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President of the Trade and Development Board Ambassador Federico Villegas,
Deputy Secretary-General of UNCTAD Isabelle Durant,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

1. I have the honour to deliver this statement on behalf of the Group of 77 and China to introduce the position paper of the Group for UNCTAD 15, which was adopted at the ambassadorial meeting of the Group of 14 October 2020.

Mr. President,

2. In the discussion of our Group to prepare our position paper, it was clear that the world is at a crossroads. We are faced with a pandemic that is making a comeback in the form of a second wave in many corners of the world, generating increasing negative impacts affecting most of all the most vulnerable, and wiping development gains painfully achieved over years. It is a crossroads as we could follow several paths from here. One possibility is to stand together in solidarity and reinforce the multilateral system we have, to build back better together. Another possibility is to retrench into protectionism, closing borders and acting alone, hoping to isolate oneself from a crisis that is global in nature. The choice is clear to us.

Mr. President,

3. The Group of 77 and China sees UNCTAD 15 as an opportunity to express its political will to work together towards a new multilateralism, characterized by solidarity and a new way of thinking about development. This is the reason why we have made the Multilateral economic and trading system the first subtheme of our position paper. Under this subtheme we have explored issues related to the challenges to multilateralism in light of recent unilateral trends in the areas of international trade, of governance structures, of climate change, and others. We explore more specifically the ongoing trade tensions and its consequences, as well as issues related to unilateral coercive measures and other forms of unilateral actions. With this area of focus, the Group of 77 and China wishes to reaffirm its commitment to multilateralism and the need to build back better together, providing global and coordinated solutions for a global crisis.

4. Further along, the next subtheme of our position paper for UNCTAD 15 is Structural Transformation: building economic resilience to address persistent and emerging development challenges. In this part, the Group explores the challenges and possible ways to address the need for developing countries; to fundamentally transform our economies to build economic structures that can sustain development and help achieve development objectives. Some of the more specific issues explored under this subtheme include economic resilience and diversification, overcoming commodity dependence, ensuring that investment contributes to development, LDC graduation, the role of SMEs and the creative economy, regional integration and industrialization, among others. Emerging development challenges, such as those related to the interface of trade and development, on one hand, and various challenges linked to health, notably the ongoing pandemic, as well as peace and security, and migrant and refugee flows, on the other hand, are also an integral part of this subtheme, as are the development challenges faced by the Palestinian people in light of the continued occupation of Palestinian territories.

5. The Group of 77 and China is also conscious of the need to not lose track of global challenges linked to the environment and other related vulnerabilities, and has therefore integrated these into a subtheme Climate Change, Natural Disasters and Environmental Vulnerability and their Impacts on Trade and Development. Under this subtheme, the challenges posed by climate change are considered, particularly acknowledging the cross-cutting link of climate change to all 17 SDGs and the fundamental relationship to align economic development and trade policies to the challenges of climate change. The Group has also tackled under this subtheme issues linked to disasters, including industrial disasters, as well as maritime accidents, in particular given some recent high-profile tragic events that touched some of the members of our Group.

Mr. President,

6. As it has been clear for some time, the digitalization of our economies is a fact that we need to live with and accept. The Group of 77 and China explores this reality under the subtheme Development implications of the digital economy and the Fourth Industrial Revolution. Indeed, the challenges are many, including to the survival of microenterprises and SMEs and to the structure of our economies and on competition and consumer protection. At the same time, the opportunities are the other side of the equation, as growth areas for microenterprises and SMEs emerge, as has become evident during the ongoing pandemic. More importantly, the advent of rapid technological change and frontier technologies is a reality that we need to better understand and harness rather than just reacting to it, as our position paper acknowledges.

7. Last but not least, the Group of 77 and China also acknowledges that, more than ever, a serious discussion of development cannot take place without a careful consideration of the resources needed. The last subtheme of our position paper therefore deals with Financing for development and debt issues. In particular, our Group explores in this part issues related to Official Development Assistance and FDI, but also dynamic that have a great impact on the resources available to developing countries, for instance illicit financial flows and illicit trade and most notably, issues related to debt sustainability, in particular as it has been affected by the ongoing pandemic.

Mr. President,

8. In addition to these subthemes, the Group of 77 and China believes there is a need to put UNCTAD in its rightful place in the development architecture we want, by reinforcing its intergovernmental machinery and our role within it. UNCTAD 15 should therefore serve as an opportunity to take meaningful steps in this direction, for which we have included some concrete proposals in our position paper.

Mr. President,

9. The Group of 77 and China has, through its position paper for UNCTAD 15, captured what we see as the main development questions that we currently face, in a spirit of solidarity and of leaving no one behind. We believe that UNCTAD 15 is an opportunity to have a strong message as international community on these matters, reaffirming our conviction that constructive engagement at the multilateral level is the way forward. We must not fail to deliver that message in the strongest terms.

I thank you, Mr. President.

President of the Trade and Development Board Ambassador Federico Villegas,
Secretary-General of UNCTAD Mukhisa Kituyi,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

1. I have the honour to deliver this statement on behalf of the Group of 77 and China.

2. At the outset, the Group would like to express its satisfaction with the tangible steps taken towards UNCTAD 15, including the expected approval of the provisional agenda later this afternoon. It is remarkable that the theme of the conference, which represents the core of the provisional agenda that we will approve, resounds so meaningfully today. This is despite the fact that we approved the theme before the wave of the pandemic struck us. We believe that this reflects that we collectively have the wisdom and foresight to engage meaningfully and proactively for mutual benefit, notwithstanding the many challenges that we face today. This is a historical reality embedded in the principles of UNCTAD.

Mr. President,

3. In 1964 the international community came together in Geneva for UNCTAD I with the aspiration of accelerating progress towards a better and fairer world. The wave of decolonization had given rise to many new countries with rightful expectations of development and self-determination. They faced a world of rapid change, of confrontation, and looming existential threats. While much has changed since then, it is evident that some things have not.

4. Many developing countries continue to face many of the same development challenges on the agenda of UNCTAD I. And we continue to face existential threats that are – at least for the time being – preventable. Most poignant for someone looking at us from the perspective of UNCTAD I, many of us still share the imperative for a new international order.

5. Today, with the experience and expectations of more than half a century, we recognize the need for a system with the imperatives of development at its core, as well as the necessary instruments and mechanisms to allow us to work in solidarity to rebuild from the pandemic. At UNCTAD 15, we have the opportunity to move one step closer towards that through a quadrennial conference of perhaps unprecedented impact. Conscious of this, and in recognition of our common responsibility, we should be seized with the sense of history already written, and history yet to be made.

Mr. President,

6. The Group of 77 and China takes this responsibility very seriously. We have been hard at work since the beginning of this year on a position paper that represents our expectations and aspirations for the future, and how UNCTAD can move us closer to their realization. We have continued to update our position paper to take into account the rapidly evolving global situation, in addition to articulating our views on issues such as the threats to multilateralism, emerging challenges such as the current pandemic, the need to foster structural transformation, overcoming environmental vulnerability, the challenges of the Fourth Industrial Revolution, mobilizing financing for development and overcoming debt vulnerability.

7. When we table our paper, we will also articulate our vision of the role that UNCTAD can play in the pursuit of these objectives. We are conscious of the work that remains to realize the Nairobi Maafikiano’s mandate to revitalize the intergovernmental machinery. It is unfortunate that business as usual after UNCTAD 14 did not allow us to fully advance as we expected at Nairobi. We hope that the imperatives arising from the pandemic will give greater impetus to revitalizing our intergovernmental machinery. This would include ensuring that we once more have agreed negotiated outcomes that correspond with the breadth and depth of the secretariat’s substantive work and the corresponding agenda that we have set for the Board and its subsidiary bodies. Only in this way will we be able to credibly claim to have a meaningful consensus-building pillar in UNCTAD.

8. We therefore believe that our contribution to the substantive preparatory process will enable the President to prepare a negotiating text that balances the substance that forms the traditional core of the negotiated outcome, with specific ways and means of strengthening the intergovernmental machinery. The logic is simple: in Nairobi we moved from decisions to action. At UNCTAD 15, we should progress from action to results. I should recall here what we said at Nairobi: when we speak of UNCTAD we do not refer to the secretariat alone, but to all of us. It is therefore crucial to remember that when we speak of action and results, we inherently speak also of member states.

9. We consequently look forward to the contributions from other groups, as well as the Report of the Secretary-General to UNCTAD 15. These intellectual inputs will allow us to have a more inclusive process to complement the negotiations. Indeed, allow me to stress that the Group of 77 and China is committed to engaging with all our partners in an inclusive and mutually respectful way to ensure a robust and meaningful outcome for UNCTAD 15. I am confident that this will be reciprocated. We believe that the historic adoption of the terms-of-reference of the Working Party later this week will be a testament to this, the positive engagement that is possible among all member States in UNCTAD.

Mr. President.

10. To be consistent with this spirit of enfranchisement and inclusion, we need to look beyond this Palais des Nations. We therefore embrace your initiative, Mr. President, of engaging the membership and all stakeholders in development through UNCTAD 15 pre-events in the form of webinars and other virtual meetings. This is an excellent start, but we must also be sensitive to the realities of the emerging new normal.

11. This requires bridging the gap between the virtual and the physical. We have learned much since the pandemic began, and we have significantly advanced in the sophistication of virtual events. Yet the core business of diplomacy continues to require human interaction. Lest we be distracted by temporary expedients that may appear to be long-term solutions, the new reality requires us to focus on the central elements of our quadrennial conference.

12. One of these central elements is the political significance and importance of the conference. We need to ensure that UNCTAD 15 will have the substance and gravitas to ensure ministerial-level attendance and participation. The other core element is the full and meaningful participation of developing countries. Given the very real digital divide, this means that UNCTAD 15 must be a physical conference. Anything else would not only marginalize developing countries – worse, we run the risk of disenfranchising the most vulnerable among us. This is something that we should also always have at the forefront of our thinking as we continue to adjust the work of the intergovernmental machinery including the Prepcom.

13. For these reasons, the Group of 77 and China admires and fully supports the continued commitment of Barbados to hold UNCTAD 15 in Bridgetown. The Group is confident that Barbados and the Secretariat will continue to assess the situation regularly and make the necessary arrangements and adjustments for a successful and safe conference.

Mr. President.

14. The stakes for a historic UNCTAD conference have perhaps never been higher. Today we are faced with important challenges that will define our generation and define the future of another. History will judge whether our generation was up to the task of passing on a better world to our children. This judgement will be very real: the future of our children and succeeding generations is literally at stake. We therefore need to think big and deliver bigger. For the Group of 77 and China, there is no alternative. Our people, the vast majority of humanity, are depending on us. I hope that our partners will join us in this effort because the simple truth is that all of humanity is counting on us.

I thank you, Mr. President.

President of the Trade and Development Board Ambassador Federico Villegas,
Deputy Secretary-General, Ms. Isabelle Durant,
Distinguished delegates,
Ladies and gentlemen,

First and foremost, I wish to thank the Prime Minister of the State of Palestine, His Excellency Mr. Mohammad Shtayyeh, for his remarks. The Group of 77 and China would like to express its appreciation to UNCTAD for its work on assistance to the Palestinian People, and in particular for this informative report about the economic conditions in the occupied Palestinian territory (OPT), which highlights the severe consequences of the prolonged occupation on the Palestinian people, on their living conditions, on the environment, and on their opportunities for development.

