Finance Ministers support aid report

Press, Volume CXV, Issue 33933, 28 August 1975, Page 2

Finance Ministers support aid report

f.V /. r A Renter—Copyright) GEORGETOWN (Guyana). August 27. The Commonwealth Finance .Ministers enter l their second day of ; talks at Georgetown today with broad support emerging for most proposals in the Mclntyrej Report to aid poor, developing States. Conference sources said I 'hat eight speakers in yesterday’s opening debate voiced| general approval for terms of the interim report drawn upi bv a panel of 10 experts seek■ng wavs to correct the present trade imbalance between rich and poor States. The Minister of State in Britain’s Foreign and Commonwealth Office. Mr David; F.nnals. told reporters after-;

wards that it looked as if a consensus would emerge. “Without indicating that governments necessarily support every recommendation in ii. I feel sure that a consensus will emerge in order that this (report can be presented, and (circulated, to delegates at the •United Nations special session on world economics next (week as a Commonwealth (document.’’ he said. New Zealand’s Finance Minister (Mr Robert Tizard) said that the report had limitations and shortcomings, but he hoped that Ministers would lendorse it as a basis for further discussion at the U.N. (session. “If we cannot build on the report let’s not delude ourselves that another opportunity will easily come again." he said. Mr Tizard said that New Zealand accepted the principle of an integrated approach to the question of icommoditv agreements. Rnt bp said that it tvnnld

need to be carefully worked out. and for practical reasons, the commodities to be covered would need to be limited to a small number of the greatest interest to the developing countries. He said that New Zealand was doubtful about the need — or the practical value — of further changes ih the voting structure of the world’s financial institutions. The Mclntyre Report proposes this as a measure to give developing States a bigger say in policies of such institutions as the World Bank and the International Monetary Fund. The report was prepared by a group of 10 Commonwealth experts. including the assistant vice-chancellor of the University of Canterbury (Professor A. B. Brownlie), at the bidding of the last Commonwealth heads of Government conference in Jamaica in May. “Indexing the floor prices would not be a sovereign rpmAciv for all nnr pcnnnmir

a,woes and indeed could be counter-productive if it leads 11 to over-production of particu- ■ lar products with a consequent eventual collapse of slmarkets, or if it leads to a S'shift into synthetic subi stitutes.” ? Mr Tizard said that the ••Commonwealth States had tjbeen stepping outside their 11 normal regional, and economic, context to get a dialogue t going. “We can play safe and ) step back—that is easier and ■ more comfortable—in which t case the prospects for 1 dialogue will wilt, and those • for a bad-tempered deadlock ■ 'will grow. “Or we can be bold and *| seize this chance to sharpen ■'the focus of the international < debate, and steer it towa'rds a start on practical realistic measures.”