INTERNATIONAL FINANCIAL TURBULENCE MIGHT RESULT IN SOCIAL CRISIS, CHILE TELLS ASSEMBLY REVIEW OF 1995 SOCIAL SUMMIT FOLLOW-UP

6 October 1998

Press Release
GA/9470

INTERNATIONAL FINANCIAL TURBULENCE MIGHT RESULT IN SOCIAL CRISIS, CHILE TELLS ASSEMBLY REVIEW OF 1995 SOCIAL SUMMIT FOLLOW-UP

19981006 Enthusiasm Expressed at World Social Summit in Copenhagen Led Only to Superficial Improvements in Human Condition, Indonesia Says

The international financial turbulence which was contributing to global recession could result in a social crisis, the representative of Chile told the General Assembly this afternoon as it began its review of follow-up to the 1995 World Summit for Social Development held in Copenhagen.

Chile's representative, speaking for the Southern Cone Common Market (MERCOSUR) and associate countries, said it had been shown that globalization and liberalization could bring both benefits and risks. The international community must work to ensure that the market forces were acting for everyone's benefit. To that end, strength must be drawn from the international consensus established at the Copenhagen Summit. The developed world must stand by the developing work, as both counted in the social contract.

The representative of Austria, speaking for the European Union and associated States, said poverty eradication strategies had to address specific constraints women faced in exercising their rights; claiming resources; and gaining equal access to quality education, health and other basic social services. Resources for poverty eradication programmes must be mobilized from the private sector and new innovative sources. A more determined orientation of development cooperation also needed to be explored.

The representative of Indonesia, speaking on behalf of the "Group of 77" developing countries and China, said while the Summit strengthened international resolve to confront poverty, serious problems and obstacles persisted. Enthusiasm expressed at the Summit had been translated into little more than superficial improvement to the human condition. Not only had the international community failed to move significantly forward since the Summit, but the awesome force of globalization -- which held so much promise -- was being squandered.

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The representative of Malaysia said sound policies and strategies were needed to reduce poverty and create new productive employment opportunities. That task could never be handled by governments alone. Non-governmental organizations and the private sector could contribute at both the national and international levels, complementing the work of governments to meet their social obligations.

The representative of Lesotho, speaking on behalf of the Southern African Development Community, said that much unremunerated work was of great social importance and should be fully accorded the recognition it deserved. Such work included caring for children and the elderly; producing and preparing food for the family; protecting the environment; and providing voluntary assistance to vulnerable and disadvantaged individuals and groups.

Statements were also made by the representatives of China, Kazakhstan, Panama, United States, Republic of Korea, Guatemala, Iran, Mongolia, Libya, Cuba, and Pakistan.

The Assembly will meet again tomorrow at 10 a.m. to hold a commemorative meeting marking the twentieth anniversary of the adoption of the Buenos Aires Plan of Action for Promoting and Implementing Technical Cooperation among Developing Countries. It will continue consideration of Social Summit follow-up at 3 p.m. tomorrow.

Assembly Work Programme

The General Assembly met this afternoon to review efforts to achieve international commitments made at the 1995 World Summit for Social Development in Copenhagen, by which Heads of State collectively agreed to treat social development as the highest priority of all national and international policies.

For the Assembly's consideration, the Secretary-General has prepared a report (document A/53/211) on international and national efforts to achieve the goals spelled out in the Copenhagen Declaration on Social Development and Programme of Action. As the Assembly has agreed to convene a special session in the year 2000 to consider Social Summit follow-up, the activities of the Preparatory Committee for that event are also summarized.

The Secretary-General notes that his report concentrates on positive developments and activities in implementing the outcome of the Summit. However, he concludes that far more extensive and effective action is required at the international, regional and national levels to tackle the desperately serious problems of poverty, unemployment and social disintegration faced by most countries. He also notes that Governments agreed to that assessment during the organizational session of the Preparatory Committee for the special session. The challenge, he says, is to identify the most effective additional concrete initiatives to move towards the goals set at Copenhagen.

In reviewing work at the national level during the past year, the Secretary-General reports that many Governments continue to strongly support the commitments made in Copenhagen and share the view that the political momentum provided by the Summit needed to be further maintained and strengthened. Some Governments are promoting social development through poverty eradication, employment generation, building up representative local government institutions and focusing on human resources development. Others have formulated economic and social development strategies, establish social investment funds and allocate a greater share of the budget to the social sector.

