GA/EF/3192

SECOND COMMITTEE DELEGATES CITE REFORM OF GLOBAL FINANCIAL SYSTEM, ANTI-CORRUPTION ACTION, BRIDGING TECHNOLOGICAL GAP AS VITAL TO INTEGRATION INTO WORLD ECONOMY

1 November 2007
General AssemblyGA/EF/3192
Department of Public Information • News and Media Division • New York

Sixty-second General Assembly

Second Committee

20th Meeting (AM)


SECOND COMMITTEE DELEGATES CITE REFORM OF GLOBAL FINANCIAL SYSTEM, ANTI-CORRUPTION


ACTION, BRIDGING TECHNOLOGICAL GAP AS VITAL TO INTEGRATION INTO WORLD ECONOMY


Members Conclude General Debate on ‘Globalization and Interdependence’


Forging a new international financial system, combating corruption and bridging the technological divide were important milestones on the way to tipping the balance against global inequalities and fully integrating developing countries into the world economy, several speakers told the Second Committee (Economic and Financial) this morning, as it concluded its debate on globalization and interdependence.


The representative of Saint Vincent and the Grenadines, speaking on behalf of the Caribbean Community (CARICOM), said that region’s economic performance was increasingly determined from outside its borders.  Recent World Trade Organization rulings had negatively affected banana, rice and sugar farmers in the region, who were suffering the fallout from globalization and the inequitable agricultural subsidies paid to their developed-world counterparts.


To change that, the World Trade Organization should recognize the difference in national income levels and development within the region with the aim of eradicating poverty, creating jobs and expanding and liberalizing trade.  In addition, the World Bank should forego its attempts to micromanage CARICOM’s economies through conditionality and instead focus its activities on development.  The international community should help the region gain the necessary human, financial and technical resources to address concerns about climate change without jeopardizing national economic development strategies, and to reform the existing multilateral trading architecture by enhancing its credibility, legitimacy and effectiveness.


The representative of Bangladesh, speaking on behalf of the Group of Least Developed Countries, described corruption as a challenge to developing countries, noting that some estimates reported that corruption-related transactions funnelled about $40 billion out of developing countries every year.  The unfortunate consequence of that was a proliferation of negative economic effects on the countries where those assets originated.  The United Nations Convention against Corruption provided a framework to prevent the laundering of proceeds from corrupt practices and help with their recovery.  If States Parties so chose, the Convention could also provide a basis for legal assistance in the absence of bilateral treaties.  It also contained provisions for direct recovery and voluntary disclosure of information.


Portugal’s representative, speaking on behalf of the European Union, said fighting corruption was important for international development cooperation.  With that in mind, European Union member States had implemented the Organization for Economic Cooperation and Development (OECD) Anti-Bribery Convention and strengthened domestic legislation in that regard.  To support regional economic cooperation, the European Union was negotiating partnership agreements with the African, Caribbean and Pacific countries in an effort to build regional markets.  It was also helping to enhance digital opportunities and bridge the digital divide by assisting developing countries with research and development and technology transfer.


Zimbabwe’s representative, speaking on behalf of the Southern African Development Community (SADC), stressed the importance of political will in moving towards a successful conclusion of the Doha Round of trade negotiations so that developing countries could achieve maximum benefits from global trade.  Bridging the technological gap through transfer, research and development, science and education, would help eliminate imbalances by ensuring that developing countries had access to the knowledge and technology that would boost their development. 


Most SADC countries would post higher growth if they received fair prices for their commodities.  The international community must urgently address global income inequalities so that the scales would be tipped and globalization would benefit everyone.


Norway’s representative said the international community must ensure progress on asset recovery so it could maintain the important balance that made the Convention against Corruption acceptable to both developed and developing countries.  Effective implementation would ensure that the Convention’s provisions on asset recovery and international cooperation functioned as intended.  It was also a way to show the international community that justice was on the side of corruption’s victims.  Preventing the theft of developing countries’ public assets was a huge problem that required strong international partnerships.  The annual cross-border flow of such proceeds was estimated at between $1 trillion and $1.6 trillion, half of which came from developing countries.  That was huge compared to the $150 billion needed to achieve the Millennium targets.  It was essential to better understand that resource drain and put the funds to better use.


