating poverty should be well coordinated to ensure that activities are complementary and cost-effective.

The Assembly would recommend that all States, as set out in the Copenhagen Declaration and Programme of Action of the World Summit for Social Development, undertake the following, preferably by 1996:

(a) Develop a precise definition and assessment of absolute poverty;

(b) Elaborate the measurements, criteria and indicators for determining the extent and distribution of absolute poverty;

(c) Formulate or strengthen, as a matter of urgency, national policies and strategies geared to substantially reducing overall poverty in the shortest possible time, reducing inequalities, and eradicating absolute poverty by a target date to be specified by each country in its national context;

(d) Increase public efforts to eradicate absolute poverty and to reduce overall poverty substantially by formulating or strengthening and implementing national poverty eradication plans to address the structural causes of poverty, encompassing action on the local, national, subregional, regional and international levels;

(e) Attach particular attention in the context of national plans to employment creation as a means of eradicating poverty, while also giving appropriate consideration to health and education, assigning a higher priority to basic social services, generating household income, and promoting access to productive assets and economic opportunities.

By other terms of the draft, governments would be urged to review, adopt and maintain macroeconomic policies and development strategies that address the needs and efforts particularly of rural women living in poverty, as set out in paragraph 58 of the Beijing Platform of Action adopted by the Fourth World Conference on Women.

The General Assembly would reaffirm the agreement to a mutual commitment between interested developed and developing country partners to allocate, on average, 20 per cent of official development assistance (ODA) and 20 per cent of the national budget, respectively, to basic social programmes.

The Assembly would stress that, during the anti-poverty Year and beyond, people living in poverty and their organizations should be empowered by fully

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involving them in the setting of targets and in the design, implementation, monitoring and assessment of national strategies and programmes for poverty eradication and the development of community bases, ensuring that such programmes reflect their priorities.

Further by the text, multilateral financial and development institutions would be urged to intensify and accelerate their investments in social sectors and poverty eradication programmes.

The Secretary-General would be requested to take measures to arrange for the wide dissemination of the present resolution and the programme for the observance of the Year. The Secretary-General would accordingly invite all States, the United Nations system, other international, national and non- governmental organizations and civil society groups to give the necessary attention to the observance of the Year.

By the terms of the second part of the draft covering the First United Nations Decade for the Eradication of Poverty (1997-2006), the General Assembly would proclaim the Decade and urge all Governments, the United Nations system and other organizations, and all other actors in society to pursue the implementation of the recommendations and adopted programmes of major United Nations conferences relating to the eradication of poverty, in particular the World Summit for Social Development. It would welcome the arrangements, within the agreed appropriation level for the 1996-1997 biennium, made by the Secretary-General regarding the entity, within the Secretariat, required to undertake the necessary functions in support of the system-wide implementation of the International Year for the Eradication of Poverty, including activities of the Decade.

States, the United Nations system, and all others concerned with the Decade would be called upon to participate in the financial and technical support of the Decade, with a view to translating all measures and recommendations into operational and concrete poverty eradication programmes and activities.

Also by the draft's terms, the Assembly would decide that the Trust Fund of the World Summit for Social Development established in accordance with Assembly resolution 47/92 to finance preparatory activities, be renamed the Trust Fund for the Follow-up to the World Summit for Social Development, under the authority of the Secretary-General. The Fund would support programmes, seminars and activities for the promotion of social development in the implementation of the Copenhagen Declaration and Programme of Action of the World Summit for Social Development, which include activities of the first United Nations Decade for the Eradication of Poverty. All States would be invited to contribute to the Fund.

The Secretary-General would be requested to ensure that the outcomes of major United Nations conferences are disseminated as widely as possible, and

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also to ensure that the documents relating to the Year and the Decade for the Eradication of Poverty, once adopted, be transmitted to all States, relevant international and regional organizations, multilateral financial institutions and regional development banks in order to secure their substantial contributions.

Also by the text, the Assembly would recommend that donor countries give greater priority towards the eradication of poverty in their assistance programmes and budgets, on either a bilateral or a multilateral basis. The Secretary-General would be requested to submit to the General Assembly at its fifty-first session, in one document, a progress report on action taken by the United Nations system to implement the programme for the observance of the Year and action envisaged for the Decade.

