STATEMENT BY

IRELAND - MAY 15 2001

Mr. President,

 

I congratulate you on your election as President of the Conference.  I also fully support the statement made by the distinguished representative of Sweden on behalf of the European Union.

 

The European Community’s decision to host this Conference is a strong affirmation of its commitment to the Least Developed Countries.  The Community through its programme of development cooperation, its trade relations and its extensive political dialogue with  LDCs  plays a major role in our joint efforts to eradicate poverty and meet the international development targets.

 

Mr. President,

 

All of the priority countries in Ireland’s national programme of development aid are LDCs.  All of them are in sub Saharan Africa.  Our programme which is completely untied is focussed on poverty eradication. 

 

Our relationship with our developing country partners is based on respect and understanding.  We know that the problems confronting many LDCs are complex, have deep roots and require much political will and patience to resolve.  We accept that there will be setbacks on the path to development. Donors, beneficiaries and multilateral organisations have all made mistakes, often with calamitous results. 

 

We have all learned from past failures.  We now need to put these hard won lessons into practice and to work together for sustainable development.  The Millennium Summit and the UN Conferences of the past decade have set ambitious targets.

 

Experience has taught us that donors cannot impose a development agenda.  Instead we must support, in a coordinated way, the development vision of our partners.  We also know that without a strong commitment to good governance, to human rights, to democracy and to the rule of law, development aid will not be effective.  We have all identified corruption as a major obstacle to development.  Corruption robs the poor, undermines the trust between donors and partner governments and makes effective aid impossible. 

 

There must be less emphasis on flying the donor’s flag over a project, more emphasis on donor wide coordination in support of a national poverty reduction strategy.  What is vital is the deepest possible dialogue with Governments and civil society on strategies to eradicate poverty.

 

It is ironic that just when the international community has moved to a broad consensus on best practice for development cooperation, ODA has dwindled to a level which is inconsistent with the much acclaimed international solidarity in favour of the world’s poor.  This Conference and next year’s Conference on Finance for Development should sharpen our commitment to reaching the UN target of 0.7% of GNP on ODA.  That is the political reality.

 

Last year Ireland  made a solemn commitment to the UN Millennium Summit that we would reach this target by 2007.  It has been our national experience, that unless the commitment is time bound, and unless it enjoys strong political and popular support, it can too easily be a meaningless mantra.  Placing a time limit on the commitment galvanises Government to plan ahead to ensure that the necessary resources are budgeted.  It forces a review of existing activities and structures and motivates the NGO community.  Ireland is on target to meet the target which will see our national development assistance programme increase four fold  by 2007. 

 

By 2003, Ireland will increase spending on ODA by 102 % over the level in 2000 to reach $469m  -  the largest ever increase in our national ODA budget. This rate of expansion is unprecedented for any donor.   It is also a major challenge to our capacity to manage the aid programme ands to preserve its high quality.

 

I am currently chairing a major review of our aid programme which is examining policies and management structures. This is  to ensure that our rapidly expanding programme will deliver results which reflect the investment.  Results which will have a real impact on the ground in countries which are struggling with extreme levels of poverty.

 

Between 2000 and 2001, we will have increased our funding to our LDC priority countries by 36 %. 

 

At the same time we are also strengthening our commitment to the UN Funds and Programmes most directly involved in fighting poverty.  Our allocations to UNDP, UNICEF and UNFPA will rise by $ 13.8m  in this period.

 

Our relationship with our NGOs, who have played a key role in promoting public understanding and support for ODA, and who are playing a crucial role in many of our developing country partners, will be strengthened both in terms of policy dialogue and funding.

Although not a creditor, we have already contributed $ 12.4m  to the HIPC Trust Fund and will contribute a further $ 5m this year. 

