Statement by Deputy Minsiter Aziz Pahad
Senior Officials Meeting of the Ministrial Meeting of
the Co-ordinating Bureau in Preparation for the XIII
Summit, Durban 27 April 2002
Last year we celebrated the 40th anniversary of our
Movement. Today South Africans are celebrating the 8th
anniversary of our democracy.
It is therefore a great honour and privilege for South
Africa to host the Ministerial Meeting of the Co-ordinating
Bureau of the Non-Aligned Movement in preparation for
the XIII Summit on our Freedom Day.
The fact that we are meeting in Durban, South Africa
is a remarkable testimony to the reality that when NAM
is united and determined to achieve our objectives,
we can win, despite many challenges and opposition,
from powerful vested interests. Today SA is a democracy
because of the solidarity of NAM. The spirit of collective
self-reliance and relations of mutual co-operation which
played such an important role in destroying colonialism
and apartheid must drive us to meet the challenges of
This meeting is timely because we live in an era of
profound change characterised by globalisation. The
114 Member Countries of NAM representing two thirds
of the Worlds population can not be spectators
or victims as this process unfolds.
At the last Summit, our Heads of State pledged that
"Durban must mark the turning point where the formerly
dispossessed, the majority, enter into their inheritance".
We must honestly and frankly ask ourselves "have
we entered into our "inheritance" Sadly since
the summit, things have got worse and not better.
We are relentlessly moving from a world which once
was marked by governments with control over resources
to one where little wealth is common or public. We live
in a world where inequality of wealth and opportunities
are growing rapidly we. We are still faced with the
reality that :
Nearly 1,3 billion people do not have access to clean
water; one in seven children of primary school age is
out of school; an estimated 1.3 billion people live
on incomes of less than 1$ a day, half of the worlds
population are estimated to live below 2$ a day.
It is estimated that a mere 4% levy on the worlds
225 most richest people would enable us to provide adequate
food, safe water and sanitation, basic education, basic
health care and reproductive health care for all of
the developing countries.
The growing inequalities between countries is even more
stark one fifth of the worlds people living
in the highest-income countries have:
86% of the worlds GDP
the top fifth, controls 82% of the worlds export
OECD countries with 19% of the global population have
71% of the global trade in goods and services, 58% of
foreign direct investment and 91% of all Internet users.
Today monopolisation is taking place at an unprecedented
pace. Nobody is immune, not even the large multinational
companies. For example: of the Fortune 500 top companies
of 1980, 60% of them had disappeared by 1994 (either
bankrupt or merged with other companies).
The global bond market by 1999 had reached $34 trillion.
This exceeds not only the total capitalisation of the
worlds stock markets ($27.5 trillion in 1999)
but also the total GDP of all the worlds countries
($30.1 trillion in 1999).
The worlds foreign exchange markets was estimated to
be over $400 trillion in 1998, today it is much greater.
This phenomenal increase in monopolisation and the
enormity and volatility of the foreign exchange and
bond markets has a profound effect on all our economies.
The Report of the Bank for International Settlements
(1998) notes that:
"Inflows of International Capital (into the emerging
markets) in large part in the form of short-term bank
credit, rose from virtually zero in 1989 to a peak of
almost $170 billion in 1996, to be followed recently
by major outflows. Coping with these swings have been
The report of the ad-hoc Panel of Economists to the
Durban Summit noted that "the international agenda
is dominated by the concern of developed countries to
greater freedom for foreign investors and for capital
flows and the export of their goods and services recommended
that the South creates "institutional mechanisms
to deal with the task of global economic surveillance
and management". It further recommended that the
South Agenda must give serious attention to "measures
and mechanisms to control and moderate short term and
speculative international capital flows to reduce vulnerability
It also called for the establishment of new policies
and mechanisms for the Bretton Woods Institutions.
Your deliberations will be looking at what progress
we have made in implementing these and other recommendations
emanating from the XIIth Summit.
We are also experiencing a weakening of democracy and
politics. Power is much more diffuse than in the past,
and it is no longer exclusively concentrated in governments.
Non-state actors such as the Bretton Woods institutions,
financial institutions and monopolies have become increasingly
important, and interventionist.
The rampant neo-liberal paradigm equates market economics
with market societies. It gives little consideration
to concerns about sustainable development, representative
democracy, human rights, social justice, and the environment.
