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• Opening Ceremony- Commonwealth Finance Ministers Meeting

Opening Ceremony- Commonwealth Finance Ministers Meeting

Date: 15 Oct 2007
Speaker: Commonwealth Deputy Secretary-General, Ransford Smith
Location: Georgetown, Guyana

Your Excellency President Bharrat Jagdeo,The Hon. Samuel Hinds, Prime Minister, and Mrs Hinds, Hon. Ministers, Senior Finance Officials, and Distinguished Ladies and Gentlemen                                                                                          

It is a pleasure to be meeting here in Georgetown, Guyana.  All the more so as this is the first time that Commonwealth Finance Ministers are meeting in this country of rich diversity. Thank you Minister Ashni Singh for the warmth of your welcome.  I must also thank you and your team for the excellent hospitality and arrangements for the meeting. I am aware that His Excellency President Jagdeo has been unstinting in his support throughout, and we are deeply appreciative of this.

Secretary-General McKinnon sends warms greetings and his best wishes for a successful meeting.  He is currently in the Pacific attending the Pacific Forum Heads of Government meeting.

It is good to be in Guyana at a time when the country is looking forward to the future with increasing confidence. Guyana is now a post-Multilateral Debt Relief Initiative (MDRI) country, with stronger macroeconomic fundamentals. Progress has also been made to create the conditions for more stable and constructive politics.  The Commonwealth remains engaged in assisting the Guyanese Government and people build a more prosperous future.  We are very proud of our collaboration in areas such as the development of Guyana’s professional services, our work with the University of Guyana to develop it as a regional centre of excellence for legal drafters, our programme aimed at strengthening the capacity of the election management body, and assistance in the delimitation of Guyana’s maritime boundaries.  The Iwokrama Rain Forest project is yet another example of collaboration with the Commonwealth, and the wider international community, in the interest of sustainable development.

Guyana’s connections with the Commonwealth are deep and durable.  It provided our second Secretary-General, Sir Sridath Ramphal, who left a legacy that has contributed immensely to positioning the Commonwealth as a “trusted partner”, particularly for its poorest and most vulnerable members. 

Honourable Ministers, there is a full agenda for the next two days.  I believe that Commonwealth Ministers will be able, as always, to make a special contribution to discussion of the important issues to be addressed here, and at the IMF World Bank meetings in Washington in a few days time.  The strength of the Commonwealth resides in the breadth of circumstance and the diversity of experience that Commonwealth members can bring to promoting consensus on global issues.

The World Bank/IMF annual meetings this year have a special significance, with important issues relating to the roles of both institutions, and to the continuing call for a greater voice for developing member countries. 

In the last few years, the world economy has enjoyed an extraordinary period of growth. It is growth in which a significant number of developing countries in most regions have shared and which, as well, has been driven in large part by quite exceptional growth rates in a few large emerging market economies.

Yet, in Sub-Saharan Africa, despite strengthened growth in recent years, we still face the prospect that most countries in the region will fail to meet the majority of MDGs.  In another important Commonwealth constituency, the small states, growth performance has also lagged behind global trends for developing countries.  Thus, looking ahead, there is much to be done both nationally and internationally to ensure that the undoubted economic benefits of globalization reach all countries and all people.  

This is now an even more urgent imperative, given that it is evident that there are some clear risks ahead for the global economy. The persistence of major imbalances in the world economy, financial turbulence, high and volatile oil prices and the lack of progress in the Doha trade negotiations are matters of considerable concern.  For economic policy-makers in both advanced and developing countries in the Commonwealth, this is no time to be complacent.  We have to address a growing range of global and regional issues in an increasingly interconnected world economy. How do we tackle the disparities within and across countries?  How do we reduce the risks and mitigate the impact of climate change, communicable diseases, contagion of financial instability?

To address effectively all these issues and others, I believe we need, more than ever, strong multilateral institutions.  The role and voice of an association such as the Commonwealth becomes all the more important.

Global warming and climate change represent perhaps the single largest challenge to our collective future.  As we look for ways to reduce carbon emissions and mitigate the effects of climate change it is clear that Finance Ministers and global economic institutions have a key contribution to make.  So it is entirely appropriate to have this as our special theme this year. Commonwealth countries are already being affected by climate change and some of the world’s smallest and poorest states will be affected the most.  The world needs a post-Kyoto framework that is responsive, in particular to the needs and concerns of small and poor states.  I hope our deliberations will assist Commonwealth member states to better understand the economics of climate change and to take action. We will seek to help our member states share experiences, strengthen planning, and build relevant institutional capacity.  Indeed, the Commonwealth Secretariat is already taking steps to strengthen regional institutions charged with addressing climate change.

On debt there is continuing progress, but also remaining challenges, particularly in achieving debt relief in all eligible HIPC and MDRI countries, and in ensuring that debt relief is additional to other aid flows. We recall the contribution the Commonwealth has made, firstly in getting debt relief on the international agenda, and then helping to push for debt relief agreements. The HIPC Ministerial Forum, now renamed the Commonwealth Ministerial Debt Sustainability Forum, has played an important role and will continue to be valuable in addressing new and emerging issues.

Turning to aid, the progress to-date in implementing past aid commitments, including the doubling of aid to Sub-Saharan Africa by 2010, has been mixed.  Donor countries have much more to do to meet this pledge.  Also of great importance are aid modalities.  The Commonwealth stands ready to play its role in encouraging faster action at both the global and country level to implement the principles of the Paris Declaration on Aid Effectiveness.

One of the biggest disappointments this year is in trade, with little progress in the Doha talks. The Commonwealth urges all members to redouble their efforts to get the Doha Round on track.  In doing so, we underscore the importance of aid for trade to help poor countries take advantage of new opportunities.

Let me conclude by mentioning an important subject where the Commonwealth voice has been strong.  This is in representing the interests of small states.  We will continue to do so energetically.  Last years’ Review of the Commonwealth Secretariat/World Bank Joint Task Force Report on Small States provides us with a good agenda.  This includes recommendations on an outward oriented development strategy for small states in regards to areas such as investment climate, human resource development, regional cooperation, environmental and other resilience mechanisms and improving the quality of international assistance. The Commonwealth Secretariat has begun to act on these recommendations and I hope we can all – Secretariat, small and large member states, donors and aid recipients – commit to effective follow-up in this area.
 
Honourable Ministers, we look forward over the next few days to fruitful discussions and to meaningful outcomes on the issues under consideration.  The peoples of the Commonwealth deserve no less. 

I thank you.