Finally, the Assembly would decide to include in the provisional agenda of its fifty-first session an item entitled "First United Nations Decade for the Eradication of Poverty (1997-2006)".

According to a statement (document A/C.2/50/L.61) on the financial implications of the anti-poverty draft, should the Assembly adopt it, an additional appropriation in the amount of $130,600 would be required under section 7A (Department for Policy Coordination and Sustainable Development) of the proposed programme budget for the biennium 1996-1997. In addition, an appropriation in the amount of $29,600 would be required under section 32 (Staff assessment) to be offset by an equal amount of income under income section 1 (Income from staff assessment).

Under environment and sustainable development, a draft resolution (document A/C.2/50/L.78) submitted by Vice-Chairman Murphy (Ireland), on the basis of informal consultations on draft resolution A/C.2/50/L.23 concerns the convening of a special session for the purpose of an overall review and appraisal of the implementation of Agenda 21, the programme of action adopted by the United Nations Conference on Environment and Development (UNCED) held in Rio de Janeiro in 1992.

By its provisions, the General Assembly would decide to convene the special session, envisaged in resolution 47/190, for a week in June 1997 at the highest possible level of participation. The Assembly would encourage participants at the high-level meeting of the Commission on Sustainable Development to be held during its fourth session in 1996 to address matters relating to the special session.

The Assembly would welcome the Commission's decision to devote its fifth session, in 1997, to preparations for the special session and would decide that the Commission's session be open-ended. The Commission would also make available to the Assembly all reports and recommendations prepared under its aegis. The Assembly would also decide that both the preparations and the special session itself shall be kept within the agreed appropriation level for the 1996-1997 biennium.

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The Assembly would welcome the decisions of the Governing Council of the United Nations Environment Programme (UNEP), in which the Council emphasized the need for UNEP, in accordance with its Agenda 21 mandate, to continue to support the work of the Sustainable Development Commission and in which the Council decided to hold its nineteenth session early in 1997 to contribute to the special session.

By the text's terms, governments and concerned regional and subregional organizations would be invited to review progress achieved since UNCED at the national, subregional, regional and interregional levels with a view to contributing to the preparations for the special session.

Governments would also be invited to assist particularly the least developed countries, to participate fully and effectively in the special session and its preparatory process. Towards that end, they would be invited to make appropriate contributions to the Trust Fund to Support the Work of the Commission on Sustainable Development.

By other provisions of the draft, the Assembly would welcome the preparation of hemispheric, regional and subregional conferences on sustainable development, and would invite the governments concerned to contribute to the special session the outcomes of such conferences.

All relevant organizations and bodies of the United Nations system, including UNCTAD, the specialized agencies and other multilateral organizations, among them the multilateral financial institutions and the WTO, would be invited to contribute to the special session. The Inter-Agency Committee on Sustainable Development, in close coordination with the Commission on Sustainable Development, would be requested to ensure a coordinated system-wide response to the preparation of the special session.

The conferences of parties or other regulatory bodies of the United Nations Framework Convention on Climate Change, the Convention on Biological Diversity and the United Nations Convention to Combat Desertification in those Countries Experiencing Serious Drought and/or Desertification, particularly in Africa, as well as the regulatory bodies of other relevant instruments, as appropriate, and the Global Environment Facility, would be invited to provide their inputs to the special session.

Further, by the draft text, the General Assembly would recognize the important role played by major groups, including non-governmental organizations, at UNCED and in the implementation of its recommendations, and the need for their active involvement in preparations for the special session, as well as the need to ensure appropriate arrangements for their contribution during the special session.

The Secretary-General would be requested to prepare, for the consideration of the Commission on Sustainable Development at its fifth

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session, a comprehensive report containing an overall assessment of the progress achieved, since the holding of UNCED, in the implementation of Agenda 21 and in the implementation of related measures and programmes, as well as recommendations for future actions and priorities; and would further request that the report include:

(a) Concise reports with an assessment of the progress achieved in specific sectoral and cross-sectoral areas;

(b) Country profiles providing a concise presentation of progress made and constraints encountered in implementing Agenda 21 at the national level, compiled on the basis of national information received and in close cooperation with the governments concerned;

(c) Major and emerging trends and issues within the framework of Agenda 21 and related results of the Conference in the sustainable development area, including the impact of activities that are gravely hazardous to the environment, taking into account the views of States;

(d) Recommendations on the future role of the Commission in the follow-up to the recommendations of the Conference and related recommendations, building on experience gained since 1992.