India’s representative said the traditional macroeconomic policy prescriptions of the Bretton Woods institutions eroded the autonomy of developing countries, forcing them to adopt inappropriate policies that paid inadequate attention to much-needed public investment or social-sector development.  Problems of liquidity in the financial markets of developed countries were tackled with short-term measures to inject liquidity, while similar challenges in developing countries were labelled “structural problems”.  The international community should consider the whole balance between national policy space and international disciplines and commitments while deciding collectively on the future of disciplines and commitments.  A timely and fundamental reform of the international economic and financial architecture was required to ensure fair globalization, and the United Nations should oversee that process.


Venezuela’s delegate said that while international financial institutions tried to show that globalization occurred independently, the process had in fact increased poverty and marginalization, placing transnational economic power at the centre of international production as a force against public interests and in


favour of private capital accumulation.  The United Nations and many of its agencies had succumbed in the last year to pressure from some Member States to promote globalization and its supposed benefits.  It was incumbent upon the Organization to take a more analytical and pluralistic approach to the impact of globalization.


Other speakers today were the representatives of Indonesia, Russian Federation, Chile, Colombia, Switzerland, China, Myanmar, Mexico, Malaysia, Gambia, Belarus, Iraq, Kazakhstan and Libya.


Also speaking was the Director of the International Labour Organization (ILO) New York Office.


Earlier, the Committee heard the representatives of Egypt, Pakistan (on behalf of the “Group of 77” developing countries and China) and Italy introduce draft resolutions relating to its agenda items on macroeconomic policy questions and globalization and interdependence.


The Committee will meet again at 10 a.m. on Monday, 5 November to begin its consideration of information and communications technology for development.


Background


The Second Committee met this morning to conclude its debate on globalization and interdependence, including science and technology for development and preventing and combating corrupt practices and transfer of assets of illicit origin and returning such assets, in particular to the countries of origin, consistent with the United Nations Convention against Corruption.  (For background information, see Press Release GA/EF/3191 of 31 October.)


Before it began its general discussion, the Committee heard the introduction of draft resolutions on the Permanent sovereignty of the Palestinian people in the Occupied Palestinian Territory, including East Jerusalem, and of the Arab population in the occupied Syrian Golan over their natural resources (document A/C.2/62/L.7).


Also before the Committee were draft resolutions on macroeconomic policy questions, which included texts relating to Unilateral economic measures as a means of political and economic coercion against developing countries (document A/C.2/62/L.8) and International trade and development (document A/C.2/62/L.10); and the International financial system and development (document A/C.2/62/L.9).


Under globalization and interdependence the Committee had before it draft resolutions on the International Year of Astronomy, 2009 (document A/C.2/62/L.11)


Introduction of Draft Resolutions


HATEM TAG-ELDIN (Egypt) introduced the draft on the Permanent sovereignty of the Palestinian people in the Occupied Palestinian Territory, including East Jerusalem, and of the Arab population in the occupied Syrian Golan over their natural resources, introduced the eponymous draft resolution (document A/C.2/62/L.7), expressing the hope that it would contribute to alleviating the hardship those under occupation faced.


ASAD MAJEED KHAN (Pakistan), on behalf of the Group of 77 and China, introduced the draft resolutions on macroeconomic policy questions, saying that the, Unilateral economic measures as a means of political and economic coercion against developing countries (document A/62/L.8), by which the General Assembly would urge the international community to eliminate the use of such measures, which were not in line with the principles of international law.


He also tabled the draft on international trade and development (document A/C.2/62/L.10), noting the need to address the continuing impasse in the Doha trade negotiations, which endangered the whole multilateral trading system, the text on the international financial system and development (document A/C.2/62/L.9), stressing the importance of maintaining economic growth and supporting sustainable development through an equitable, non-discriminatory trading system.