The United Nations, in implementing decisions of the Social Summit, continued to integrate those efforts with others to fulfil the goals set at other international conferences. A segment of the substantive session of the Economic and Social Council this summer had been devoted to a ministerial- level discussion of market access, adopting, at its conclusion, a ministerial communique by which the Council pledged to work to further enhance market access for the exports of the least developed countries. Concerned about the financial crisis affecting a number of countries, the Economic and Social Council recognized the need for improved measures to address the negative effects of the volatility of international capital flows in the international trading system and the development prospects of developing countries.

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The Commission for Social Development, meeting in February in New York, focused on promoting universal social integration and participation, including the disadvantaged and vulnerable. Conclusions and recommendations of the Commission ranged from those on promoting social integration through responsive government, to enhancing social protection, reducing vulnerability and enhancing employment opportunities for groups with specific needs.

Other United Nations activities are reviewed, including the Administrative Committee on Coordination and the Secretariat. It also discusses the participation of non-governmental organizations at sessions of the Commission for Social Development and the special session of the Assembly, and the activities of NGOs in implementing the outcome of the Summit.

The report containing the decisions taken by the Preparatory Committee for the year 2000 special session (document A/53/45), which met in New York from 19 to 22 May is also before the Assembly. Contained in that report is a draft decision by which the Assembly would approve the provisional agenda of the first session of the Preparatory Committee which will meet from 17 to 28 May 1999 in New York.

By the terms of that draft decision, the Assembly would approve the provisional agenda for the first session of the Preparatory Committee for the Special Session of the General Assembly on the Implementation of the Outcome of the World Summit for Social Development and Further Initiatives. That provisional agenda includes: adoption of the agenda and other organizational matters; status of preparations for the special session; preliminary review and appraisal of the implementation of the outcome of the World Summit for Social Development; and consideration of further actions and initiatives to implement the commitments made at the Summit.

Among the decisions taken by the Committee during its organizational session and being brought to the attention of the Assembly, is one outlining the objectives of the special session, as follows: to identify progress made and problems encountered in implementing the Summit Declaration and action programme; and to recommend concrete actions by which the goals set by the Summit may be fully achieved. Other decisions taken concern issues to be addressed, coordination with the Commission for Social Development, the role of the United Nations system, mobilization of voluntary resources, arrangements for future sessions, the participation of non-governmental organizations, and other organizational matters.

The Assembly also had before it a note by the Secretary-General (document A/53/210) on the preparations for the Assembly's special session. The Government of Switzerland has offered to host the special session in the year 2000 and stated it would be prepared to finance the additional costs involved in holding the session at Geneva, instead of New York. Also, the Government would support, on a voluntary basis, the participation of least

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developed countries and the organization of parallel events. In this context, the Committee requested the Secretary-General to prepare a report on the practical implications of the offer, including all additional direct and indirect financial implications for the Organization, in time for the Assembly to take a decision on the venue and date at its current session. The note contains the implications of the offer, including all direct and indirect costs, and also mentions the voluntary support pledged by Switzerland to cover the additional costs for the United Nations.

Statements

MAKARIM WIBISONO (Indonesia), on behalf of the "Group of 77" developing countries and China, said the World Summit for Social Development strengthened resolve at the highest levels to solve poverty, unemployment and social exclusion and to translate that resolve into meaningful change. However, serious problems and obstacles nevertheless persisted. Enthusiasm expressed at the Summit had been translated into little more than superficial improvement in the human condition. Not only had the international community failed to move significantly forward since the Summit, but the awesome force of globalization -- which held so much promise -- was being squandered.

He said the recent financial crisis illustrated the need for the international community to strengthen its management role in the world economy. "We need to establish surveillance and regulatory frameworks on short-term capital flows and trade in currencies, while at the same time allowing for the liberalization of economies at their own pace", he stressed. An important lesson was that social and economic development programmes for the developing countries needed to proceed within the context of multilateral cooperation for development. "We need to return to the Summit Programme of Action and approach critical development issues on a sound and predictable basis."

ERNST SUCHARIPA (Austria), speaking on behalf of the European Union, Bulgaria, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia, Slovenia, the associated country of Cyprus, and Iceland, said that while the first responsibility for the implementation of the Summit commitments lay with governments, the United Nations system was an important instrument in helping them to meet that challenge. In that context, both qualitative and quantitative data, benchmarks and internationally comparable indicators were needed to effectively monitor progress in the implementation of the outcome of major United Nations conferences and summits, including the Social Summit.