 

Mr. President,

 

The Third UN Conference on LDCs takes place in a world which has been shaped by globalisation. Trade liberalisation, massive increases in the flows of investment, the increasing interdependence of economies and rapid advances in information and communications technology have produced a world full of opportunity.  Opportunity for countries who have healthy and educated workforces. Opportunity for countries who have the capacity and infrastructure to attract investment and to trade.  Opportunity for those who have the expertise to protect their interests in international negotiations and to put in place the regulatory systems necessary for a modern economy.  Thankfully Ireland is such a counrty.

 

However, when a country is struggling to meet the basic needs of its citizens, when disease is killing its youth, when resources for investment in infrastructure and communications are meagre, when the international rules and regulations governing trade have been put in place by those who can muster the expertise to defend their interests, and when conflict, corruption and internal strife are diverting resources from development then globalisation’s promise will always be unfulfilled. 

 

Ireland does not want to extend ODA for ever.  We want to trade with the LDCs.  Our companies and financial institutions are constantly seeking profitable investment locations.  Our  LDC partners have huge human resources,  significant mineral and hydrocarbon assets,  untapped potential for a major expansion in agricultural trade, tremendous potential for tourism.  In short they can benefit from globalisation providing we work together to ensure that the foundation for sustainable development is in place and the international trade system works in their interest.

 

The EC’s Everything But Arms trade initiative is a first step in the direction of a more equitable international trade system.  It offers the prospect to LDCs of duty and quota free trade with the largest internal market in the world.  We must work to ensure that LDCs can now seize this opportunity by a real increase in the exports to the EU.  

 

I welcome the recent review of the Integrated Framework and the efforts which are being made to ensure that it delivers on its original promise of a coordinated response to the trade capacity needs of LDCs. The Integrated Framework Trust Fund should help take this work forward. Ireland will commit $300,000 to the Trust Fund.  I expect, however, that the Framework will now result in real progress on trade capacity building based on the needs assessments produced by the LDCs.

 

Ireland is also contributing $3.0m over five years to the Advisory Centre on WTO Law to help developing countries, particularly LDCs, avail of their legal rights under the WTO Agreements.

 

The HIPC process is providing debt relief to a large number of our LDC partners.  However, there are real questions to be answered as to whether HIPC will  deliver its promise of a sustainable exit from the debt  treadmill for the most heavily indebted poor countries.   Already it seems that economic projections were too optimistic and the level of debt relief in some cases will not result in a lowering of the burden to a sustainable level.

 

We have, in particular, to take the impact of HIV/AIDS into account when looking at debt repayments.  To my mind, there is a compelling case for further debt relief, cancellation if possible, in cases where levels of HIV/AIDS infection are posing huge new burdens on poor Governments.  This is an urgent issue on which we should all reflect with a view to considering a step forward at the UN Special Session on HIV/AIDS next month.

 

In many LDCs, political leaders face the daunting challenge of dealing with the budgetary impact of the spread of the disease while also facing demands from many national programmes dealing with poverty eradication.  Seeking to set funding priorities in a context where AIDS infection rates are in double digits is an impossible challenge.  It is here that the global partnership must act, funds must be provided and the funding must be channelled in a manner consistent with nationally and community owned strategies on the development of health systems.     It is also essential that the international funding is additional and not diverted from areas where it is being used in support of poverty reduction programmes.

 

Mr. President,

 

The decade since the last LDC Conference has not seen rapid progress in eliminating extreme poverty.  Marginalisation from world trade, unsustainable debt burdens, the rapid spread of HIV/AIDS, conflict and civil strife and a continuing decline  the level of donor support have frustrated our efforts.

 

I profoundly regret that in a decade which has seen huge economic growth and progress in much of the developed world that we could not have achieved more for the poor, particularly in sub Saharan Africa.

 

We must not wait another decade before meeting and evaluating our efforts.  The international community, through the UN system, must keep an unrelenting focus on our goal of halving the number living in extreme poverty by 2015.  In our interconnected and interdependent world, we have a common obligation to implement the right to development and to help those living in extreme poverty to live a life of dignity and respect.

 

Thank you.