THIRD UNITED NATIONS CONFERENCE

ON THE LEAST DEVELOPED COUNTRIES

14 – 20 MAY 2001, BRUSSELS, BELGIUM

 

 

 

 

 

 

STATEMENT

BY

HONOURABLE MUSA H. SILLAH

SECRETARY OF STATE FOR TRADE,

INDUSTRY AND EMPLOYMENT OF THE

REPUBLIC OF THE GAMBIA

 

 

BRUSSELS, 15TH MAY, 2001

Mr. Chairman

Your Excellencies, Heads of State and Government

Honourable Ministers

Distinguished Delegates

Ladies and Gentlemen,

 

Let me, on behalf of my delegation, the Government and People of The Gambia, express our deep appreciation to the European Union for hosting this Conference and to our senior officials and all those who worked so hard to make this conference a success.

 

Mr. Chairman,

 

The General Assembly of the United Nations, having realized the deterioration in the socio-economic situation of the Least Developed Countries (LDCs), decided to convene the Third UN Conference on LDCs with the objective of assessing the results of the implementation of the Programme of Action during the 1990s at the country level; review the implementation of international support measures, particularly in the areas of ODA, debt, investment and trade; and consider the formulation and adoption of appropriate national and international policies and measures for the sustainable development of the LDCs and their progressive integration into the World economy.

Mr. Chairman,


The external environment facing LDCs has been and remains difficult.  Contrary to commitments undertaken in the Programme of Action for LDCs for the 1990s and the expectations of LDCs, the implementation of the Programme of Action has suffered a major setback from some disturbing trends in the on going process of globalization and liberalization, as well as the continuous decline in ODA flows and the unacceptably high levels of LDCs external indebtedness.  Thus, LDCs share in the FDI flows to developing countries remains insignificant at less than 1 percent.  In real terms, ODA flows to LDCs have fallen by 23 percent since the beginning of the 1990s.  Only a third of the Development Assistance Committee (DAC) countries, met the 1990 Programme of Action target of 0.15 per cent of their GNP as ODA to LDCs.  Majority of the LDCs are HIPC Countries and many have been unable to meet their debt obligations fully and have accumulated arrears.  There were, domestic factors which have also aggravated the difficult socio-economic situation faced by the majority of LDC’s.

 

A general consensus from the preparatory meetings for this Conference is, that, one of the main shortcomings of the 1981 and 1990 conferences, was that the approaches in implementing the global Programme of Action, failed to translate Country level memoranda into Action Programmes at the country level.  This made the implementation of the global targets agreed in the programmes of action difficult to relate to country level situations and also the mobilization of resources, since the elements of the programme of action have not been specified at country levels.  We hope this time around, the approach will improve the situation by linking the global programme of action to country specific programmes of action, supported by the requisite financial resources for implementation.

 

Mr. Chairman,

 

Globalisation has brought mixed blessings.  The prosperity it engenders is unevenly shared among countries and regions of the world.  While the industrialized countries remain major beneficiaries, the majority of LDC’s have been unable to take advantage of the opportunities.  Globalisation has so far failed to spur economic recovery, faster growth, greater employment opportunities and poverty eradication in developing countries.  It has rather exhibited a tendency to accentuate the income and welfare gaps between the rich and poor, among and within countries and regions.  It is, indeed, disconcerting to observe that under a fast globalising world economy, the problems of poverty, underdevelopment and global inequity still persist.  We must together, come to grips with the reality, that our uncertain journey will continue to be shaped by the profound forces of globalisation and liberalization.  We must devise sustainable strategies to cope with the challenges.

 

The increasing importance of trade in global economic activities and the dominance of the World Trade Organisation (WTO) in shaping the character of international economic order demand our special attention.  The enthusiasm and high expectations which motivated developing countries to sign the Uruguay Round Agreements have been shattered by the inability of the WTO to take into consideration the legitimate interests of the countries of the South, especially Africa.  The current pace of globalisation has made it extremely difficult for most developing countries to mobilize and attract other external resources for development, such as foreign direct investment.  The heavy external debt burden and large unsustainable debt service obligations also constitute a major obstacle to the social and economic development of LDCs.  LDCs must be able to make a fresh start to grapple with the socio-economic development of our countries.

