Reaching Poverty Eradication of the Post-2015 Sustainable Development Goals (SDGs)

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1 Reaching Poverty Eradication of the Post-2015 Sustainable Development Goals (SDGs) MUNOFS Economic & Social Council First Committee Michelle Lim Head Chair

2 Content Outline 1. Introduction 2. Key Terms Defined 3. History 4. Key Issues 5. UN Perspective 6. Major Parties Involved & Their Views 7. Timeline of Events 8. Relevant Resolutions, Treaties and Events 9. Evaluation of Previous Attempts to Solve Issue 10.Possible Solutions

3 1. Introduction Halving the poverty rate was the 1st Millenium Development Goal (MDG) adopted by world leaders in 2000, targeted for completion by Having reached the goal in 2010, policy-makers are looking towards what can replace it to eradicate poverty post-2015.

4 2. Key Terms Defined (absolute) POVERTY: State of living under the international poverty line of US$1.25 (average of the 15 poorest countries own poverty lines) a day (Ecosoc, 2012) ERADICATE: Destroy completely Though poverty eradication (as opposed to alleviation) is unfeasible within 10 years, it is viewed as a long-term goal by the UN. Post-2015 Sustainable Development Goals (SDGs): the result of a process agreed on in principle at Rio+20 in June 2012 (different from High Level Panel on post-2015 development agenda)

5 3. History of Poverty For the past 200 years, manmade events like war and scientific breakthroughs have caused massive changes in the level of development of regions. Click here for an illustration. More recently, in the past 2 decades, global poverty has been falling at a fast pace:

6 3. History of Poverty HOW?: The fall in poverty rates has been attributed to: o accelerating developing-country growth (from average annual rate of 4.3% in to 6% in ) o equality in income distribution 1% increase in incomes in countries with the largest income inequality results in 0.6% poverty reduction; in the most equal countries, it yields a 4.3% cut. (The Economist, 2013)

7 4. Key Issues Parameters of the goal the UN should work towards o How should poverty and its alleviation be measured? Problem in MDG1: -Three-quarters of MDG1 achievement in 2010 came from China. -Thus, celebration of the attainment diverted much-needed attention from other developing regions stagnating in extreme poverty. -Delegates could consider setting targets that require all regions to improve by stipulated minimums before the goal is considered achieved.

8 4. Key Issues Parameters of the goal the UN should work towards o o o What is a realistic time within which the goal is achieved? What is a realistic set of goals? Does data exist for progress to be tracked? The same progress in the 1990s-2010 is is unlikely to be replicated since: -The next 2 regions, India and Africa, lack China s efficient governance -There are fewer people just under the poverty line. Most are extreme poor. A Zero target?: -Observers like Save the Children call for a framework that effectively ends extreme poverty -Others advise caution as overreaching on goals will compromise the credibility of these goals and limit funding.

9 4. Key Issues Parameters of the goal the UN should work towards o Relative vs. Absolute? Country level vs. Global? Low-income countries, particularly those in sub-saharan Africa, tend to rank top in terms of success on absolute terms, but poorly in terms of success relative to their starting position. Thus, progress of these countries is not recognised and rewarded by MDGs. (Overseas Development Institute, 2010) Being evaluated as failures may prompt countries to revise actually effective policies. (Fukada-Parr, Greenstein, Stewart, 2013)

10 4. Key Issues Reconciliation of Post-2015 SDGs and Post-2015 Development Agenda o Two UN processes are running in parallel SDGs: agreed on at Rio+20; are developed by an Open Working Group comprising 30 representatives nominated by UN states from the 5 regions Post-2015 development agenda (DA), currently informed by the High-Level Panel of Eminent Persons, co-chaired by Indonesia, UK, Liberia and representatives from govt, private sector, civil society and academia o Stakeholders wish for these two to be merged. o However, their priorities differ: SDGs see poverty as one of the many global goals, while DA neglects central areas of sustainability

11 4. Key Issues How best do we combat poverty today? Delegates are to bear in mind the following developments since previous goals were devised in 2000: o Non-state actors (i.e. businesses, NGOs and private individuals) are more involved in global affairs, and have greater reach in anti-poverty measures. o Climate change and financial crises have resulted in consensus that sustainability and equal distribution of economic growth must be integrated into actions. o Non-aid sources of finance (e.g. trade, remittance, investment) are even more critical now given heightening reluctance to donate and exploitations. (Higgins, 2013)

12 5. UN Perspective The High-Level Panel of Eminent Persons on the Post 2015 Development Agenda, tasked by the UN Sec-Gen, has met on five occasions in late 2012 and early 2013 and has submitted its report of goals to the secretary-general at the end of May The Open Working Group on the SDGs first met in March 2013 and has since been convening on a monthly basis. They are consulting with the nine major groups and will submit a report to the 68th session of UN General Assembly. The UN System Task team on the post-2015 UN Development, coordinates UN system-wide preparations for post-2015 agenda. It is leading a global consultation to gain feedback on the agenda. The final post-2015 development agenda will be adopted in a summit in September 2015.

