Mr. President,

It is with great pleasure that I extend my Delegation's heartfelt congratulations to you on your election to the Presidency of the 51" session of the General Assembly. We are deeply gratified to see an eminent representative of a brotherly neighbouring country and fellow member of the Association on Southeast Asian Nations (ASEAN) preside over our sessions.

Your election to this high office is also a well-deserved recognition of your personal qualities and professional accomplishments as well as of the role and stature of Malaysia in'regional and global affairs. May I also extend our felicitations to your predecessor, H.E. Mr. Diogo Freitas do Amaral of Portugal, for so ably chairing the historic 50' session.

Let me avail myself of this opportunity to pay tribute to our esteemed Se'cretary-General, H.E. Dr. Boutros Boutros-Ghali, on his many accomplishments, his untiring efforts in the cause of peace and development and the sagacity with which he is steering the Organization during these challenging times.

Mr. President,

During the commemoration of the 50th Anniversary of the United Nations last year, we noted a resurgence of hope and optimism in the international community as we reviewed the achievements of the world Organization in spite of the many constraints that it has been saddled with. We renewed our determination to strengthen the UN and- rededicated ourselves to the vision of world peace that inspired its founding as well as the ideals and principles enshrined in its Charter.

That act of rededication was timely and necessary. For since the demise of the Cold War, the world has been in the grip of massive changes that have given rise to new challenges and contradictory trends in international relations. At the same time, new vistas have emerged and a deepening sense of interdependence has prompted nations to devise more realistic and mutually beneficial patterns of cooperation.

Yet, while these developments have revived expectations of a more peaceful and secure world, the acute reality is that our planet is still far from being a peaceful place. Violent conflicts continue to embroil many regions of the globe. Nation-states and international institutions are frantically struggling to adjust to drastically changed and changing political and economic circiimqtances. Weapons of mass destruction still pose a potent threat of worldwide catastrophe. In view of all these, it is no wonder that, after a momentary resurgence of hope, we are again being overtaken by a sense of, frustration and common vulnerability.

The primordial challenge of our time, therefore, is to devise a more effective system of global governance in order to manage the demands and the vicissitudes of globalization and' interdependence. As emphasized in a statement recently issued by 16 Heads of State or Government, including the President of Indonesia, nations should rise from their inunediate concerns, focus on their common long-term interests and break new ground. Constructive initiatives are needed and multilateralism has to be reasserted and strengthened. Not even global cooperation, however, can meet the needs and expectations of people without a stronger United Nations to give coherence to such cooperation. World governance, therefore, to be effective and acceptable to all, must be fashioned with the United Nations as its principal mechanism and source of legitimacy. The revitalization of this international institution,, through a comprehensive process o restructuring and- democratization of its major organs and functions, has therefore become imperative.

It is of piv otal importance that the General Assembly, the highest deliberative and decision-making organ within the United Nations System, should function effectively. Indeed, the strengthening of the role of the General Assembly is a basic premise of the current process of UN reform and revitalization.

Just as crucial is the reform of the Security Council so as to reflect contemporary realities and to accommodate the interests and concerns of developing countries which comprise the overwhelming majority in the Organization. It is an anachronism and a gross anomaly that Europe is over-represented, Asia under-represented and Africa and Latin America not represented at all on the Council's roster of permanent members. In our view, new permanent members should be chosen on the basis not only of equitable geographic representation but also of such criteria as political, economic and demographic weight, their capability and proven track record of contributing to the promotion of peace, security and development both regionally and globally and their commitment to assume responsibilities inherent to permanent membership.

The ECOSOC is now being revitalized so that it would have a more dynamic relationship with the General Assembly and other UN bodies. Yet, regrettably, it is still unable to effectively fulfill its crucial role, notably in helping UN members adjust to the complex demands of globalization. The reforms and adjustments that the ECOSOC is undergoing should be further strengthened to enhance its cooperation not only with other UN bodies but also with such important international agencies as the Bretton Woods institutions.

