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General Assembly Session 59 meeting 107

Date27 June 2005
Started15:00
Ended18:05

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A-59-PV.107 2005-06-27 15:00 27 June 2005 [[27 June]] [[2005]] /
The President: Mr. Ping (Gabon)
The meeting was called to order at 3.10 p.m.

Agenda item 84 (continued)

Follow-up to and implementation of the outcome of the International Conference on Financing for Development: High-level Dialogue of the General Assembly on Financing for Development

Reports of the Secretary-General (A/59/800 and A/59/822)
Notes by the Secretary-General (A/59/826 and A/59/850)
Summary by the President of the Economic and Social Council (A/59/823)
Note by the Secretariat (A/59/855)
Conference room paper (A/59/CRP.6)
The President

I call on His Excellency Datuk Mustapa Mohamed, Minister in the Prime Minister Department of Malaysia.

Mr. Mohamed (Malaysia)

I note that there is an air of optimism during this second High-level Dialogue on Financing for Development. I also note the progress made since the Monterrey Consensus in moving forward towards meeting our development goals.

In particular, the decision on debt cancellation by the G8 and the achievement on the part of five countries of meeting the 0.7 per cent target of gross national income for official development assistance are commendable. There has been enhanced commitment on the part of the Member countries to implementing and achieving the Millennium Development Goals since their adoption in 2000. In all this, the United Nations has played an important role. The United Nations remains relevant and many countries look to it to play its role in conducting regular reviews in meeting the Millennium Development Goals.

My country would like to see the United Nations continue to play an active role in fostering that global partnership for development and in coordinating global efforts to eliminate poverty and promote human development. As we welcome the initiatives taken by the United Nations and donor countries, developing countries need to have the will and courage to build their own capacities. Our own initiatives on good governance, the elimination of corruption, transparency and sound institutions play an important role in meeting our development goals. There is no substitute for all that.

Two years after the Monterrey Summit, it remains clear that the lack of financial resources has stymied the efforts of many developing countries to attain their Millennium Development Goal targets. This High-level Dialogue emphasizes the importance of maintaining and strengthening the partnership between developed and developing countries in achieving the Millennium Development Goals.

My Government views poverty as a very serious obstacle to human development. In the past 35 years, Malaysia's poverty rate has declined substantially. About half of our households lived below the poverty line in 1970. That has fallen to about 5 per cent at present. Although we have already achieved the Millennium Development Goals in respect of poverty -- indeed, we have already achieved all but one of the broad Millennium Development Goal targets -- we have decided that there shall be no more hard-core poverty by the end of this decade. That is a target we have promised our people and we will put all our energies and resources into meeting that goal.

For the developing countries, an active and robust private sector can contribute to sustainable growth and development. Since the mid-1980s, my Government has undertaken concerted efforts to deregulate and liberalize the economy. The privatization policy has also been pursued with vigour. The Malaysia Incorporated Concept was introduced to forge a closer relationship between the public and private sectors. An increasingly private-sector-led economy has expanded the nation's growth frontier, enhanced the nation's ability to adapt and undertake change, improved efficiency and productivity at a faster rate, and improved national competitiveness at large.

The challenges facing developing countries in integrating themselves into the international trading system lie in their ability to fully and actively participate in the multilateral trading system. In that regard, Malaysia would like to see the World Trade Organization adhere to trade-related issues that have a legitimate place within a system of multilateral trade rules. Cross-cutting conditionalities, such as the tendency to link market access with aid programmes and the linking of labour standards, human rights and environment with trade sanctions in the name of coherence must be rejected. It is imperative that the imbalances and asymmetries -- which include the lack of implementation of existing obligations by developed countries in the area of textiles and agriculture; lack of market access; and the need to effectively operationalize the provisions for special and differential treatment -- be given high priority.

Many developing economies, including Malaysia's, have become increasingly integrated into the global economy. From our own experience, we have realized the need to strengthen the country's resilience to external shocks. In that connection, we have put in place prudent banking and financial sector regulations. In addition, we also see the need for countries to be given greater flexibility to introduce innovative measures that can mitigate against damaging effects on their economies. The international financial institutions should do more to effectively address the core factors that can cause instability. Efforts that are already under way in the international financial institutions must be accelerated with greater urgency to avert future crises.

In addition to poverty alleviation, it is important also to ensure that adequate infrastructure be provided to facilitate development. However, the cost of building infrastructure is very high and most poor countries cannot afford it. Current sources of financing are inadequate. Therefore, there is a need to seriously consider the setting-up of a dedicated pool of international financing for the development of infrastructure in developing countries.

Efforts aimed at mitigating the shortfalls in financing for development, such as through South-South cooperation, must be strongly supported. South-South cooperation has indeed become an effective approach in strengthening partnership and collective self-reliance among developing countries through the transfer of appropriate technology and the sharing of knowledge and experience to address such development issues as poverty, income distribution, health, education, trade and investment. My country is fully committed to assisting other developing countries through the sharing of experience in development and poverty eradication, albeit on a modest scale, through our own bilateral cooperation programme, the Malaysian Technical Cooperation Programme.

Malaysia also believes that mobilizing international private capital flows can contribute to economic growth and prosperity. In that respect, judicious management of private flows is necessary to ensure that incipient domestic industries and businesses be given adequate time to mature and do not face unfair competition. In addition, foreign investors should also initiate and nurture the development of host-country producers. Local small and medium-scale enterprises should link themselves to and establish meaningful relationships with multinational corporations so that they can have a share of the benefits by providing necessary and quality inputs and components.

Notwithstanding our achievements and the commitments made thus far, there is a need to ensure that the progress achieved can be sustained. A conducive international economic environment is also important for the achievement of the Millennium Development Goals. It is our hope that the developed countries will coordinate their economic policies in a manner that will create a stable macroeconomic environment and that the benefits of growth will trickle down to the developing countries. The threat to economic stability arising from volatile capital flows, global imbalances and high oil prices have to be addressed.

This High-level Dialogue on Financing for Development should strengthen and renew our resolve to achieve the Millennium Development Goal targets to eradicate poverty and bring sustainable development and prosperity to all mankind. It is my hope that, when the High-level Plenary Meeting is convened in September, not only can we expect a renewed commitment to ending poverty and achieving the Millennium Development Goals, but that there will be more firm commitments on the part of donor countries on official development assistance and trade. The developing countries must do their part. Development is the responsibility of everyone. Let us pray that our goal of providing a decent life for everyone will be a reality. We continue to place a lot of hope in the United Nations system's facilitating that global partnership for development and human progress.

The President

I call on His Excellency Mr. Berhane Abrehe, Minister of Finance of Eritrea.

Mr. Abrehe (Eritrea) --> -->
 
 
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