The report also sheds light on the fiscal and economic implications of the prolonged occupation, linking the consequences of this loss of revenue to occupation to the additional spending and lower revenues caused by Covid-19 pandemic and the observed decline in donor support. The combination of these factors resulted in the inability of the Palestinian Government to meet its obligations to public sector employees, private sector contractors and poor households.

Mr. President,

The Group of 77 and China would like to express its deep concern about the finances of the Palestinian government which are on a freefall due to the leakage of Palestinian fiscal resources, amplified by the Israeli unilateral deductions from Palestinian fiscal revenues of 144 million dollars per year. This comes on top of the leakage of 18 per cent of Palestinian fiscal revenues to the occupying power as documented by UNCTAD.

As a result of the deductions, the Palestinian government paid partial salaries, public employees receive only half of their salaries, while accumulating arrears to the private sector and increasing its debt to commercial banks. Compounded with declining donor support, this fiscal shock will have severe socioeconomic consequences that will accelerate the ongoing deterioration in the OPT.

The Group of 77 and China thus concurs with UNCTAD’s report that stemming the leakage of Palestinian fiscal resources is a binding condition for fiscal sustainability and the achievement of Agenda 2030 in the OPT.

The Group 77 and China is concerned about the current economic and social trends in the OPT. The Group takes note of the fact that the economic performance in the OPT, before the onset of the COVID-19 pandemic, was already weak and the overall environment was unfavorable due to the occupation and the resulting restrictions and measures. The Group thus concurs with UNCTAD when it affirms that the occupation remains the main obstacle for socioeconomic development in the OPT.

Mr. President,

UNCTAD’s reports bring to the attention of the international community the demolition of Palestinian assets and structures in the West Bank. These demolitions displace hundreds of people every year and destroy communities and family life. Moreover, it is regrettable that settlements continue to expand. By the end of 2018, there were 150 settlements and 128 outposts. According to Security Council Resolutions 2334 (23 Dec. 2016) and 476 (30 June 1980), these settlements have no legal validity and constitute a flagrant violation of international law.

To expand settlements, Israel makes it impossible for Palestinians to obtain building permits for residential and other purposes. Palestinians are forced to build without permits at the risk of punitive demolition at their own expense. The Group of 77 and China takes note with concern that in 2019 Israel demolished or seized 622 Palestinian structures in the West Bank, including 127 intended for humanitarian assistance.

The Group of 77 and China notes the de facto annexation of parts of the West Bank and further concurs with UNCTAD in considering that this will constitute a severe obstacle to a two-State solution as called for by several United Nations resolutions.

Furthermore, the Group takes note of UNCTAD’s assessment that the Palestinian government lacks the policy space and is ill-equipped to cope with the extensive economic ramifications of the COVID-19 pandemic, and therefore joins the call for the international community to redouble its support for the Palestinian people in the aftermath of the pandemic. In 2008 donor support to the Palestinian budget amounted to 32 percent of GDP, but falling to 3.5 percent of GDP in 2019, while it is forecasted to fall even further in 2020. The international community has the responsibility to reverse the negative trend in donor support to the Palestinian people especially in the wake of the pandemic. In this connection, the Group commends UNCTAD for its continued technical support for the Palestinian people, government and other institutions through various initiatives, advisory services, expertise and overall technical assistance.

Once again, the Group of 77 and China would like to encourage development partners to extend additional resources to UNCTAD’s Programme on Assistance to the Palestinian People so that it can fulfil its mandates derived from paragraph 55(dd) of the Nairobi Maafikiano, as well as paragraph 9 of United Nations General Assembly resolutions 69/20, 70/12, 71/20, 72/13, 73/18 and 74/10, which request UNCTAD to assess and report to the General Assembly on the economic costs of the Israeli occupation for the Palestinian people.

To conclude, the Group of 77 and China reiterates its solidarity with the resilient Palestinian people and their best efforts for achieving just and lasting peace in the Middle East and the establishment of a two-State solution, in line with the relevant General Assembly resolutions.

I thank you, Mr. President.

President of the Trade and Development Board Ambassador Federico Villegas (Argentina),
Secretary-General of UNCTAD Mukhisa Kituyi,
Deputy Secretary-General of UNCTAD Isabelle Durant,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

1. I have the honor to deliver this statement on behalf of the Group of 77 and China in relation to agenda item 3: Actions carried out and/or planned by UNCTAD to support States in the recovery of their trade and industries after overcoming the pandemic.

2. The Group of 77 and China would like to start by reiterating some of the elements raised during the first segment of this session, first and foremost, that the devastating effects for most developing countries have corroded the progress they had been achieving for years towards the attainment of the Sustainable Development Goals (SDGs).

3. Indeed, even before the COVID-19 pandemic, developing countries had been facing important development challenges, ranging from unsustainable debt levels and lack of sufficient productive capacities to unemployment and poverty, which are now exacerbated, adding to an already complicated mixture of financial instability, economic polarization, inequality, and environmental degradation that characterize the era of hyper globalization that we live in.

Mr. President,

4. The Group of 77 and China paid careful attention to the presentations of the Deputy Secretary General during the first segment and today, and further carefully reviewed the various reports that have a focus on issues related to the pandemic, including notably the World Investment Report, Trade and Development Report and numerous other publications. The Group would therefore like to express its gratitude to the UNCTAD secretariat for its swift adaptative response to the situation, materialized through the provision of relevant support in line with the changing priorities of member States.

5. The work delivered by UNCTAD confirms our earlier statement about how international trade, global value chains have been disrupted, causing shortages of basic goods and food and subsequent price hikes, increasing uncertainties and unnecessary restrictions which have worsen the situation. Yet the impact of the pandemic does not stop there. We continue to see further analysis that points to protracted negative effects of the pandemic, including though the absence of a recovery of FDI flows in 2021 and the possibility of a double-dip recession in 2022.

6. While these are concerns to all countries, some of the effects of the pandemic affect developing countries disproportionately. For instance, as most developing countries have considerable debt obligations and are faced, due to the pandemic, with massive negative impact on almost all their revenue streams. Moreover, the commodity price collapse, drastic decline in FDI and trade, unprecedented capital outflows, falling tourism revenues, falling remittances, the collapse of taxation systems, amongst others, are likely to affect developing countries the most.

7. Our Group therefore reiterates its urgent call for a swift, adequate, equal, cooperative, and non discriminating international response to the crisis, delivered in an environment of solidarity and multilateralism. Indeed, the times we live in call for acting with solidarity and joining efforts to combat effectively and efficiently Covid-19 domestically and worldwide, ensuring unhindered access of developing countries to vaccines and medicines, when produced, to put an end to the Covid-19 outbreak.

Mr. President,

8. While we will close consideration of item 3 today, we must keep this issue at the center of our work for the foreseeable future. The continued provision of timely research and analysis and resulting policy options is an important contribution of UNCTAD to enhancing the understanding of Member States of how to address the evolving situation of the pandemic and its aftermath. In particular, the Group looks forward to the launch of the UNCTAD-wide publication of the Covid-19 pandemic and calls for appropriate arrangements to be made to give due consideration to this publication, for instance through a special session of the Trade and Development Board or an equivalent arrangement.

9. To conclude, I wish to reiterate the sense of urgency of the request of the Group of 77 and China to UNCTAD, to continue to assist developing countries as the development institution it is, in avoiding further loss of human lives through the indirect impact of the pandemic of unemployment, food insecurity, extreme poverty and related consequences such as lack of access to adequate housing and sanitation, amongst others.

President of the Trade and Development Board Ambassador Federico Villegas, Director of the Division on Africa, Least Developed Countries and Special Programmes, Mr. Paul Akiwumi, Excellencies, Distinguished delegates, Ladies and gentlemen,

At the outset the Group of 77 and China wishes to thank UNCTAD and its dedicated staff who have worked to thoroughly analyse the effects of Illicit Financial Flows, or IFFs, on the African continent. This is indeed a timely input to join the call to action to tackle an impeding challenge that is weakening the advent of a more sustainable and fairer world all due to the growing scale, scope and cost of the implications of illicit financial flows, particularly for the economies of the developing countries, and as reflected in this case, for African countries.

Mr. President,

The Group wishes to highlight that the African continent is endowed with massive reserves of natural resources, which could potentially bring vast development gains to Africa. Unfortunately, vices such as illicit financial activities have robed the continent of the most needed development that would have turned around the livelihoods of millions of Africans, lifting them out of extreme poverty into sustainable livelihoods.

The Group of 77 and China takes note that illicit financial flows in terms of cross border exchanges of value, monetary or otherwise, which are illegally earned, transferred or used have costed African countries around $50 billion per year, dwarfing the amount of official development assistance the continent receives annually. This is an immense problem that need concerted efforts on the part of developing countries but also from developed countries. The Group reiterates its appreciation to UNCTAD for the recent study on the relationship between illicit financial flows and sustainable development in Africa, tackling what has been an unsettling issue for the African continent.

Mr. President,

Many initiatives are ongoing on the issue of IFFs, such as the establishment of a joint High Level Panel on Financial Accountability, Transparency and Integrity, which provided hope for more concrete action to amplify attention to illicit financial flows and to enhance the capacity of local revenue authorities in Africa. Moreover, with the advent of the African Continental Free Trade Area, ACFTA, it is paramount to ensure that mechanisms are put in place to ensure that the gains of such a monumental integration are not lost due to the scourge of illicit financial flows. We need the gains of the ACfTA to be channeled to Africans who are suffering the paradox of living in extreme poverty while living surrounded by vast natural recourses that would change their lives forever. Illicit financial flows have led to significant levels of extreme poverty and directly contributed to lack of health facilities and services, thus leading to a compounded and extreme negative effect on the quality of life of many in the African continent.

Mr. President,

The Group welcomes and appreciates the proactive step taken by institutions such as UNCTAD in analysing the impact of illicit financial flows and their impact on the African continent. At the same time, the Group calls for concerted efforts in addressing illicit financial flows and the activities that underlie their occurrence, in particular tax evasion, corruption and transnational organized crime, which have a tremendous impact on the economic, social and political stability and development of the societies where they occur, especially in developing countries. The Group wishes to recall Sustainable Development Goal 16, particularly target 16.4 that calls for a significant reduction by 2030 of illicit financial and arms flows, and for strengthening the recovery and return of stolen assets while combating all forms of organized crime. Indeed, achieving this globally agreed target is urgent to stem the drain on public finances that creates a gap of precious resources needed for development.

Mr. President,

To conclude, the Group of 77 and China calls upon UNCTAD to continue its work in helping African countries address illicit financial flows, as they strip the African continent and developing countries in general of much-needed resources and thus prevent the achievement of Agenda 2030, as illustrated in successive General Assembly resolutions, namely Resolutions 71/213 and 72/207, both entitled Promotion of international cooperation to combat illicit financial flows in order to foster sustainable development; and Resolutions 73/222 and 74/206, both entitled Promotion of international cooperation to combat illicit financial flows and strengthen good practices on assets return to foster sustainable development. These resolution call for a collaborative approach to curb illicit financial flows, and UNCTAD must thus continue to contribute on this mandate, so that African countries and developing countries in general can have full access to the rightful public funds generated by their economies to allow their channeling to support sustainable development, especially at a time such as we live today when most countries are ravaged by the COVID-19 pandemic, making achieving Agenda 2030 a much harder and resource-intensive task.

I thank you, Mr. President.