13 6. Major Parties Involved & their Views Developed countries: o Recent financial crises, such as in the EU, have placed fiscal pressures on donors aid budgets. Therefore, direct aid and core aid is likely to decrease even further. Developing countries: o They want trade to be less disadvantageous to their economy and environment. (Barder, 2012) o looking at alternative aid sources such as through private partnerships. (Kindornay, Reilly-King, 2013) o There are some in conflict, humanitarian crises & debt. Multilateral agencies, e.g. World Bank: has been lending to financially weak countries at very low interest rates (HIPC) NGOs: e.g. The Global Poverty Project runs numerous programs to eradicate poverty, including medical assistance, awareness campaigns, research, and outreach.

14 7. Timeline of Events 1990 World Bank promoted 3-prong approach to poverty: growth, investment in human capital and strengthening the social safety net World Summit on Social Development cemented the social agenda for furture poverty reduction efforts 2000 World leaders adopted 8 Millenium Development Goals Poverty was halved UNDG Task Force on the MDGs released a thematic report on MDG High Level Panel of Eminent Persons submitted report to UN Sec-Gen in May and it was used during MDG Review during the Summit in September Delegates jointly declare their renewed commitment to freeing humanity from poverty and hunger as a matter of urgency. They recognized the intrinsic interlinkage between poverty eradication and the promotion of sustainable development, and they expressed their desire to forge a single set of goals Open Working Group on SDGs submitted their report of 17 goals in July.

15 8. UN Involvement: Resolutions & Treaties Rio+20: The future we want Millennium Declaration in 2000 World Summit for Social Development, Copenhagen, World Summit The Follow-up International Conference on Financing for Development to Review the Implementation of the Monterrey Consensus, Doha, 2008 Outcome document of SDGs Outcome document of High Level Panel Outcome document of the special event to follow up efforts made towards achieving the Millennium Development Goals, GA A/68/L.4, 2013

16 9. Evaluation of Previous Attempts to Solve Issue Economic growth was the main contributing factor to poverty reduction but there was slow job growth and unequal income distribution, resulting in a rise in number of working poor and slower MDG progress. UNDP s contributions to poverty reduction projects are unclear due to technical faults and a lack of focus on the poor. These efforts were premised on the trickle-down approach (project would indirectly lift people out of poverty), which is limited. UNDP has yet to integrate its poverty-reduction and environment efforts, such as by designing (environment) interventions in such a way that ensures sustainable livelihoods of the poor (UNDP Evaluation Office, 2013)

17 9. Evaluation of Previous Attempts to Solve Issue World Bank/IMF s Poverty Reduction Strategy Paper (document required for a country to qualify for Highly Indebted Poor Countries scheme; the document aims to develop poverty-focused governments). It has been criticised widely for increasing aid conditionality. Local programmes, e.g. The National Rural Employment Guarantee Programme in India provides landless farmers the right to 100 days of paid work, helping them find employment. Yet, there is high corruption and the scheme is expensive.

18 10. Possible Solutions Financial Aid Mobilise tax revenues and decrease dependence on aid Employment Generation:such as through laborintensive public works programmes, creating green jobs, promoting enterprise and youth employment, retaining workers Social enterprises, like microfinancing Consider migration & remittances as part of national level development agendas Lowering remittance fees Control abusive free trade policies, such as in GM food industry Integrate pro-poor growth policies in existing

19 Works Cited Barder, Owen Development Policy: Time to Look beyond Simply Managing Aid. New Development Models Hub, Guardian, November Fukuda-Parr, Sakiko, Joshua Greenstein, and David Stewart How Should MDG Success and Failure Be Judged: Faster Progress or Achieving the Targets? World Development 41: Higgins, K. (2013). Reflecting on the MDGs and Making Sense of the Post-2015 Development Agenda. Reflecting on the MDGs and Making Sense of the Post-2015 Development Agenda. Retrieved July 27, 2014, from Kindornay, Shannon, and Fraser Reilly-King Investing in the Business of Development: Bilateral Donor Approaches to Engaging the Private Sector. Ottawa: The North-South Institute and Canadian Council for International Cooperation.

20 Works Cited ODI (Overseas Development Institute) Millennium Development Goals Report Card: Measuring Progress Across Countries. London: ODI. The Economist. (2013, June 1). Towards the end of poverty. The Economist. Retrieved July 22, 2014, from UN Economic and Social Council. (2012)).UN News Center. Retrieved July 21, 2014, from UNDP Evaluation Office, (2013, January 4). EVALUATION OF UNDP CONTRIBUTION to poverty reduction. EVALUATION OF UNDP CONTRIBUTION to poverty reduction. Retrieved July 27, 2014, from /English/Evaluation%20of%20UNDP%20Contribution%20to%20Poverty %20Reduction.pdf

21 Thank you & I look forward to seeing you!

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