DELEGATES IN SECOND COMMITTEE UNDERSCORE NEED TO BOOST FUNDING FOR UN-HABITAT, IMPLEMENT PROGRAMME FOR LEAST DEVELOPED COUNTRIES
Press Release GA/EF/3061 |
Fifty-eighth General Assembly
Second Committee
27th & 28th Meetings (AM & PM)
DELEGATES IN SECOND COMMITTEE UNDERSCORE NEED TO BOOST FUNDING FOR UN-HABITAT,
IMPLEMENT PROGRAMME FOR LEAST DEVELOPED COUNTRIES
Committee Tackles Two Topics, Concludes International Trade and Development Debate
Delegates underscored the need to increase funding for the United Nations Human Settlements Programme (UN-HABITAT), and for the speedy implementation of the Brussels Programme of Action for Least Developed Countries (LDCs), as the Second Committee (Economic and Financial) focused on those two topics today.
Regarding the Brussels Programme, which was adopted at the May 2001 Third United Nations Conference on the LDCs, the representative of Bangladesh said that while many of the LDCs were pursuing policies on trade liberalization, finance and investment, they still faced endemic and ever-deepening poverty. The Brussels Programme had set an annual target growth rate of at least 7 per cent and recommended a 25 per cent increase in the ratio of investment to gross domestic product. However, without appropriate investment and the full support of its development partners, the Brussels Programme would meet the same sad fate, as its predecessors.
Introducing the report on the Brussels Programme, Anwarul Chowdhury, Under-Secretary-General and High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States, noted that the document identified three major implementation challenges facing the LDCs -– weak national capacities, implementation costs, and full ownership of implementation. Successful implementation of the Brussels Programme would depend heavily on the spirit of shared responsibility and partnership forged at the Conference, he stressed.
Similarly, Benin’s representative, speaking on behalf of the LDCs, said they faced severe challenges, especially in a rapidly downward-spiralling international economic environment. It was vitally important to implement the Brussels Programme, and the LDCs were concerned that little progress had been achieved, he said, expressing the hope that advocacy and coordination would be emphasized in the future.
Other speakers pointed to the need for debt relief, increased aid, market access for the LDCs’ exports and reduced domestic subsidies, which were all vital for the creation or freeing up much-needed resources for development. They also underscored the importance of technical assistance and capacity-building in helping the LDCs to improve their supply capacity and to benefit from market opportunities. Turning to UN-HABITAT, delegates noted the alarming increase in slum-dwellers worldwide, a phenomenon that was severely taxing water and sanitation systems, as well as social services. In Africa, more than half the urban populace lived in slums, a situation that would soon become critical.
Citing the 2003 Global Report on Human Settlements, Anna Kajumulo Tibaijuka, Under-Secretary-General and Executive Director of UN-HABITAT, said that by 2030, the world’s slum population could expand from its current level of nearly 1 billion, out of a world population of 6 billion, to about 2 billion out of a projected world population of 8 billion.
She emphasized the need for immediate and resolute action to tackle the slum problem at the local, national and international levels, before it turned into a “time bomb”. The Millennium Goal of improving the lives of at least 100 million slum-dwellers by 2020 was modest, and a more ambitious one might be needed to achieve the Millennium Summit principle of cities without slums.
Morocco’s representative, speaking on behalf of the “Group of 77” developing countries and China, noted that seven countries had provided 85 per cent of the voluntary funds last year for UN-HABITAT and the Human Settlements Foundation. All governments and Habitat Agenda partners should increase their donations to the Foundation and to the Water and Sanitation Trust Fund, which would develop much-needed water and sanitation services for the poor, the Water for African Cities Programme and the Water for Asian Cities Programme.
Norway’s representative, stressing the need to combat urban poverty, applauded UN-HABITAT for helping countries to identify policies and methods to improve slum life. However, the Programme needed increased non-earmarked funding to enable it to fulfil its mandate. The UN-HABITAT should also forge new partnerships -- its greatest assets -– both within, and outside, the United Nations system.
