Local view for "http://purl.org/linkedpolitics/eu/plenary/2002-04-25-Speech-4-115"

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"en.20020425.4.4-115"2
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"As a legacy of its colonial past, the developing world has largely become reliant on the sale of cheap raw materials to rich countries. Agriculture, cattle farming and mining provide the foreign currency to buy expensive industrial products from the EU, the US or Japan. This exchange is to the detriment of the poor countries and gives them little opportunity of narrowing the gap. This is why free trade and exports do not solve their problems as long as the former are offset by expensive imports. Moreover, the flow of profits from the poor countries to the rich countries has always been greater than development aid from the rich to the poor countries. Under pressure from the World Bank and the International Monetary Fund, many countries have had to greatly reduce their expenditure in the areas of education and health care and to reduce their taxes on foreign businesses. Much of what they earn is not spent on further development but on paying back old debts. The rapporteur and the Committee on Development and Cooperation are right to note that the capacity of poor countries to maintain the most necessary provisions has declined very considerably and that the events of 11 September have only aggravated the situation. That is why it is necessary to cancel the debts and increase the amount that rich countries provide to poor countries to, at least, a standard figure of 0.7%."@en1

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