SPEECH BY MS. HEIDEMARIE WIECZOREK-ZEUL

FEDERAL MINISTER FOR ECONOMIC COOPERATION AND DEVELOPMENT

at the

UNITED NATIONS GENERAL ASSEMBLY SPECIAL SESSION:

Geneva, June 27, 2000

Mr Chairman,
Distinguished Delegates,

I associate myself fully with the statement made by the Portuguese presidency. At the beginning of this century we should bring to life the positive vision of the "One World" foreseen by statesmen like Willy Brandt. However, a large part of mankind is still refused access to the globalizing world: it is true that the "global online society" is growing in exponential rates, but 88 % of the world's internet users live in the industrial countries, only 0.3 % in the poorest countries (of the world). The three richest men in the world dispose of an amount of wealth exceeding the income of 600 million people in the developing countries. And the worldwide imbalance in income distribution has continued to grow over the past years. The average annual per capita income between 1990 and 1998 was negative in 50 countries, with only one of them being an industrial country. The marginalisation of a part of mankind does not, however, only take place between the north and the south; the ruptures between the rich and the poor run within world regions and within countries themselves.

Among the most important challenges we face in the new century are these: "How can we prevent unregulated market forces from determining the world's destiny? How can we give globalisation a human face? How can we ensure that all countries in the world can in fact benefit from the opportunities offered by globalization?"

The challenges confronting us are similar to those which the sorcerer's apprentice had to master when he wanted to tame the spirits he had called forth. Only, globalisation is no magic and no natural occurence - we can give it shape! We have to take on responsibility.

In order to master this task we have to develop global rules and regulations which - in analogy to the formation of welfare states and the development of social market economies in the European countries in the 19t" and 20`" century - put the forces of the world market in their social and ecological place. To achieve this we need strong international institutions as the existing mechanisms do not suffice to regulate transnational developments.

One important contribution to shaping globalisation is the respect of human rights and the pursued social minimum standards. In 1998 the International Labour Organization - and, together with it, all its members - adopted the "Declaration on Fundamental Principles and Rights at Work". The German government is actively advocating adherence to these core labour standards. They include the right of freedom of association, the right to collective bargaining - i.e. free and unhindered work of trade unions - the elimination of all forms of forced or compulsory labour, the effective abolition of child labour and the elimination of discrimination in employment and jobs. The German government considers these core labour standards for a social shaping of globalisation to be of essential importance - they form an internationally recognised standard which must be a benchmark for all countries and for all enterprises. There is a growing understanding by the private sector that social dialogue is fostering economic growth.

Such a comprehensive set of rules and regulations valid for all world regions and all "global players" can be achieved only if we can balance the interests of the north and the south. The industrial countries must make concessions within a fair "package of solutions" and must make their own contribution to sustainable social development. They must enable fostering the developing countries` autonomous economic development and they must actively contribute to all parts of the world being able to draw benefits from world trade. Only in such a fair deal will we be able to anchor social minimum standards internationally.

An important step in this direction is to overcome blatent and latent protectionism. Currently, the poorest developing countries have a share of only 0.5 % in world trade. The recent report of the United Nations Development Programme on poverty shows that the industrial countries are spending some 350 billion US Dollar to seal off their agricultural sector. This is about seven times the amount which we industrial countries are spending for official development co-operation. Therefore, the German government endorses a further opening of the industrial countries' markets for products from developing countries; especially the poorest ones should get free access for essentially all goods. A liberalisation of agricultural markets alone would give the developing countries additional income of some 40 billion US Dollar a year. A current study of the WTO shows that trade liberalisation contributes to poverty reduction.

The reduction of protectionism will release such an enormous potential for development - we simply must use this opportunity. Moreover, the developing countries must be given active support in their development efforts. Development cooperation makes an important contribution to a more equitable design of global structures.

Another important contribution is HIPC, the debt relief initiative: Comprehensive debt relief measures have already been adopted for Uganda, Mozambique, Bolivia, Mauritania and Tanzania, involving a relief of more than 14 billion US Dollar for these countries and enabling more social development and poverty reduction. We expect debt relief decisions to be taken on another 15 countries by the end of 2000. More and more HIPC-countries furnish proof of good governance - not only in economic and financial terms, but also in social fields. Discussing their policies with NGOs is important for participatory civil society. It is also good to know that representatives of civil society are an integral part of the delegations of quite a number of countries participating in this Special Session - including my own country.

The HIPC-Initiative means an easing of the debt burden for millions of people, a burden which until now hampered their countries' endeavours towards development and peace. However, our initiative will be successful only if all countries contribute their share.

Germany supports the programme of action agreed upon at Copenhagen. Besides taking part in the important international processes of discussion we have become active by strengthening our commitment. We not only talk about the Programme of Action, we act: this year Germany will provide an additional amount of DM 108 million to back up basic social services in our partner countries. All in all, we can contribute DM 380 million in 2000 to relevant projects in developing countries, especially in the field of health to combat HIV/AIDS and basic education. Here, we are particularly interested in supporting girls and women. Women are still discriminated against in many ways. To support them, to give them access to education, is not only a necessity for reasons of gender equality and democracy; such action is the most important investment for developing countries, indeed for all our countries. Achieving the international development targets warrants a global antipoverty campaign and constant commitment by political leaders worldwide. Our government will actively contribute to such a campaign.

Only if we succeed to agree to act jointly to enable people everywhere to live a life free of fear and misery, a life in human dignity, a life which they can live in selfdetermination and not just suffer and bear - only then can we hope that the vision of the "One World" will come true during the present century. We must establish a new foundation for social justice and peace to all.

Thank you.