Other delegates outlined their respective national programmes to upgrade slum infrastructure, services, housing and jobs. Several speakers welcomed UN-HABITAT’s efforts to follow-up the Johannesburg Declaration of the World Summit on Sustainable Development, pointing especially to the Water and Sanitation Trust Fund, which targeted the poorest of the poor.
Earlier today, the Committee concluded its discussion of international trade and development.
In other business, the representative of Morocco introduced two draft resolutions, one on women in development, and the other on natural disasters and vulnerability.
Other speakers today included representatives of Ethiopia, India, Mexico, Mauritius (on behalf of the Alliance of Small Island States), Iran, China, Russian Federation, Suriname (on behalf of the Caribbean Community), Kenya, Croatia, Indonesia, Italy (on behalf of the European Union), Yemen and Burkina Faso.
Representatives of the World Intellectual Property Organization and the International Federation of Red Cross and Red Crescent Societies also made statements.
The Second Committee will meet again at 10 a.m. tomorrow, Friday 7 November, to continue its discussion on the LDCs and to take up the Report of the Economic and Social Council.
Background
The Second Committee (Economic and Financial) met this morning to conclude its discussion on trade and development. (For background information, see Press Release GA/EF/3057 of 3 November). It was also expected to consider implementation of the outcome of the United Nations Conference on Human Settlements (Habitat II) and of the twenty-fifth special session of the General Assembly.
In addition, the Committee was also expected to hear introductions of draft resolutions relating to sustainable development and international economic cooperation, and environment and sustainable development.
Before the Committee was a report of the Secretary-General on the special session of the General Assembly for an overall review and appraisal of the implementation of the outcome of the United Nations Conference on Human Settlements (Habitat II) and the strengthening of the United Nations Human Settlements Programme (UN-Habitat).
The report (document A/58/178) reviews progress made in implementing General Assembly resolution 57/275 (December, 2002), which emphasized steps that governments should take to implement the Habitat Agenda, and underlined commitments to improve significantly the lives of at least 100 million slum-dwellers by 2020, as per the Millennium Declaration. It also underscored commitments made at the World Summit on Sustainable Development (Johannesburg 2002), particularly the goal to halve the proportion of people with no safe drinking water or access to basic sanitation by 2015.
The report highlights the UN-Habitat proposal to set up a global shelter facility to combat urban poverty, as well as increased contributions from Member States for UN-Habitat, particularly from the Netherlands, Norway and Sweden. It also outlines cooperation between UN-Habitat and international financial institutions, such as the Cities Alliance partnership with the World Bank, bilateral donors and the Asian Development Bank, which has been helping with pro-poor city development strategies and slum-upgrading programmes.
In addition, it examines steps that UN-Habitat has taken to strengthen partnerships with local authorities, non-governmental organizations, community-based organizations, the private sector, parliamentarians, and the World Urban Forum. It also highlights UN-Habitat’s partnership with the Environmental Sciences Research Institute, which will provide up to 1,000 cities in developing countries with Geographic Information Systems software packages and training at no cost.
Other developments outlined in the report include cooperative efforts with international bodies, agencies and organizations. For instance, UN-Habitat recently signed a memorandum of understanding with the United Nations Development Programme (UNDP), and has begun to set up Habitat programme managers as focal points in UNDP country offices. In cooperation with the New Partnership for Africa’s Development (NEPAD), UN-Habitat has been setting up a second phase of the Managing Water for African Cities Programme, which will promote increased investment, improved sanitation and pro-poor governance in several cities.
The report encourages governments to increase their contributions to UN-Habitat; support partnerships with the Programme at the national and local levels; and to set up national urban observatories to generate, collect, organize, analyze and report information on urban conditions and trends. It also urges them to sponsor representatives of the poor and vulnerable to attend the second World Urban Forum in Barcelona in September 2004.
Also before the Committee was the report of the Governing Council of the United Nations Human Settlements Programme (document A/58/8, Supplement N. 8).
Introduction of Draft Resolutions
HASSAN ABOUTAHIR (Morocco) introduced a draft resolution on women in development (document A/C.2/58/L.27), noting that the text recognized women’s special contribution to economic development, especially in agriculture, industry and services. It also underscored the importance of an international environment that was conducive to the integration of women into development.