ALDO MANTOVANI (Italy) introduced the draft on, International Year of Astronomy, 2009 (document A/C.2/62/L.11), noting that the first network of African astronomers was being set up and that astronomy played a key part in understanding the effects of climate change.  It had an important role to play in economics and sustainable development.


The Committee then resumed its general debate on globalization and interdependence.


Statements


VIRGINIA BRAS GOMES (Portugal), speaking on behalf of the European Union, said the regional grouping, as one of the world’s largest trading partners, was also the largest donor of development assistance and contributor to multilateral trade-related programmes.  Special attention should be given to least developed countries, particularly in Africa, as they needed to increase exports, attract more foreign direct investment (FDI) and build solid institutions that were responsive to their citizens’ needs.


She said the European Union was committed to open markets, progressive trade liberalization and stronger multilateral rules, and the Doha Development Agenda.  The international community should focus on enhancing natural resources revenue as a substantial source of development financing.  Transparency was a key prerequisite for development-oriented revenue management and for improving the business environment.  Governments and international partners must work together to increase the quality and transparency of contracts, financial flows related to natural resources, and global codes of conduct.


There was untapped potential in developing countries for closer regional cooperation, she said.  The European Union was negotiating economic partnership agreements with African, Caribbean and Pacific countries in an effort to build regional markets.  The market liberalization under discussion for those agreements would be based on asymmetry and take into account the specific needs and conditions of those countries.  In 2005, the European Union had adopted a timetable to devote 0.7 per cent of gross domestic product to official development assistance (ODA) by 2015, with a midway collective target of 0.56 per cent by 2010.  The European Union had also committed to improving the quality and effectiveness of aid in line with the Paris Declaration and since Monterrey it had collectively surpassed the 2006 ODA target of 0.39 per cent of GDP.  It had also set new, ambitious ODA targets for Africa and was currently providing 57 per cent of global ODA.


She said the European Union was helping to enhance digital opportunities and bridge the digital divide by assisting developing countries with research and development and technology transfer.  Fighting corruption was important for international development cooperation and the European Union member States had implemented the Organization for Economic Cooperation and Development (OECD) Anti-Bribery Convention, which entered into force in 1999.  They had strengthened domestic legislation in that regard.


LENNOX DANIEL (Saint Vincent and the Grenadines), speaking on behalf of the Caribbean Community (CARICOM), said the region had been marginalized by the rapid pace of globalization and evidence showed that those who had suffered most were those who possessed the least, especially small island developing States.  Global market forces that had significantly affected the degree of flexibility in shaping national policies had been stymied by global economic liberalizing forces over which CARICOM had no control, and the economic performance of the region’s countries was increasingly determined from outside its borders.


The World Bank should forego its attempts to micromanage CARICOM’s economies through conditionality and focus its activities on development, he said.  The World Trade Organization should recognize rather than ignore the difference in national income levels and development with the aim of eradicating poverty, creating jobs and expanding and liberalizing trade.  Recent World Trade Organization rulings had affected the CARICOM countries producing bananas, rice and sugar.  The affected farmers faced the fallout from globalization and the inequitable agricultural subsidies paid to their developed-world counterparts.


He said the benefits of migration could be better harnessed through cooperation between origin and destination countries.  CARICOM suggested that the equivalent of the most-favoured-nation principle could provide a basic foundation for building a mutually beneficial environment for migrants and their countries of origin and destination.  CARICOM called on the international community to help the region gain the necessary human, financial and technical resources to address concerns about climate change without jeopardizing national economic development strategies and to reform the existing multilateral trading architecture by enhancing its credibility, legitimacy and effectiveness.


BONIFACE G. CHIDYAUSIKU ( Zimbabwe), speaking on behalf of the Southern African Development Community (SADC) said the international community must urgently address global income inequalities so that globalization benefited everyone.  North America, Europe and high-income Asia-Pacific countries held 90 per cent of the world’s wealth while the poor half of the world’s population owned barely 1 per cent.  Investments were concentrated in one region to the disadvantage of others while ODA from industrialized countries was dwindling.  The external debt crisis should be addressed in such a way as to enable developing countries to meet the internationally agreed goals.  Political will was needed to successfully conclude the Doha Development Round, which would enable developing countries to derive maximum benefit from global trade.