 

Mr. Chairman,

 

As we in the LDC group, strive for greater equity and space in the global economy, we must concurrently develop strategies, policies and measures to reposition ourselves in the global economy and to seize opportunities, whenever, they arise to pursue our effective integration in World production and trade.  This requires unrelenting efforts to modernize our structures of production, utilize wherever feasible the latest technology, to lift productivity and increase efficiency in all the sectors of our economies, thereby upgrading our international competitiveness.  For those of us who are significantly dependent on agricultural production and trade, we must look towards the improvements and innovations in technology, improve quality and storage, reduce post-harvest losses, in order to provide better returns to our farmers and improve performance in the markets in which we trade.

 

Mr. Chairman,

 

On the national front, I wish to seize this opportunity to make a brief statement on investment climate and private sector development in The Gambia.  The investment climate in The Gambia has witnessed dramatic improvements in recent years resulting from implementation of comprehensive structural and institutional reform measures, which emphasize greater reliance on market based mechanism for the allocation of resources.  These reforms point to liberalization of trading and payment arrangements, in furtherance of Government’s objective to reduce the size and role of the public sector and correspondingly, make the private sector the economy’s main engine of growth.  A new divestiture Policy has been recently adopted by the Government and an Agency established to coordinate the divestiture programme, which is currently being developed.  In November 2000, the Government also approved the Gambia Investment Promotion bill and Free Economic Zones bill.  Recently the Gambia Investment Promotion and Free Zones Agency has been established, which aims to attract investors to The Gambia both within and outside the zones and to promote the Gambia as the Trade Gateway to West Africa.  The Government of the Gambia is strongly committed and places great importance to creating a more enabling environment and a sustainable macroeconomic framework conducive to the growth and development of private initiative and enterprise.

 

It is against this background that in 1996 the Government adopted a long term development framework – Vision 2020 which is anchored on a private sector led growth strategy.  In order to operationalise the various policies outlined in the document, a poverty reduction strategy (PRSP) is being developed by the Government.  The PRSP will be the main planning framework for the attainment of sustainable economic and social development of the Gambia.  The development of this framework has not yet been finalized, but meanwhile, the Government has adopted an interim – PRSP which was endorsed by the Bretton woods institutions.  The interim PRSP provides the framework for mainstreaming poverty reduction policies and programmes, linking macroeconomic growth to poverty reduction.  The country paper and action programme of the Gambia for the LDC III Conference (2001-2010) has been prepared within the framework of Vision 2020 and the PRSP of the Gambia.

 

Mr. Chairman,

 

Before I conclude, let me say that the ultimate requirement for the sustainable development of LDCs and their beneficial integration in the global economy lies in the structural transformation of our economies.  This would require the creation of integrated national economies characterized by increased specialization and growing dependence among sectors.  This will create among other things, linkages between the industrial, tourism and agricultural sectors and engender efficient and diversified production and exports and increase manufacturing value added of LDC exports.  Together, with our development partners, we need to focus our attention and resources on areas that will enhance the internal linkages and thereby integrate the economic sectors of LDCs.  The global programme of Action for LDCs which would be finalized during this conference, should be flexible to cater for unexpected developments in the global economy and to meet the challenges facing LDCs in the coming years.  Clear goals and objectives should be set out and specific resource requirements identified with concrete commitments by our partners in development.

 

Mr. Chairman,

 

I wish to express our gratitude to UNCTAD and all other development partners who provided their immense assistance throughout the process leading to the convening of the historic conference.  We cherish them for that.

The new world of increasing interdependence compels us as developing countries to work together to rekindle our partnership with other members of the World community with whom we share a common destiny as members of the human family.

Our cultures may be diverse, our languages may differ, but our shared experiences and expectations inevitably evoke a unity of purpose.  Let us therefore, resolve to make Brussels 2001 a historic conference with a difference.

 

I thank you for your attention.