The European Union believed the fight against poverty had to be placed at the heart of international development cooperation, he said. It reaffirmed its commitment to meeting the target of halving the proportion of the world's population living in extreme poverty by 2015. Poverty eradication strategies

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had to give particular attention to the specific constraints faced by women in exercising their rights, claiming resources and gaining equal access to quality education, health and other basic social services. The support of the international community at the bilateral and multilateral levels was essential to foster an environment in which governments could take the lead in assessing poverty situations and developing national poverty eradication strategies and programmes. The mobilization of financial resources for poverty eradication, from private and new innovative sources, and a more determined orientation of development cooperation need to be fully explored.

The European Union maintained that an enterprising and inclusive society needed to give all citizens the opportunity to work and contribute to broader economic and social development, he said. Social protection was a productive factor and economic reform had to be linked to social dialogue to enhance understanding and acceptance by all actors concerned. The new employment strategies of European Union members focused on the following areas: enhancement of the employability of the active population, particularly of the young and long-termed unemployed, and of women; development of skills, training and lifelong learning; improvement of conditions for small and medium-sized enterprises and the self-employed; and strengthening the policies for equal opportunities between women, men and people with disabilities.

SHEN GUOFANG (China) said achievements and lessons learned since 1995 would be reviewed in the special session of the General Assembly in the year 2000. Plans would be laid out for social development in the new century which followed strategies that fit national conditions, as countries differed in their economic, political and cultural tradition. While national governments should shoulder major responsibilities in realizing the Summit's goal, international cooperation and support would be needed in the future to wipe out poverty and speed up social development. The role of the United Nations and regional organizations should be strengthened. The Organization should play a central role in implementing the follow-up activities, mobilize and pool resources and promote technological cooperation.

China had always made the elimination of poverty an important part of its programme for national and social development, he said. It had earmarked funds and preferential loans every year for that purpose. Although China's poverty stricken population had been reduced from 80 million in 1990 to 50 million in 1997, the unprecedented flood that hit the country this summer had made their poverty relief task even more formidable. Further, as China was reforming state-owned enterprises and going from a planned to a socialist market economy, it was faced with severe employment challenges which had been aggravated by the Asian financial crisis. To solve that problem, the Chinese Government had launched the "re-employment project" which called upon enterprises, individuals and society to move towards job creation.

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As China was a multi-ethnic society, social integration and ethnic unity was crucial to social stability and development, he said. For ethnic minority areas, the Chinese Government had a regional autonomy system. It gave vigorous support to the economic development of those regions. It also paid much attention to the livelihood and well-being of vulnerable groups such as the young, the elderly and the disabled.

AKMARAL ARYSTANBEKOVA (Kazakhstan) said that national mechanisms and structures working towards social development would have to take into account the work of the task forces established by the Administrative Committee on Coordination (ACC) to coordinate follow-up to global conferences. She also emphasized the important coordinating role of the newly established Department of Economic and Social Affairs, and its Division for Social Policy and Development. Also noteworthy was the positive role of the United Nations in promoting the socio-economic development of the Central Asia region, and the development by the Economic Commission for Europe (ECE) and the Economic and Social Commission for Asia and the Pacific (ESCAP) of the special programme for the economies of Central Asia to intensify cooperation in the region, and promote economic growth and integration.

Kazakhstan was going through an economic transformation aimed at raising the standard of living in the country, she said. An economic policy council had been set up to develop policy, and to respond promptly to domestic events and foreign developments. The Government of Kazakhstan had also developed a more transparent programme budget and reformed social welfare mechanisms, as well as creating a new system for financing education and health care. Structural reorganization of the Government was also being planned.

MARY MORGAN-MOSS (Panama), speaking on behalf of the Rio Group, said the Group reaffirmed their commitment to achieving the goals of the Copenhagen Summit and the importance of social development in all its aspects. The Rio Group had several times reaffirmed the regional commitment to eradicate poverty and stressed that socio-economic development was vital for democracy to flourish. At the most recent meeting, Heads of State of the Rio Group had stated that progress in that area must be accompanied by a decrease in social inequalities. Decisions made during the recent session of the Commission for Social Development should guide social development measures at the national, regional and international levels.

The Rio Group believed that the first meeting of the Preparatory Committee for the special session clearly laid down the objectives for the future session in 2000, she said. It recommended concrete action at the national and regional level to achieve implementation of Summit commitments and further initiatives. The Rio Group would make every effort to place people at the heart of development. In that regard, it attributed importance to the participation of civil society, especially non-governmental

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organizations. She noted the Swiss Government's offer to host the special session in 2000.