The Secretary-General would further be requested to mount a public information programme to raise global awareness of both the special session and the work undertaken by the United Nations in the follow-up to UNCED.

The Assembly would decide to include a sub-item entitled "Special session for the purpose of an overall review and appraisal of the implementation of Agenda 21" in the provisional agenda of its fifty-first session, and would request the Secretary-General to submit to it at that session a progress report on the state of preparations for the 1997 special session.

A draft sponsored by Poland, Russian Federation and the United States (document A/C.2/50/L.41/Rev.1) concerning Business and development, would have the General Assembly value the promotion of entrepreneurship in the development of small and medium-sized enterprises by various actors throughout civil society, and of privatization, demonopolization and the simplification of administrative procedures.

By the draft, the Assembly would also look forward to its resumed session in March and April 1996, during which it will examine public administration and development, and will address, among other issues, the role of governments and public administration in supporting private-sector development through restructuring the public sector.

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By other provisions of the draft, Member States, the Secretary-General and the bodies of the United Nations system would be requested to encourage private sector involvement in the efficient construction, use and maintenance of infrastructure.

The General Assembly would welcome the continuation of work on illicit payments in the concerned international forums, including the United Nations, taking account of progress already achieved on that issue. It would recommend that the Economic and Social Council, at its 1996 organizational session, determine a timetable for the continuation of the work with a view to completing the draft international agreement on illicit payments, and would include consideration of the draft at the Council's 1996 substantive session. The Assembly would also recommend that the Council report to it at its fifty- first session.

Finally, the Assembly would decide to include in the agenda of its fifty-second session the item "Sustainable development and international economic cooperation: business and development".

By the terms of a draft resolution on the implementation of the Programme of Action of the International Conference on Population and Development (document A/C.2/50/L.58), the General Assembly would endorse the Economic and Social Council's decision 1995/320 of 12 December by which it enlarged the membership of the Commission on Population and Development from 27 to 47 members with the following geographical distribution: 12 seats to African States; 11 to Asian States; 5 to Eastern European States; 9 to Latin American States and Caribbean States; and 10 to Western European and Other States.

The draft text would also have the Assembly reaffirm that the follow-up to the Conference, at all levels, should fully take into account that the factors of population, health, education, poverty, patterns of production and consumption, empowerment of women and the environment are closely interconnected and should be considered through an integrated approach.

By the draft text, the Assembly would also reiterate the importance of South/South cooperation for the successful implementation of the Programme of Action.

Also, it would request the specialized agencies and all related organizations of the United Nations system to continue to take measures to ensure the full and effective implementation of the Programme of Action, while considering the specific needs of developing countries. And it would welcome the intention of the Secretary-General to report, through the Commission on Population and Development to the Council at its 1996 substantive session on the work of the Inter-Agency Task-Force, for coordination purposes, and to the General Assembly at its fifty-first session, for policy implications.

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In addition, among other things, the draft would have the Assembly request the Economic and Social Council to consider relevant reports and give guidance on matters concerning harmonization, cooperation and coordination within the United Nations system regarding the implementation of the Programme of Action.

The Committee also had before it a statement submitted by the Secretary- General (document A/C.2/50/L.81) on programme budget implications of the draft resolution contained in document A/C.2/50/L.58 on implementation of the Programme for Action of the International Conference on Population and Development. It states that an increase in the membership of the Commission on Population and Development from 27 to 48 States, as proposed, would result in additional requirements to meet travel costs in the sum of $67,000. It was expected that the requirements could be accommodated from within the provision proposed for the Commission under Section 8 (Department for Economic and Social Information and Policy Analysis) of the proposed programme budget for the 1996-97 biennium.

The Committee also had before it a statement submitted by the Secretary- General (document A/C.2/50/L.82) on programme budget implications of the draft resolution contained in document A/C.2/50/L.78 on the special session to review Agenda 21. It states that should the draft resolution be adopted, the need for additional requirements would be brought before the Fifth Committee (Administrative and Budgetary) in accordance with the provisions of General Assembly resolution 45/248 B, section VI, whereby the Assembly reaffirmed that the Fifth Committee was the appropriate Main Committee of the Assembly entrusted with responsibilities for administrative and budgetary matters.

