EU Presidency Statement - Towards global partnerships

I have the honor to speak on behalf of the European Union. This statement is endorsed by the Central and Eastern European countries associated with the European Union (Bulgaria, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia, Slovenia), the other associated countries (Cyprus, Malta, Turkey), as well as Iceland and Norway, EFTA countries, members of the EEA, endorse this statement.

Mr. Chairman,

(1) The EU attaches particular importance to the current debate on global partnerships with civil society, in particular the private sector. It is already clear that without active participation from all those involved in the globalization process, governmental and non-governmental, it will not be possible to meet the 2015 target for the sustainable development goals set since the major Conferences on the subject and more recently in the Millennium Declaration. The private sector has the technological, industrial and financial strength to influence this world; sometimes its strength far surpasses the capabilities of nation States. As stated in the Secretary-General's report, direct foreign investment in developing countries rose from 43 billion dollars in 1991 to 240 billion in 2000. This shows clearly enough that public financing alone will never be able to make the whole difference in 2015.

Mr. Chairman,

(2) Fortunately, the question of global partnerships is not confined to development financing. The EU believes that in order to achieve the aims set out in the UN Charter, in particular "solving international problems of an economic, social, cultural or humanitarian character" and "promoting and encouraging respect for human rights and for fundamental freedoms", it is essential to enhance cooperation not only between member countries but also between the UN organization and the private sector, which is closely involved in all these issues. The EU would therefore argue for partnerships to be understood in the widest sense, not just in terms of mobilizing additional resources. Financing issues will take center stage at the International Conference on Financing for Development next year in Monterrey.

(Advantages)

(3) The EU sees partnerships with the private sector as a way of exercising a leverage effect on international action by the public sector. The advantage most often quoted is the ability to mobilize, assemble and pool the different expertise, capabilities and resources, which each sector has to offer. Some multinational corporations or large foundations have the power to make an enormous contribution in terms of resources. The EU welcomes the fact that innovative forms of partnership, such as the Global Alliance for Vaccines and Immunization (GAVI) are becoming more and more important in the UN's operational activities. GAVI is a good example of a coalition of governments, United Nations bodies, philanthropic foundations like the Bill and Melinda Gates Foundation and the Rockefeller Foundation, the pharmaceuticals industry, public health institutes and research centers.

(4) Partnerships give the UN the ability to increase public awareness and to reach out to a larger audience, because corporations and chief executives will be defending its values, objectives and activities. This is another advantage of partnerships. They can also help to test out new methods of programme implementation, of governance, of formulating standards in the fields of human rights, environment and labor.

(5) In this context, the Global Compact is an excellent example of successful cooperation between the UN and the private sector; in particular, it establishes that corporations bear a social responsibility based on the fundamental values of the United Nations. The Global Compact offers the private sector the ability to take part in actual partnerships with the United Nations system, in particular to benefit developing countries.

(6) It has been observed in some quarters that partnerships between the UN and the private sector must inevitably bring together those with very different interests and motives, with different resources and expertise, and expecting different outcomes and benefits. These differences are not necessarily obstacles to reaching agreement on common objectives: the EU believes that, despite everything, it is these differences, which will enrich the process of seeking common solutions to problems.

(Challenges)

(7) The EU has some understanding for the concerns expressed in certain quarters about partnerships with the private sector and the risk that the pursuit of profit and the promotion of private individual advantage might take precedence over the public good. In that case, the EU considers that partnership must not compromise the UN's independence and prevent it from defending the general interest and acting accordingly. But it is clear that the primary motivation of the private sector will remain profit. This is not incompatible with the universal values defended by the UN. By respecting certain universal values such as human rights, labor standards and environmental protection, the private sector can enhance its image, boosting its credibility in the eyes of its customers and thus, in the long term, its profits.

(8) Another misunderstanding, which should be cleared up, is the impression that the United Nations system is working only with Western multinational corporations and not paying enough attention to establishing partnerships with undertakings and trade associations from the developing countries. We should like the UN to expand its partnerships to include more undertakings from the developing countries. The EU will be promoting participation in partnerships by the private sector of the developing countries, if necessary through capacity-building projects.

(Managing partnerships as well as possible)

Mr. Chairman,

(9) Partnerships must correspond to joint commitments entered into by partners in a spirit of mutual respect and in the pursuit of common objectives. The EU believes that when the UN draws up the detailed arrangements governing partnerships with the private, it should retain the full measure of flexibility necessitated by the mission of such partnerships. At the meeting of the Economic and Social Council fund in July 2001, the Member States urged the UN to continue and step up its efforts to ensure that the principles and ways and means governing partnership agreements were based on firm foundations, but without imposing any rigidity. The flexibility and innovation required to cooperate with the business world and to carry out the different mandates and activities of United Nations bodies might well suffer from an over-centralized, institutionalized approach. The EU believes it would be wrong to set too formal a framework and risk discouraging the most generous or innovative initiatives from the private sector. The UN system must be open-minded towards private-sector operators. For example, it is not desirable to make the accreditation process too strict. The procedure should remain flexible and open.

Mr. Chairman,

(10) We hope to continue this fundamental debate with our partners on this agenda item for the 56th General Assembly, in the hope of reaching useful conclusions without lingering too long over questions of principle or doctrine but trying, above all, to work out "good practice" which will lead to partnership strategies with the best chance of success. The EU wants to table a draft Resolution which it will open to informal negotiation and also to co-authors. It hopes to gain maximum support in order that the Resolution can achieve the broadest possible consensus within our august gathering.

Thank you, Mr. Chairman.

| Top |