President of the Trade and Development Board Ambassador Federico Villegas,
Deputy Secretary-General of UNCTAD Isabelle Durant,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

1. I have the honour to deliver this statement on behalf of the Group of 77 and China. The Group wishes to thank the other Groups for the spirit of flexibility and understanding in reaching agreement to this common goal of stirring the discussions and conclusions of the Working Party. The Group appreciates such efforts and hopes to have similar engagements in the near future.

Mr. President,

2. The Group of 77 and China assigns great importance to the work undertaken by the Working Party, which was established as a subsidiary body of the Trade and Development Board in support of ensuring that mandates agreed by the Membership are faithfully translated in the programme of work of UNCTAD, and as a result duly reflected in the priorities and resource-allocation of the organization. The Group sees the Working Party as a forum to improve communication between the Secretariat and Member States and to ensure guidance and strategic thinking for all activities performed by UNCTAD under its three pillars. At the same time, the Group reiterates its view that the UNCTAD Conference and the Trade and Development Board should remain of a substantive nature, in which the development questions that we face can be tackled. Thus, the pressing discussion and consensus building on development in these for a should not be hindered by house-keeping issues that belong in the Working Party.

Mr. President,

3. Until now, the Working Party had been functioning without specific Terms of Reference ToRs since its creation several decades ago. As a result, confusion as to the actual role of Members, and their impact on programme planning and budget documents under review, were a permanent feature of meetings of the Working Party dealing with programme planning matters. Often, the result would be endless discussions, leading to changes in the documents that were then reverted when the document was finalized in New York for consideration by the General Assembly. Moreover, at least two previous attempts to adopt Terms of Reference for the Working Party, in the mid-1990s and in the 2000s, had been abandoned in the impossibility of reaching a consensus in Geneva that would accepted by New York as compatible with the prerogatives of the General Assembly and its subsidiary bodies.

4. For these reasons, the Group welcomes and celebrates the cooperation among all regional groups that worked on the draft decision for more than two years, and coordinated with the Secretariat, both within UNCTAD in Geneva and with relevant officials in New York, to finally arrive at a consensus of a text that is agreeable to be proposed for adoption by the Board. The Group of 77 and China would like to take this opportunity to thank all the people involved in the process and all Members for their engagement and support, which was clearly demonstrated during the negotiations. This kind of cooperation amongst the entirety of the Membership is testament enough of our willingness to achieve a successful UNCTAD 15 Ministerial Conference.

Mr. President,

5. Finally, the Group believes that the current Terms of Reference as recommended by the Working Party for approval by the Board will give the opportunity for Members to provide strategic guidance and orientation to the Secretariat for the preparation of the Programme Plan and Programme Performance document.

I thank you, Mr. President

President of the Trade and Development Board Ambassador Federico Villegas,
Deputy Secretary-General of UNCTAD Isabelle Durant,
Director of the Division on Africa, Least Developed Countries and Special Programmes, Mr. Paul Akiwumi,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

I have the honor to deliver this statement on behalf of the Group of 77 and China, on item 9: Contribution of UNCTAD to the implementation of the Programme of Action for the Least Developed Countries for the Decade 2011-2020.

At the outset, the Group wishes to commend the President of the Trade and Development Board for his leadership through out the first and second segments of this Session. The Group wishes to thank the UNCTAD divisions for their work in Least Developed Countries (LDCs) in the implementation of the IPOA. UNCTAD, through its Report prepared pursuant to paragraphs 153 and 156 of the IPOA provides a description of activities carried out by UNCTAD through its three pillars of work namely, research and policy analysis, intergovernmental consensus-building and technical cooperation, in the period from April 2019 to June 2020, while taking into consideration the challenges brought about by the COVID-19 pandemic.

The Group therefore continues to appreciate the work and commitment demonstrated by UNCTAD Divisions despite having resource constraints in carrying out the activities and having to deal with the challenges of the COVID -19 pandemic. The outbreak of the COVID-19 pandemic has significantly impacted the LDCs thus leading to the contraction in demand, globally and even more so in some of the major trading markets of LDCs, a decline in international commodity prices will likely reverse the limited progress that has been made in poverty reduction, amongst other development indicators. LDCs are highly dependent on investment in natural resources, Tourism dependent activities which has been negatively affected its price shocks.

Mr. President,

The Group wishes to note its appreciation for the comprehensive analysis of foreign direct investment trends in LDCs contained in the the World Investment Report (WIR) 2019: Special Economic Zones. According to the report while foreign direct investment flows to LDCs recovered in 2018, up 15.1 per cent from 2017, reaching $23.8 billion and representing 1.8 per cent of global inflows, inflows to LDCs declined by 6 per cent to $21 billion in 2019, down to 1.4 per cent of global inflows.

The Group of 77 and China wishes to reiterate the many socioeconomic development challenges faced by the world’s 47 most vulnerable countries, and by the LDCs as a group, as they continue to perform poorly against the goals and targets of the IPOA. With such trends it is unlikely that by the end of this year significant shifts in progress take place, in particular given the setbacks in development processes brought about by the COVID-19 crisis. The Group therefore reiterates the need for engagement with the international community to help LDCs achieve meaningful development, especially at such unprecedented times as we live in. UNCTAD, being a development institution, is called upon to continue its work on the LDCs for them to benefit from their inclusion into the global economy in support of inclusive and sustainable growth and development. Therefore, the Group believes there is a need for UNCTAD to continue its effective interventions in addressing the related challenges of LDCs in trade, finance, investment, technology and sustainable development to support the accomplishment of the internationally agreed development agendas included in the Istanbul Programme of Action, the 2030 Agenda for Sustainable Development and the Addis Ababa Action Agenda of the Third International Conference on Financing for Development, among others.

Mr. President,

It is worth noting that while all countries have been adversely affected by the health and economic crises currently ravaging the world, the LDCs are the most vulnerable to exogenous shocks and the least resilient in terms of resources (be they economic, financial and/or institutional) to withstand such shocks and/or to rebound after impact. In this regard, the Group notes the activities UNCTAD has conducted in LDCs and reiterates the need for continued collaboration between UNCTAD, international partners and LDCs themselves. The Group appreciates the support UNCTAD has rendered through the Rules of Origin for Enhanced Intra-African Trade, as they are a cornerstone of the effective implementation of preferential trade liberalization among members of the African Continental Free Trade Area (AfCFTA), without which gains cannot accrue towards Africa. Further activities on the AfCFTA such as the preparation of impact assessments on the economy and trade prospects, are much appreciated by Members.

Mr. President,

Activities such as capacity building trainings on productive capacities, competition, fisheries, trade facilitation, trade and gender, investment and enterprise development and investment policy reviews, as well as technical cooperation to LDCs on graduation and activities such as the European Union-UNCTAD joint programme of support for Angola are an important contribution to LDCs. This last project is a model to follow, covering Empretec entrepreneurship training and entrepreneurship policy development, capacity-buidling in human resources and institutions in commercial diplomacy, the creative economy, trade facilitation, transport and logistics and productive capacities, all of which are crucial components for economic diversification and sustainable economic growth contributing to the implementation of the Istanbul Programme of Action.

The Group further reiterates the need for UNCTAD to continue this work in LDCs in response to the current unprecedented challenges and the quest to achieve and realise the envisioned targets of the IPOA. Activities such as Rapid eTrade readiness assessments have helped LDCs in particular to take stock of their e-commerce development and provided policy direction. The rollout of the Automated System for Customs Data-ASYCUDA has helped LDCs realise the gains by helping to reduce customs clearance costs and time, deal with corruption and improve security. Finally, also on debt sustainability, as external debt is a major concern of the Istanbul Programme of Action, UNCTAD has continued to support LDCs. Indeed, in the context of the COVID-19 pandemic, LDCs continue to face increasing challenges in fiscal management, including increased risk of debt distress. UNCTAD’s Debt Management and Financial Analysis System (DMFAS) programme should therefore continue supporting the LDCs in building capacity to effectively manage central government and government guaranteed debt with the aim of achieving sustainable debt levels.

Mr. President,

In conclusion, 2020 marks the last year of the Istanbul Programme of Action and it has become clear that many of its goals and targets will remain unmet. In this regard the LDCs will continue to rely on UNCTAD for its support for technical assistance in LDCs, including in the areas of graduation, diagnostic trade integration studies, trade policymaking, investment policy reviews and statistical capacities amongst others. The Group therefore takes note of this growing demand as a testimony to the quality and value added of UNCTAD support, despite the existing resource constraints.

Chair of the Eightieth Session of the Working Party, Ambassador Sadiqov of Azerbaijan,
Deputy Secretary-General of UNCTAD, Ms. Isabelle Durant,
Vice-Chair of the Eightieth Session of the Working Party, Ms. Neema Manongi,
Excellencies,
Distinguished delegates,
Ladies and gentlemen

1. The Group of 77 and China would like to start by congratulating the Chair and Vice-Chair cum-Rapporteur for their election. The Group is confident that under your able leadership we will reach a successful conclusion to this meeting.

2. The Group of 77 and China has taken careful note of the remarks delivered by the Deputy Secretary-General Madame Isabelle Durant on the technical cooperation pillar and evaluation function of UNCTAD. At the outset, the Group would like to express its appreciation on the increase in voluntary funding to a new high of USD46 million in 2019, particularly after two years of decline. This increase is evidence of the value added and relevance of the technical cooperation work of UNCTAD. It is important to note the continued upward trend of funding from the developing countries and countries with economies in transition which increased to USD 22.8 million for 2019, the highest amount since 1995 in the voluntary funding provided to UNCTAD. The increase is a clear commitment of developing countries to ensure that UNCTAD fulfils its mandate as outlined in the Nairobi Maafikiano and the SDGs to achieve, by 2030, the world we want, one that ensures dignity for all, prosperity for all and a sustainable planet for all. While developed countries increased their overall voluntary funding to UNCTAD, such increase did not match the overall growth in voluntary funding. As developing countries we have a wider array of needs and limited resources, the Group of 77 and China calls on development partners to upscale their voluntary funding to UNCTAD, so that we may appropriately tackle the development challenges we face, more so in the wake of the COVID-19 pandemic, and thus contribute to the implementation of Agenda 2030 and its Sustainable Development Goals.

3. The Group of 77 and China also notes that the ASYCUDA and DMFAS programme remain the two main attractors of voluntary funding, amounting together to 60% of all voluntary funding received in 2019. These two programmes are indeed crucial for developing countries, having benefited, and continuing to assist a majority of the members of our Group for many years. While we welcome the continued funding of these programmes, we also call on development partners to increase their funding for new and emerging areas of demand of technical cooperation assistance for which there continues to be a backlog of unfulfilled requests, for instance on commodities, trade and development, climate change, science and technology, digital economy, competition, investment, among others.

4. On the issue of a technical cooperation strategy, the Group of 77 and China welcomes the initiative for the adoption of a new strategy. Indeed, we believe the overarching principle of such a strategy would be to ensure a stable, predictable, and sufficient stream of voluntary funding to fulfill the technical cooperation needs of developing countries. We look forward to the further engagement on this issue and to the discussion with our partners.

5. On the issue of evaluation, the Group of 77 and China takes note of the summary of evaluations conducted in 2019 and the meta-analysis of evaluations conducted between 2015 and 2019. The Group would like to encourage the Secretariat to continue with a robust evaluation function and to continue adapting its work based on the lessons learned from such evaluations. At the same time, the Group of 77 and China takes note of the planned start of work for the in-depth evaluation of subprogramme 1 in 2021 with a view to present this for the Working Party consideration in 2022. In line with the decisions to start a new cycle of subprogramme-by-subprogramme evaluations and to not have any evaluations considered by the membership during the year of the UNCTAD Conference.