Coupled with Southern Africa’s natural resources, the right level of foreign investment could foster sustainable development in the region, he stressed, noting that increased investment would spur exports and make more resources available for development.  Most SADC countries had experienced real growth in gross domestic product in 2006 at an average of 5.7 per cent, up from 5.4 per cent in 2005.  The subregion could post higher growth if it received a fair price for its commodities.  Developing countries needed special and differential treatment, including help with capacity building and aid for trade.  SADC called for the bridging of the technological gap through transfer, research and development, science and education, and for a review of the intellectual property rights regime to ensure developing countries had access to the knowledge and technology that would boost their development.  The regime should not hinder the availability of lifesaving medicines at affordable prices or the right of developing countries to protect traditional knowledge.


ISMAT JAHAN ( Bangladesh) said that by some estimates, around $40 billion acquired through corruption in developing countries was transferred abroad every year, causing negative multiplier effects on the economies of the countries of origin.  The Convention against Corruption, to which Bangladesh had acceded, provided a framework to prevent the laundering of proceeds from corrupt practices and to help the recovery of those assets.  If States parties so chose, the Convention could provide a basis for legal assistance in the absence of bilateral treaties.  It also contained provisions for direct recovery and voluntary disclosure of information.


She said corruption was a big challenge in her country and the present Government had undertaken a major campaign against it.  No one was now above the law, and investigations of high-profile financial crimes were underway.  The Government considered it an utmost priority to strengthen the Anti-Corruption Commission, providing it with resources and personnel to effectively tackle the problem.  The country’s anti-money-laundering efforts were being strengthened in consultation with relevant international agencies and development partners.  Despite all those initiatives, however, it remained critically important to build further the capacities of the Anti-Corruption Commission and the Central Bank.


Despite the Government’s sincere efforts to bring back illegally transferred money, it had yet to reach its desired goal, she said.  The complex and lengthy proceedings often rendered asset recovery efforts too costly and hazardous.  Recently, the Government had formed a high-powered task force to bring back money siphoned from the country and the destination country and other stakeholders should lend their full support to its efforts to recover the ill-gotten resources of corruption that remained abroad.


HARIYANTA SOETARTO ( Indonesia) said that with the finish line for the Millennium Development Goal only years away, Member States needed to take greater strides so that globalization could truly become a force to bring welfare and knowledge to humanity.  A global partnership was needed, with the United Nations playing a critical role to promote international cooperation for development, including by actively coordinating with relevant development agencies like the Bretton Woods institutions to attain the Millennium Goals.


Much work was needed to bridge the digital divide and strengthen existing mechanisms to support research and development initiatives, he said.  More efforts were also needed to facilitate access by developing countries to environmentally sound technologies.  Regarding corruption, Indonesia had been using legal disincentives to combat such practices and it encouraged increasing cooperation among States as a way to support efforts to implement all the provisions of the Convention against Corruption.


SERGEI KONONUCHENKO ( Russian Federation) said the benefits of globalization had not reached all people in all countries and the international community must work to combat its negative consequences.  The United Nations was the main organ responsible for coordinating that process and it must step up efforts to help developing countries achieve the Millennium Development Goals.  It was essential to prevent and eradicate corruption as well as money laundering.  Assets obtained illegally must be returned to their country of origin.  Considering the cross-border nature of corruption, international cooperation was necessary to stop it.


The Russian Federation was doing its part to stem corruption, he said.  It had ratified the Convention against Corruption as well as the European Convention against Corruption and supported the anti-corruption efforts of the World Bank and the United Nations Office on Drugs and Crime (UNODC).  The Russian Federation also planned to implement an effective, coordinated anti-corruption policy and was working on effective measures to criminalize corruption through stronger national anti-corruption legislation.  In 2001, it had passed a federal anti-corruption law and in 2002, it adopted a presidential decree on the official conduct of civil servants.  President Vladimir Putin had announced that he would make the fight against corruption a top Government priority.