MOHAMMED ARROUCHI (Morocco) introducing a draft resolution on natural disasters and vulnerability (document A/C.2/58/L.25), said it highlighted the negative effects of climate change and urged the international community to continue addressing the best means of reducing the adverse effects of natural disasters, especially in developing countries.
Statements
TERUNEH ZENNA (Ethiopia) said trade was a key source of foreign exchange savings and investment for his country and many other developing countries. Ethiopia supported the European Union’s “Everything But Arms” initiative, the United States’ Africa Growth and Opportunity Act and other initiatives that benefited the least developed countries, but the narrow scope of products covered and supply-side constraints, prevented the least developed countries from taking full advantage of them. Development partners should increase market access and trade-related technical assistance and capacity-building.
He called for the timely conclusion of the Doha round of negotiations and for the speedy implementation of rules governing textiles, clothing and leather products. Regarding commodities, Member States should translate the short, medium-term and long-term recommendations of the Panel of Eminent Persons into concrete actions, as that would help commodity-dependent countries reduce poverty and promote socio-economic development.
P R DASMUNSI (India) called for the elimination of agricultural trade distortions in order to provide food and livelihood security for developing countries. In the multilateral trading environment, the developing world’s concerns must be addressed effectively. In the post-Cancun phase, the World Trade Organization (WTO) members must pay more attention to developing countries’ need for special and differential treatment and for provisions governing implementation. The coming days were crucial for moving ahead with the Doha work programme to ensure a fair, balanced outcome.
He said the issue of commodities was vital to the survival of several developing countries whose export-oriented economies depended largely on this resource, particularly in sub-Saharan Africa. Diversification and value addition could not happen, as long as developed countries kept high-tariff structures for commodities. Developing countries needed lasting solutions to the negative impact that volatile prices and declining trade had on their economies, if they were to achieve the Millennium Development Goals.
CARLOS VALERA (Mexico) said the WTO meeting at Cancun had achieved some positive results, including access to medicines for developing countries. There had also been flexible, progressive discussions on agriculture, the Singapore issues and access to non-agricultural markets. No one would benefit from any delay in negotiations, which must be put back on track so that the Doha development agenda could be completed. Members of the WTO were currently in Geneva working on agricultural issues, access to non-agricultural products and the cotton initiative.
The WTO members must give political impetus to the upcoming trade negotiations in Geneva, he said, appealing to all countries to support free trade and renew their commitments to the WTO programme. Progress with the Doha agenda would contribute to achieving the Millennium Development Goals.
JAGDISH KOONJUL (Mauritius), speaking on behalf of the Alliance of Small Island States (AOSIS), said the group’s members were often price takers, not price fixers. Many formerly self-sufficient AOSIS members had been forced into dependency during the colonial era, and their populations were used as slave labour. The economic over-reliance of small island developing States on single-commodity exports was being replaced by over reliance on a single sector -- tourism.
In the WTO negotiations, he said, small islands had always remained on the sidelines due to their lack of critical mass in the organization; limited capacity and financial resources; and lack of permanent representation in Geneva. The WTO rules were a daunting challenge for small-island States, whose preferential treatment and market access arrangements must be protected. Such treatment fuelled private investment and economic growth.
OROBOLA FASEHUN, World Intellectual Property Organization (WIPO), said the key to exploiting the intellectual property (IP) system for wealth creation was a strong national IP system. Such a system nurtured skilled personnel in such fields, as research and development, law and marketing, and had a positive effect on innovative activities. There were strong indications that such activities were accelerating in developing countries, and WIPO was recording those leading to developmental benefits.
He noted that Kenyan scientists, for example, had collaborated with their British counterparts in developing a potential vaccine against HIV, based on the consistent immunity shown by a high-risk segment of the population to an HIV strain dominant in Kenya. The vaccine’s patent was held jointly by Kenyan and British scientists, who had agreed to use their ownership to help ensure that the vaccine, if it proved effective, would be made available to developing countries at reasonable prices.
MEHDI MIRAFZAL (Iran) said developing countries had been united on the importance of development issues in fostering socio-economic growth and well-being, as well as achievement of the millennium targets of sustainable development and poverty eradication. They also agreed on the need for a fair and equitable multilateral trading system, in which all countries would have a voice and a role in decision-making on policy matters.