6. The Group of 77 and China looks forward to the presentations to be delivered by UNCTAD officials on the various elements contained under the relevant agenda items and will engage in the Q&A sessions accordingly.

I thank you, Mr. President

President of the Trade and Development Board Ambassador Federico Villegas,
Director of the Division on Investment and Enterprise, Mr. James Zhan,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

1. The Group of 77 and China extends its appreciation to UNCTAD for its work and analysis on Foreign Direct Investment (FDI) and other investment flows, presented in the annual World Investment Report (WIR) and other key trends and research outputs. The Group particularly welcomes the focus of the WIR 2020 on investment prospects amid the COVID-19 pandemic at the global and regional levels. The forecast of FDI flows in 2020 and beyond was particularly insightful and will help the Group members to plan and develop policies for mitigating the negative impact of the pandemic on FDI, in both the immediate and long terms.

Mr. President,

2. For the Group of 77 and China, it is a matter of concern that according to the WIR 2020, developing countries are expected to see the biggest fall in FDI due to their reliance on investment in global value chain (GVC)-intensive and extractive industries, which have been severely hit by the pandemic. The report rightly highlights that the impact on FDI to developing economies is also likely to be more devastating on developing countries than developed countries due to inadequate economic support measures in developing countries.

3. The Group also notes with concern that these negative prospects due to the pandemic have come at a time when the FDI was already on a downward trend in developing countries, having declined by 2 per cent to $685 billion in 2019. Despite the negative outlook and the disruptions resulting from the COVID-19 shock, it is encouraging to see that some members of the Group of 77 and China evidenced increasing FDI inflows in 2019.

4. The Group would also like to commend UNCTAD for the thematic focus of the WIR 2020 on international production, and how it will be restructured due to several existing challenges that have been further intensified by the pandemic. Developing countries rely heavily on international production and participation in GVCs to promote industrialization, exports and economic development. UNCTAD’s analysis in the WIR 2020 outlines four distinct trajectories that international production can follow in the next decade, including reshoring, diversification, regionalization, and replication, which is a particularly insightful analysis of options that will certainly be useful going forward. The Group particularly appreciates the industry-based approach adopted in the thematic chapter of the WIR 2020, which allows to assess how each value chain industry is being impacted distinctly, and the possible configurations they could face in the future. This will allow developing countries to address the challenges faced and put forward policy actions according to their own specific circumstances and national frameworks.

5. The Group of 77 and China would also like to commend UNCTAD for a new chapter on Investment in the Sustainable Development Goals (SDGs) in this year’s WIR. The COVID-19 pandemic arrived on top of significant existing investment gaps in the SDGs, raising concerns about the feasibility of achieving the goals by 2030. The WIR 2020 shows that among the various sources of investment, international private investment in SDG sectors is not yet reaching the needed magnitudes in developing countries. FDI, and in particular greenfield investment and project finance, have been stagnant, and in some cases decreasing in relevant sectors, partly reflecting laggard global investment trends.

6. For example, while the healthcare sector is likely to receive higher inflows due to the pandemic, there are concerns if the scaling up will be sufficient for the vastly higher needs in developing countries. Similarly, the derailment of progress in sectors such as water, sanitation and hygiene, and education, which have already seen overall decreasing levels of investment, is worrisome.

Mr. President,

7. Despite the challenges, a positive sign is that global capital markets are expected to significantly expand their offering of sustainability products and investments. The WIR 2020 shows that sustainability funds that target Environmental, Social and Governance (ESG) or SDG-related themes or sectors, such as clean energy, clean technology or sustainable agriculture and food security have grown rapidly in number, variety, and size in recent years. The WIR 2020 estimates that funds dedicated to investment in sustainable development have reached $1.2-$1.3 trillion today. They include sustainability-themed funds, green bonds, and social bonds. In addition to sustainability funds, the much broader category of responsible investment refers to general investment funds (beyond targeted SDG sectors) that adopt sustainability-linked investment criteria. The total assets under management of these funds could be about $29 trillion. However, the flow of both sources of finance is directed mainly to developed economies, leaving developing countries, where the need is the highest, with insufficient funds.

8. Yet, the SDG agenda goes beyond investment and financing. The WIR 2020 shows that progress on investing in the SDGs is not just about mobilizing funds and channeling them to core sectors. It is also about integrating good ESG practices in business operations to ensure positive investment impact. The Group of 77 and China welcomes the analysis presented in the WIR 2020, indicating that companies and institutional investors increasingly acknowledge the need to align investment and business decisions with positive SDG outcomes. A key challenge is the quality of disclosure and harmonization of reporting standards, particularly in developing countries, and for SMEs. For example, one SDG on which companies are increasingly expected to report is gender equality. It is encouraging to note that about 70 per cent of the world’s 5,000 largest MNEs now report on progress in this area, including from some developing countries.

9. We concur with the assessment in the WIR that a new set of global actions to facilitate a “Big Push” in private sector investment in the SDGs is urgently needed. The new Action Plan presented that combines several policy instruments to provide an implementation framework for the UN Secretary-General’s Strategy for Financing the 2030 Agenda for Sustainable Development is thus very timely. UNCTAD’s analysis of investment trends in the SDGs and proposed policy options can serve as an appeal to the international community and bring together all actors in the investment chain, including MNEs, family businesses and SMEs, and ranging from upstream actors such as stock exchanges, capital markets regulators, private equity funds and sovereign wealth funds to downstream actors such as Investment Promotion Agencies, Public-Private Partnerships units and project developers. The pandemic should thus be seen as a wakeup call, to steer the international community back on the path of the sustainable development agenda.

10. Turning to investment policy, the Group of 77 and China wishes to highlight the comprehensive analysis of the investment frameworks of Member states, through UNCTAD’s Investment Policy Reviews (IPRs), which provide concrete policy recommendations to increase investment and its development impact. The Group welcomes the recent release of the IPRs of Cote d’Ivoire, Angola and Tchad and express its gratitude to the secretariat for their work on them. These recent IPRs provide concrete, timely and actionable advice, in line with the tradition of the UNCTAD IPR programme. The Group of 77 and China also recognizes the Investment Policy Framework for Sustainable Development as a core pillar guiding UNCTAD’s technical assistance.

11. At the same time, the Group also wishes to acknowledge UNCTAD’s valuable analysis on international investment agreement (IIA) reform, including its continuing guidance on reform options. It is encouraging to note that nearly all new IIAs contain features in line with UNCTAD’s Reform Package for the International Investment Regime, with the preservation of States’ regulatory space being the most frequent area of reform. The Group recognizes the importance of sustainable development-oriented reform of the international investment regime, and the need to addresses the many issues relevant to older IIAs, pursuant to which several members of the Group have been involved in dispute settlement proceedings.

12. The Group of 77 and China would also like to recognize UNCTAD’s work on enterprise development. The United Nations General Assembly has rightly indicated the importance of SMEs in development efforts, and as such in the delivery of the sustainable development goals. UNCTAD’s work to harness the potential of entrepreneurship for development- more recently with targeted focus on youth, women, and migrants – is highly appreciated. We also commend UNCTAD’s practical projects to support entrepreneurship in members of the Group including ongoing projects in Ethiopia and Zambia and completed projects in Uganda, Argentina, and Brazil.

13. In the area of business facilitation, the Group of 77 and China acknowledges UNCTAD’s continued support to developing countries with a total of 68 systems implemented in 37 countries to date, leading to an 80 per cent reduction of business registration steps, documents and forms. UNCTAD’s role in business facilitation is reported by beneficiaries to have been particularly valuable during the pandemic, as it helped keep services for businesses open through its e-government platform despite the closure of physical offices. For example, aided by this platform,182 businesses were created online during first week of closure in Benin, export registration certificates were delivered online with payment by phone in Kenya, and plans were developed to roll out online social security and tax registration in Mali.

14. Before concluding, the Group of 77 and China would like to commend UNCTAD for the leadership in all matters of investment for development through its various knowledge products and technical cooperation services. We look forward to UNCTAD’s continuation of this role and particularly its support to members of the G77 and China which has become even more critical and urgent due to the COVID-19 pandemic as well as the arrival of the final decade of the sustainable development agenda.

President of the Trade and Development Board Ambassador Federico Villegas (Argentina),
Deputy Secretary-General of UNCTAD Isabelle Durant,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

1. The Group of 77 and China would like to congratulate UNCTAD for its work across its various programmes of work in addressing the plight of developing countries in their quest to development, especially during this unprecedented challenging time of the COVID-19 pandemic.

Mr. President,

2. The Group of 77 and China wishes to recall UNCTAD’s mandate, enshrined in the Nairobi Maafikiano and the Addis Ababa Action Agenda, to exercise its important role as the focal point within the United Nations system for the integrated treatment of trade and development and interrelated issues in the areas of finance, technology, investment, and sustainable development. UNCTAD therefore plays a crucial role in addressing the development aspirations of developing countries and in the achievement of the Sustainable Development Goals (SDGs).

3. Today, developing countries are not only more vulnerable to the adverse effects of the COVID-19 pandemic, but many have witnessed years of progress towards the achievement of the SDGs being corroded in a short period of time, as earlier indicated during our intervention on agenda item 3.

4. In this regard, the Group urges UNCTAD to step up its efforts in assisting developing countries attain their development aspirations, to get back on track towards the achievement of the SDGs after the pandemic. In doing so, UNCTAD should pay special attention to the particular needs of all developing countries, and the special conditions that render LDCs, SIDS, LLDCs, and middle-income countries vulnerable.

5. Indeed, as we prepare for the Fifth United Nations Conference on the Least Developed Countries, the Group recalls the overarching goal of the Istanbul Programme of Action (IPoA) of overcoming the structural challenges faced by LDCs in order to eradicate poverty, achieve internationally agreed development goals and enable graduation from the least developed country category. Most notably, the IPoA offers integrating provisions to be built into national policies and development frameworks, with regular reviews with the full involvement of all key stakeholders, which is a useful addition that provides a clear role for UNCTAD’s contribution. The Group would like to see UNCTAD’s role in support of LDCs reinforced through the outcomes of the UNCTAD 15 and LDC V conferences.

Mr. President,

6. A sustainable financial situation is an indispensable ingredient for development, as has been clearly captured in the SDGs, particularly SDG 17. As we are all aware, most developing countries had been facing unsustainable debt burdens already before the pandemic, a situation that has been clearly exacerbated by a combination of foregone revenues, mounting needs for public expenditure and reduced remittances in many developing countries. Moreover, with increasing deregulation of its capital markets, coupled with an increase in the rise of shadow banking, financial sectors of many developing countries are not robust enough to effectively deal with the current situation. UNCTAD should therefore strengthen its support to developing countries for early warning of financial stress, and to find suitable solutions to the debt challenges many countries are facing.

