200. Current Economic Developments0
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ECOSOC SESSION SHOWS SUBSTANTIVE PROGRESS
An outline of goals for the UN Development Decade, a call for an international conference on trade and development, and a proposal for a group of experts on commodity and trade problems of the less-developed countries were the major actions taken by the UN Economic and Social Council, which met in Geneva July 3-August 3. The general atmosphere at this session was an improvement over last year. There were only a few limited flare-ups between the Soviet and US representatives. The active and on the whole constructive role played by a group of developing countries—India, Yugoslavia, Ethiopia, and Brazil—was in contrast to last year when the US was responsible for most initiatives.
The US can justly claim credit for having helped contribute to an agenda which compelled a good, hard look at problems rather than leaving a great deal of time for political maneuvering. Ambassador Adlai Stevenson’s attendance for ten days was a stimulating and constructive force. It was proof of US determination to elevate the work of the Council and brought a greater understanding of our activity.
[Page 446]On the economic side, the Council’s discussions were dominated by two main themes—the UN Development Decade and the holding of a UN conference on trade and development. Within the context of the discussions on these subjects, the traditional preoccupation of the Council—commodity problems, rate of growth, need for industrialization, inadequacy of capital—were given the usual attention. Underlying much of the debate was evident concern as to the effect on other countries of the European Common Market.
Development Decade
The idea of a Development Decade has taken hold, particularly among the less-developed countries. They resisted Soviet bloc attempts to play it down.
The item was introduced by the Secretary General in a well balanced talk. He was followed by Ambassador Stevenson who placed considerable emphasis on the importance of the human factor in economic development. Two competing resolutions were put forward: one by Brazil, Ethiopia, India, Senegal and Yugoslavia, the other by Denmark, El Salvador, and the US. Our delegation took the lead in combining the two. The resulting resolution was subject to protracted negotiation, first with the sponsors of the other resolution, then with many Western powers and finally with Poland and the Soviet Union. (When the Soviet delegation found it could not sabotage or avoid a resolution, it tried, unsuccessfully, to include in the resolution a mechanism for a ten-year world-wide plan modeled after bloc kind of planning.)
The final resolution was of an umbrella character with fourteen points embracing some mention of practically every UN program.1 A principal operating clause requested the Secretary General to prepare a program consisting of detailed phased proposals for action with respect to the basic factors of economic growth. Among other things, the resolution calls on member governments to give particular attention in the first years of the Decade to industrial development; improved access to world markets for the developing countries; stabilization of commodity prices; an increased flow of development capital; the development of human resources through adequate programs for education and training, nutrition, health, public administration and housing; and exploration and exploitation of natural resources aimed at establishing a raw material and energy basis for economic development. Other action recommended for the Decade include steps designed to secure prompt attainment of the present goal of $150 million yearly for the UN Special Fund and the Expanded Program of Technical Assistance; an appeal for [Page 447] full support by participating governments to the Freedom-from-Hunger Campaign of the FAO, and an expression of hope that resources will be provided commensurate with the role envisaged for the UN in the Development Decade will be made available.
The resolution was approved unanimously, but at the request of the USSR, separate votes were taken on the paragraphs dealing with the $150 million target, the Freedom-from-Hunger Campaign and the World Food Program, and the role envisaged for the UN. On these paragraphs the USSR and Poland abstained.
By a separate resolution the Council established a “Special Committee on Coordination with particular emphasis on the United Nations Development Decade.”2 The Committee is to be composed of eleven members of the Council and TAC and will keep under review priority areas on projects relating to objectives of the Decade.
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- Source: Washington National Records Center, E/CBA/REP Files: FRC 72 A 6248, Current Economic Developments. Confidential. The source text comprises pp. 14-15 of the issue.↩
- Reference is to Resolution 916 (XXXIV), passed unanimously by the U.N. Economic and Social Council on August 3, for text, see U.N. Yearbook, 1962, pp. 234-235.↩
- Reference is to Resolution 920 (XXXIV), passed unanimously by the U.N. Economic and Social Council on August 3; for text, see ibid., pp 235-236.↩