G8 HOPE TRUMPS HATE

Britain went in 24 hours from Olympic euphoria to stoic sorrow as extremists murdered and maimed ordinary Londoners. It was aimed at Britain because of her support for the war on terror, but also because Britain and Tony Blair were host to the leaders’ meeting of the 8 industrialised nations. This is a case of good vs. evil. A depraved assault on civilised values while democratic leaders focused on helping the poorest, most marginalized people in the world. The contrast could not have been greater. Leaders at Gleneagles stuck to their agenda of hope. I thought of the great speech Winston Churchill made to the U.S. Congress in 1940 when it had been suggested Britain surrender or negotiate with fascist Germany, “What sort of people do they think we are?” he asked. What sort of people do the terrorists think we are? Do they really believe the great democracies will surrender? This will not overshadow the real progress being made in addressing global issues lead by Prime Minister Blair - reports of his political death had been exaggerated.

His chairmanship of the G8 and the Presidency of the European Union has enabled Blair to come out with guns blazing, calling on Europe to reform its finances and tackling the sacred cows of Europe’s agricultural subsidies. 40% of Europe’s budget goes to subsidise farmers and make food dearer. In the new information age, Blair has pointed out this investment should go into hi-technology, research and development, and industries of the future. French President Chirac clashed with Blair’s plan saying their 50-year old policy stunningly claimed the programmes were a modern and dynamic policy. Reform of Europe’s subsidies folds neatly into the next Blair ambition for Africa that he championed at the G8 last week. A cow in Europe receives over $2 a day in subsidies, 2 billion people live on less than that per day and 30,000 people die because of poverty every day. The “make poverty history” campaign has become a popular worldwide movement, for a while. The Big 8 have agreed to wipe out some poor countries’ debts, increase the levels of aid and given some impetus for the real deal that will do more to alleviate poverty than any other mechanism, the Doha Development trade round. Africa is the only continent that’s gone backwards over the past 20 years, her share of world trade has dropped. In 1820 the gap between the richest country, the U.K., and the poorest, Africa, was 4 to 1. By 1998 the gap between the richest country, the U.S., and Africa is 20 to 1. America has copped a lot of flack because of her miserable levels of aid, yet as even Saint Bono has said, President Bush has done more for Africa than any other President, trebling aid, something President Clinton failed to do despite “feeling their pain.”

Outside the sound bites, slogans, songs, serious suggestions on Governance issues emerged from the G8. It’s easy to call for yet another Marshall Plan for Africa. Africa has already had five times the aid than went to Europe. Why hasn’t it worked? Europe’s civil society, businesses, universities, parliaments were ready and eager to be rebuilt in 1945. Building sound governmental structures, property rights, independent courts, democratic, accountable politicians and parties are key to Africa’s success. Tied-aid, that is, asking for receipts, ensuring that the money got to those targeted, was in the 1970’s seen as a form of colonialism. The wheel has turned and now the much-hated word ‘conditionality’ is more accepted as good housekeeping. Despite appalling rip-offs, Aid does work and now can work more effectively. 40 years ago smallpox killed up to 2 million people, by 1980 the world was declared smallpox-free by the World Health Organisation. Malaria still kills 3 million per year in Africa and costs $12 billion a year to the African economy, it can be stopped in Africa as it has been elsewhere - cost about $2 billion a year for 5 years. The same can be achieved for HIV/AIDS and TB given resources and commitment. 200 million Africans suffer from intestinal worms that can be cured for just .25 cents per person. Restructuring the delivery systems for aid will help. Poor Tanzania suffers 1500 aid missions from well-meaning agencies every year to check out projects and write reports!

Debt relief channelled through transparent accounts to prevent abuse will do much good. Lord Keynes, who in anger and frustration at the cruel imposition placed on a defeated Germany in 1919, in his masterpiece, “The Economic Consequences of Peace”, called for the cancellation of post-World War I debt, saying, “We shall never be able to move again, unless we can free our limbs from these paper shackles,” and called for a “great bonfire” and darkly warned of “a conflagration that may destroy much else as well”, saying, “Vengeance, dare I suggest, will not limp.” Vengeance is not limping in Palestine, but the G8 has put aside $3 billion for its reconstruction. They have agreed to a military component which may well be a force to prevent another Rwanda or assist the African Union in Dufar. It still defies reality and logic that the Group of 8 industrialised nations does not include India or China. This is progress and Tony Blair has saved his labour soul, won redemption and now is one of the few political superstars on the world stage.