It sees globalisation as a de-regulated process that
is able to do anything anywhere in the world to maximise
Is it therefore not surprising that on the one hand
we are experiencing growing impoverishment of the South
while on the other hand we are also witnessing a growing
disparity between the rich and the poor in the North
which is giving rise to extreme right tendencies in
Europe and North America.
The voice of exponents of racism, neo-fascism, and the
"clash of civilisation" is growing stronger
and becoming more strident. This is a challenge we cannot
The historic Millenium Declaration, is the alternative
perspective that must guide our policies:
" We believe that the central challenge we face
today is to ensure that globalisation becomes a positive
force for all the worlds people. For while globalisation
offers great opportunities, at present its benefits
are very unevenly shared, while its costs are unevenly
distributed. We recognise that developing countries
and countries with economies in transition face special
difficulties in responding to this central challenge.
Only through broad and sustained efforts to create a
shared future, based upon our common humanity in all
its diversity, can globalisation be made fully inclusive
and equitable. These efforts must include policies and
measures, at the global level, which correspond to the
needs of developing countries and economies in transition,
and are formulated and implemented with their effective
At the 1998 Summit we agreed that the development agenda
of NAM must inform the development agenda of the international
community. We can be proud that through of the co-operation
of the South, we were able to ensure that the Millenium
Declaration captured much of the Souths developmental
Agenda. You will be discussing what we, together, can
do to ensure that the decisions are successfully implemented?
Chairperson, we seek to achieve our objectives in a
world which, since 11 September 2001, has to grapple
with the consequences of the terrorist attacks, in the
There is a growing debate, inter alia, about "unipolarity
and multi-polarity"; debates about "unilateralism"
the of "Global Coalition Against Terrorism",
"Axis Against Evil" debates about "humanitarian
intervention" and the division of the World into
one of "Either with us or against us".
We must not only note and analyse these developments
but we must seek to have a common response to them.
Notwithstanding the fundamental changes to international
relations, the global challenges affecting humanity
are precisely the same as those before 11 September
2001! If anything, these challenges have taken on a
new urgency. To defeat terrorism, we need a holistic
multi-lateralist approach in dealing with the root causes
These root causes, are, inter alia:
eradication of poverty, communicable and pandemic diseases
such as AIDS;
the negative consequences of globalisation;
racism, xenophobia and other forms of intolerance;
transnational crime and terrorism.
threats to global peace and security, conflicts generally
especially the current conflict in the Middle East.
We once again meet in Durban to articulate concerns
and positions of developing countries. Over the next
few days we will discuss these issues and seek solutions.
Today, we cant fail to mention that the conflict
in the Middle East constitutes a serious threat to International
Peace and Security. The events in Jennin and other occupied
Palestinian territories demands that the International
Community acts decisively.
Can we allow U.N. Security Resolutions to be flouted
with such impurity? Can we allow the scale of death
and destruction carried out by the Israeli Defence Force
Resolutions 1402 and 1403, and 1405, which countries
of the NAM strongly lobbied for and which calls for
the immediate withdrawal of Israeli troops from all
occupied Palestinian territory, must be implemented
Later today the NAM Committee on Palestine will be meeting.
We seek their urgent guidance on how to break the cycle
of violence and achieve a long-lasting and durable solution.
We will also voice our concerns about many other issues,
which still stand in the way of development. We must
therefore ensure that we are united in what we stand
for and what we want. The enormous challenges confronting
us demands that we translate our words into action.
Ten years ago at the Summit in Indonesia we concluded
that the changing world order demanded that on the basis
of a deep introspection and self-critical evaluation
we should embark on a renewal exercise; that we should
determine a common vision and that we should develop
a Programme of Action.
The Ministerial Committee on Methodology was mandated
rationalise the activities of NAM
to ensure better co-ordination of Working Groups
to ensure better co-ordination with the G-77 and G-15
to ensure a more equitable and mutually beneficial relations
with the G-8 and other groupings of the North.
You will discuss what progress, if any, we have made?
As we seek to answer this question, I wish to re-iterate
what we have said on so many NAM meetings.
The Movement must define and prioritise our agenda in
clear and practical terms, aiming for a new political
order in the 21st Century. More than ever it is of vital
importance that the developing world stands together
to bring equity and balance to the international political
and economic governance system.
We must commit ourselves to better the lives of the
vast majority of humankind who live in poverty and indignity;
we must promote the principles of democracy, good governance
and the rule of law; we must protect human rights, we
must advance sustainable development and strive for
peace and security for all.
