UNCTAD'S TRADE AND DEVELOPMENT BOARD AND ASSEMBLY'S ECONOMIC AND FINANCIAL COMMITTEE HOLD JOINT MEETING THROUGH LIVE VIDEO HOOK-UP

23 October 1997

Press Release
GA/EF/2772

UNCTAD'S TRADE AND DEVELOPMENT BOARD AND ASSEMBLY'S ECONOMIC AND FINANCIAL COMMITTEE HOLD JOINT MEETING THROUGH LIVE VIDEO HOOK-UP

19971023 UNCTAD's Secretary-General Says Event Demonstrates How Modern Technology Can Serve International Cooperation

Electronic commerce has the potential of restructuring the world economy, the Minister for Trade and Industry of South Africa, Alec Erwin, said this morning as he addressed a joint videoconference meeting of the high-level segment of the Trade and Development Board of the United Nations Conference on Trade and Development (UNCTAD), in Geneva, and the General Assembly's Second Committee (Economic and Financial), in New York.

The event was the first time that two intergovernmental bodies in different locations held a joint meeting through a live video hook-up, thus breaking down the barriers of time and distance that had previously separated them.

Summarizing the remarks of a panel on electronic commerce which had been held earlier in Geneva, Mr. Erwin said electronic commerce required an efficient transportation system because goods and services had to move almost as quickly as information. Developing countries faced the greatest danger of marginalization if they were unable to utilize modern development systems, such as electronic commerce, to improve their trade and development.

The Secretary-General of UNCTAD, Rubens Ricupero, opened the videoconference by welcoming the members of the Second Committee to the meeting in Geneva. He noted that it was the first time the two bodies had been able to bridge their physical distance and communicate in real time. It also demonstrated how modern technology could be put to the service of international cooperation.

The Chairman of the Second Committee, Oscar de Rojas (Venezuela), in introductory remarks, said the emergence of global information networks, such as the Internet, had an impact on the conceptual, regulatory and economic framework of international trade and development, as well as on the competitiveness of nations.

The Under-Secretary-General for Economic and Social Affairs, Nitin Desai, said the event demonstrated the capacity of the United Nations to contribute to cutting-edge global issues on development policy, as well as the potential for greater collaboration and cooperation within the United Nations system.

The Chairman of the high-level segment of the Trade and Development Board and Minister for Development Cooperation of the Netherlands, Jan Pronk, moderated a discussion by panel members and participants in Geneva and New

Second Committee - 2 - Press Release GA/EF/2772 16th Meeting (AM) 23 October 1997

York on electronic commerce. Other members of the panel included: Geza Feketekuty, of the Centre for Trade and Commercial Diplomacy; the Minister for Foreign Trade of Colombia, Carlos Ronderos; and Tariq Sayeed, Chairman of the "Group of 77" Chamber of Commerce and Industry of Developing Countries. Mr. Ricupero said electronic commerce could provide a way of allowing developing countries to communicate and to enter into trade operations. The problem of connectivity was especially acute for the least developed countries, which had no access to modern technology. The UNCTAD could make contributions in the field of electronic commerce by assisting countries in using information technology to conduct business and in negotiations. Responding to a question by the representative of Poland in the Second Committee concerning access to electronic commerce by the less developed countries in Eastern Europe, Mr. Feketekuty said a clear legal framework was essential for attracting developing countries to electronic commerce. The cost of participation, particularly telephone rates, was also a key issue, and the international community could help those countries in the process of regulatory reform in that area. Human resources development was also vital. Also during the videoconference, the Deputy Mayor of Lyon (France) and Member of the European Parliament, Andre Soulier, officially invited UNCTAD to hold the first meeting of the "Partners for Development" initiative in Lyon in November 1998. He noted that Lyon was a cradle of international commerce, and it owed its prosperity to immigrants. Mr. Ricupero said the "Partners for Development" initiative represented an endeavour to bring about the rebirth of UNCTAD. One of the main causes of the crisis which had beset all international organizations was the inability to incorporate civil society -- non-governmental organizations, universities, research institutions, among others -- into their activities. "Partners for Development" would be the first international meeting at which documents would not be discussed. Instead, specific projects would be proposed that could change peoples lives in developing countries. Under-Secretary-General Desai, reading out a statement of Secretary- General Kofi Annan, said the "Partners for Development" initiative was fully compatible with the reform process now modernizing the United Nations system. It involved civil society more deeply in the work of the United Nations and helped to fulfil efforts to strengthen the Organization in the area of social and economic development. It focused on concrete and practical solutions and tapped the human, technological and financial resources which had been beyond the reach of the United Nations. In addition, it offered another venue for the United Nations to demonstrate real value for money. In his closing remarks, the Second Committee Chairman said he hoped there would be other opportunities in the future to use available technology in the activities of the organizations of the United Nations system. The videoconference would make the Committee's upcoming discussion of trade and development more constructive. The Second Committee will meet again at 10 a.m. on Friday, 24 October, to consider training and research.

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