Global Environment Facility Human and Sustainable Development in the Global South by Mohamed T. El-Ashry Chief Executive Officer and Chairman Global Environment Facility Conference on “The State of Human Development in the Global South” American University, Center for the Global South Washington, DC April 8, 2003 2 It is a pleasure for me to participate in this discussion convened by the Center for the Global South and the American University on such a timely topic that is of great importance to sustainable development in the Global South. I want to commend Clovis Maksoud for choosing “Human Development in the Global South” as the theme for this gathering when the news media are reporting non-stop on the destruction of human resources, institutions and civil society. Human development, according to the UNDP, which happened to be one of GEF’s implementing agencies, “is about much more than the rise or fall of national incomes. It is about creating an environment in which people can develop their full potential and lead productive, creative lives in accord with their needs and interests. People are the real wealth of nations.” Despite some progress over the last three decades, the state of human development remains at an unacceptable level. Almost 3 billion people live on less than $2 a day, one billion lack access to clean water, and more than two billion lack access to basic sanitation. The poor in the Global South are also the most vulnerable to environmental degradation. They depend on natural resources – soil, water, fisheries, forests – to provide their sustenance, and they suffer disproportionately from poor environmental conditions. 3 More than 65% of the world’s poor are dependent on resource-based livelihoods, of which three-fourth are in food production and in fragile areas – steep hillsides, forest margins, and coastlines. In his Millennium Report, the Secretary General of the U.N. highlighted the urgent need to secure the freedom of future generations to sustain their lives on this planet. He argued that “we have been blundering our children’s heritage to pay for unsustainable practices.” Clearly, it makes little sense to lift people out of poverty today to have their children or grandchildren sink back into it tomorrow. A successful strategy for global poverty and human development must take in consideration the serious degradation of the environment and natural resources that underpin the lives and livelihoods of the world’s poor and of future generations. The much respected former President Nelson Mandela, in his usual eloquent and wise way, gave the world a message, in December 2000, that should guide our own vision of hope. In his words: “Political freedom is still not enough if you lack clean water. Freedom alone is not enough without light to read at night, without time or access to water to irrigate your farm, without the ability to catch fish to feed your family. For this reason, the struggle for sustainable development nearly equals the struggle for political freedom. They can grow together, or they can unravel each other.” 4 The conventional wisdom that development policies promote growth in human and economic development while environmental policies restrict it must give way to the understanding and acceptance of the complementarity between environment and development. The Earth Summit in Rio de Janeiro in 1992 heralded the recognition that economic development must not only be economically and financially viable, but also socially acceptable and environmentally sound. With a backdrop of little progress on both the development and environment fronts since Rio, world leaders met once again in Johannesburg last September and reaffirmed the commitment of the international community to sustainable development. It remains to be seen whether this decade will be any different from the preceding one. Pursuing a more sustainable global future in this millennium is less a matter of cost than of conscience, commitment, and cooperation among all. Humanity, greater in number and more economically active with each passing day, is increasingly playing havoc with Earth’s natural systems. Our actions are giving rise to a multitude of critical threats: the degradation of soils, water and the marine resources essential to food production; health-endangering air and water pollution; global climate change that is likely to disrupt weather patterns and raise sea levels everywhere; and the loss of habitats, species and genetic resources which is damaging both ecosystems and the services they provide. 5 The challenges seem daunting: Africa, for example, is the only region of the world where poverty is projected to rise during this century if adequate measures are not put in place now to address pervasive land degradation and water scarcity problems. Worldwide, 840 million people do not have enough to eat. Children are hit especially hard. Every year, twenty percent of the children in poor countries die before they reach the age of five. Differences among regions and between rich and poor are an important subplot to this story. While forests provide both economic values and environmental goods and services, about 15.2 million hectares of forests disappear in the tropics every year. In Latin America, deforestation rate is one of the highest in the world. More than 37 million hectares were deforested between 1990 and 2000 – almost half of it was conversion to large scale agriculture. The Arab Region, on the other hand, faces unique development and environmental challenges. Problems are dictated by the region’s geography and arid and semi-arid climate. The major environmental issues revolve around water scarcity, both quantity and quality, urbanization, and the concentration of polluting industries around major urban centers. On the development side, according to the World Bank, almost 30% of the region’s