Mr. President,

7. The situation we have today in the world has highlighted the importance of technology and innovation for development and illustrated the logic behind the prominence of this issue in the SDGs, the Addis Ababa Action Agenda and the Nairobi Maafikiano. The capacity to innovate and produce in the medical and sanitary field during the pandemic not only played a role in reducing the loss of human life, but also allowed countries to soften the economic impact of the pandemic through a more swift management of the cycles of the disease. The Group of 77 and China recognises UNCTAD’s work in the area of science and technology, as most recently reflected in the 23rd Session of the Commission on Science and Technology for Development (CSTD), among others, through its focus on the impact of rapid technological changes on the achievement of the Sustainable Development Goals and our ability to effectively leave no one behind. UNCTAD has helped developing countries realize the transformative and disruptive potential of such rapid technological changes and the need for appropriate science, technology and innovation strategies and policies in developing countries. As clearly indicated in previous reports of the Secretary-General, the right policy mixtures and systematic approaches to innovation are necessary to stimulate research and development, build local skills, ensure affordability, and create a supporting regulatory environment in our economies. Hence the need for continued support from UNCTAD to provide appropriate guidance to ensure that science, technology, and innovation policies are internally consistent and aligned with national priorities and development plans of the developing countries.

Mr. President,

8. The SDGs and aspirations of the Addis Ababa Action Agenda cannot be reached without transformative changes in the economic structures in developing countries. The Group of 77 and China therefore underscores the importance of UNCTAD’s work, particularly through the research and analysis pillar, in addressing the economic diversification, transformative, productivity and competitiveness agendas for our economies, especially in the challenging times we live. UNCTAD should continue to provide developing countries with timely analysis and policy recommendations through its research and analysis pillar, to help developing countries enhance their productive capacities, achieve structural transformation and build economic resilience to better withstand current and future global economic shocks, including those generated by the COVID-19 pandemic. Additionally, UNCTAD should continue to support North-South, South-South and trilateral cooperation and promote the sharing of best practices among countries which is crucial for the economic recovery and resilience after the pandemic.

Mr. President,

9. The Group of 77 and China would also take this opportunity to highlight the work of UNCTAD through its programmes on investment and enterprise, trade facilitation and commodities. The worrying trends recently highlighted by the 30th Anniversary edition of the World Investment Report, focused on International production beyond the pandemic, and prospects for global and regional investment flows in developing countries offer valuable insights to feed into developing countries’ investment for development policy making. As we have read in this Report, the impact of the COVID 19 pandemic has led to significant fall in FDI in developing countries. The Report has indicated that global FDI flows are forecasted to decrease by up to 40 per cent in 2020, from their 2019 value of $1.54 trillion. This would bring FDI below $1 trillion for the first time since 2005. Furthermore, early indicators confirm the immediate impact on developing economies in the form of the biggest fall in FDI flows, exacerbated by the excessive reliance on investment in global value chain (GVC)-intensive and extractive industries, which have been disproportionately affected by the pandemic. The Group believes UNCTAD needs to continue strengthening its support to developing countries on investment for development and on the reform of the international investment regime in support of development.

10. To wrap up, we call on the UNCTAD Secretariat, through all five subprogrammes of work, to assist developing countries in tackling the unprecedented challenges posed by the COVID-19 pandemic and to avoid further escalation of poverty levels, further increase in unemployment, and further economic deterioration, which pose a grave threat to the achievement of the commitments of major UN Conferences and summits such as the SDGs and the Addis Ababa Action Agenda.

Mr. President,

11. We should nevertheless not only look solely at the UNCTAD Secretariat for the much-needed impetus in achieving various commitments that have been agreed upon by all Member States. We have a critical mass of development and economic expertise in the Geneva community that we can utilize to enrich this discourse, which we must not neglect. It is our duty to harness these through UNCTAD’s intergovernmental machinery to contribute to relevant intergovernmental processes and to the implementation of related internationally agreed development goals. Therefore, as we embark on the road to Barbados, the Group of 77 and China aspires to building better links to New York based processes, in particular to the work of the Second Committee, which is currently undergoing a revitalization exercise, as well as to see an expansion in the number of UNCTAD intergovernmentally-considered items that result in agreed conclusions.

I thank you, Mr. President.

President of the Trade and Development Board Ambassador Federico Villegas,
Secretary-General of UNCTAD Mukhisa Kituyi,
Deputy Secretary-General of UNCTAD Isabelle Durant,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

1. I have the honor to deliver this general statement on behalf of the Group of 77 and China. At the outset the Group wishes to commend the President of the Trade and Development Board on the way he led the first segment of this Sixty-Seventh Session of the Trade and Development Board, we look forward to the successful holding of the two remaining segments of this session of the Board.

2. The Group wishes to congratulate the signatories of the Host Country Agreement for the Fifteenth Session of the UNCTAD Conference, namely the UNCTAD Secretariat and Barbados, scheduled to take place in Barbados in April 2021. This landmark should serve to increase the momentum in preparing for UNCTAD 15, in particular as the global situation demands answers to the pressing questions of our time.

3. Indeed, UNCTAD 15 will mark one of the first international gatherings in the wake of the COVID 19 pandemic. This gathering will be an opportunity to find consensus on how to build back the economies in developing countries. We need to work hard and smart over the next few weeks to gain what would be lost during this unprecedented time. The Group of 77 and China would therefore like to offer its will to work with development partners to deliver an UNCTAD 15 outcome that is at the stature of the challenges the world faces today.

Mr. President,

4. The COVID-19 pandemic continues to have devastating effects for most developing countries, eroding the progress made by most developing countries in the achievement and attainment of the Sustainable Development Goals (SDGs). As we are all aware, developing countries had been facing development challenges even before the COVID-19 pandemic, which have significantly affected the productive capacities of the countries. These challenges range from unsustainable debt levels, an increasing and widening Digital Divide, increasing and visible effects of climate change, to unstable financial systems, growing economic polarization and inequalities, high unemployment rates and high levels of poverty. The COVID-19 pandemic continues to exacerbate many of these challenges while creating further systematic challenges thus leading to an increasingly complex situation that threatens to create long-lasting devastating effects. The urgency of the situation is most evident in the fiscal and monetary constraints currently faced by the developing countries, in particular as they struggle to face with the pandemic.

Mr. President,

5. The COVID-19 pandemic has claimed hundreds of thousands of lives globally and tremendously disrupted international trade and global value chains, causing shortages of basic goods and food, and subsequent price hikes, increasing uncertainties and unnecessary restrictions. Therefore, it is extremely important to enhance international cooperation, uphold multilateralism and refrain from unilateral actions that hamper the effort of tackling the pandemic worldwide and especially in the worst affected developing countries, particularly by restricting access to medical supplies. Hence, the call for the development community, including institutions such as UNCTAD and most particularly donor countries, to provide appropriate support to developing countries in an adequate, non-discriminatory and unrestricted manner and in a spirit of solidarity and multilateralism.

6. The Group of 77 and China appreciates the work UNCTAD continues to deliver assisting developing countries in their efforts to remain on track in the attainment of the Sustainable Development Goals. The Group assigns particular importance to the policy analysis and recommendations arising from the research and analysis pillar in new and emerging areas of work such as on the widening Digital Divide, trade facilitation, climate change, investment, commodities, illicit financial flows, among others.

Mr. President,

7. Furthermore, the Group of 77 and China would like to take the opportunity to express its concern on the decline in Official Development Assistance, at a time when it is more needed than ever to help tackle the unprecedented challenges of the COVID-19 pandemic and its negative impact on the attainment of the SDGs.

8. The Group of 77 and China was very pleased with the discussion and many concrete ideas that emerged out of the first segment of this session. As we delve into more concrete areas in the second and third segments, most notably the World Investment Report and the Trade and Development Report, the Group calls for maintaining the high-level and constructive engagement that characterized the first segment. At the same time, the Group looks forward to the continuation of the dialogue on the impact of the COVID-19 pandemic as an open-ended item beyond this session including in particular the UNCTAD-wide publication planned for the last quarter of 2020. It is our duty to harness the expertise of the UNCTAD secretariat and the critical mass of expertise of the diplomatic and expert community in Geneva to identify and offer viable options for our countries and the international community to overcome the pandemic.

Mr. President,

9. Before closing we would like to take the opportunity to formally express our serious concern about the liquidity problems facing the United Nations secretariat and thus UNCTAD. We have recently seen how these constraints have limited the services provided to member States by UNOG and we have been informed of many similar constraints that are restricting the capacity of UNCTAD to fully deliver on its programme of work. The Group of 77 and China would therefore like to urge all members of the United Nations to fulfill their financial obligations in a timely manner, in order to ensure that the United Nations continues to serve as the international forum that is required to help us all build a better world.

I thank you, Mr. President.

1. I have the honor to deliver this statement on behalf of the Group of 77 and China in relation to agenda item 3: Actions carried out and/or planned by UNCTAD to support States in the recovery of their trade and industries after overcoming the pandemic.

2. The COVID-19 pandemic has not only led to devastating effects for most developing countries but has also corroded the progress most developing countries had been achieving toward the attainment of the Sustainable Development Goals (SDGs). As we all know, developing countries had been facing important development challenges even before the COVID-19 pandemic, ranging from unsustainable debt levels and lack of sufficient productive capacities to unemployment and poverty. Such challenges are now exacerbated, adding to an already complicated mixture of financial instability, economic polarization, inequality, and environmental degradation that characterize the era of hyper globalization that we live in.

3. Faced with the dire prospects of devastating impacts for development countries and given the uncertainty and difficulty in understanding the situation, the Group of 77 and China decided to conduct a standing dialogue at ambassadorial level amongst its members, which counted with the substantive support of all UNCTAD Directors, to whom we are grateful. Through this dialogue, the Group was able to gain a better understanding of the worrying and extensive impact of the COVID-19 pandemic on developing countries, which has compounded the political, social, and economic vulnerabilities of developing countries.

4. Developing countries, already suffering from climate change and natural disasters such as famine, drought, floods, dust storms, typhoons and earthquake need to be assisted in preparing, to encounter and respond such daunting challenges in a timely and appropriate manner.

5. The COVID-19 pandemic has tremendously disrupted international trade, global value chains, causing shortages of basic goods and food, and subsequent price hikes, increasing uncertainties and unnecessary restrictions. The international response to such a crisis should be quick, adequate, equal, cooperative, indiscriminate, and in an environment of promoting solidarity and multilateralism. At the same time, countries should uphold multilateralism and refrain from unilateral actions that endanger it, while acting with solidarity and joining efforts to combat effectively and efficiently COVID-19 domestically and worldwide. It is also urgent and critical to ensure unhindered access of developing countries to vaccines and medicines, when produced, to put an end to the COVID-19 outbreak.

6. It is worth noting that most developing countries have large informal sectors and labor markets that are more vulnerable to shocks such as the one generated by the ongoing pandemic. According to a recently published UNHCR report, developing countries are playing host to approximately 85 percent of the refugees worldwide, which imposes huge adverse impacts on their planning in general and developmental activities, including on their response to the pandemic. One of the most tragic impacts of the pandemic, beyond the direct loss of life, is that it has led increased unemployment, and reduced overall income levels, stagnating fiscal revenues and reduced remittances, amongst others, all of which have a disproportionate effect on developing countries.

7. UNCTAD’s report From the Great Lockdown to the Great Meltdown: Developing Country Debt in the Time of Covid-19 notes that the outbreak of COVID-19 came at a time when developing economies had already been struggling with unsustainable debt burdens for many years. The report further notes that while the related challenges are large in advanced economies, they are enormously more daunting in developing economies. Most developing countries have considerable debt obligations and, as you are aware, the pandemic has had massive negative impact on almost all the revenue streams of developing countries. The commodity price collapse, drastic decline in FDI and trade, unprecedented capital outflows, falling tourism revenues, falling remittances, the collapse of taxation systems, amongst others, are likely to affect developing countries the most. The impact arising from the combination of these factors is forecasted to nothing short of a strangling effect for the economies of developing countries. The Group of 77 and China therefore calls on organizations such as UNCTAD to support developing countries to mitigate the devastating effects of the pandemic.