ABRAHAM QUEZADA ( Chile) stressed the importance of science and technology in achieving the Millennium Development Goals and promoting development.  International cooperation in that regard was essential as was building national capacity and public policies that fostered information sharing.  Science and technology for development would particularly help communities suffering from poverty and hunger, and while spurring development in such areas as health, agriculture, the sustainable use of natural resources and environmental conservation.


He stressed the importance of renewable technology development and transfer, and reiterated his country’s support for the World Summit on the Information Society.  The “Connect Africa” project was a good example of collaboration in promoting information for development between the World Summit and the United Nations Conference on Trade and Development (UNCTAD).  Engineers and technicians in developing countries were putting in place national policies on information and communication technology.


International efforts must be scaled up to bridge the digital divide between countries and regions, he said.  An open and inclusive strategy involving Governments, multilateral organizations, the private sector and civil society, was needed, as were transparent and competitive markets in information and communications technology.  Chile was developing a National Digital Agenda to promote the National Digital Literacy Campaign for digital access, education, business development and regulation.  It was important to integrate digital concerns into public policy and science, technology and innovation into national development strategies.


CLAUDIA BLUM ( Colombia) said globalization and development should be mutually reinforcing, and global dynamics and economic agendas should serve the development agenda as well as the achievement of internationally agreed goals, including the Millennium targets.  Existing imbalances must be recognized, and Colombia reiterated the importance of promoting an increasingly safe and predictable international financial system, with regulatory frameworks conducive to the efficiency and transparency of markets.


She said the debate on globalization should involve a gradual and rapid removal of existing asymmetries in international trade, intellectual property rights and investment flows, and grant greater importance to ensuring that global processes guaranteed and promoted the protection of juridical goods recognized by international law.


There was a need for deeper cooperation in the fight against organized crime and corrupt practices, she said.  Human trafficking, drug trafficking money laundering and arms trafficking, should be examined from the perspective of their impacts on development, and a shared responsible principle must be applied.  The advancement of science and technology was also a prerequisite for sustainable growth and the improvement of economies.


THOMAS GASS ( Switzerland) expressed satisfaction with the success of the Convention against corruption, and commended UNODC and others involved in implementing it.  Those efforts, particularly the ones relating to the restitution of illicit assets and technical assistance, must continue.  Switzerland supported the International Centre for Asset Recovery, based in Basel.


Having made such good progress in those areas, it was now imperative not to stop half way, he said.  There was still a great deal to be done in preventing, identifying and prosecuting acts of corruption, with the focus on the relevant provisions of the Convention.  Switzerland invited States parties to take the opportunity offered by the second Conference of the Parties in Bali early next year to initiate specific recommendations for follow-up.  Only comprehensive implementation of the Convention would enable an effective system to combat corruption.


YAO WENLONG ( China), associating himself with the Group of 77, said that while economic globalization continued to develop, it was fraught with risks and contradictions that posed challenges, particularly for developing countries.  The gap between the North and the South had widened and many developing countries were marginalized.  The scope of national policy was frequently constrained by international rules and commitments, and China stressed that in that regard developing countries must participate fully and equally in economic decision-making.  The indiscriminate application of standards and rules was far from fair and it was important to enhance the capacity of developing countries to integrate into the world economy.


He called for the strengthening of practical measures to help developing countries train scientific and technical personnel for practical work.  As for the Convention against Corruption, asset recovery was an innovative and unique legal system, but it required stronger international cooperation.  All countries should address the question of identifying, tracing and returning assets obtained through corruption by adopting a proactive, flexible and pragmatic approach.  International cooperation should occur on the basis of mutual respect for sovereignty, equality and mutual benefit.