population are living on less than $2 a day. Low-income countries have alarming levels of infant and maternal mortality and illiteracy. In middle- and high- 6 income countries, on the other hand, health, education, and social protection systems have not targeted vulnerable populations and have not ensured equity, quality, and efficiency in the provision of services. And the outlook is not very favorable because of high population growth rates, regional instability, limited political empowerment, weak governance, and lack of civil society involvement in decision-making. Population growth puts pressure on the demand for social services and on natural resources, while security concerns and political instability, exacerbated by the war on Iraq, will divert public resources away from development and discourage foreign investment. The repercussions of the war notwithstanding, many of the critical environment and development issues facing the Arab Region also face many developing countries around the world, including Latin America. Then, there is the widening gap between rich and poor countries. The average income in the richest 20 countries is already 37 times that in the poorest 20 countries and the gap have doubled in the past 40 years. But the inequality is not just between countries, it is also within countries – developed and developing. Witness the situation in many large cities in the developing world, where unemployment and deprivation are occurring on a large scale, side by side great affluence. We need to have development that is socially sustainable as well so that peace and security may be enjoyed by all citizens. 7 One question we must ask ourselves is this: in the face of 90 million people being added to our global village each year, how can we ensure human and sustainable development? What will it take to protect our biological heritage, avoid devastation from climate change, sustain the soil and water that give us life, protect human health, and reduce the scourge of poverty and hunger? How do we summon and perpetuate the necessary political will? First, developing human resources is one important answer. Developing human resources is an important social goal in its own right and is a necessary ingredient for long term sustainability. Without complementary progress in human development, policy and institutional reforms to improve economic efficiency will not yield sustainable results. Special attention is needed for addressing comprehensively women’s empowerment and youth development needs. Today 1.7 billion people at least half are women, are between the ages of 10 and 24. 86% of them live in less developed countries, and many of them are growing up with less opportunities to education, health, and gainful employment than was the case 50 years ago. Second, central to achieving sustainable development is the build-up of technical and institutional capacity for analyzing, applying and adapting successful solutions and technologies. The underlying problems and potential solutions for socially and 8 environmentally sustainable development are complex. We need a stronger involvement of the science and technology community in the social and political processes that are shaping the global sustainability agenda. Simply put, “the transition towards sustainable development is inconceivable without science.” Unfortunately, disparities between countries of the North and South in the generation of scientific information and its use make it difficult for the South to participate fully in actions for global sustainability. Developed countries representing 20% of humanity have more than 90% of the world’s share of scientific publications and more than 90% of R&D expenditures. Third, capacity building is another important answer. Capacity building is a longterm and dynamic process. A fundamental goal of capacity building is “to enhance the ability to evaluate and address the crucial questions related to policy choices and modes of implementation among development options, based on an understanding of …..needs as perceived by the people of the country concerned.” It is a knowledge intensive process requiring the continuous upgrading of skills, organizational capabilities, policies and laws. Building the capacity for sustainable development of the South can also be achieved through South-South cooperation and networking. This has been one of the major objectives of the Center for the Global South since its inception under the able leadership of Clovis Maksoud. South-South cooperation is critical to enable developing 9 countries to learn and draw lessons from successful efforts of other developing countries and regions. When the dust from military conflict and the threat of terrorism ultimately settles (hopefully sooner than later), there is reason for optimism in addressing the pressing challenges of sustainable development. In many ways, we have entered one of the most creative phases in human history, where science, technology, and communications advance at breathtaking speed and offer unmatched opportunities for political consensus and responsible change. We have new tools at our disposal, and a vastly increased understanding that our strength lies in working together to overcome the threats facing our planet and its people. The actions we take and the investments we make in the coming decade will determine both our evolution and that of future generations. It is time to break away from the obsolete images of today’s world. That world should no longer exist. “Now is the rare moment, a clearing horizon of historic opportunity, for all nations to promote peace, liberty, and global prosperity through partnerships.” These words are from the conclusion of the December, 1992 report of the Carnegie Commission on Science, Technology, and Government. They are as valid today as they were 10 years ago. Thank you.