But all these efforts to revitalize, reform and democratize the United Nations will come to naught if in the end the United Nations is paralyzed by financial insolvency. If the current fumcial plight of the UN continues-and it will continue so long as certain major member states refuse to remit their legally obligated contributions-there is a real danger that peacekeeping operations will collapse and many endeavours to maintain peace and security will be compromised. The very functioning of the United Nations itself could be severely undermined and the purposes of the reform process seriously jeopardized. No organization can be reformed by saying it. Ironically, the countries that are pressing the hardest for cutbacks and reforms have themselves refused to finance the new austerity budget. For more than five decades, the United Nations and related institutions have been engaged in an inunense array of activities that touch every aspect of people's lives all over the world. If those vital, activities, too, must be terminated because of the Organization's insolvency, that would constitute an enormous human tragedy.

Mr. President,

Nuclear arsenals of enormous destructive power continue to pose a threat to all life on earth. We believe that the time has come for the Conference on Disarmament to establish a special conunittee for negotiations on a progranune of nuclear disarmament and the ultimate elimination of all nuclear weapons within a definite time frame. In this regard, it is my hope that the recent advisory.opinion of the International Court of Justice on the illegality of the threat or use of nuclear weapons will serve as a catalyst toward this end.

To the cause of nuclear disarmament, the ten countries of Southeast Asia recently made 'a substantive contribution. During the historic Bangkok Sunu-nit of ASEAN, the seven ASEAN Leaders, together with the Leaders of Laos, Cambodia and Myamnar, signed the Treaty on the Southeast Asia Nuclear Weapon-Free Zone (SEANWFZ). ASEAN is now working for the Treaty's early entry into force. We hope that the nuclear powers will soon endorse the Treaty by acceding to its protocol. Thus, with the conclusion of Treaties for nuclear-weapon-free zones, in Southeast Asia and Africa along with the Antarctic, Rarotonga and Tlatelolco Treaties, a large segment of the Southern Hemisphere should become free of the nuclear menace. As to chemical weapons, I am pleased to inform the General Assembly that Indonesia is now at the final stage of the process of ratifying the Chemical Weapons Convention.

Another positive development has been the signing a few days ago of the Comprehensive Nuclear Test Ban Treaty (CTBT)-after two and a half years of arduous negotiations in the Conference on Disarmament. Indeed, for the past three decades the international community unceasingly stressed the need for a CTBT in the endeavour to stem the horizontal and vertical proliferation of nuclear weapons.- The treaty outlaws nuclear test explosions by all states in all environments for all. time, ensures that the ban is effective and. verifiable and provides new ground for the realization of the objectives set by the 1995 Review and Extension of the NPT. But, having become a reality through broad compromises, the treaty is still a far cry from the CTBT long-envisioned by the international community. It still allows the most sophisticated form of, nuclear weapon-testing: -simulation. In a strict sense, therefore, it is not truly comprehensive. Neither does it directly address the issue of nuclear disarmament. But it does limit the nuclear arms race by making it more difficult for countries.to develop- or improve their arsenals. Moreover, humankind cannot afford to dispense with a CTBT, imperfect as it may be. Our collective experience in the disarmament endeavour has been that if we pass over an existing opportunity in favour of a better one that is yet to be, we suffer a costly delay, and possibly an irretrievable setback. Having signed the treaty on that basis, Indonesia fervently hopes that it will eventually be supported by the entire membership so that it will become an effective instnnnent to move toward the total elimination of nuclear weapons.