By the terms of the draft resolution on the triennial policy review of operational activities for development of the United Nations system (document A/C.2/L.79), the General Assembly would strongly reaffirm that the efficiency, effectiveness and impact of the operational activities of the United Nations should be enhanced by a substantial increase in their funding on a predictable, continuous and assured basis, commensurate with the increasing needs of developing countries, as well as through the full implementation of Assembly resolutions 47/199 and 48/162.

The Assembly would further decide that intensified consultations and negotiations on prospective new specific modalities for financing operational activities for development on the firm basis referred to earlier, should lead to an agreed outcome in the framework of the review process set out in resolution 48/162.

It would also decide that, where in place, the country strategy note should be the common framework for country programmes of United Nations system activities, and that the note should outline the contributions of the United Nations system, including an indication of resources needed to meet the requirements set out.

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Further by the terms of the text, the Assembly would decide that the objective of capacity-building and its sustainability should continue to be an essential focus of the operational activities of the United Nations system at the country level, with the aim of integrating their activities and providing support to efforts to strengthen national capacities in the fields of policy and programme formulation, development, management, planning, implementation, coordination, monitoring and review.

It would also decide that, where Governments so desired, the United Nations system should be ready to engage in providing an enabling environment to strengthen the capacity of civil societies and national non-governmental organizations that are involved in development activities, in accordance with national priorities. It would decide further that the United Nations system should use, to the fullest extent possible, available national expertise and indigenous technologies.

The General Assembly would call for further work on the development of common guidelines at the field level for the recruitment, training and remuneration of national project personnel, including national consultants in formulating and implementing development projects and programmes supported by the United Nations development system.

Among other things, the Assembly would decide that in order to promote coordination and a better division of labour, resident coordinators should, at an early stage of formulation, be informed of planned programme activities of the United Nations agencies, funds, programmes and bodies.

Finally, the General Assembly would call for further simplification of rules of procedures used by the United Nations development system in operational activities, particularly promoting greater consistency in the presentation of budgets at the Headquarters level, as well as in sharing administrative systems and services in the field and in developing common databases, in consultation with national Governments. It would also decide that, as an integral part of the next comprehensive triennial policy review, there should be, in consultation with Member States, an evaluation of the impact of operational activities for development, and request the Secretary- General to submit to the Economic and Social Council at its substantive sessions of 1996 and 1997 information on progress in that regard.

Action on Draft Proposals

The CHAIRMAN said he had received an appeal from several delegations to defer action on the draft on business and development. He called on interested delegations to continue consultations on the text.

Mr. STADTHAGEN (Nicaragua), a Committee Vice-Chairman, introduced the draft on financing of development.

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The representative of the Philippines, on behalf of the "Group of 77" developing countries, said that text reflected that one day during its fifty- second session, the Assembly would have to take a decision on the question of the financing of development that could not be postponed any longer.

The draft was approved without a vote and a previous draft on the matter was withdrawn by its sponsors.

The Committee then took note of a report of the Secretary-General on potential sources of financing for development (document A/50/397).

Mr. STADTHAGEN (Nicaragua) then introduced the draft on the external debt of developing countries. The draft was approved without a vote.

The representative of the United States registered her delegation's reservation on preambular paragraphs 15 and 17 and operative paragraphs 2 and 13 of the draft resolution. She reaffirmed that, for the United States, whenever the term "sustained economic growth" appeared in the resolution, it was its understanding that it referred to "growth in the context of sustainable development" consistent with paragraph six of the Copenhagen Declaration on Social Development as affirmed by the heads of State or government from over 130 countries at the World Summit for Social Development.

She said that the United States had implemented and would continue to implement its Uruguay Round obligations and stressed the critical importance of other members of the WTO doing so as well. The United States understood, however, that the references in operational paragraph 16 to "full implementation" of those obligations regarding the least developed and net food-importing developing countries as calling for nothing more than the establishment of "appropriate mechanisms", as was called for in the Marrakesh Ministerial Decision on Measures Concerning the Possible Negative Effects of the Reform Programme on Least Developed and Net Food-Importing Developing Countries.