REGINA MONTOYA (United States) said that her Government had made substantial progress in strengthening the family unit by initiating programmes to connect fathers to children and to develop work skills to reduce dependency on welfare. It had also increased Federal educational funding and endeavoured to set new education standards. Health care policy had been enhanced to reduce infant mortality and to establish indicators of child well-being. Efforts to renew communities and to reduce crime were under way using innovative projects such as neighbourhood development grants.

United States Government policies to expand employment and to reform the social welfare system had contributed substantially to raising the living standards of ordinary American citizens, she said. According to the most recent Census Bureau report in 1997, the income of the typical American household rose at twice the rate of inflation, and the percentage of people living in poverty had declined. In order to ensure that all members of society participated in and benefited from economic growth, her Government was endeavouring to create a more equitable social system to include minorities, women, youth, the elderly and the disabled. Minimum wage had been increased, and the issue of falling real wages in some sectors of the economy was being addressed. Health insurance reform was also under way to increase the welfare of working families and individuals.

Future challenges involved working towards the elimination of extreme poverty through sustainable development, she continued. Economic growth and social development required respect for the environment, human rights, children and women. Public policies must enhance people's lives, increase their earning power and protect the most vulnerable segments from the essential adjustments with well-targeted safety nets. To keep pace with rapid advances in technology, investment must be made in education. Working people should have access to continuous training to find new and better jobs that provided a living wage.

The international community must ensure that women's labour was valued, that they had access to essential services such as education and that they participated fully in the political, economic and social life of their communities. Ways should also be found to expand the participation of older persons and the disabled in the globalization process.

LEE SEE-YOUNG (Republic of Korea) said the global economic crisis inhibited the implementation of the commitments agreed upon in Copenhagen. The hardest hit by the current crisis were the most vulnerable segments of the population. Without proper social safety nets, human suffering could reach devastating levels. Any national economic readjustment programme should

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address the problems of poverty, unemployment and social disintegration. Moreover, long-term development objectives must never be forgotten.

The Republic of Korea, due to the recent financial crisis, was faced with large-scale lay-offs; negative economic growth, for the first time in three decades; and a decrease of per capita income. However, his Government opted to run a budget deficit in order to provide the funds needed for consolidating the social security system. It had reinforced its welfare policy and unemployment assistance to vulnerable groups. The policy on employment insurance had been revised and an employment insurance decree gave employers who kept their workers during the structural reforms subsidies for one year.

Income support was being provided to improve self-help abilities of the unemployed, he continued. The Government was also providing vocational training programmes for the unemployed. Representatives of labour, business and Government were working out an agreement to govern labour-business relations. All factions had committed themselves to the faithful implementation of all aspects of economic programmes related to the International Monetary Fund (IMF) reform package.

JUAN LARRAIN (Chile), on behalf of the Southern Cone Common Market (MERCOSUR) (Argentina, Brazil, Paraguay and Uruguay), and the associated country Bolivia, said the international financial turbulence which was contributing to the global recession could result in a social crisis. Globalization and liberalization had shown that they could bring both benefits and risks. The international community must therefore react to them and ensure that the market forces were acting for everyone's benefit. Strength must be drawn from the international consensus that was established at the Copenhagen Summit. That consensus was a new social contract at the international level. Linked to the many economic and financial conferences of the 1990s, it now represented the consensus of the international community on how best to respond to globalization and liberalization. The developed world must stand by the developing world. There was no single North or single South any more.

He said the job today was to fully implement the Copenhagen commitments. The MERCOSUR would support the Preparatory Committee for the special session. In the lead up to that session, decisions had to be adopted on two fundamental matters: the criteria regarding new actions and initiatives; and the participation of civil society and non-governmental organizations at the special session. He stressed that the current Assembly had a responsibility to decide on a place and a date for that special session.

RASTAM MOHD. ISA (Malaysia) said three years after the Summit, the implementation and follow-up to the Copenhagen commitments remained unsatisfactory. Poverty was still pervasive in the developing countries.

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The situation had been exacerbated by the unexpected financial crisis and economic recession facing a number of those countries. Those governments were hard-pressed to meet their social obligations; their capacity to fulfil their commitments to Copenhagen had been effected in many ways. To achieve the goals of social development, of which poverty eradication was a central element, the international community had to work seriously towards ensuring that resources were channelled to the development efforts of the developing countries.

