EU Presidency Statement - Poverty Eradication

Mr. Chairman,

I have the honor to take the floor on behalf of the European Union. The Acceding Countries, Cyprus, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, and Slovenia, align themselves with this statement.

The EU reaffirms that eradicating poverty is the greatest global challenge facing the world today. One-fifth of all humanity lives in extreme poverty. Combating poverty is thus a matter of equity and moral imperative. We are convinced that poverty reduction is a prerequisite sustainable development and greater security in the world as a whole.

The overarching framework for our concerted action is the Millennium Declaration, which set the clear goal of cutting in half the percentage of people living in extreme poverty and of people suffering from hunger by the year 2015. The commitment to poverty eradication as a means of promoting sustainable development has been reinforced by the outcomes of the international conferences and summits of the last decade as well as by the recent summits held in Doha, Monterrey, Rome and Johannesburg. Poverty eradication is thus a top priority for the action of the International Community.

The Secretary-General's report on the implementation of the first UN decade for the eradication of poverty and his report on the follow-up to the Millennium Declaration highlight a disturbing trend in the fight against poverty: while on a global scale there has been progress in reducing poverty, an analysis at the regional and sub-regional levels reveals a much more troubling situation. Differences clearly increase. Extreme poverty continues to afflict sub-Saharan Africa. In the 1990s there was also a tremendous setback in many countries of Eastern Europe, Central Asia, and Latin America. In the worst affected countries of sub-Saharan Africa the impact of the HIV/AIDS epidemic on poverty is becoming alarmingly acute bringing in its train food insecurity and loss of institutional capacity.

We must remember both the rural and the urban poor. In a rapidly urbanizing world, at least 1 billion people suffer from lack of basic facilities such as clean water and adequate sanitation. The EU is looking forward to examining the 3 closely related issues of water, sanitation and human settlements during CSD 12.

Three-quarters of the people living in extreme poverty are found in rural areas. Even with rapid urbanization, the Millennium Development Goals will clearly not be achieved without sustained economic growth and rapid progress in poverty reduction and increasing social and gender equality in rural areas. The Ministerial Declaration issued at the conclusion of the High-level Segment of the ECOSOC in Geneva last July calls upon the international community to continue to lend its support to the fight against rural poverty as a decisive step towards poverty eradication.

Mr. Chairman,

The fight against poverty cannot be won unless we take an integrated approach to sustainable development. The Millennium Declaration and the outcome of the various Summits and Conferences indicate that the best way to increase choices and opportunities for people living in poverty is to focus the attention, in a combined and integrated way, on areas such as food security, education, health, water, sanitation, environment, human resource development, rural, local and community development, human settlements and productive employment.

As underlined by the Secretary-General at the recent High Level General Assembly meeting on HIV/AIDS, accelerated efforts are required to reverse the devastating spread and impact of the HIV/AIDS pandemic. Global and national leadership, partnership and the availability of adequate resources are therefore essential to combat the HIV/AIDS pandemic.

Gender equality is crucial to achieving sustained growth and sustainable development. The EU is strongly committed to the promotion of gender equality and women's empowerment, and feels that a gender perspective must be mainstreamed in all development strategies and policies at the national and international levels as well as in all the activities of the United Nations.

Mr. Chairman,

Economic growth may not always be synonymous with poverty reduction. Experience shows that pro-poor policies in a framework characterized by good governance and prevention of conflicts are a prerequisite to achieving poverty eradication. Every effort to eradicate extreme poverty will be worthless unless it is coupled with a stronger commitment to building and strengthening democratic institutions, respect and promotion of human rights and the rule-of-law, and effective and equitable delivery of public services.

The primary responsibility for such policies rests with each and every country. Good governance at the national level is essential for poverty eradication and sustainable development. Solid democratic institutions responsive to the needs of the people, domestic stability, respect for human rights and the rule-of-law, gender equality and market-oriented policies should be the priorities of every country engaged in the fight against poverty. Domestic policies in the area of taxation, income redistribution, decent jobs and anti-corruption measures are equally important. They are mutually reinforcing factors that create a sound macroeconomic environment and an appropriate framework for investment and trade conducive to sustainable development.

In this connection, it is essential to note the increasing importance of national poverty reduction strategies, both in terms of providing national frameworks and roadmaps for poverty reduction, and for continued dialogue and harmonized global partnerships. Regional cooperation in the fight against poverty is an important complement to national efforts and an essential tool in combating poverty.

Mr. Chairman,

The EU, as top donor of development assistance and the single biggest investor in developing countries, is playing a leading role in responding to these challenges. The EU's efforts are grounded in the unwavering conviction that lasting prosperity requires mutually reinforcing strategies for stable economic growth, social development and environmental protection. The EU is pursuing such strategies at every level of its external policies as well as at the domestic level.

The eradication of extreme poverty, as stated in the Millennium Declaration, also demands a constructive partnership between developed and developing countries in the framework of the major international financial and economic institutions and between governments, local authorities, civil society organizations, and the private sector. Without proper assistance from the international community, developing countries, especially the least developed countries, will never escape the vicious cycle of poverty.

As the world's largest trading partner, the EU reaffirms its commitment to promoting international trade as an engine for development, increasing international financial and technical assistance for development, implementing sustainable debt financing and external debt relief, and enhancing the coherence and consistency of the international monetary, financial and trading system.

Mr. Chairman,

The Secretary-General's report calls our attention to the important role of microcredit as an anti-poverty tool. The EU welcomes the proclamation of the year 2005 as the international year of microcredit and is ready to pursue the goal of giving new impetus to microcredit programmes throughout the world. We welcome the positive effect that sound microfinance is having on the lives of poor people, improving their household incomes, increasing their assets and safeguarding them from vulnerabilities. Microfinance is also an effective tool to promote gender equality and to support the empowerment of women. We are deeply convinced that effective and equitable access to financial services can contribute successfully to lifting people out of poverty. We will therefore support the attainment of the objectives of the International Year of Microcredit.

Mr. Chairman,

In the face of this great challenge, the EU is opting for commitment and support. We remain convinced that the fight against poverty is a fight that can be won through the mighty instrument of enhancing international cooperation and partnership. With the MDGs the international community now has a clear and comprehensive framework for action to achieve poverty eradication. We all must now focus strongly on implementation!

Thank you.

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• EU Presidency Statement - UN Decade for the Eradication of Poverty (30/10/2002)