Pakistan asks world to help developing countries
UNITED NATIONS: Pakistan has warned that some developing countries are facing an imminent threat of economic collapse under the burden of mounting debt.
Pakistan’s Deputy Permanent Representative to the UN Mohammad Aamir Khan on Friday said developing countries should be provided with fiscal resources along with actions to lessen borrowing cost.
He made these remarks while addressing the 61st session of the UN Commission on Social Development on Friday.
The official also urged international financial institutions to help developing nations in achieving their goals while making debt repayments at this time of financial difficulties.
Mr Khan warned that the economic collapse if allowed to happen, would cause “massive human sufferings.”
The Pakistani envoy told the conference that despite extraordinary progress in human and social development, the global community has not been able to reduce inequalities.
“It is today the pandemic of inequalities which is playing a bigger havoc with people’s lives and livelihoods than any other challenge in recorded history” he warned.
“There is also an imminent threat of debt deficits and economic collapse in several countries, causing massive human suffering.”
Ambassador Khan said Pakistan was hit by a devastating flood last summer, forcing the government to provide cash grants to two million households.
“Despite our financial constraints, we mobilised $1.5 billion for emergency relief,” he said.
He underlined the need to provide debt relief and restructuring for developing nations.
The nine-day session, being held at the UN headquarters in New York, is considering various options for “creating full and productive employment for all” after the Covid-19 pandemic.
The UN Economic and Social Council president, Lachezara Stoeva, emphasised the need to put people first by preparing young people “for the labour market through education, training, and early work experience.”
A recent report by an independent UN expert noted that despite repeated debt rescheduling, developing countries continue to pay out more each year than the amount they receive.
“The increasing debt burden faced by the most indebted developing countries is unsustainable. It presents one of the greatest obstacles to developing sustainably and eradicating poverty,” the report warned.
Published in Dawn, February 12th, 2023
