We have the opportunity today to consider the problem of lack of resources, especially financial resources, for development.
There is no question that nations are responsible for their own development. We in the developing world must mobilize domestic financial resources for this purpose. At the same time, we must strive for good governance, fight corruption, and find creative ways to raise money to finance development. We must make use of available policy space to devise our own strategies for development.
But these are never enough. Hence, international cooperation is an imperative for development. Another pertinent point is the issue of global partnership for development. While we in fact, are strengthening our institutions for development through good governance, combating corruption, driving private sector growth, by no means should they be used as conditionalities. Hence, partnership should become a genuine and mutually beneficial relationship.
Financial flows for development must be generated through a meaningful international trade regime with strong development dimensions. It would also help if ODA, extension of credit and FDI could be attracted.
Considerable relief will come with compliance to the Monterey Consensus. We therefore strongly endorse the establishment of timetables for many developed countries to fulfill the commitment of 0.7 percent of their GNPs to official development assistance.
There is a real need for significant debt reduction or restructuring not only for the least developed countries but also for middle-income developing countries.
That is why we recommend the adoption of a debt swap mechanism that will enable developing countries to make use of resources that normally flow out to the creditor countries. Such a mechanism can greatly help developing countries attain their MDGs. We believe that the proposed measures merit our serious consideration.
The Outcome Document of the High-Level Plenary Meeting has not turned out to be a balanced document. Thus, it diminishes the capacity of developing countries to generate financial flows for development.
In this Document, so many conditionalities are imposed on developing countries before they qualify for financial flows for development. On the other hand, the obligations of developed countries are worded in the vaguest terms.
We welcome commitment to enhance the quality of aid, which is based on a recognition of the needs of the recipient countries.
The Document leaves out many issues relevant to international trade that developing countries have been regarding with keen anticipation. This omission renders the Doha Round of trade negotiations unfriendly to development.
While we, in developing countries, continue to hope and tirelessly work for improvement of this situation, we also recognize and appreciate efforts made by developed countries, particularly in the areas of development assistance and debt reduction. Indonesia is hopeful that this could serve as a solid foundation to foster a genuine and mutually beneficial partnership. But, if we are to beat poverty forever, we must always strive to do more individually and collectively.