Mr. President,

Focal points of conflict still persist in many parts of the globe. In the Middle East, the peace process is on the verge of collapse as a highly volatile and explosive situation in the Israeli-occupied Arab territories threaten to once more engulf the region in all too familiar violence and bloodshed which we had hoped had become part of the past. Israel's provocative action of opening a new entrance to the tunnel along the western wall of the al-Aqsa Mosque, has triggered a violent confrontation resulting in death and injuries to scores of civilians. Further aggravating the situation is the unprecedented armed clash between the Israeli army and the Palestinian police. These are but the latest manifestations of a rapid deterioration of the situation due to Israel reneging on its previous commitments and its blatant backtracking on its obligations under the 1993 Declaration and subsequent agreements. Israel must be prevailed upon to honour the Declaration and its subsequent agreements and to resume negotiations in'eamest on the remaining issues and the final status of the occupied temtones,, including Jerusalem. Once again we emphasize that progress on the Israeli-Syrian and Israeli-Lebanese tracks of the negotiations', attended by unconditional withdrawal of Israel from the Syrian Golan Heights and southern Lebanon, constitute a conditio sine qua non to comprehensive and lasting peace in the region.

The recently held elections in Bosnia-Herzegovina, madepossible by the cessation of hostilities as a result of the Dayton Accords and the Paris Peace Agreement, have brought the country nearer to reconciliation and paved the way for the creation of durable national institutions. We are concerned, however, that especially in the Serb-held areas, the results of the election may lead to the legitimizing of ethnic.separation. It is therefore incumbent upon the international connnunity to ensure the unity and territorial integrity of Bosnia-Herzegovina as a multicultural, multi-ethnic and multi-religious society. For the Peace Agreement to be implementable, obstructions to freedom of movement must be removed and refugees allowed freely to return to their homes. Bosnian Serb leaders must yield their illicit control over segments of the population and territory of the country. The parties to the Peace Agreement must ensure that those indicted by the International Tribunal are brought to justice

In the Gulf region, we have recently witnessed unilateral military action by extra-regional powers interfering with the internal Affairs of a member state of the United Nations. My Delegation wishes to reiterate its firm commitment to the sovereignty and territorial integrity of states, in this case Iraq. Actions that are inconsistent with these basic norms and principles of inter-state relations which are enshrined in the UN Charter,, are clearly unacceptable. I should also like to seize this occasion to urge Iraq to comply fully with all relevant Security Council resolutions.

Earlier this month, almost a quarter of a century of conflict in the southern Philippines came to a peaceful end with the signing of a peace agreement between the Government of the Republic of the Philippines and the Moro National Liberation Front, with Indonesia serving as facilitator on behalf of the OIC Ministerial Committee of the Six. This positive development which will bring peace and prosperity to the soutlem Philippines, also constitutes another important step toward the realization of a politically stable, socially cohesive and economically progressive Southeast Asia that is increasingly able to deal with its own problems in its own way.

Mr. President,

We are now living in an era of globalization and interdependence -an era replete with challenges but also full of promise. How it came about is no mystery: it had been creeping on us for quite some time, the consequence of rapid advance in science and technology, particularly in communications and transport. The end of the Cold War and the dismantling of the barriers of bloc politics and ideological contention unleashed the full force of globalization. Since then global trade and production have been boosted to new heights while goods, people and capital are moving from one country to another more freely than ever. G lobalization has thus raised the hopes of humankind with visions of a new world of opportunities and more equitable prosperity. These hopes are not without foundation. In a global economy that.is gradually recovering from recession, the developed countries, according to the 1996 Economic and Social Survey, have shown average GNP growth rates of two percent. The developing countries have registered a significant six percent growth while -the economic dynamos of East and Southeast Asia have been credited with a stuming eight percent growth. These are the trade-driven economies that have benefited most from globalization.

Yet, thee apprehensions on globalization are equally justified. In an external environment over which developing countries have very little control, globalization could widen the prosperity gap -between the developed -and the developing countries. The fact that globalization can also lead to disaster was demonstrated not too long ago when the global operations of financial markets led to instability and volatility that sent shock waves through the monetary systems of developing countries. In their effort to integrate themselves into the global economy, many developing countries have found it necessary to make structural adjustments that too often entailed exorbitant social and human costs. Moreover, globalization has not mitigated and may have, on the contrary, exacerbated the inequities and imbalances in international economic relations. Bereft of a favourable external envirorunent for their national development efforts, many developing countries continue to languish in poverty, backwardness, stagnation and even negative econonuc growth. Every year, 13 to 18 million people, mostly children in, developing countries, die from hunger and poverty-related causes. Meanwhile, the developing countries remain marginalized from the international decision- making processes that would fashion global solutions to the global economic problems that afflict them.

