HISTORIC PRESS RELEASE : Chancellor Gordon Brown calls on everyone to join millennium challenge to help the World´s poorest countries [March 1999]
The press release issued by HM Treasury on 7 March 1999.
The Chancellor Gordon Brown tonight set out a four point plan to help the world’s poorest countries.
The four point plan is to:
- Cut the debt
- Increase the aid
- Give a billion
- Sell the gold.
Mr Brown also referred to his forthcoming Budget on Tuesday. He said:
“One theme of my Budget is the same as my theme tonight – that supporting families by supporting children is not only a good in itself but the best investment for any country in its future.”
The Chancellor went on to outline his four point plan for helping the world’s poorest countries. He said:
“To build anew we make four demands of Governments and of ourselves:
- Let us, as a world community, cut the debt.
- To help pay for it let us sell IMF gold.
- To convert debt relief into poverty relief, let us increase the aid.
- And to make the money go further let us, the people of Britain, set a target for our own giving – let us give a $1 billion before the end of the Millennium to education, health and the battle against poverty in the neediest countries.
“These are a set of new and practical challenges to take out into the world – not just a call that might bring people to their feet – but a demand that must bring Government to their senses everywhere.
“It is now time not just to agree a Millennium target for the numbers of countries gaining debt relief, but for the actual and total amount of debt which will be wiped out, dramatically cutting the debts of the world’s poorest countries in a way that will allow them to borrow what they need in the future, in reasonable amounts, and at reasonable rates, which they can realistically expect to repay.
“Until last year, only a few billions of debt had been wiped out, tragically forcing too many countries to spend more in debt interest payments than they could afford.
“Our proposed reforms, if implemented by the major countries will, in 22 months, wipe out $50 billion of debt over the coming years, releasing resources from debt servicing for productive development.
“It is time to ensure that – as the UK has already been doing – all donor countries write off their aid loans to the poorest countries, debts that poor countries cannot and should not have to pay.
“It is also time to ensure that when a decision to relieve debt is agreed, countries do not have to wait three years – three more years of misery – but get the full benefit of debt relief immediately.
“Second to pay for the new fast track approach will require the sale of at least $1 billion of IMF gold”
“When the poverty is so immediate, the need so urgent, the suffering so intense…….”
“We cannot – we must not – bury the hopes of a quarter of humanity in lifeless vaults of gold.”
“Because debt reduction, poverty reduction and economic progress must go together, the billions saved from debt payments must not be wasted on weapons or lost to corruption but they must be invested in health, education and economic development.”
“Our goal, cutting in half the proportion of the world’s population living in absolute poverty by 2015 demands urgent action, indeed sacrifice, from the world’s richest countries.
“For our part the British Government will increase aid – by 28% in real terms or #1.6 billion over the next three years – and Clare Short will re-direct that aid to areas of urgent need.
“We should ensure that next year as we wipe out billions of debt at least $60 billion will go from rich countries, to poor countries, $60 billion for the healing of people, the teaching of children and the creation of economic opportunity.
“And just as Governments can do more. So can each of us as citizens.
“Today British people give #220 million a year to developing countries, nearly #450 million over a two year period. I want us to raise that to #650 million, or $1 billion before the end of the year 2000.
“To match the donations of every individual to third world charities we have set aside #60 million pounds in Millennium Gift Aid.
“The relief is to the end of 2000 – to mark the Millennium by asking people in this country to give more of themselves to those many who have little.
“For every #100 a family or individual gives, the Government will give an extra #30 – and make the money go further.”
“Now as never before our generation has, within its grasp, the means to eliminate abject poverty once and for all. We must seize it.”
The Chancellor praised the churches for their work:
“For your work from the human chain that enveloped Birmingham last year to the missionary work and sacrifice in the farthest corners of the globe every year, we thank you – for the width of the individual generosity you show, the breadth of the national campaign you have led, the sweep of your achievement so far.”