The representative of the Philippines, on behalf of the Group of 77, said the draft was a good one which built on the momentum gained on the consensus of last year's text on debt, but it opened new horizons as well. As for the understanding of "sustained economic growth" referred to by the representative of the United States, he said there was a broad acceptance of the terms "sustained economic growth" and "sustainable development" which was a balanced formulation. Regarding the Marrakesh declaration he said, the provisions of the draft had to be understood as it was stated.

The earlier version of the draft was withdrawn by the sponsors.

The Committee then took note of the Secretary-General's report concerning perspective on the world economy to the year 2000, contained in document A/50/429.

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Mr. MURPHY (Ireland), a Committee Vice-Chairman, introduced the draft on the Second Industrial Development Decade for Africa.

The representative of the United States expressed reservations on preambular paragraph 5. She reiterated her delegation's understanding of the terms "sustained economic growth" and "sustainable development".

The draft was approved without a vote and an earlier version was withdrawn by the sponsors.

Mr. MURPHY (Ireland) then introduced the draft on international trade and development and orally amended it.

The representative of the United States registered reservations on preambular paragraphs 1, 6 and 7, and operative paragraphs 4 and 10 in connection with her understanding of sustained economic growth.

The draft was approved as amended without a vote and an earlier version was withdrawn by the sponsors.

The Committee then took note of reports before it under that item.

The draft on the Programme of Action for the least-developed countries in the 1990s was before the Committee for action.

The Chairman drew attention to a statement on the financial implications of the draft.

Mr. MURPHY (Ireland) introduced the draft resolution on the least- developed countries and orally amended it.

The representative of Bangladesh commented on the statement on the financial implications of the draft.

The representative of the United States expressed her reservation on operative paragraph 3, owing to her delegation's understanding of sustained economic growth and sustainable development.

The draft was approved as orally amended.

The representative of Burundi said his delegation would have voted in favour of the draft on economic coercive measures which had been approved by the Committee under that agenda item.

The Committee then took note of reports for its consideration under that item.

Mr. MURPHY (Ireland) introduced the draft on eradication of poverty, and

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orally amended it. Earlier, the Committee Secretary said the draft had no financial implications.

The draft was approved without a vote as amended and the earlier version was withdrawn by the sponsors.

The Committee then took note of several reports before it under its consideration of environment and sustainable development.

Mr. MURPHY (Ireland) introduced the draft on implementation of UNCED decisions.

The representative of Canada welcomed the draft and the fact that the Commission on Sustainable Development would make its reports available to the special session. It would be important to consider the report of the Intergovernmental Panel on Forests as well. The report of the Secretary- General to the special session should identify key factors in achieving sustainable development.

The earlier version of the draft was withdrawn by the sponsors.

The Committee then took note of several reports before it during its consideration of that agenda item.

It then took up the draft resolution on the triennial policy review of operational activities for development.

Mr. STADTHAGEN (Nicaragua) introduced the draft and orally corrected it.

The draft was approved without a vote.

The representative of the United States registered her delegation's reservation on preambular paragraph 3 of the draft resolution. She reaffirmed that for the United States, whenever the term "sustained economic growth" appeared in the resolution, it was its understanding that it referred to "growth in the context of sustainable development" consistent with paragraph six of the Copenhagen Declaration on Social Development affirmed by the heads of State or government at the World Summit for Social Development.

She also expressed her Government's disappointment with the language contained in operative paragraph 5 regarding funding for operational activities of the United Nations system. It could not accept language which explicitly or implicitly linked increased resources on a predictable, continuous and assured basis as the sole requirement for enhancing the efficiency, effectiveness and impact of operational activities. While Member States were unanimous in their recognition that further improvements were necessary in the delivery of United Nations development assistance, her Government remained unconvinced that increased resources were the only or the

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preferred way that could be assured. That was why, she said, the United Stated placed so much importance on United Nations reform and viable, realistic and cost-effective measures to achieve it. The United States could not agree to any increase in funding other than through the re-allocation of existing resources or through the provision of other than governmental resources.

The United States believed that the Triennial Policy Review succeeded on a number of important fronts on which the delivery of United Nations development assistance would be further enhanced. It specifically believed that important progress was made on firmly establishing the country strategy note, where it existed, as an important and useful common framework for United Nations programming. It also believed that the responsibility and authority of the resident coordinator had been further enhanced to ensure that the country programmes and other projects of the United Nations operational agencies would be consistent with the country strategy note, and, by extension, with overall national sustainable development strategies, priorities and plans.