MONA JUUL ( Norway) said the international community must ensure progress on asset recovery and review implementation and technical assistance in the fight to combat corruption.  In doing so the international community could maintain the important balance that made the Convention against Corruption acceptable to both developed and developing countries.  The task ahead was to effectively help countries implement the Convention by identifying needs and providing support.


Effective implementation would ensure that the Convention’s provisions on asset recovery and international cooperation functioned as intended, she said, stressing the importance of asset recovery to many developing countries.  It was also a way to show the international community that justice was on the side of corruption’s victims.  Three intergovernmental working groups, an ongoing pilot review mechanism, a technical assistance seminar, asset recovery initiatives and a dialogue with international organizations on the bribery of public officials were aimed at pushing the Convention forward.


She said preventing the theft of developing countries’ public assets was a huge problem that required strong international partnerships.  Illicit financial flows from developing countries, overlooked in the debate on financing for development, often took the form of assets and funds generated through corruption and other criminal activities, such as the drug trade, human trafficking and tax evasion.  The annual cross-border flow of such proceeds was estimated at between $1 trillion and $1.6 trillion, half of which came from developing countries.  That was huge compared to the $150 billion needed to achieve the Millennium targets.  It was essential to better understand that resource drain and put the funds to better use.


AYE AYE SOE (Myanmar), aligning herself with the Group of 77 and China, noted the contributions of the Commission on Science and Technology for Development, UNCTAD and others in helping developing countries integrate science and technology into their national development plans and strategies.  Programmes concerning agriculture, rural development, information and communications technology and the environment were particularly commendable.  Biotechnology could be employed to enhance production in the agriculture sector, which was the mainstay of many developing economies.  It could also help meet challenges in the health, environment and energy sectors and in facilitating adaptation to climate change.


Describing her country’s endeavours in the promotion of science and technology for development, she said the Government of Myanmar had established the Ministry of Science and Technology in 1996.  In recent years, that Ministry had founded a total of 68 universities, technical colleges and technical institutes all over the country.  However, national efforts alone would not be sufficient to achieve development goals.  Developing countries would therefore need substantial support from advanced economies and international agencies concerned with science and technology.


SOCORRO ROVIROSA ( Mexico) said the constant increase in the number of States Parties to the Convention against Corruption only two years after being opened for signing showed that the instrument was widely supported and benefited from the political commitment of the international community.  Mexico suggested that a high profile be kept on the matter of raising awareness of the Convention, considering that it opened up new possibilities for a series of innovative measures, especially concerning asset recovery.


LOH SENG KOK ( Malaysia) said the sharing of benefits under the current brand of globalization was uneven and its governance shoddy at best.  Market liberalization, a major thrust of the globalization process, had been applied selectively and the rules changed periodically as protectionist tactics exacerbated matters.  To achieve a more humane form of globalization, the notion of inter-reliance, rather than interdependence, would bring more sharply into focus the importance of the human chain only being as strong as its weakest link, and that continued prosperity would need collective action to strengthen the weakest links.  The international economic system must also be tilted to favour the poor, building a level playing field through the principle of special and differential treatment.


A new global economic structure must amplify the strength of the developing countries, he said.  Despite possessing the vast majority of biodiversity and bioresources, developing countries were unable to tap into that vast potential of wealth.  Recently, Indonesia had refused to share avian flu samples after discovering that its samples had been used to make vaccines sold at $20 a dose.  Only after a more equitable sharing system was introduced would that matter be resolved, yet the example served as a reminder of how developing countries were cut out of potential earnings by the richest pharmaceutical companies.  If globalization was to realize its fullest potential, it must provide developing countries with a greater stake in global decision-making process.


TAMSIR JALLOW ( Gambia) said globalization was not pointedly hostile to developing countries, rather the marginalization of those nations was caused by the manner in which globalization continued to be managed.  Despite the steady progress achieved, there were enormous global imbalances in the distribution of wealth, income and resources.  Making globalization work required good management through the strengthening of international cooperation and a global partnership for development.