While, all nations had the right to accede to the WTO, almost 50 countries were presently not members, he said. The WTO membership would enable many non-members to boost trade and attract much-needed private investment. Just and transparent policies governing the WTO membership were necessary to ensure accession for interested nations.
The Committee then took up the agenda item on implementation of the outcome of the United Nations Conference on Human Settlements (Habitat II) and of the twenty-fifth session of the General Assembly.
Introductory Statement
ANNA KAJUMULO TIBAIJUKA, Under-Secretary-General and Executive Director of the United Nations Human Settlements Programme (UN-Habitat), said cities had been moving to the forefront of socio-economic change and sustainable development, since the beginning of the new millennium. Half of the world’s population was now living in cities and urban settlements, while the other half was increasingly dependent on cities and towns for their economic survival and livelihood. The UN-Habitat had demonstrated that cities were centres of innovation and engines of development. Over the last decade, the role of local governments as the catalysts for development and community leadership had also evolved, with a strong emphasis on partnership with business and civil society.
She said UN-Habitat had recently published the 2003 Global Report on Human Settlements -– “The Challenge of Slums”, whose most dramatic finding was that the world’s slum population may expand from the present level of nearly
1 billion, out of a world population of 6 billion, to about 2 billion, out of a world population of 8 billion in 2030. Without immediate and resolute action at the local, national and international levels, that urban challenge could turn into a “time bomb”. In fact, the millennium target of improving the lives of at least 100 million slum dwellers by 2020 was modest, and a more ambitious one might be needed to achieve the Millennium Summit principle of cities without slums.
Statements
ABDELLAH BENMELLOUK (Morocco), speaking on behalf of the “Group of 77” developing countries and China, noted that mushrooming slums were severely taxing water and sanitation systems and social services. In Africa, more than half the urban populace lived in slums, a situation that would soon become critical.
Last year, seven countries had provided 85 per cent of the voluntary funds for United Nations Habitat and the Human Settlements Foundation, he said. The “Group of 77” developing countries urged all Governments and Habitat Agenda partners to increase their donations to the Foundation and to the Water and Sanitation Trust Fund, which was intended to develop much-needed water and sanitation services for the poor, the Water for African Cities Programme and the Water for Asian Cities Programme. The Group supported a fully functioning Habitat Task Manager System and the inclusion of sustainable human settlements issues in common country assessments and the United Nations Development Assistance Framework (UNDAF).
JOHAN LOVALD (Norway) noted that almost a billion people currently lived in slums and their number of slum-dwellers worldwide was projected to rise to 2 billion over the next 30 years. The battle against poverty could not be won without attacking urban poverty and UN-Habitat’s work in assisting countries to identify effective policies, and methods to improve life for slum-dwellers were welcome. Norway was pleased with the Programme’s efforts, in following-up the Johannesburg Declaration of the World Summit on Sustainable Development, particularly the establishment of the Water and Sanitation Trust Fund, and its targeting of the poorest of the poor.
It was vital that UN-Habitat be provided with the necessary resources, especially non-earmarked funds, so that it could fulfil its mandate, he said. The Programme’s practice of partnerships within, and outside the United Nations, was one of its greatest assets, and new partnerships should be forged. Norway strongly supported increased cooperation between the United Nations and the Bretton Woods institutions, and commended the collaboration between UN-Habitat and the World Bank in the Cities Alliance.
LU MEI (China) said her country had always attached great importance to the development of sustainable human settlements and the implementation of the Habitat Agenda. China had made much progress thanks to increased funding, as well as integrated urban environmental management and the development of rural and urban infrastructure.
She said UN-Habitat should give priority to the implementation of the Habitat Agenda, particularly its two main themes: “Adequate shelter for all” and “Sustainable human settlements development in an urbanizing world”. China called for the strengthening of capacity-building, as well as technical and financial assistance for developing countries, greater cooperation between UN-Habitat and the Commission on Sustainable Development to ensure a fruitful outcome of the upcoming sessions on water, sanitation and human settlements negotiations.
