Statement by
Mr. Darmansjah Djumala
Minister Counsellor
Permanent Mission of the Republic of Indonesia to the United Nations
Before
The Second Committee
of the 58th Session of the General Assembly
On
Agenda Item 100:
Globalization and Interdependence

New York, 11 November 2003

Mr. Chairman,

Let me begin by thanking the Secretary-General for his detailed report on the item before us. My delegation also fully associates itself with the statement made by the distinguished representative of Kingdom of Morocco on behalf of the Group of 77 and China.

Mr. Chairman,

In spite of the different levels of development and wealth between developing and developed countries, there has been a relentless advance by human kind towards globalization, made possible by spectacular progress of Information and Communication Technologies. In all of this, the United Nations has played a critical role. As the premier multilateral organization, it has been a unifying force creating a sense of global citizenship and identity. Through the UN system, the world has been allowed to respond in an integrated manner to the complex and interrelated issues that shape the modern world.

As a result of the process of globalization, the modern world has become closer, giving rise to the concepts of "the global village" and "the borderless global economy". In such a world, the interdependence of nation States has become an unavoidable feature of international relations. However, while globalization produces energy and permits cooperation for commonly shared benefits, it also creates conditions that hinder the development of many States, especially of developing countries.

Mr. Chairman,

Globalization is a fact of life; it is indeed an unavoidable process of contrasts, bringing both positive and negative impacts. To avoid the harmful consequences, Indonesia has always believed that globalization must be better managed to function as a positive force to benefit all. Without the active cooperation, support and political will of both developed and developing countries, the globalization process will be poorly managed and this could deepen inequalities between countries and limit the benefits of prosperity to a few. On the other hand, once it is properly managed it could lead to sustained world economic growth as well as to international financial stability.

In pursuing the goal of a well-managed globalization process, it is clear that international cooperation policies must be fleshed out within a multilateral framework born of global partnerships. Towards this end, and especially as a means of promoting the achievement of the MDGs, implementation of the Monterrey Consensus and the WSSD, Indonesia urges that full use be made of the multilateral forums of the UN system to bring into being development-friendly trading and financial systems, sensitive to the needs and concerns of the developing world. Consistent with this approach, there ought to be closer collaboration between the UN in particular UNCTAD, the WTO, the Bretton Woods Institutions, and relevant stakeholders to ensure that trade fulfils its promise as an engine of growth with the power to eliminate extreme poverty and create the enabling environment for prosperity in the developing world. Another approach to pursue the benefits of globalization is through partnership initiatives with the engagement of the private sector, non-governmental organization and civil society. Such partnerships are pertinent to our efforts to maximize the opportunities and mitigate the negative economic and social consequences of globalization. The initiatives taken under the process of WSSD, for instance, we believe are the right steps in that direction. Finally, the issue of capacity building for developing countries is imperative in order to effectively engage and overcome the challenges of globalization. In this regard, support from the international community needs to be strengthened.

Mr. Chairman,

As many approaches are being pursued to improve the nature and impact of the globalization process, acts of good faith and assurance to implement what was agreed by recent major UN conferences and summits are critical in this regard. Studies have been conducted demonstrating that developing countries need an additional $50 billion annually for their development in order to meet the targets of MDGs by 2015. We therefore urge developed countries to increase the provision of ODA to 0.7% of GNP to developing countries to assist their efforts to accomplish the MDGs. There should also be decisive acts to forgive and eliminate unsustainable debts burdening poor developing countries as these significantly reduce the ability of governments to provide the stimulus to promote economic growth to a sustainable level. Apart from these, we also believe that FD! to developing countries should be increased in this connection. Incentives to transnational corporations to invest in developing countries needs to be encouraged by developed countries. As the developing countries struggle with insufficient ODA and FD!, it is unfortunate that they cannot expect any great relief through genuine free and fair trade. The constraints to free trade are well known and do not bear repeating. We therefore take this opportunity to call on developed countries to quickly remove obstacles to free and fair trade, as recommended by the Doha Development Agenda.

Mr. Chairman,

There are other areas of the globalization process that demand attention to make certain it serves the best interests of humanity. Global challenges --including the digital divide, transnational organized crime, corruption, the complex problem of international migration, and environmental degradation-- require immediate and sustained action.

With regard to ICT, the issue of access, transfer of technology and the technological innovations are among the concerns that need to be addressed in order for developing countries to benefit from ICT in the process of globalization. These problems obstruct the full flowering of the information society . throughout the world, and as a consequence of them, Indonesia welcomes the two-phase World Summit on the Information Society in 2003 and 2005 intended to harness ICT to realise Millennium Development Goals.

Indonesia is also happy that the Convention against Transnational Organized Crime has already been adopted and the Convention against Corruption will soon be. These Conventions put criminals on notice that they can no longer exploit the legal weaknesses of the global system to escape justice and to secure their illicit gains.

In the broader context of globalization, the issue of international migration demands greater attention both to the problems and benefits derive from such activities. Indonesia therefore is keen that an international conference should be convened to discuss multifaceted aspects linked to international migration.

Finally, Indonesia shares the view that environmental degradation does not stop at national borders and therefore requires international cooperation to promote sustainable production and consumption patterns as well as transfer of environmentally friendly technologies. Indonesia therefore urges all countries to implement the outcomes of WSSD in order to support regional and national initiatives in this regard.

In conclusion, Mr. Chairman, I would like to re-empahsise that to benefit from the process of globalisation, it is inevitable that it will have to be properly for all managed using a multilateral framework, based on mutual interests and benefits, shared responsibilities and genuine interdependence. In this way the positive dynamics between technology, finance and trade are maximised to ensure progress towards the achievement of MDGs.

Thank You