THE G8 AND THE REAL END OF POVERTY

RMTnews :: september 2005 24 In July, over 200,000 people marched to Make Poverty History, with more than half a million signing up to tell the G8 meeting in Gleneagles to change the policies they force on the Third World. But as 2005 proceeds, what has been achieved? For 30 years the G8 has been the exclusive club that has informally coordinated the global policies of the richest countries in the world. It is here, over expensive food, surrounded by million-dollar security, that the world’s leaders discuss agendas for war and peace, trade and debt, oil and gold; for how they continue to control the world. Many poor countries still pay much more in debt repayments to the rich countries than rich countries give them in aid. G8 countries use what aid and debt relief they do give to force Third World countries to implement a whole host of economic policies which actually benefit the G8 rather than the poor. These ‘conditionalities’ include policies such as water privatisation, which the UK is particularly fond of, as Western water companies can make huge profits from these deals, while the poor can end up without water because they can’t afford to pay. So it’s little surprise that, despite protests, the G8 governments turned their backs on the world’s poor in July. Aid to the poorest countries has increased by only $15 billion in new money – only 20 per cent of the money that they promised as long ago as 1970 (when they agreed to give 0.7 per cent of their income in development). On debt relief, they gave only ten per cent of the money needed to cancel the poorest countries onerous debts that cause such suffering. On trade it’s even worse. The G8, and especially the UK, continue to support ripping open Third World markets so that Western corporations can enter their economies, often destroying local industries that are unable to compete, all in the name of profit. When you compare all this to the dramatic rise in the G8’s military expenditure last year – world military spending now topping $1 trillion – it all looks pretty paltry. What did we expect from these emperors of the 21st century, who after all represent only 14 per cent of the world’s population but who dictate policies to the rest of the world, ultimately at the point of an F- 16 missile (as we saw in Iraq)? The fight against global poverty, like the struggle for trade-union rights, is a long one, and there are more battles on the horizon. In December, the World Trade Organisation (WTO) meets in Hong Kong. Anyone worried about the phenomenal power which global corporations now possess, should take notice. The agenda of liberalised trade has empowered the global corporation, and the erosion of democracy and workers' rights that accompany it. The last WTO summit saw a historic step - Third World countries realised, as a result of the global protest movement, the power of collective strength and they told the West: “we've had enough of handing over more of our economy to you, while you promise the same thing every year, and then fail to deliver.” So the Summit broke down, and the West was unable to get its way. The West is still forcing open ever-new areas of life to corporate rule, so we need to protest again, and to ensure that major changes are made in the world trade system. It's also important for us to look at the other side of the coin. The fact that G8 countries are able to dictate to the other 85 per cent of the world is ultimately down to brute force. In some areas of the world, the role of physical force in upholding the 'global apartheid' is very obvious. That’s why campaigning against the illegal occupations of Palestine and Iraq remain high on the agenda. An enormous amount remains to be done before we consign poverty to history. But a quarter of a million on the streets on this global issue is a good foundation. Trade unions have a proud tradition of standing at the front of such struggles. As millions of workers throughout the world struggle in poverty strikingly similar to that found in the mill towns of the industrial revolution, collective action, this time on a global scale, has never been more necessary. To get involved visit www.waronwant.org or contact Nick Dearden on 020 7620 1111 or at globaljustice@waronwant.org. War on Want’s Nick Dearden outlines the need for action against global poverty The G8 and the real end of poverty