The efforts of many of those countries to improve the quality of life of their peoples were still largely hampered by their external debt burden, he said. External debt servicing ate away at meagre resources which could otherwise be used to meet urgent needs including infrastructure development, basic services, education and health. New financial flows must be channelled to developing countries through concessional financial assistance and foreign investments.

Sound policies and strategies were needed to reduce poverty and create new productive employment opportunities, he said. That task could never be addressed by governments alone. Non-governmental organizations and the private sector could make a positive contribution through partnership with governments at both the national and international levels. Their efforts would complement the efforts of governments in meeting the necessary social responsibilities and obligations. Finally, Malaysia supported the recommendation of the Preparatory Committee that the special session should reaffirm, not renegotiate, the Copenhagen Declaration and Programme of Action; review implementation so far; and recommend concrete actions and further initiatives.

FERNANDO CARRANZA-CIFUENTES (Guatemala) said he supported the proposal to hold the special session in Geneva. The level of participation of various institutions and social groups had not been sufficiently taken into account. However, popular participation in the special session could lead to the creation of necessary machinery to ensure that social goals were met.

Combating extreme poverty was a priority, he said. Social indicators would require trustworthy information. General guidelines were necessary for national governments to report on commitments made and social objectives achieved. Obstacles encountered in attaining social objectives should also be noted. Such guidelines would give countries a framework for assistance in social development. Country evaluations could also be carried out. Guatemala supported developing national capacities to bring together data and initiatives to eradicate poverty. Regional commissions could play an important role in regional evaluations of social subjects. The contributions from regional commissions would be enhanced through the active participation of civil society.

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HADI NEJAD-HOSSEINIAN (Iran) noted the decision to convene in the year 2000 a special session for overall review and appraisal of the implementation of the outcome of the Summit. He said that national efforts and resources were not sufficient for achieving the goals of the Summit, particularly in the fields of eradication of poverty and creation of employment. The preparatory process for the review session should seek new and innovative approaches to the processes of globalization and liberalization.

There was no universal method of promoting social integration and full participation, he continued. Cultural, ideological and philosophical diversity should be respected at the international level. His country firmly believed that values of societies were important elements in forming policies, attitudes and an environment for social development. The ultimate objective of social development was to assist societies in developing a humane social structure, and relations within their own cultural, ideological and philosophical parameters.

PERCY METSING MANGOAELA (Lesotho), on behalf of the Southern African Development Community (SADC), said his region had expanded the provisions of basic social services, particularly basic health and education facilities. The SADC States were striving to promote integration, by establishing country- wide administrative structures for grassroots participation that would widen the decision-making base. However, the economic reforms embraced by the SADC States had compelled governments to reduce expenditure on such issues. As a result, there was now a decrease in school enrolment. In addition, the delivery of essential services to the poor had been drastically affected. The same trend had affected the health sector, food supply and other essential institutions and infrastructures.

He said poverty in most developing countries had been aggravated by the falling terms of trade for commodities, high tariffs for finished products, lack of resources, lack of appropriate technology and the heavy burden of external debt. Reorganizing that debt would not provide an answer. A write- off was the only solution and, in that regard "we appeal to the Bretton Woods institutions and the major Western creditors to accelerate debt forgiveness", he said. Productive work and employment were the central elements of development. However, much unremunerated productive work -- such as caring for children and the elderly, producing and preparing food for the family, efforts to protect the environment and providing voluntary assistance to vulnerable and disadvantaged individuals and groups -- was of great social importance. Such work should be fully accorded the recognition it deserved.

He said the SADC countries were focusing on poverty alleviation. Other areas being addressed were: gender and development; HIV/AIDS; demining; regional integration; community building; energy; shared watercourse systems; transport; communications and meteorology; and combating illicit drug trafficking and trade.

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JARGALSAIKHANY ENKHSAIKHAN (Mongolia) said his Government was working to reduce poverty and unemployment, while improving the living standards of the most vulnerable segments of society. In 1994, it had launched a six-year multi-sectoral poverty alleviation programme aimed at effective mobilization and utilization of both national and external resources to reduce poverty to less than 10 per cent of the population by the year 2000. That would be done through the revival of the national economy, promotion of productive employment and creation of jobs, improvement in health and education, and the advancement of women to full partners in development. Projects included the building of institutional frameworks, at the national and local levels; creation of funding mechanisms; establishment of project formulation and implementation procedures; adoption of operational guidelines; and training of personnel.