Mr. President,

8. Productive capacities form the backbone of an economy’s ability to produce goods and services and to ensure livelihoods, and are fundamental for diversifying economies, helping countries achieve structural transformation, and being resilient enough to withstand extreme shocks such as those generated by the pandemic. UNCTAD plays a vital role in providing assistance to developing countries through various modalities of support to, and we call on the UNCTAD Secretariat to enhance such role with activities aiming at the enhancement of the domestic and regional food and agricultural value chains of developing countries. In this context, UNCTAD should focus on strengthening the mobilization of resources to support health systems and, assist vulnerable sections of the population in developing countries, including through the attraction of FDI that is supportive of development and of the achievement of the SDGs.

9. The Group of 77 and China calls on UNCTAD to step up its efforts to cater to the emerging needs of developing countries in light of the evolving situation of the COVID-19 pandemic, most importantly assisting us in overcoming our systemic structural vulnerabilities. UNCTAD is called upon through its technical cooperation pillar to examine the specific challenges that LDCs, LLDCs, SIDS, other groups of vulnerable countries and all developing countries face due to lack of sufficient productive capacities, and to assist them in the design and implementation of adequate policies and strategies to address these challenges. Furthermore, UNCTAD should continue its support to developing countries in recovering investment flows, securing debt alleviation, facilitating free trade, promoting digital transformation and electronic commerce, stablishing new and linking to existing global and regional value chains, addressing challenges in the fisheries sector, and revitalizing the tourism sector, among other vital development challenges and means to ease existing trade blockages. At the same time, the continued provision of timely research and analysis and resulting policy options is an important contribution of UNCTAD to enhancing the understanding of Member States of how to address the evolving situation of the pandemic.

Mr. President,

10. Finally, I wish to reiterate the sense of urgency of the request of the Group of 77 and China to UNCTAD, to assist developing countries as the development institution it is, in avoiding further loss of human lives through the indirect impact of the pandemic of unemployment, food insecurity, extreme poverty and related constraints such as access to adequate housing and sanitation, amongst others.

I thank you, Mr. President.

President of the Trade and Development Board Ambassador Federico Villegas (Argentina),
Secretary-General of UNCTAD Mukhisa Kituyi,
Deputy Secretary-General of UNCTAD Isabelle Durant,
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

1. I have the honor to deliver this statement on behalf of the Group of 77 and China in relation to agenda item 2: Annual report of the Secretary-General.

2. We would like to thank the Secretary-General for his detailed and comprehensive statement. UNCTAD embodies the common cause of development that led to the creation of the Group of 77 and China. Over 50 years later, we have made progress in many respects, but we are still faced with an unequal world, and in fact, emerging challenges such as climate change, the digital economy and the impact of ongoing pandemic are likely to give rise to new systemic challenges and growing inequality. Therefore, today, a strong and effective UNCTAD is needed more than ever.

Mr. President,

3. As we advance on the road to UNCTAD 15 Ministerial Conference, there are a number of areas that we would like to bring, with your indulgence, to the attention of the Secretary-General, to serve as inputs for the coming year.

4. We are pleased to have witnessed the capacity of UNCTAD to continue attracting considerable extra-budgetary resources, despite decreasing trends in other organizations. This not only reflects the importance of traditional technical cooperation programmes of UNCTAD such as ASYCUDA and DMFAS, but also the growing importance of new areas of work such as the digital economy with the aim of bridging the digital divide.

5. Nevertheless, numerous technical cooperation requests from Member States need to be considered with the given limited resources available. We need to therefore find mechanisms to respond to areas which, despite not being of strategic interest to donors, are of high demand amongst member States, such as advice on debt issues, commodities, climate change, support to LDCs on their issues of special interest and, most importantly nowadays, support in overcoming the impact of the COVID-19 pandemic. We look forward to the finalization of the UNCTAD technical cooperation strategy and its implementation to ensure the translation of UNCTAD’s work into tangible assistance to developing countries.

6. The Group of 77 and China underscores the central and important role of the research and analysis pillar of UNCTAD. This institution is the preeminent entity examining economic issues from a development perspective and providing actionable policy recommendations and advice. We therefore reiterate the need to preserve the substantive research capacities and expertise of the UNCTAD Secretariat, from the decrease in regular budget resources, the main source of funding for this pillar.

7. In the context of research and analysis, UNCTAD has presented very useful reports on economic impact of COVID-19. The G-77 and China underscores the importance of mainstreaming the impact of the pandemic on developing countries into international development, finance and trade discourse and due reflection of these trends in the Secretary General Annual Report 2020.

8. One related concern in research and analysis is the need to ensure the availability of publications in all official languages. We would request you, Secretary General, to issue relevant instructions and liaise with your counterparts at UNOG to ensure the timely availability of publications in languages other than the original English edition.

9. We must not forget the pillar of UNCTAD’s work for which we are gathered today, the consensus building pillar. The Group of 77 and China assigns great importance to the continued dialogue on key development questions of our time, in the spirit of building consensus on how to effectively tackle them. In this connection, the Group would wish to reiterate the importance of various elements for a more effective consensus building pillar, including expanding the number of items for which agreed conclusions are negotiated, linking our work better with the work of the General Assembly, for which we can harness the ongoing Second Committee revitalization efforts, among others.

10. To conclude, the Group of 77 and China would like to take this opportunity to reiterate its continued support and commitment to the work if this organization.

I thank you, Mr. President.

President of the Trade and Development Board Ambassador Federico Villegas (Argentina),
Secretary-General of UNCTAD Mukhisa Kituyi,
Deputy Secretary-General of UNCTAD Isabelle Durant,
Excellencies,
Ladies and Gentlemen,

1. The Group of 77 and China would like to congratulate His Excellency Ambassador Federico Villegas of the Permanent Mission of the Argentine Republic to the United Nations Office and other international organizations in Geneva, for his assumption of the Presidency of the Trade and Development Board (TDB) of the United Nations Conference on Trade and Development (UNCTAD). The Group further congratulates all members of the Bureau of the Board elected during this session.

2. The Group of 77 and China also wishes to express its most sincere gratitude to His Excellency Ambassador Michael Gaffey of Ireland, the outgoing President of the Trade and Development Board, for his tireless efforts in guiding the work of the Board and ensuring the continuity of the work of UNCTAD’s intergovernmental machinery, especially during this difficult time of the COVID-19 pandemic. The Group greatly appreciates your leadership and dedication in advancing the interests of the Member States of UNCTAD. We wish you great success in your next assignment.

3. With your indulgence, Mr. President, the Group of 77 & China would like to pay tribute to the late Ambassador Christopher Onyanga Aparr, Permanent Representative of Uganda, who also aptly served as President of the Trade and Development Board of UNCTAD from 2016 to 2017.

4. Throughout his tenure as Uganda’s Permanent Representative to the United Nations, Ambassador Aparr was truly one-of-a-kind. An outstanding diplomat, a man of many talents and interests, a champion of the cause of development and a human being whose friendship touched many of us here in Geneva. He will continue to be celebrated for the skills, wisdom, and patience with which he conducted himself as President of the Trade and Development Board of UNCTAD and as Chair of the Group of Least Developed Countries. I hope that you will join us today in celebrating the life of our dear Friend and colleague.

5. The Group of 77 and China would like to reiterate its condolences to Ambassador Aparr’s family and to our brothers and sisters of the Uganda Mission. They can count on our support to build on his legacy.

Mr. President,

6. The Group of 77 and China would like to assure you of its collaborative and supportive spirit and availability to be of assistance in ensuring the success of your tenure. Your tenure has come at such a time when UNCTAD has been preparing for, among others, UNCTAD’s Fifteenth Ministerial Conference to be held in Barbados, originally in the latter part of this year, and now moved to 2021. It is therefore a privilege for us to be able to tap on your diplomatic experience and learn from your stewardship in shaping the outcome documents of UNCTAD 15 Ministerial Conference in the spirit of leaving no country or person behind.

Mr. President,

7. To conclude, the Group of 77 and China wishes to reiterate its congratulations and support to you and the new Bureau of the Board and wish you great success in this new role.

I thank you, Mr. President.

His Excellency Michael Gaffey, Chairman of the Trade and Development Board,
Honorable Madam, Isabelle Durant UNCTAD Deputy Secretary General,
Excellencies
Distinguished Delegates.

I have the honor to present this statement on behalf of the Group of 77 and China and I took this opportunity to refer to the single session of the Committee on Trade and Development. This session was especially important for developing countries because we discussed the key issues of trade and development related to the challenges, we face to integrate trade due to vulnerabilities, particularly small island states.

The Group of 77 and China congratulate the result of the agreed conclusions. They reiterate the importance of international trade as a key means for economic growth, the eradication of poverty and the implementation of the Sustainable Development Goals.

In the same way, we want to thank all the divisions involved in preparing the reports described. These problems significantly have a better understanding of the debates on how to address social, environmental challenges, in reducing inequality and in creating opportunities for all.

The Group of 77 and China wishes to reiterate the importance of the analytical content of the work of the Secretariat. The previous work serves as a reference for current tasks, even when recommendations may vary due to relevant circumstances.

DECLARACIÓN DE PANAMÁ EN NOMBRE DEL GRUPO DE LOS 77 Y CHINA ANTE LA 69ª SESIÓN EJECUTIVA DE LA JUNTA DE COMERCIO Y DESARROLLO SOBRE EL TEMA 5: INFORME DE LA UNDÉCIMA SESIÓN DE LA COMISIÓN DE COMERCIO Y DESARROLLO
(Ginebra, 6 de febrero de 2020)

Su Excelencia Michael Gaffey, Presidente de la Junta de Comercio y Desarrollo,
Honorable Señora, Isabelle Durant Secretaria General Adjunta de UNCTAD,
Excelencias,
Distinguidos Delegados.

Tengo el honor de presentar esta declaración en nombre del Grupo de los 77 y China y aprovecho esta oportunidad para referirme a la undécima sesión de la Comisión de Comercio y Desarrollo. Esta sesión, fue particularmente importante para los países en desarrollo porque se debatieron las cuestiones clave de comercio y desarrollo relacionadas con los retos que confrontan para integrarse al comercio debido a las vulnerabilidades, en particular los pequeños Estados insulares.

El Grupo de los 77 y China se congratula por el resultado de las conclusiones acordadas. En ellos se reitera la importancia del comercio internacional como medio clave para el crecimiento económico, la erradicación de la pobreza y la aplicación de los Objetivos de Desarrollo Sostenible.

Asimismo, queremos agradecer a todas las divisiones involucradas en la elaboración de los informes presentados. Estos contribuyen significativamente a tener una mejor comprensión a los debates sobre cómo abordar los desafíos sociales, ambientales, en la reducción de la desigualdad y en la creación de oportunidades para todos.

El Grupo de los 77 y China desea reiterar la importancia del contenido analítico de los trabajos de la Secretaría. Los trabajos anteriores sirven como referencia para las tareas actuales, incluso cuando las recomendaciones puedan variar debido a circunstancias relevantes.

Excellency Ambassador Michael Gaffey, President of the Trade and Development Board,
Excellencies,
Distinguished delegates,
Ladies and Gentlemen,

I have the honor to deliver this statement on behalf of the Group of 77 and China.

