Statement by Ms.P. Narangua,
Deputy Permanent Representative of Mongolia
to the
United Nations on agenda item 97 (a)
High-level international intergovernmental consideration

of financing for development
New York, 1 November 1999
 

Mr. Chairman,

 At the outset, allow me to express our appreciation to the Ad Hoc Open-ended Working Group of the General Assembly for its report on Financing for Development.

My delegation wishes to associate itself with the statement made by the distinguished Representative of Guyana on behalf of the Group of 77 and China.
 

Mr. Chairman,

In our view, the Working Group has been successfully fulfilling its task mandated by the resolution 53/183, formulating a report containing recommendations on the scope, agenda and form of the final event to be held in the year 2001. Moreover, it has generated the ideas for further discussion.

 We all agree on the primary role of domestic resources for development and that each developing country should take responsibility to  make maximum use of domestic financial potential. But at the same time, it is impossible for many countries to address the new challenges presented by globalization  as well as to tackle the question of development without taking into account the international environment and external financial support.
 
My delegation calls upon our developed partners to honor the agreed ODA targets as well as commitments for new and additional resources.

It also reaffirms the importance of implementing the HIPC Initiative framework and welcomes the continuing progress in the implementation of the Initiative. My delegation agrees with the view, that financing of debt relief should not compromise the financing made available through other concessional windows.

My delegation is of the view that the development cooperation should include not only assistance and debt management, but also trade, foreign direct investment and other private flows, access to technology and many other areas. These are all closely interlinked and complementary issues. Besides, I would like to stress the importance of a balanced approach linking macroeconomic and financial parameters with the human, structural and social aspects.
 

Mr. Chairman,

The situation of LLDCs continue to require more financial resources for their development, especially in developing transit transport infrastructure. For these countries trade is one of the most important instruments of growth and development. However, LLDCs spend twice more of their export earnings for the payment of transport and insurance services than developing countries in average. We need cost effective and efficient transport system. As I have underlined in my previous statements, solving the needs and problems of this group of countries would benefit not only the LLDCs themselves, but also other countries and international trade in general. In this regard, my delegation attaches great importance to the  draft resolution on specific actions related to the particular needs and problems of LLDCs to be adopted at this session.
 

Mr. Chairman,

Governments and international bodies are now thinking of a new international financial architecture that can enhance the stability of global financial flows. In our view, the reform should focus on developing financial standards and codes of good practice, seeking greater cooperation in the financial sector supervision, improving emergency assistance and the role of foreign private investors and creditors as well as developing early warning systems. It also should aim to reduce uncertainty about countries and financial markets through greater transparency and more complete and quicker provision of relevant information.

We need to better co-ordinate the functions of existing multilateral organizations, bring together the key international institutions and national authorities involved in financial sector stability and to cooperate on policies to reduce systemic risk. Discussions on international financial architecture should go forward not only within the IMF and other multilateral organizations, but also outside official circles, in academia, among concerned NGOs and in the press.
 

Mr. Chairman,

My delegation expresses the hope that the General Assembly will take appropriate decisions to further financing for development. It is important to involve in this process all relevant international institutions and agencies, as well as the private sector and civil society.

 In order to ensure success of the international event in 2001 and its effective implementation, it is also necessary to display political will of  states.

In conclusion, I would like to emphasize that as the existing problems in our world will not be easily solved and new problems will appear, financing for development will be a long lasting process. Therefore, we cannot wish away by having one event and forget about it. This subject needs to be kept alive and promoted.

Thank you.