E. A. STANISLAVOV (Russian Federation) said that UN-Habitat’s effectiveness should be further increased through more productive use of resources and better coordination with other international organizations. In addition, attention should be paid to countries with economies in transition within the framework of UN-Habitat.
The Russian Federation’s voluntary contribution to UN-Habitat would double beginning in 2004, he said, adding that his country had signed a Programme of Cooperation for 2004-2005 with UN-Habitat, which included several joint projects. The Russian Federation was also implementing policy and practical measures to ensure the sustainable development of human settlements and providing decent housing to all its residents. A relevant regulatory and legal framework had been established through more than 230 laws and other legal acts governing housing construction and sustainable urban development.
EWALD LIMON (Suriname), speaking on behalf of the Caribbean Community (CARICOM), called for a collective approach and urgent steps, particularly in developing countries, to meet the water, sanitation and housing targets of the Habitat Agenda and the Millennium Declaration. That called for significant improvement in the lives of at least 100 million slum-dwellers by 2020 and for halving the proportion of people lacking access to potable water and adequate sanitation services.
He expressed support for future cooperation based on the recent memorandum on understanding between UN-Habitat and the Inter-American Development Bank. CARICOM called for comprehensive land use policies to address the inequitable distribution of land, housing and basic services, as well as the high percentage of illegal settlements and lack of secure tenure in the Caribbean.
SOLOMON KARANJA (Kenya) said his country was committed to implementing the Habitat Agenda, the Declaration on Cities and Other Human Settlements in the New Millennium Foundation. However, the implementation of those programmes was hampered by inadequate funds and further compounded by the large proportion of earmarked funds. The Programme needed, increased and predictable non-earmarked funding, preferably on a multi-year basis, to give the Executive Director flexibility in implementing work programmes.
He said Kenya was collaborating with UN-Habitat, with support from the Cities Alliance and other partners, in the Kenya Slum Upgrading Programme, which was improving life for people living and working in slums and informal settlements by providing infrastructure, services, housing and income-generating activities. The local programme welcomed the full participation of communities and other stakeholders, while using their comparative advantages to achieve maximum results. To that end, the Government had signed a memorandum of understanding with UN-Habitat in January 2003 to guide its implementation.
IRENA ZEBCEVIC (Croatia) recalled that last year the Croatian Government had adopted a work programme to implement the Habitat Agenda at the national and local levels, based on Habitat methodology. It had launched pilot programmes in Zagreb, two mid-sized inland cities and one mid-sized coastal city, and initiated a public-awareness campaign on national urban settlement goals and commitments.
She said her country also supported UN-Habitat’s international work, co-chairing a roundtable on urban and rural interfacing during the Economic and Social Council’s (ECOSOC) substantive session this year. Croatia called for the strengthening of the Global Urban Observatory to help countries collect, analyse and use urban indicators. Pro-poor urban policies should be incorporated into national economic development strategies and promoted by major international institutions.
REZLAN ISHAR JENIE (Indonesia) said it was vital for policy makers to understand the power of the city to function, as an organizing agent for national development. The pace of urbanization was rapidly increasing in countries worldwide, exerting considerable pressure on land, housing and infrastructure. The economic, social and political forces behind urban poverty could cause slums to multiply so quickly that eliminating them completely would become virtually impossible. For towns to play a central role in poverty reduction, they must be well organized and developed, and the forces giving rise to slums must be challenged. Urban poverty and slums would not be eliminated by quick-fix local improvement, but would require sound region-wide development policies.
Safe water and basic sanitation were central to achieving sustainable urbanization and reducing poverty, he said. The international community must create an environment that was conducive to increasing pro-poor investments in water and sanitation. Such an environment would also facilitate capacity-building, increase educational opportunities, provide access to information and lead to gender mainstreaming for enhanced effectiveness, in water and sanitation management, in the developing world.
RAHEL KUMELA (Ethiopia) said that UN-Habitat’s proposal for a global shelter facility or similar mechanism was worth exploring. New ways were needed to mobilize domestic financial resources for sustainable urbanization in developing countries. The Water and Sanitation Trust Fund of the Habitat and Human Settlements Foundation served as a vehicle to improve the volume and effectiveness of official development assistance.