The poignant experience of the past three and a half decades teaches us that these problems cannot be solved through palliatives and piecemeal reforms. Since the major problems -of development are global in nature, they can only be effectively dealt with through a new global partnership for development involving all countries,, both of the developed North and the developing South, on the basis of mutual interest and equitable sharing of benefits and responsibility.

Mr. President,

It has been more than two years since the successful conclusion of the Uruguay Round of multilateral negotiations, but the promise of an equitable, transparent and rule-based multilateral trading system as embodied in the World Trade Organization (WTO) is yet to be realized. Moreover, we are alarmed at the tendency of some developed countries to resort to a new form of protectionism in the guise of linking labour standards and other social and environmental concerns to trade. Such efforts will not only denigrate the developing countries, it will also ultimately debilitate the WTO itself. We therefore call upon all trading partners to refrain from overloading the agenda of the first Ministerial Meeting of the WTO in Singapore this coming December with issues extraneous to trade. Let us together nurture the WTO as the guardian of a predictable non-discriminatory multilateral trading system and the guarantor of the rights of the weaker -trading. partner against unilateral and arbitrary actions by the strong.

In this context, we share the concern expressed by the international community at the practice of some countries of promulgating national laws with extra-territorial application that adversely impacts on the legitimate interests of other countries. We cannot accept the imposition of the law of the strong in place of dialogue and negotiation. No one country, no matter how powerful, should be allowed to unilaterally regulate the lives of other sovereign countries.

The biggest single deterrent to development in many of the world's poorest countries is the crushing effect of their debt burdens. Their national development has been hampered by their efforts to meet their debt servicing obligations while the stocks of their debt remain unpayable. Indonesia has long advocated a set of principles for managing the debt problem which includes a "once-and-for-all' settlement of the debt problems of developing countries, including multilateral debts, as well as the cancellation of debts of the most severely affected, low -income developing countries. In this context, we welcome and support the joint proposal of the World Bank and the International Monetary Fund (IMF) which offers effective alternatives for reducing the overall debt burdens of heavily indebted poor countries (HIPCS) to sustainable levels. While this initiative could be further refined, it is Indonesia's fervent hope that at the joint meeting of the World Bank and the IMF being held today, this proposal will fuly receive the support that it needs and deserves from the developed countries.

Mr. President,

Social development and social justice remain an elusive dream for millions of impoverished people throughout the world. Indonesia shares that dream and abides by the commitments it assumed at the World Sununit on Social Development in Copenhagen and the Fourth World Conference on Women in Beijing, both of which were held last year. We have, indeed dedicated ourselves to the proposition that people should not only be the beneficiaries of development but should also be given all the opportunities to become the authors of their own development. At the same time, through concrete and concerted international action, we should address the problem of the global trade on illicit drugs and other forms of transnational crime. Above all, we must continue to address the problems of poverty and underdevelopment and we must fully conunit ourselves to genuine partnership.

Mr. President,

This century which is about to end will perhaps be remembered for both the cruelty of its wars and the tremendous achievements that it has seen in science and technology. But it is not for these that we should be proud of it. To my mind, what makes this century particularly special is the fact that it is during this time that the human race began to really nurture the idea that poverty is not an inevitable part of the human condition, that it can be conquered and wiped off the face of the earth. We have the natural resources and the mental and organizational capacity to succeed at it. The question has always been whether we have the political will to do it, whether we are concerned enough and enlightened enough to form an equitable global.partnership for development, for a concerted struggle against poverty that will give a deeper and brighter meaning to globalization and interdependence. The answer, I believe, is largely in the hands of this General Assembly.