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Kathmandu Saturday February 16, 2002 Falgun 04, 2058.
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Globalisation on trial
By KOFI ANNAN
Many people have asked me why I agreed to attend
the World Economic Forum this year. Some people even seem to think that, by doing so, I
aligned myself with the glitterati and the global elite, turning my back on the
downtrodden masses who - in these people’s eyes-are the victims of globalisation.
If anything, the opposite is true. I saw the
Forum as an opportunity to address that global elite on behalf of those downtrodden
masses: on behalf, especially, of well over a billion people in today’s world who are
living without enough food to eat, without safe water to drink, without primary schooling
or healthcare for their children-in short, without the most basic requirements of human
dignity.
Personally, I do not believe that those people
are victims of globalisation. Their problem is not that they are included in the global
market but, in most cases, that they are excluded from it.
But it is up to the global elite-to business and
political leaders from the more fortunate countries--to prove that perception wrong, with
actions that translate into concrete results for the downtrodden, exploited and excluded.
It is not enough to say-though it is true that
without business the poor would have no hope of escaping their poverty . Too many of them
have no hope as it is. They need to be shown, by tangible examples making a difference to
their own lives, that economics, properly applied, and profits, wisely invested, can bring
social benefits within reach not only for the few but for the many, and eventually for
all.
Many business leaders still think these are
problems for governments to solve, and that business should concern itself only with the
bottom line. But most of them understand that in the long run the bottom line depends on
economic and social conditions, as well as political stability. And increasing numbers are
realising that they do not have to
wait for governments to do the right thing-indeed, that they cannot afford to. In many
cases, governments only find the courage and resources to do the right thing when business
takes the lead.
Sometimes companies can make a massive
difference with really small investments. Take the case of the world’s salt
manufacturers. Working with the United Nations, they have made sure that all salt
manufactured for human consumption contains iodine.
The result is that every year, more than 90
million newborn children are protected against iodine deficiency, and thus against a major
cause of mental retardation.
We need many more examples like that-- examples
of companies helping to mobilise global science and technology to tackle the interlocking
crises of hunger, disease, environmental degradation and conflict that are holding back
the developing world. It is true that, for most such initiatives to succeed, business
needs enlightened partners in government. But it need not wait passively for them to
appear. In many countries, the voice of business leaders plays a very important role in
moulding the climate of opinion in which governments take their decisions.
Indeed, no one is better placed than business
leaders to refute the arguments of protectionists and penny-pinchers. They are the ones
who can make the most persuasive case for opening the markets of rich countries to
labour-intensive products from poor ones, and for an end to the farm export subsidies
which make it impossible for farmers in poor countries to compete.
And they are the ones who, as leading taxpayers,
can argue most persuasively for debt relief and official assistance to developing
countries, as well as a chance for those countries to make their voice heard when
decisions affecting the world economy are being discussed.
All those things are essential if today’s
poor countries are to grow and prosper. Of course they need to get their own houses in
order, so that they can mobilise domestic resources, and attract and benefit from private
foreign investment. But they must be given a fair chance to export their products, and
many of them need financial and technical help --to build up their infrastructure and
capacities-before they can take advantage of market opportunities. Even when a door is
opened, you cannot walk through it without leg muscles.
Next month, at the Monetary Conference on
Financing for Development, both political and business leaders will have the chance to
show, by tackling these issues seriously, that they intend to make sure globalisation
offers the poor a real chance to escape from poverty.
They can strike a truly decisive blow against
the forces of envy, despair and terror, by sending out a clear message of solidarity,
respect and above all-hope.
(The author is Secretary-General of the
United Nations)
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