Ethiopia’s urban cities were growing at an annual rate of 6 per cent, she said. The urbanization level, 17 per cent in 2002, would increase to an estimated 30 per cent by 2020. Rapid urbanization due to population growth and migration from drought-stricken rural areas, coupled with a slow-growing economy and lacklustre investment had fuelled unemployment. In addition, cities were grappling with a lack of infrastructure, inadequate service delivery and poor urban management.
RAIMOND DUIJSENS, Adviser to the International Federation of Red Cross and Red Crescent Societies, said the organization had a good working relationship with governments, United Nations agencies and non-governmental organizations, in protecting people from, and addressing, urban risks and disasters. The Agenda for Humanitarian Action, the anticipated outcome of the Federation’s international conference in December, would commit stakeholders to jointly protect lives and livelihoods by fully integrating risk reduction into policy and planning.
He emphasized the need for national and local Governments to accept the Federation in their cities, as natural interlocutors on all issues relating to vulnerability. Governments and the wider donor community must also be aware of the importance of building an enabling environment for volunteers.
Introduction of Report
ANWARUL CHOWDRY, Under-Secretary-General and High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States introduced the report on implementation of the Programme of Action for the Least Developed Countries (LDCs). Noting that the report (document A/58/86-E/2003/81) was the first to take stock of the Brussels Programme of Action, he said its conclusions and recommendations were designed to ensure that monitoring mechanisms were put in place for effective the Programme’s implementation. The report identified three major challenges facing LDCs in implementing the Programme -– weak national capacities, the cost of implementation, and full ownership of implementation. Successful implementation would depend greatly on the spirit of shared responsibility and partnership forged at Brussels. The LDCs must be given a fair chance to be fully integrated into the global economy.
The report reviews the progress made by LDCs and their international development partners in implementing the Brussels Programme of Action. Adopted at the Third United Nations Conference on LDCs in May 2001, the Brussels Programme laid down seven commitments to promote sustained economic growth and integrate LDCs into the world economy. The commitments were aimed at fostering people-centred policies; promoting good international and national governance; building human and institutional capacities; building productive capacities; enhancing trade; reducing vulnerability and protecting the environment; and mobilizing financial resources.
According to the report, the LDCs actions to meet the Brussels commitments have yet to materialize, due to the limited time since the conference, a paucity of data, the complexity of issues, and capacity constraints. The LDCs must pursue appropriate economic and social policies. Suitable economic and governance conditions at the international level must prevail for them to make meaningful progress towards achieving the Brussels targets. In addition, national arrangements are vital for regular follow-up and monitoring of the Programme. However, only nine of the LDCs have set up national forums, and few (10 out of 49) have designated governmental focal points to monitor implementation and to serve as contacts for development partners.
Partnerships with various international organs, civil society and the private sector are also crucial to the Brussels Programme, the report states. However, many of the LDCs encounter difficulties in coping with the demands of partners, since they have neither, the national capacity to implement measures in various frameworks and programmes nor, the resources to pay for them. The international community should strongly support the LDCs in implementing the Brussels Programme; draw up a clearly-defined operational plan, highlighting stakeholder roles, sequenced priorities and coordinated actions at the national, regional, subregional and global levels; report and follow-up on implementation.
The LDCs should continue with policy reforms, the report states, while donors should continue to open up their markets to the LDCs, and reduce internal subsidies as well as tariffs. Donors should also set up adequate funds to support post-conflict recovery and reconstruction in the LDCs, emerging from conflict, so that special appeals made for sudden crises do not negatively affect funding for less visible, but equally deserving complex emergencies. States should also voluntarily contribute to the Trust Fund set up to support the Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States, and regional banks should increase their support to the LDCs for implementation of the Brussels Programme.
Statements
ANTONIO BERNARDINI (Italy), speaking on behalf of the European Union, said the Almaty Plan of Action provided the necessary global framework to build efficient transport systems for landlocked developing countries, opening up trade routes and thus, economic growth opportunities. The recent failure at Cancun was a missed opportunity, particularly for least developed countries (LDCS). The Doha Development Agenda could bring about notable gains for the LDCS, in facilitating trade and transport services. The European Union was committed to making the upcoming negotiations a success.