These values underpin the rationale for the existence
of our Movement. We dont need pious lecturing
on these issues. Also how do we respond to the increasing
conditionalities being imposed on us re ODA assistance
and other forms of co-operation?
It is in the interests of all to join hands in true
solidarity to realise the vision of a prosperous, just
and peaceful world, the very same vision that inspired
the birth of the United Nations and our Movement. In
this context the United Nations system, NAM and the
G-77 remains the platform from which we should advance
our goal for a fair and equitable world order. Consequently
a top priority of the Movement should be to democratise
the United Nations system, and carry out the Mandate
of the Jakarta, Cartagena and Durban Summits dealing
with methodology and institutional reform.
The Millenium Summit, the WTO Conference in Doha, the
Finance for Development Conference in Monterey (Canada)
and the World Summit on Sustainable Development to be
held in Johannesburg later this year, must enable us
to arrive at a comprehensive, frank review of the development
agenda of the past ten years and reinvigorate, at the
highest political level, the global commitment to Sustainable
Development. The countries of the NAM must, at this
forum, play a pivotal role in achieving our objectives.
At the beginning I spoke generally about the uneven
benefits of globalisation and its disastrous impact
on countries of the South. Nowhere else is this reality
more stark than on the African Continent.
In the 1998 Summit President Pastrana Arango
"A new Africa is being born
. It is an Africa
in where hunger and disease, drought and illiteracy,
poverty and conflict still persist
. It is a continent
which needs the openhanded and massive co-operation
of the entire community of nations"
Lets look at some facts :
The number of Africas poor have grown relentlessly
and Africas share of the worlds absolute
poor increased from 25% to 30% in the 1990s;
Africas share of world trade has plummeted since
It now accounts for less than 2% of world .
The OECD countries, which have an agricultural subsidy
of $360 billion, a year, makes it impossible for Africa,
indeed the Souths agricultural producers to compete
with such protectionist policies.
Africa is the only region to see investments and savings
decline after 1970. The Savings rate in many African
countries are the lowest in the world.
In 1997 Africas debt was estimated to be $159
billion and by 1999 this increased to 201 billion dollars.
We are faced with the reality that outstanding external
debts in many African countries exceed the entire GDP,
and service requirements exceed 25% of total export
Overseas development assistance has dropped more than
one fifth in real terms since 1992.
Many countries have taken steps to create a climate
conducive to direct foreign investment. They have either
through structural adjustment programmes or as country
programmes put in place trade liberalisation policies;
the strengthening of the rule of law; improvements in
legal and other instruments; greater investment in infrastructure
development, privatisation, greater accountability and
transparency, greater degree of financial and budgetary
discipline and the creation and consolidation of multi-party
democracies. However foreign direct investment has not
flowed sufficiently to Africa.
Diseases such as HIV/Aids, Malaria, and Tuberculosis
are also causing major problems for our countries.
Electrical power consumption per person in Africa is
the lowest in the world; Tokyo has more telephones than
the whole of Africa; less than half of 1% of all Africans
have used the internet.
Given this stark reality African leaders have concluded
that we need to "fundamentally change or die".
To meet this challenge the African continent is promoting
a New Partnership for Africas Development (NEPAD).
This partnership aims to extricate the continent from
the malaise of under-development and exclusion in a
globalising world. This is an African Programme, devised
by Africans for tackling the challenges of African underdevelopment.
It is an ambitious programme and we have no illusions
about the tremendous difficulties we will face to achieve
its objectives. We dont see it as an event but
as a process.
NEPAD endeavours to implement the development goals
of the South, within the spirit of South-South co-operation.
For millions of our people NEPAD will be the Lithmus
test to determine whether south-south co-operation is
being forged in concrete programmes of action. It offers
tremendous opportunities for the South-South platform
at governmental level, at the private sector level,
and at the levels of civil society generally.
It is our believe that NAM is motivated by the reality
that "If a free society cannot help the many that
are poor, it cannot save the few who are rich"
and that "Development that perpetuates todays
inequalities is neither sustainable, or worth sustaining"
Together in unity and partnership, let us ensure that
we give content to the Durban Declaration "NAM,
so representative of the Majority with such abundance
in commodities and bio-physical diversity - has a central
role to play in regulating the advance of humanity.
Through concrete action we must ensure that we have
reached the turning point where the formerly dispossessed,
the majority enter into their inheritance.
I wish you success in your deliberations.