1. The Group of G77 and China would like to reiterate the essential role of investment in the achievement of the Sustainable Development Goals. The work of UNCTAD in this area provides a unique perspective for developing countries to enhance their capacity not only to attract investment, but to do so in a manner that contributes to the achievement of development objectives. The World Investment Report, World Investment Forum, Investment Policy Reviews and overall research and analysis and technical assistance work of UNCTAD, including the “SDG investment monitor”, the “Guidance on Core Indicators for Entity Reporting on Contribution Towards Implementation of the SDGs” and “Investing in the SDGs: The role of Diplomats”, deserve special mention in this respect.

Mr. President,

2. As the representative of Zambia stated at the opening plenary on behalf of the Group of 77 and China, the Group acknowledges the successful holding of the eleventh session of the Commission on Investment, Enterprise and Development and stresses the importance of the Geneva ambassadors roundtable as a useful mechanism on investment for development.

3. During this eleventh session of the Commission on Investment, Enterprise and Development, we, the member States represented in this body, have agreed to express our concern about the weak trends in foreign direct investment and their effect on global value chains, and have at the same time agreed on specific paths for the way forward, including through the reform of international investment agreements with the support of UNCTAD. It is paramount that we collectively follow the paths we have defined, in order to secure a more effective contribution of investment to our development objectives.

4. As previously stated by the representative of Zambia on behalf of the Group of 77 and China, the Group would also like to welcome the first ever United Nations General Assembly Resolution on “Promoting investment for sustainable development”, and to call on the UNCTAD secretariat to implement the mandates contained in this resolution.

5. The agreement reached during the Commission on Investment, Enterprise and Development also recognized the threats and benefits of the digital economy for development, and highlighted the work of UNCTAD in this area, particularly the Digital Economy Report, the e-trade readiness assessment and the global and regional e-commerce weeks. The e-commerce and digital economy work of UNCTAD is a vital contribution to tackling the new and emerging development implications for developing countries in this area, and should receive adequate attention in our preparations for UNCTAD XV.

6. Finally, The Group of G77 and China would like to support the content of the report of the eleventh session of the Commission on Investment, Enterprise and Development and to recommend to the Trade and Development Board to endorse the agreed conclusions contained therein.

Thank you, Mr. President.

Mr. President, H.E. Ambassador Michael Gafey (Ireland), Madam Isabell Durant, the Deputy Secretary General of UNCTAD,
Excellencies, Distinguished Delegates,

I have the honor to deliver this statement on behalf of the Group of 77 & China.

Mr. President,

Let me begin by thanking the Secretariat for preparing the report of the 3rd Intergovernmental Group of Experts on Financing for Development. Financing development is crucial to achieve the Sustainable Development Goals, without adequate financing mechanisms neither the Addis Ababa Action Agenda will be fulfilled nor SDGs be attained. However, various reports of UNCTAD tell of huge gap in financing development amounting to 2.5 trillion of US dollars per year.

Hence the importance of the work of the IGE on Finance for Development in delivering UNCTAD’s mandate, in fostering an informed debate of the related issues, preparing the foundations to reach consensus between the member states that can be built upon in taking concrete actions, give direction to efforts to mobilize internal and external resources, and bridge the gap we are witnessing in financing development. In that context, the Group of 77 and China recognizes the contribution that this IGE made in covering related areas over its 3 sessions since its establishment, according to the mandate from the Nairobi Maafikiano.

The Group of 77 and China would like to highlight, in particular, the work carried out during the Third Session of the Intergovernmental Group of Experts. A wide variety of perspectives and ideas along with thorough analysis were presented by the experts, allowing for dialogue and rich debate. The Group of 77&China, therefore, invites the Trade and Development Board to adopt the report presented by the chairman that includes the agreed policy recommendations of that IGE.

Mr. President,

The Group of 77 and China emphasizes the need for international development cooperation to achieve the SDGs. That cooperation should be based on internationally agreed principals of national ownership, alignment with national development strategies and systems, harmonization of donor actions, managing for development results and mutual accountability.

Mr. President,

The Group of 77&China emphasizes the importance of the role of Official Development Assistance in financing development for all developing countries, especially the LDCs and structurally vulnerable economies, in view of the existential threat posed by climate change, as a critical source of financing to achieve the Sustainable Development Goals. The private sector can have a positive auxiliary role, however, that role needs to be considered carefully to ensure its alignment with national development priorities, strategies and systems of the recipient countries.

I thank you Mr. President.

Excellency Ambassador Michael Gaffey, President of the Trade and Development Board,
Mr. Paul Akiwumi, Director of the Division of Africa, LDCs and Special Programmes,
Excellencies,
Distinguished delegates,
Ladies and Gentlemen,

1. The Addis Ababa Action Agenda – adopted in 2015 – is ambitious in its scale of action and its coverage of development challenges. It thus calls for the mobilization and provision of greatly expanded financial resources to support the investment and expenditure needed to meet the Sustainable Development Goals. Nevertheless, the Group of 77 and China expresses its concern about the findings contained in the Least Developed Countries Report 2019 of disappointing progress to date on the mobilization and allocation of development finance to the LDCs.

2. Urgent action is needed to ensure that LDCs and other developing countries secure access to the scale of external development financing that enables them to deliver on the targets of Agenda 2030. Both the Addis Ababa Action Agenda and Agenda 2030 emphasize potential new sources of development finance and signal a new and much enlarged ecosystem of development actors in spheres that are traditionally within the domain of public actors. Consequently, interdependence and new means of collaboration are increasingly the norms for the growing pool of development players. The Least Developed Countries Report 2019 explains that this interdependence masks an unequal balance of power and influence between partners. Weaker partners are not autonomous from the sphere of influence and network of advocacy of more powerful ones.

Mr. President,

3. Efforts to mobilize more development finance have resulted in the diversification of financial instruments used in development cooperation including the so-called blended finance methods. The Report describes blending as part of the attempt by donors to create an environment supportive of private sector engagement. It highlights evidence from some LDCs that the concept of blending is not well understood by LDCs nor uniformly conceptualized by actors in development cooperation. A critical first step towards more effective consideration of blended finance is therefore a common definition and methodology for its measurement, and enhanced capacity of LDCs to engage effectively in discussions.

4. The Report finds that among potential sources of external development finance, LDCs remain most dependent on traditional official development assistance (ODA) with its higher levels of concessionally. It predicts that this structural need for ODA will persist into the foreseeable future, simply because realizing structural economic transformation is a precondition for overcoming LDC dependence on ODA. It is also a precondition for LDCs to mobilize increased domestic resources and access progressively more diverse sources of external development finance that are typical of lower concessionality or purely commercial.

5. The Group of 77 and China takes note of the fact that ODA disbursements continue to fall short of donors’ longstanding commitments on LDC development financing. Such disbursements account for just 0.09% of donors’ GNI, well below the target of 0.15-0.20% reaffirmed in Agenda 2030. Moreover, the Group has also taken note with concern of other findings of the report that are of concern to LDCs, namely:

(i) that average growth in ODA disbursements to LDCs slowed from 7% under the Brussels Programme of Action to 2% during the implementation of the Istanbul Programme of Action;
(ii) that other actors in development cooperation effectively compete with the State for access to stagnating flows of ODA; and
(iii) that budget deficits of LDCs widened from 1.7 % of GDP in 2013 to 3.5 % of GDP in 2018, with the increase in domestic tax revenues largely outpaced by sharply rising public expenditures.

6. The Group of 77 and China believes that the LDC report 2019 rightly points to the risks to debt sustainability that the present scenario brings. The worsening conditions of ODA to LDCs and the rapid accumulation of foreign debt are causes of major concern to LDCs, especially in the present context of an either stagnating or deteriorating international economy.

7. In this context, donors have delegated to their Development Finance Institutions primary responsibility for supporting the private sector, using private sector instruments backed by ODA. The Group of 77 and China therefore expresses its concern for the accountability relationships between the different actors in development cooperation led by the private sector. Importantly, Development Finance Institutions report back on their activities directly to the donor while the State, as the recipient, is regularly left outside the accountability processes. The Report emphasizes that private development cooperation has limited impact on domestic entrepreneurship as it is inadequately aligned with national development plans and shows weak links with the local private sector.

8. The Group of 77 and China concurs with the proposal made in Report of an Aid Effectiveness Agenda 2.0, which combines the basic principles of the original agenda with the new realities of a much more diversified number of actors and instruments in the aid scene. Among the former principles, The Group of 77 and China believes that the principles of ownership, alignment and mutual accountability are especially important.

9. LDCs have carried out a major effort of mobilizing domestic resources. This should be rewarded by a corresponding strengthening of donor country efforts in official financing for development. The Group of 77 and China hopes that the process leading to the Fifth UN Conference on the LDCs, to be held in 2021, and the new Plan of Action to be adopted by it will strengthen the commitment of the international community to the development of LDCs. The Group believes that this includes reaffirming existing commitments and implementing new international support mechanisms that accelerate the development of LDCs’ productive capacities and domestic entrepreneurship.

Mr. President,

10. LDCs are in dire need of enhanced support to develop their services sectors. Dependence on commodities, particularly for exports, is a persistent challenge to many LDCs. There are some positive signs in this respect, for example the significant growth in services exports, which contributes to LDCs’ progress towards achieving SDGs 1, 8, and 10. Indeed, recent data shows that in 2018 primary products accounted for 58% of LDC merchandise exports, significantly lower than the 73% in 2011. Also in 2018, LDCs’ exports of commercial services reached US$39.8 billion, their highest level on record, having expanded by 16%, the highest rate since 2012. Nevertheless, the services sector remains inaccurately measured in many countries, partly because capital flight and the reduction in FDI flows has led to a shift to the informal sectors in many LDCs that are focused on services. Paragraph 38 of the Nairobi Maafikano mandates UNCTAD to support LDCs with technical assistance and capacity building, including through services policy reviews. The Group of 77 and China therefore calls for UNCTAD to increase its support to LDCs on services, including through Service Policy Reviews work, and to incorporate a focus on services in their inputs for intergovernmental discussions. The Group believes that better measurement of the services sectors in LDCs is an important first step to contribute to more effective policymaking. Recent discussion at several fora have emphasized the need for economies to re-skill for future work. Yet, LDCs still cannot effectively compete in the current industrial environment, less so in the scenario that is being brought about by the Fourth Industrial Revolution. Services present an alternative or additional path to overcome commodity dependence. In this connection, UNCTAD should assist LDCs in making more comprehensive use of the service waivers accorded to them under WTO, while supporting them to effectively negotiate at the WTO.

Mr. President,

11. To conclude, the Group of 77 and China wishes to commend the high quality of the work of research and analysis on LDCs done by UNCTAD, as well as the pertinence and relevance of the policy options and suggestions presented. Therefore, the Group calls on the strengthening of this work to be one of the elements to be taken up by the upcoming quadrennial UNCTAD Conference, UNCTAD XV. Equally, the Group of 77 and China expresses its wish that UNCTAD plays an active and central role in the process of preparing and holding the LDC V Conference.

Thank you, Mr. President.

Excelencias, distinguidos delegados,
Señor Secretario-General de UNCTAD,
Queridos funcionarios de UNCTAD,

Quisiera iniciar expresando la gratitud de la República del Ecuador por el compromiso y apoyo recibido de parte de los Miembros del Grupo de los 77 y China durante este año en el que hemos tenido el honor de ejercer la Presidencia del capítulo en Ginebra.