The international community should recognize that developing countries had the right and responsibility to development through the pursuit of country-specific policies and strategies, he said.  Developed countries should ensure they met their commitments in the area of trade, investment and industrial development, and development partners should scale up assistance in line with the 2005 World Summit Outcome and the internationally agreed development targets, including the Millennium Goals.


He said it was time to call for reform of the global trading system and international financial architecture.  The key to sustainable development rested in the recognition and acknowledgement of the interdependence of growth, poverty alleviation, science and technology and sustainable environmental management.  Gambia remained committed to preventing and combating corrupt practices, which triggered catastrophic consequences for development and economic growth.


ANDREI METELITSA ( Belarus) said it was important to limit illegal trade and excessive spending on armaments.  Science and technology played a vital role in achieving sustainable development and Belarus was working with the United Nations to expand the use of science and technology for development.  UNCTAD, the United Nations Development Programme (UNDP) and other agencies should expand their assistance to developing countries and economies in transition to ensure the introduction of new technologies, particularly information and communication technology and energy efficiency.  Another promising area for cooperation was the creation of mechanisms that would contribute to transferring, under favourable terms, intellectual property rights to countries with economies in transition.  It was important to give unconditional protection to the holders of intellectual property rights.


MOHAMMAD SALIM ( India) said increasing interdependence stemming from globalization meant that national policies and actions could no longer be formulated in isolation from the market-driven international environment.  The traditional macroeconomic policy prescriptions of the Bretton Woods institutions eroded the space for policy autonomy of developing countries, forcing them to adopt inappropriate policies that did not pay adequate attention to much-needed public investment or social-sector development.  Problems of liquidity in the financial markets of developed countries were tackled with short-term measures to inject liquidity, while similar challenges in developing countries were labelled “structural problems”.


He said the international community should consider the whole balance between national policy space and international disciplines and commitments while deciding collectively on future of disciplines and commitments.  A timely and fundamental reform of the international economic and financial architecture was required to ensure fair globalization, and the United Nations should oversee that process.


The level of technology differentiated developed and developing countries, he continued, noting that, given restrictions on access to critical technologies, developing countries needed to pay special attention to acquiring knowledge resources to boost their development paths.  They must effectively use traditional knowledge and biogenetic resources.  India called for pragmatic ways to promote collaborative research and development efforts between developed and developing countries in order to promote capacity-building in developing countries.


HAMID AL-BAYATI ( Iraq) said information and communications technology was very important for development.  It was essential for creating societies based on the principle of respect for human rights, democracy, peace and development.  It also helped reduce poverty, strengthen and promote wealth, reduce inequity and increase justice.  Societies must be able to use information and communications technology for their own good since it played an important role in enabling nations to achieve the Millennium Development Goals.


He said it was important to help developing countries overcome the digital divide and achieve the goals established during the World Summit on the Information Society.  Developed countries must make sustained efforts to use information and communications technology by providing statistics, which would contribute to decision-making processes and the design of coherent policies.  Iraq encouraged the development of electronic commerce through the strengthening of open-source software to reduce the enormous cost of accessing such technology.  There was also a need for electronic governance to regulate electronic commerce.


Iraq was making efforts to develop science and technology, having created a Ministry of Science and Technology and introduced a mobile phone network in 2003, he said.  The country was creating a national centre for geographical information to link the Ministry to the network.  Despite the difficulty of developing the information and communications technology sector, the Iraqi Government had set a series of goals with help from the international community, such as establishing infrastructure to disseminate technology, stepping up investment in information and communications technology, research and development, creating a centre for development, protecting inventors and working for technological literacy.


BYRGANYM AITIMOVA ( Kazakhstan) said that, once properly managed, globalization could lead to sustained world economic growth and international financial stability.  It was essential to enhance the capacity of countries with economies in transition to respond to the challenges of globalization, to ensure favourable market access for their exports and to secure FDI for their development and integration into the global economy.


