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What's happened since 2005 – government action and inaction

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What's happened since 2005 - government action and inaction

In 2005 , MAKEPOVERTYHISTORY called for trade justice, debt cancellation and more and better aid. So what happened and what more needs to happen?

Campaigns

Promises and Reality

Stand Up Against Poverty – Keep Your Promises

Background
In 2005, eight million people in the UK wore a white band, more than half a million people sent a white band email to Tony Blair, and around the UK local groups and activists wrapped buildings in giant white bands or formed human white bands. People from all walks of life took part: trade unionists, faith groups, young people, older people, community groups and NGOs.

And, although far from all we wanted to make poverty history, some progress has been made: the G8 pledged $50 billion more aid, debt cancellation for up to 42 countries and access to affordable treatment by 2010 for people with HIV/AIDS. This would not have happened if you had not taken action.

However, the increased aid and debt cancellation promised by the G8 have yet to be delivered in full, and more is needed. Rich countries are denying trade justice to poor countries. There was little movement on trade and none on the key trade union demand for trade rules to not undermine fundamental workers rights. There’s still a long way to go to make poverty history. People and organisations, including the TUC, across the UK continue to campaign against poverty and to keep up the pressure on the UK and other governments to do more.

Global Month Of Action
The Global Call to Action Against Poverty (the umbrella coalition of all 84 coalitions working on global economic justice) was heldbetween 14 September 2006 and 17 October 2006. The global theme for the month was “Stand Up Against Poverty” when we will be asking world leaders to keep their promises made in 2005 and to do more. During the month, there will be events and actions taking place around the country but there are also two specific global moments of action:

  1. 15 – 16 October saw a breathtaking 23 and half million people in more than 100 countries around the world set a new Guinness World Record for the largest number of people to 'STAND UP AGAINST POVERTY'. Read more
  2. 17 October (World Poverty Day) was Global White Band Day Four. All around the world people will be wrapping buildings in white bands and wearing their white bands to show their solidarity with people in developing countries. You can still buy white wrist bands from www.tuc.org.uk/whiteband

Trade Justice: Trade talks

What rich country governments promised : The present round of world trade talks, launched in Doha, Qatar in 2001, was supposed to have development concerns at its core. The World Trade Organisation (WTO) Ministerial meeting in December 2005 was last year's final chance to progress a just trade deal for the world's poor. In unprecedented numbers, citizens across the world called on rich countries at the WTO to stop pushing poor countries to open up their markets against their will and to end export dumping that damages the livelihoods of poor people.

But the potential for justice for the world's poorest people was squandered. The 2005 WTO Hong Kong meeting failed to deliver the trade justice deal needed to make poverty history. The G8 in Gleneagles had said a world trade deal that favoured poor nations should be agreed. Yet the intransigence of rich countries meant the partial agreement that was reached was far from just for the poor of the world. Promises were betrayed.

What's actually happened : In 2006, the greed and selfishness of rich nations has continued, to the point that the present round of world trade talks collapsed in July. The crisis at the WTO has resulted in these talks being suspended.

The aggressive positions of the European Union (EU) and the US have made it certain that there will not be a world trade deal that will help make poverty history at the WTO in the foreseeable future. The responsibility for the WTO failing the world's poor rests with the governments of rich countries. They have not shown the political will to deliver trade justice and make trade work for poor people.

Read the TUC's response to the collapse of the WTO trade talks

What's still needed : The Trade Justice Movement is again calling on the UK government and its partners in the EU to stop the push for developing countries to open their economies and to truly respect their right to decide on trade policies that will help them end poverty.

Trade Justice: Right Corporate Wrongs

What the UK government has been called to do: In 2006, the UK government has a unique opportunity to act on its promises to make poverty history. New laws on companies are being made in Parliament right now . The legislation - originally called the Company Law Reform Bill, now renamed the Companies Bill - is this country's chance to make UK business fit for the 21st century and make laws that stop big business profiting at the expense of people and the environment (one of the key demands of Make Poverty History last year).

At present, UK companies are only accountable to their shareholders for delivering profits. There is no requirement for them to take steps to protect the health, environment, and livelihoods of poor communities around the world who are affected by their operations.

The Trade Justice Movement is calling for the UK government to back amendments to the Company Law Reform Bill so that:

  • companies are legally required to report on their social and environmental impacts
  • company directors are legally obliged to minimise any damage their company does to local communities and the environment
  • people overseas who are harmed by the activities of a UK company are able to take action against them in a UK court

What's actually happened: Under the Company Law Reform Bill, which entered Parliament late in 2005, companies would still be run in the interests of shareholders. However, directors' duties have been amended to make clear that in serving shareholder interests directors are required to have regard to the interests of employees, social, community and environmental impacts and the long-term impacts of their decisions. Quoted companies are required to report on their employees, environmental matters and social and community issues.