The problems of landlocked developing countries could best be addressed through regional and bilateral cooperation with transit developing countries, he said. The European Union already provided financial and technical assistance to build sustainable transport infrastructure and services, as well as projects relating to trade facilitation and the modernization of customs.
WEGGER STOMMEN (Norway) said the international community could and must assist the LDCs, in successfully following-up the Brussels Programme. The LDCs needed enhanced aid and debt relief, as well as improved market access to meet the Programme’s aims and the Millennium Development Goals. Norway had increased and untied its official development assistance (ODA) to the LDCs and other developing countries. It also supported the enhanced Heavily Indebted Poor Countries (HIPC) Debt initiative, as well as other multilateral mechanisms, such as the United Nations Conference on Trade and Development (UNCTAD) debt management programme.
Regarding trade, Norway had abolished all duties and quotas on the LDCs’ products, from 1 July 2002, he said. Liberalized trade could lead more people out of poverty and trade was key to integrating the LDCs into the global economy. Norway had remained committed to the Doha Development Agenda and would do its utmost to get multilateral trade negotiations back on track. Market access, however, was only one side of the equation. Technical assistance and capacity-building were equally important for the LDCs to improve their supply capacity and benefit from market opportunities.
HUANG XUEQI (China) said shortfalls in development assistance, deteriorating trade relations, heavy external debt loads and declining international prices for key commodities were thwarting the best efforts of the LDCs to achieve sustainable development and eradicate poverty. The international community must not view that situation lightly.
Developed countries, in particular, he said, should undertake the necessary steps to implement the Almaty Programme of Action, reverse the decline of ODA, and shore up the HIPC initiative, in order to improve market access and other terms governing trade with the LDCs. It was imperative to integrate those countries into the multilateral trading system, an essential step towards achieving the millennium targets.
JOEL ADECHI (Benin), speaking on behalf of the Least Developed Countries, said the LDCs faced many challenges in an international economic environment that was spiralling downward. Implementing the Brussels Programme was vital and the LDCs were concerned that little progress had been achieved in its implementation. Hopefully, advocacy and coordination would be emphasized in the future.
Despite the lack of progress in implementing the Brussels Programme, he expressed gratitude to several countries that had exceeded their official aid commitments for the LDCs and welcomed efforts made by the United Nations Capital Development Corporation (UNCDC), on behalf of the LDCs.
TOUFIQ ALI (Bangladesh) said that almost all LDCs were pursuing rapid liberalization of trade, finance and investment, despite the constraints facing them. With a few exceptions, the results had not been encouraging. Poverty was endemic and ever deepening. The Brussels Programme of Action had set a target growth rate of at least 7 per cent annually, and recommended a 25 per cent increase in the ratio of investment to gross domestic product (GDP). Without appropriate investment, the Brussels Programme would meet the same fate as its predecessors. The LDCs would need the full support of development partners.
Many of the LDCs were relying on trade, as an alternate growth strategy, he said. However, trade could only go so far, since most of those countries’ exports were generally limited to markets offering preferential treatment. Without support to diversify export bases, as well as enhanced market access, trade could not be relied upon to spur development.
AHMED AL-HADDAD (Yemen) said the LDCs had taken seriously, their roles, as partners in implementing the Brussels Programme, but obstacles were hampering progress. Globalization had impeded their efforts, as had debt servicing, which required a more effective measure than the HIPC initiative. Solving the foreign debt problem would allow the LDCs to mobilize the financial resources needed for development. Developmental partners had provided substantial assistance, but more was needed, particularly in meeting the commitments made at the Monterey Conference on Financing for Development.
DER KOGDA (Burkina Faso) said his country attached importance to the sustainable development and poverty eradication work done by the recently-created Office of the High Representative of the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States. There was an urgent need to implement the targets set forth in the Brussels Programme of Action, particularly those concerning democratic reform, economic efficiency, human resource development and debt reduction.
In that regard, he said, Burkina Faso was doing its part through capacity-building, a national economic strategy to foster development, more liberal investment policies, job training through a project sponsored by the UNDP and good governance. Close monitoring by the General Assembly and the Economic and Social Council of the Brussels Programme’s implementation was essential.
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