Zero effect of G8 aid summit

Action Aid says that despite a multitude of pledges, developing countries are still getting a raw deal from the West. Picture / Reuters

LONDON - The huge pledges of aid, debt relief and trade reforms that were promised at last year's G8 group of wealthy nations conference at Gleneagles have not been delivered, says Action Aid.

Next week sees the first anniversary of the summit, which coincided with the Make Poverty History campaign and Live8 concerts.

British Prime Minister Tony Blair claimed a moral and political victory in the negotiations, which led to the cancelling of debt for the 18 poorest countries, doubling of the aid budget, better access to HIV drugs and reform of the US and EU subsidy systems.

Blair insisted yesterday that there had been a "great deal of progress in many areas" over 12 months, but acknowledged there had been "disappointments", particularly the failure to reach a global trade deal.

Detailed analysis by the charity Action Aid, however, strikes a more pessimistic note, concluding that many of the much-lauded commitments from the G8 had not been met.

Its Mission Unaccomplished report says millions of lives are still being lost in the developing world by the failure of the West to live up to the favourable headlines generated by the summit.

The report says "a mixture of backsliding, buck-passing and half measures by rich countries risks undoing much of the progress. One year on, the world's richest countries are moving too slowly, or not moving at all, on their commitments.

"Unless they take urgent action now to meet their pledges on aid, trade and Aids, progress towards ending poverty will be jeopardised."

More than one billion people still live on less than a US dollar a day.

The G8 promised to double aid to Africa by 2010 as part of a US$50 billion ($82.5 billion) funding increase. But a pledge to meet the target of giving 0.56 per cent of national income in aid, excluding debt relief, was lagging, with the United States, Germany and Italy "dragging their heels".

The report found that the US and the EU are still spending more than US$100 billion a year on subsidies for their farmers, while continuing to dump cheap exports in developing countries so local producers cannot sell their goods in their own markets.

Subsidy talks at the World Trade Organisation look set to end in deadlock, with France refusing to accept any outcome that implies reform of the Common Agricultural Policy.

While the world's 18 poorest countries have had their debts cancelled, campaigners say a further 40 nations need a similar deal.

There are also concerns that, despite promises, conditions are being attached to debt cancellation, such as forcing developing countries to open their markets to richer nations.

A promise of universal access to HIV treatments is also not on track to be met, because donors such as the US have failed to contribute sufficient money. The funding gap is currently more than US$10 billion a year.

Blair was due today to announce the creation of the Africa Progress Panel, to be chaired by UN Secretary-General Kofi Annan, to produce an annual report for the G8, the UN and the Africa Partnership Forum to "maintain the international political profile of Africa".

- INDEPENDENT