Another important outcome of the review was the request to the Secretary-General to develop guidelines for United Nations staff appraisals which were to include an assessment of their contribution to United Nations system coordination. That was an important step towards holding not just agencies but individuals at all levels accountable for enhancing coordination and cooperation among the various parts of the United Nations development system.

The Committee then took note of the reports on that question before its consideration of operational activities for development.

The draft on the implementation of the International Conference on Population and Development was then taken up by the Committee.

The Chairman drew attention to the financial implications of the draft.

Mr. STADTHAGEN (Nicaragua) then introduced the draft on the International Conference on Population and Development and orally amended it.

The representative of the United States expressed her reservation on reference in the text to the term "sustained economic growth".

The draft was approved as amended and the earlier version was withdrawn by the sponsors.

After a 30-minute suspension, the Chairman put the draft resolution on business and development before the Committee for action.

The representative of the United States introduced revisions to the

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draft of which he was one of the sponsors. Among the revisions was language referring to the role of public administration in promoting partnership for development, public and private.

The representative of Benin sought information on some language problems.

The representative of the United States said a report mentioned in the draft's preambular part, of the Twelfth Meeting of Experts on the United Nations Programme in Public Administration contained several chapters, including one on business and the private sector. The inclusion of public and private as part of the draft's revisions aimed at clarifying the partnership for development.

The representative of Benin proposed reference to "involving public and private sector", as the formulation introduced had a connotation that Benin could not accept.

The representative of the United States provided a further amendment referring to the role of public administration in private sector development.

The representative of Ukraine joined the sponsors of the draft.

The representative of Benin reiterated its proposal.

The representative of the United States said he was already taking liberties beyond the consultations he had conducted. He was ready to conduct further consultations with the representative of Benin.

The representative of Nigeria said he remained confused on paragraph 4. He wanted to look into it further.

The representative of Morocco said it seemed it was a translation problem and that could be worked out with the representative of Benin.

The representative of Benin said it was a question of development philosophy and not translation only.

The representative of Nigeria asked what was the main thrust of that draft resolution. More time was required to examine that issue.

The representative of Algeria proposed that language from a resolution approved by the Committee last year on public administration could be used to solve the problem. He read out the provision of last year's resolution. According to that resolution, the Assembly decided what it would do when it resumed in March-April 1996 -- it would examine public administration and development, review the activities of the United Nations in that field and make recommendations as appropriate. That was the exact mandate of the

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resumed Assembly session, he added.

The representative of the United States said the Algerian proposal had been submitted during informal consultations, and it was not focused enough on the question of the resolution, that is, private sector and development. The reason for drawing attention to the resumed session in the draft was that the session would also address the public administration role in private sector development. The Algerian amendment made no reference to that. There was consensus among sponsors on language referring to the role of public administration in promoting partnership for development, public and private. He was ready to meet again with those concerned with the text.

The CHAIRMAN proposed that instead of "public and private" the text should read "involving the public and private sectors".

The representative of Nigeria reminded the Committee that the representative of Benin had said he had a problem of content that was something beyond translation. He called for more time to discuss the draft, as had been suggested by the representative of the United States.

The CHAIRMAN proposed suspension of the meeting until 10 a.m. tomorrow.

The representative of the United States read out a further amendment to paragraph 4 by which the language concerning the role of governments and public administration in supporting private sector development through, among other measures, the restructuring of the public sector would be replaced by the following language: "and address the issues contained in its agenda, including the role of public administration in promoting partnership for development".

The representative of Benin thanked the United States for having understood his concerns.

Speaking before action was taken on the draft, the representative of China expressed serious reservations on the text. China believed, he said, that a sound code of conduct in international business transactions was essential for the promotion of economic and social development. Illicit payments in international business transactions posed many challenges for policy makers in terms of political, economic, social, legal and moral practices. It was a very complicated issue which required careful and comprehensive consideration.

The Economic and Social Council started discussions on the issue of corrupt practices, including illicit payments, 15 years ago but had not been able to reach a consensus on the matter. Furthermore, illicit payments was only one important aspect of the whole question of a code of conduct in international business transactions. There was also a lack of information to help discussions of the subject.

The revised draft was then approved as orally amended.

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For information media. Not an official record.