We would like the legislation to strengthen directors' duties still further and extend the requirements to report on employees, environmental matters and social and community issues to all large and medium sized companies. Thanks to your emails, letters and visits to MPs, the Right Corporate Wrongs campaign now has widespread support in Parliament. MPs have not yet voted on proposed amendments but campaigning and lobbying has resulted in small improvements in the drafts of the legislation, for example on how companies will have to report on what they do. Yet there is still a long way to go if this country is to have trade justice laws on corporations. The Global Month of Action is the key time to make sure politicians strengthen company law and vote in favour of making companies respect the rights of people and the planet.

What's still needed : The UK Government and MPs of all parties must look again at their positions on corporate accountability and improving the impacts of companies on communities and the environment. The Government has not been ambitious enough in making business work for people and planet.

MPs come back to Parliament on 9 October. Soon after, the Company Law Reform Bill will come back to the House of Commons as the Government wants to get the legislation passed by early November in time for the state opening of Parliament on 15 November. We need to have one last big push from early September through to Global White Band Day on 17 October. Your MP will have the opportunity to vote to strengthen the rules on UK companies to make them more accountable for their impacts. Make sure they do.

Take Action: Contact your MP and call on them to support our campaign for laws that stop big business profiting at the expense of people and the environment. You can email your MP and/or arrange a face-to-face meeting. You will find everything you need and more information on the Trade Justice Movement website: www.tjm.org.uk

Debt cancellation

What the G8 promised: That it would cancel most of the debts of some of the world's poorest countries were paying to the International Monetary Fund, World Bank and African Development Fund. This meant some debt cancellation for 21 countries in 2006 with up to another 21 countries eligible to benefit in future.

What's actually happened : This debt cancellation has started. Countries like Zambia and Tanzania have begun making use of the money released by debt cancellation. This has included providing emergency food supplies in the face of drought, hiring more teachers and making healthcare available without charge.

What's still needed: If debt cancellation is to be really effective, more debts and more countries must be included. The G8 debt deal didn't include important creditors like the Inter-American Development Bank and the Asian Development Bank, and didn't include countries like Kenya and Indonesia, which also urgently need debt cancellation. In total, the G8 deal cancelled only about 10% of what is needed.

There must be an end to the damaging conditions attached to debt cancellation. The UK must put more pressure on the World Bank and IMF to make this happen, including by withholding funding (and giving it to poor countries by other means) until there is an end to these conditions. Campaigners will be asking their MPs to write to the Secretary of State for International Development, Hilary Benn MP, about this during the Global Month of Action.

In addition, the current system for dealing with debt is one-sided and unfair: instead there should be a new process that is focused on justice, meets the needs of the poorest people, allows debtor nations a proper voice and recognises that creditors also have responsibility for the debt crisis.

For more information and actions visit: www.jubileedebtcampaign.org.uk

More and better aid

What the G8 promised: A n extra US$50 billion (£27 billion) in aid a year by 2010, with half going to Africa, and which would make a real difference to the lives of people living in poverty.

What's actually happened: D espite headline figures much of the aid increase in 2005 was accounted for by debt relief, mainly for Iraq and Nigeria. While debt relief is vital for fighting poverty, developing countries need both debt cancellation and more and better aid.

What's still needed: F or the G8 aid promises to have a real impact on improving the lives of the poor, the UK and other donor countries must ensure that debt cancellation is additional to increased aid. More aid must also be accompanied by further changes in the way it is delivered, to ensure that money is spent on poverty reduction, is fully untied, is aligned to developing countries' needs and priorities and is free of harmful economic policy conditions. In particular, rich countries must press the World Bank and IMF to stop imposing economic conditionalities such as forced liberalisation and privatisation on developing countries.

In addition to delivering aid promises, there is a need to reform the International Financial Institutions that govern multilateral aid flows. The World Bank and the International Monetary Fund (IMF) should be truly democratised, by making them more transparent, opening up their leadership selection, giving a greater say to developing countries and ensuring parliamentary oversight of their activities.

HIV/AIDS

What the G8 promised: A s close as possible to universal access to treatment for all those who need it by 2010.

What's actually happened: The response has neither matched the extent of the crisis nor the commitments made. Although access to treatment has been rising steadily over the last two years, only 1.3 million people in the developing world are receiving antiretrovirals (ARVs) - far short total of the 6.5 million who need them urgently. Only 5% of the estimated 700,000 HIV positive children in need of treatment are receiving it - and the majority of those are in the developed world. Inadequate funding seriously threatens the Global Fund's ability to make urgently needed new grants, while significant barriers remain to accessing cheaper generic medicines.

What's still needed: Countries including the UK need to work far harder to achieve the massive scale-up efforts needed to realize universal access by 2010, and ensure children are included in national and international treatment targets. Specifically, they need to:

  • Ensure that $20 billion is made available each year to finance universal access, including full funding of the Global Fund, and that IMF and World Bank-imposed macroeconomic policies do not prevent investment in health infrastructure.
  • Provide financial, technical and political support to ensure that new lines of generic medicines - particularly for the patented brands Kaletra and Viread - are available for use by the G8 in 2007, and all barriers to their production, export and import are overcome.

Lead international efforts to ensure a massive scaling-up of health systems, free at the point of use, including a comprehensive strategy to train, support and retain health workers.

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