A partir de hoy la responsabilidad de guiar el grupo será de nuestros hermanos africanos, bajo cuya acertada conducción y reconocido compromiso con el multilateralismo, participaremos en la XV Conferencia de Comercio y Desarrollo.

Nos gustaría además, reconocer la labor de la Secretaría de la Conferencia de Comercio y Desarrollo y los esfuerzos demostrados por sus más dedicados funcionarios, quienes creen en la UNCTAD y su mandato fundamental.

Asumir la Presidencia del Grupo de los 77 y China fue un honor y un desafío al mismo tiempo. Las circunstancias actuales no brindan buenos augurios para el sistema multilateral. La UNCTAD, nuestra tan valorada organización, sufre los embates de esta tendencia. El Grupo de los 77 y China ha mantenido su compromiso de defender la participación de los países en desarrollo en el sistema multilateral. Durante este año, hemos tenido el gusto de convocar a 30 reuniones a nivel de Embajadores y expertos, además de organizar un taller de dos días para oficialmente iniciar el trabajo de preparación del grupo para la XV Conferencia de Comercio y Desarrollo. Con su venia, el Ecuador ha preparado 18 intervenciones a nombre del Grupo, para las reuniones intergubernamentales en el marco de esta organización.

El Grupo de los 77 y China mantiene el principio de solidaridad vigente. Nunca olvidemos, que el inicio de este grupo está íntimamente ligado a la Conferencia de Comercio y Desarrollo. En esta línea una de las tareas más importante en la que nos hemos embarcado ha sido la preparación del primer borrador de la Posición del Grupo con miras a la XV Conferencia de Bridgetown. Este documento es la expresión de nuestra intención de dotar a la Declaración Ministerial de significativo peso político. Hemos puesto ya en su conocimiento esta propuesta para su revisión y esperamos que tanto ella, como el resultado de todas las reuniones mencionadas guíen los trabajos de nuestra próxima presidencia, la cual seguramente recogerá los comentarios y sugerencias aportadas por Uds. en estos días así como diseñará e implementará la estrategia de negociación que seguiremos durante este año.

Si bien faltan 8 meses aun para la Conferencia y si consideramos que en las dos anteriores ocasiones hemos tenido menos de 6 meses desde que se contó con la propuesta de posicionamiento, es nuestra visión que debemos redoblar el trabajo. Ello requiere el compromiso de todos, reitero, de todos los miembros del grupo. El éxito o fracaso de Bridgetown será responsabilidad nuestra, de nadie más.

Este año – como parte del proceso de preparación – tuvimos la fortuna de recibir en este foro a destacadas figuras en el mundo del desarrollo. Nos acompañó la Directora Ejecutiva de UN Habitat, Maimunah Mohd Sharif, el ex Primer Ministro de Barbados, Dr. Owen Arthur, el Ex Ministro de Comercio de Sudáfrica, Dr. Rob Davies, la Secretaria Ejecutiva de la Comisión Económica Regional de África, Dra. Vera Songwe, los Presidentes del G77 y China Capítulos Viena y Roma, Su Excelencia Embajador Omar Youssef de Egipto y Su Excelencia Embajadora Natalina Edward MOU de Sudán del Sur, entre otras destacadas personalidades.

A nivel individual tuve la oportunidad de participar en World Health Forum organizado por la Shenzhen World Health Foundation, así como fue un gusto aceptar la gentil invitación a colaborar con el proceso de preparación de Filipinas en su camino a Bridgetown. Mención especial merece el cálido recibimiento del gobierno de Barbados a mi visita a dicho país. La invitación recibida fue sin duda oportuna para contar con una visión más comprehensiva de los intereses y posiciones del país anfitrión de nuestra conferencia de este año.

A lo largo de nuestra Presidencia y en el documento de posición hemos tratado de abordar temas con gran valor actual e impacto futuro y sobre los que tendremos que actuar con apego a los valores y principios del grupo. Reitero, siendo fieles al espíritu que nos dio origen. No podemos desviarnos del objetivo primordial de la CNUCYD: tratar sobre temas substantivos en la relación entre comercio y desarrollo.

Es muy cierto que proliferan los espacios en los que se tratan temas económicos y comerciales que afectan a la comunidad internacional, pero no es muy extendido abordar las condiciones estructurales que han permitido y permiten tan solo una marginal participación de los países del sur. No quiero dar lugar a equivocadas interpretaciones: no concebimos el desarrollo como un simple proceso mecánico e impuesto desde afuera. Las condiciones nacionales son primordiales en la profundización de nuestra participación en el comercio global de bienes y servicios. Sin embargo, vemos con desazón como, excepto por muy pocos países, la tan anhelada convergencia con los niveles de vida de los países desarrollados no se ha producido.

En 1964, el enviado ecuatoriano a la primera Conferencia de Comercio y Desarrollo resaltaba que no se podía aceptar las disparidades como un hecho inevitable. En esa primera conferencia los bajos indicadores de crecimiento económico y altos niveles de endeudamiento eran materia de preocupación. Es natural entonces que muchas de las preocupaciones de los países en desarrollo sigan siendo las mismas y por ende vale la pena reflexionar sobre la inmovilidad de los sistemas multilaterales comercial y económico. Aparentemente las narrativas y paradigmas cambian, sin embargo las condiciones de las relaciones internacionales son muy similares para muchos de nuestros países con relación a lo que sucedía hace 6 ó 7 décadas.

En la unidad está nuestra fuerza. No debemos temer nuestra diversidad, sino por el contrario, tenemos que convertirla en nuestra fortaleza. Necesitamos actuar de forma coordinada para frenar el impacto del cambio climático, de la inequidad, de la escasez de inversión productiva y de los crecientes niveles de endeudamiento. Es indispensable el acceso a recursos financieros y tecnológicos que permitan una transición justa. Los retos que tenemos en frente son grandes y la UNCTAD ofrece una oportunidad para hallar alternativas en el terreno de lo multilateral – acaso una de las últimas dentro del sistema internacional que mantiene el desarrollo al centro de nuestras preocupaciones.

Felicito nuevamente al grupo Africano por su empeño en seguir empeñados en esta tarea y agradezco nuevamente a los presentes.

Mr. Chair, Ambassador Javad Amin-Mansour of Iran
Mrs. Isabelle Durant, Deputy Secretary-General of UNCTAD
Excellencies,
Distinguished delegates,
Ladies and gentlemen,

Mr. Chair,

1. At the outset, allow me on behalf of the Group of 77 and China, to congratulate you on your election as Chairman of the 79th session of the Working Party on the Strategic Framework and the Program Budget. The Group is confident that under your leadership the objective of this session will be achieved, and you can count on our full support to this end.

2. The Group of 77 and China thanks to Deputy Secretary-General Durant for her introductory statement and to the UNCTAD Secretariat for organizing this meeting and preparing the “Draft UNCTAD proposed programme plan for 2021 and performance information for 2019” contained in document TD/B/WP (79)/CRP.1, as well as for its availability to answer our queries.

Mr. Chair,

3. We would like to first make some general remarks in order to benefit from the presence of the Deputy Secretary-General. During the informal session we will provide more specific comments in relation to the five subprogrammes for the attention of the relevant Division Director during the informal session.

4. The Group of 77 and China note with concern the trend of decreasing resources for UNCTAD, whereby not only regular staffing has been reduced by some 25 posts over recent years, but also non-post resources have been affected by successive decisions by the General Assembly, including the most recent reductions for 2020 on several lines ranging from 5 to 12.5%. This trend puts in jeopardy the capacity of the UNCTAD secretariat to deliver its mandates effectively. UNCTAD requires sufficient, predictable and stable resources to fulfil its mandate.

5. In this connection, we would like to emphasize the importance of finalizing the terms of reference of the Working Party in order to ensure a more meaningful participation of the Member States in the planning of regular budget resources of UNCTAD. The Group of 77 and China calls on the UNCTAD secretariat to continue to facilitate the ongoing discussions with the relevant officials in New York.

6. Turning more specifically to the document, the Group of 77 and China has some general observations to make:

– We noticed the inclusion of cross-cutting deliverables which are under the authority of the Office of the Secretary-General of UNCTAD, contained in Section D. of the Overall Orientation. The Group would like to have some clarification as to whether this is a comprehensive list of the cross-cutting activities of the UNCTAD secretariat and whether these deliverables are in addition or as a complement to those contained in the Programme of Work section.

– Further on the section Overall Orientation, the Group notes with concern the use of some concepts that do not fully reflect the views of its members. For instance, in paragraph 2 the document refers to the work of UNCTAD to “promoting development centred globalization”. This raises the question as to whether there is an agreement about UNCTAD role promoting globalization as an exclusive road to development. The document should better refer to meaningful concepts present in the developmental multilateral discussions. The group of 77 and China proposes a reformulation embracing the urge to “reduce inequalities” the theme of the high-level segment of the most recent Annual Session of the Trade and Development Board and many relevant debates in Geneva and New York.

– Also, some parts of the Overall Orientation are written in a repetitive manner and could thus be streamlined, for instance paragraph 12. We will make some specific suggestions about this.

– The choice of “stories” or highlighted results seems to have taken place in a fragmented or uncoordinated manner. Some subprogrammes take a very narrow focus of one specific narrow output, such as a specific training, while others take a wider view of a collection of outputs across several pillars. Also, the focus of the current document result stories seems to be heavily biased towards technical cooperation and UN. While we understand it might be easier to demonstrate results in this area, we must not forget UNCTAD is not a technical cooperation agency and the work done under the other two pillars of the organization is fundamental.

– The Group of 77 and China would like to understand if there is an internal arrangement – not reflected in the presented programme- to guarantee the participation of the Subprogram 2 in the forthcoming XV Conference of Trade and Development. The scarce resources have been concentrated in the celebration of the World Investment Forum, marginalizing the allocation of resources to UNCTAD XV. This is not acceptable.

Mr. Chair,

7. The Group of 77 and China understands that document before us follows a format that responds to the needs and guidance of the General Assembly, the Fifth Committee and related bodies in their work considering the overall programme plan and budget of the United Nations. As the document and the related process is set in such a manner, the Group would like to express its reservations about the ability of the discussion we will have in this Working Party session to “check the box” of Member States’ oversight of the work of the UNCTAD secretariat. Therefore, the Group would like to reiterate its call for setting up a separate mechanism to ensure more comprehensive oversight by Member States, for instance through an annual report specifically geared to the oversight needs of Member States.

8. The Group also notes that this programme plan covers a period that is beyond our next quadrennial conference, to be held later this year in Bridgetown. The Group of 77 and China would like to reiterate the importance of the Conference as a space to take stock of the achievements and shortfalls in the implementation of the Nairobi Maafikiano and of the Sustainable Development Goals, and also to discuss recent developments and long-term trends in the area of trade and development. The Group would therefore like to put on record its understanding that the programme plan for 2021 will have to be reviewed in the TDB after UNCTAD XV in order to adjust it to the mandates adopted in Bridgetown.

Mr. Chair,

9. The Group of 77 and China, once again, appeals for a balanced funding in all UNCTAD’s pillars. UNCTAD has always been strongest when it delivers on its core work. Conversely, it has also been our experience that UNCTAD is weakest when it strays from its original path of addressing the fundamental issues and problems of development. The Group of 77 and China trusts in the commitment that member States and the Secretary have towards the obligation to preserve the original aim of UNCTAD.

10. Please receive this document with the specific language suggestions to section I. Overall Orientation of the “Proposed programme plan for 2021 and programme performance for 2019”.

Thank you very much.