The nation-wide implementation of the poverty alleviation programme, launched in 1996, included projects in the areas of public works, basic education, rural health and support projects for the disabled, he continued. United Nations agencies had played an active role in the implementation of the plan. In addition, his country was launching, in close partnership with United Nations bodies in Mongolia and non-governmental organizations, a "One World Conference Series" aimed at ensuring national and international integrated follow-up to world conferences and summits held in the 1990s. Mongolia welcomed the cost-sharing practices of the United Nations in the area of operational activities and re-emphasized the need to increase core resources on a predictable, continuous and assured basis.

ISA BABAA (Libya), stressing the importance of invigorating the North- South and the South-South dialogue, said the results of the Copenhagen Summit reflected the interest of humankind in social development. Despite the efforts by the developing countries to achieve the goals of the Summit, the actual results were meagre. The majority of those countries suffered from underemployment, poverty and lack of essential services. They had to face the challenges of globalization, a burden which would increase if the international community did not find means to counteract its negative effects.

He said that the developed countries, international funding agencies and the United Nations should cooperate in providing necessary resources for development and social integration programmes, as well as for providing food and other services. The deterioration in the economic situation in a number of developing countries, particularly on the African continent, was exacerbated by the problem of external debt and the lack of access to the international markets.

Human and economic development called for peace and justice, he continued. Libya was implementing economic and social measures aimed at guaranteeing the optimal utilization of human resources. It focused on developing the education system and providing free health services. However,

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it was difficult to achieve progress in the area of human development due to the coercive measures directed against the Libyan people. In conclusion, he expressed support for holding a special session to appraise implementation of the outcome of the Summit and to adopt further initiatives to promote social development.

RAFAEL DAUSA CESPEDES (Cuba) said there was international recognition of the urgent need to resolve the problems of poverty, unemployment and social marginalization, which continued to prevail in the world. The gap between rich and poor had widened, and unemployment levels had increased. In developing countries, much of the population did not have access to drinking water, infant mortality was high and life expectancy at birth was between 50 and 60. There were innumerable obstacles and challenges as the world strove to achieve social development. Globalization would not be viable if its aims continued to be narrow, such as those of a small number of industrialized countries. Official development assistance (ODA) had declined in the last five years. Donor countries gave less than 0.7 per cent of their gross domestic product (GDP), whereas they spent more than 3 per cent of their GDP on military expenditures. The debt burden was also hindering development, creating explosive social problems in many countries.

In the last 40 years, Cuba had put into practice certain policies and development strategies based on the just and equitable distribution of wealth, he said. Cuba's entire population had access to health and education and all Cuban children were protected by vaccinations from 11 preventable diseases. In spite of the difficult economic situation in the country due to the illegal economic embargo imposed by the United States, Cuba continued to pursue its economic policies to improve the living standards of its people. That was possible because they never relinquished the pillars critical to their social and economic development, namely independence and sovereignty. Infrastructure, creativity and the participation of its people enabled Cuba to forge ahead and make improvements.

KHALID AZIZ BABAR (Pakistan) said unemployment and poverty were the major challenges confronting the developing countries. Unemployment was a major cause of political instability. It was in the interest of the international community to draw upon the enormous human resource potential of the near 1 billion unemployed or underemployed and benefit from their contribution. Pakistan had launched a modest effort to tackle the twin menace of poverty and unemployment. A five-year programme was being carried out focusing on poverty alleviation, education, primary health care, population welfare, rural water supply and sanitation programmes.

Pakistan hoped the Preparatory Committee for the special session would undertake a detailed evaluation of the world social situation, he said. It should give priority to the core problems of poverty, unemployment and social exclusion in establishing themes for the special session. It also needed to

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consider the impact of globalization and the stabilization of financial markets, as those issues directly affected developing countries' endeavours to achieve sustained economic growth and social development. He urged developed countries to earmark 0.7 per cent of their GNP for ODA. Pakistan had taken steps to provide for transparency in government, which it believed was a prerequisite to the creation of a suitable environment conducive to development. It had established an independent commission to deal with corrupt government elements. His Government had ratified the Convention on the Elimination of All Forms of Discrimination against Women. A women's commission of inquiry had already submitted its findings to the Government. To further bridge the existing disparity in the job market, Pakistan's Government would give preferences to women candidates in all future recruitments under a social action plan.

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