WHO: IMPACT OF THE FINANCIAL CRISIS ON ACHIEVEMENT

UNCLAS SECTION 01 OF 02 GENEVA 000916 SIPDIS E.O. 12958: N/A TAGS: EFIN ECON TBIO WHO SUBJECT: WHO: IMPACT OF THE FINANCIAL CRISIS ON ACHIEVEMENT OF THE MILLENNIUM DEVELOPMENT GOALS ¶1. Summary. WHO convened a meeting of G-20 countries on October 31 to discuss the impact of the financial crisis on health and the social sector. Director-General Chan asked for advice, called for stable Official Development Assistance (ODA),committed to working with vulnerable countries, promised better UN coherence, and said she would establish a task force to provide periodic assessments to Member States. She hoped the discussion at the meeting would feed into the Washington summit on Nov. 15. Countries applauded her initiative, agreed on the importance of protecting the social sector, committed to continue assistance to WHO and social programs, and looked to WHO for assistance to vulnerable countries. End summary. ¶2. WHO Director-General Margaret Chan convened a meeting on October 31 of Ambassadors of G-20 countries to discuss the impact of the financial crisis on achievement of the Millennium Development Goals (MDGs). Every G-20 country was represented with the exception of Argentina and the United Kingdom. Charge d,affaires Mark Storella represented the United States. ¶3. Chan opened the meeting by recalling her participation the week before in a meeting of the Chief Executives Board in New York where the Secretary-General (SYG) had pledged that the UN system would work together to support Member States during this difficult period, stressing the need for UN coherence. Chan expressed pleasure that the SYG had been invited to participate in President Bush,s November 15 summit on the economic crisis and said he would speak for the UN with one voice. ¶4. Recalling a retreat she had hosted for her senior staff from Headquarters and regional offices earlier in the week, Chan said she had heard concerns from countries about the unprecedented global challenge that would affect not only the poor but the middle-class as well. She said she would establish a WHO task force to look at which countries are most vulnerable, to provide periodic assessments to share with Member States, and to advise on how WHO can help countries protect public health and the social sector. ¶5. In responding, a number of G-20 Ambassadors made similar points: they welcomed Chan,s initiative to focus on the impact of the crisis on health; long-term solutions were necessary; the impact on developing countries had to be recognized and addressed; it was essential to maintain development assistance levels, and most committed to doing that; achieving the MDGs remained a priority; partnerships with the private sector are essential; and UN coherence will contribute to a collective, coordinated response in a multilateral framework. Ambassadors also welcomed the Washington summit as a significant contribution to addressing these issues. ¶6. France, speaking for the EU, reaffirmed the importance of ODA, since the most serious repercussions of the crisis would be on the poor. Brazil stressed that solutions had to be inclusive because developing countries would be most affected and suggested creation of a monitoring system to track ODA levels. Australia, saying it would mobilize business to support the MDGs, expressed concern about the impact of the crisis on the WHO budget, seventy-nine percent of which is voluntarily funded. Echoing this point, India said WHO should advise Member States on how to protect the health sector. Japan, recalling the priority the G8 gives to health, reaffirmed its commitment to development assistance. South Africa appealed for continued ODA and a refocus on primary health care to meet basic human needs. Russia referred to the UNGA debate the day before and saw the Doha review conference on financing for development as another vehicle to address these concerns. Mexico stressed better UN coordination for an effective response and suggested WHO would have to make economies in its own budget in light of the current crisis. The World Bank offered to assist the WHO task force in forecasting countries, vulnerabilities, analyzing public and private expenditures for health, which are likely to fall, and pointed to the importance of remittances as a contribution to the social sector. ¶7. U.S. Charge welcomed the Director-General,s initiative and the contribution the discussion could make to the GENEVA 00000916 002 OF 002 Washington summit. He recalled the President's Summit on International Development and his reaffirmation of America's commitment to international development, regardless of the ebb and flow of the markets. Noting the recent reauthorization of PEPFAR, Charge also confirmed bipartisan support for development efforts as an enduring priority for the United States. ¶8. In concluding, Chan expressed appreciation for the group's support and encouraged Member States to speak with one voice in support of health and the social sector in the governing bodies of various UN organizations. She committed to pushing for better UN coherence, noting each UN agency must focus on its core competencies, but declined to seek to represent all UN social-sector agencies to the G-20. She said she would engage with the private sector - which she described as "not evil" - and foundations, which she said would not walk away from their health investments. She promised to work with countries to address their vulnerabilities and to prioritize the WHO budget in line with those vulnerabilities. She asked for more flexibility in using the WHO's voluntary contributions, said staff cuts were a reality, and committed to being accountable to Member States. STORELLA