/ 13 June 2005

Brown urges rich countries to act now

Britain’s Chancellor of the Exchequer Gordon Brown on Sunday night called on the rich countries of the West to match words with action as he hailed pledges by the G7 on debt, aid and trade as a major breakthrough in Britain’s campaign for Africa.

Brown said the significance of the package agreed by the finance ministers of the G7 — G8 countries minus Russia — in London on Saturday went far beyond the $1-2-billion of debt relief offered to the world’s poorest countries, and included promises of $25-billion of extra aid, a timetable for dismantling protectionism and treatment for all HIV/Aids sufferers by 2010.

Speaking to the Guardian, Brown said: ”With 25 days to go until the Gleneagles summit, now is the time to build on the decision to write off 100% of debts owed to the World Bank and the International Monetary Fund, to double European aid and to ensure the treatment of all Aids sufferers. People will look to all of us to match words with action and to set a timetable for delivery.”

British Prime Minister Tony Blair will press home the need for action on Africa in meetings over the next two days with President Vladimir Putin of the Russian Federation, President Jacques Chirac of France and Chancellor Gerhard Schröder of Germany, but the government is increasingly confident that its aid, trade and debt relief agenda for 2005 can be achieved.

Brown said the issue was no longer whether rich countries could provide a package big enough to speed up development in the world’s biggest continent, but how quickly it could be delivered.

The UK — which has made Africa one of the twin themes of its G8 presidency — is now increasingly hopeful that the Gleneagles summit will sketch out a plan for action, with rich countries providing financial help, poor countries agreeing to stamp out corruption and the reform of international institutions, such as the World Bank and the IMF.

Five African leaders will also press United States President George Bush on Monday to increase aid in talks at the White House. The five leaders John Kufuor of Ghana; Tandja Mamadou of Niger; Festus Mogae of Botswana; Armando Guebuza of Mozambique; and Hifikepunye Pohamba of Namibia; tell Bush that they have shown a commitment to improved government; better economic management; and pluralism; and so deserve Western support.

The upbeat mood in Whitehall followed the agreement to wipe out the $40-billion of the debts owed by 18 of the world’s poorest countries to the World Bank and IMF, an amount that could rise to over $50-billion in 18 months’ time.

Bob Geldof, who is organising the Live 8 concerts next month just ahead of the G8 summit in Gleneagles, agreed: ”This is already a victory for the millions of people in the campaigns around the world and for Gordon Brown personally.”

Campaigners welcomed a commitment by EU countries to increase their aid flows to 0,51% of national income by 2010. Romilly Greenhill of ActionAid, said: ”G8 leaders should announce an increase in aid to 0,7% of national income by 2010 and commit to stop forcing poor countries into failed policies such as privatisation. G8 countries must work for Africa not against it.”

Brown said several countries would continue to work on his proposal for an International Finance Facility which would frontload aid by selling bonds on international capital markets. Although opposed by the US, Germany and France pushed the idea of financing the bond interest payments by a tax on airline tickets. – Guardian Unlimited Â