To accomplish that, the international community must reform the existing global financial, monetary and trading systems to make them more equitable and democratic, she said.  It must increase the participation of developing countries in global decision-making and norm-setting so their interests and needs were properly reflected.  The development of science and technology, alongside education, was an important factor in enhancing national competitiveness and achieving sustained economic growth and development.


MOHAMED A. A. ALAHRAF ( Libya) said some nations believed that globalization had increased economic freedom, prosperity and access to modern technology while others felt it had increased the income disparity gap and encouraged greed.  Globalization had failed to make the development dimension a vital requirement for developing countries and to take into consideration their weak structures that hampered economic growth.  It was necessary to enhance international cooperation at all levels to create a fair international trading field and help developing countries become effective trade partners.  That meant creating a balanced trading system, ending price volatility and protecting developing countries so they could spend their reserves on socio-economic projects, national production and economic diversification, particularly in the service sector.


It was difficult for developing countries to balance international commitments and national priorities, he said.  The United Nations must increase international cooperation to help them develop countries build capacity.  The Convention against Corruption provided a unique opportunity for the international community to work together in preventing abuses.  It provided a good forum for exchanging information on recovering illegally transferred assets.


Developed countries must work to bridge the ever-increasing digital gap, he said, stressing the importance of science and technology for development and follow-up to the outcomes of the World Summit on the Information Society.  Libya supported efforts by UNCTAD in connection with the “Connect Africa” project.  The country had signed with the United Nations Educational, Scientific and Cultural Organization (UNESCO) an agreement for a $72 million trust fund to build technological capacity and connect all university centres, laboratories and video centres.


ARTURO REYES ( Venezuela) said that while world leaders said during recent international summits that the world was making progress thanks to globalization, its weaknesses were evident.  One of globalization’s myths was the supposed interdependence of the international system, but in reality, those were the historical colonial relationships of dependency, deepened by international capitalism, which had fostered development in the West at the expense of developing countries.  The debate about interdependence was an empty one since developed countries lacked the political will to support development goals relating to the environment, international security and commerce, and human rights.  On the contrary, they continued to expand the conditions and restrictions on their bilateral and multilateral relationships with developing countries. 


International financial institutions tried to show that globalization was a process occurring independently of the public and private policies of world powers, he said.  Globalization had increased poverty and marginalization, placing transnational economic power at the centre of international production as a force against public interests and in favour of private capital accumulation.  The natural environment had suffered because of globalization.  The United Nations and many of its agencies had succumbed during the last year to the pressure of some Member States to promote globalization and its supposed benefits.  It was incumbent upon the Organization to preserve international peace and justice while taking a more analytical and pluralistic approach to the impact of globalization.  Venezuela called for the creation of a new international human order based on cooperation, solidarity and respect for sovereignty and self-determination for all.


DJANKOU NDJONKOU, Director, International Labour Organization (ILO) New York Office, said the agency’s latest report on global employment trends estimated that 200 million people were unemployed despite strong global economic growth.  The increase in international labour migration -– 94 million people had migrated in 2005 -- illustrated people’s desire and need to search for jobs.  Various data showed that inequalities had widened in many countries since the publication of the 2004 World Commission Report on the Social Dimensions of Globalization.  ILO’s three-day Forum on Decent Work for a Fair Globalization would bring together diverse participants from Governments, employers’ organizations and trade unions to analyze and promote decent work for sustainable development.  The fundamental challenge of today was to ensure policy coherence and more partnerships so that all relevant policies were effectively implemented.


There was a shared responsibility to reduce migration pressures by creating productive, decent jobs that would give workers the right to development in their countries of origin, he said.  Migration would thus become a matter of choice rather than one driven by necessity.  The ILO Multi-lateral Framework on Labour Migration identified a set of guidelines and best practices to help countries create and implement labour migration policies.  ILO’s migrant-specific Convention 1949 (No. 97) and Migrant Workers (Supplementary Provisions) Convention, Convention 1975 -– together with the 1990 International Convention on the Protection of the Rights of All Migrant Workers and Members of Their Families -- provided a normative approach to migrant protection.


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For information media • not an official record
For information media. Not an official record.