It is my pleasure and honour to represent my country today at the fifty-ninth session of the General Assembly of the United Nations. Let me begin by expressing my deep appreciation for Mr. Julian Hunte, for the leadership and vision with which he conducted the last session, and by congratulating Mr. Jean Ping on his assumption of the presidency of this session. I would also like to take this opportunity to express my Governmentís deep gratitude to the Secretary-General for his leadership, for his strong commitment and hard work to make the United Nations a more responsive and efficient body. The Government of Georgia reaffirms its strong support for the important work carried out around the world by this great institution and to all who serve it. The beginning of the new millennium marks a great opportunity for the global community of nations that make up the United Nations - a community whose collective responsibility is to help strengthen those institutions that promote and protect the principles enshrined in the Charter of the United Nations, so that we can more effectively tackle the challenges and the issues facing the world today and so that together we can enhance our shared ability to promote peace, alleviate suffering, expand liberty and advance human development with renewed wisdom and courage. The belief that we must be able to adapt to great change while remaining faithful to a set of core ideas and values is one that has special resonance in Georgia today, for few countries have witnessed greater transformation in the past year ó and fewer still have done so with a clearer sense of purpose. In some respects, Georgia's revolution has made our small nation - willingly or unwillingly - a test case for the modern challenges of democratic transition and perhaps for a revised formula for international relations in our increasingly interconnected and complex world. Nearly a year has passed since our dramatic Rose Revolution graced the cover of newspapers and television broadcasts around the world. This revolution had at its core one simple demand: the creation of a stable, equitable and functional democracy. It gives me great pride, Mr. President, to inform you that we have accomplished that demand in ways that few abroad or at home ever imagined possible. And I am enormously proud of my people, whose courage, unity and steadfast belief in a better future made our revolution and transformation possible. It is because of the Georgian people that our experiment in democracy is a 12 success, and because of their sacrifice and determination that we have achieved such impressive results today. In less than a year, we have proven the depth and breadth of our commitment to democracy successfully by holding three sets of elections - presidential, parliamentary and regional - which were recognized by all observers as free and fair expressions of the public will. We have proven that we can take care of people such as the teachers of my country, who just a few days ago received as much as 12 years in back pay from our Government. I was recently told by a local governor of how one such teacher - who had not been paid since our independence - had just received her payment for all of those years. For all of those years, that brave woman, who sacrificed her health and her livelihood for the education of younger generations while surviving on the meagre income from a small plot of land, watched as our corrupt officials - at her expense and that of her compatriots - were creating their own wealth, constructing huge mansions and filling their Swiss bank accounts. Finally she got her money back. She also watched the corrupt officials chased away from power and held accountable under our legislation. Never again will loyal public servants have to harvest food from their gardens to make ends meet. Never again will they have to face a Government that disrespects their dignity. Protecting people like that teacher is the reason why we have confronted corruption in Georgia so vigorously, since corruption threatened the very fabric of our society. By first going after government officials who were corrupt and who enjoyed a near-untouchable status, and then seeking to address the institutional aspects - the corruption that basically gave rise to such government officials - we have been able to reinstate the rule of law and create lasting change in the system. That is why we conducted a radical downsizing of our security services, police and customs by up to 50 per cent. Instead of poorly paid government officials - civil servants who were not given any real salaries and who were compelled to extort money from their fellow citizens - we have now introduced new salaries that are sometimes 8 to 10 times greater than those paid previously, as well as new rules of the game. We have introduced new salaries that are sometimes eight to 10 times larger than those paid previously, as well as new rules of the game. We have introduced the first-ever civilian leadership in defence, security and law-enforcement bodies. We have made these painful choices because we know that, unless we change the system itself, we cannot change the corrupt behaviour of our State officials. It is those officials who are responsible for the corrupt behaviour of businesses ó not the businessmen themselves. It is we who are responsible for failing to build a better future for our citizens. Winning this battle will mean that all citizens of my country will finally have a chance to live in a normal State - where merit rather than money makes a difference, and where rules and laws firmly and clearly govern people's actions. As I said earlier, in order to make such changes permanent and sustainable, we have raised salaries six, eight or even tenfold for public servants, so that incentives are aligned, a fair system can flourish and people can serve the State with dignity and honour. That is why we have created a new tax system that clarifies and simplifies both the payment and the administration of taxes - creating the lowest-tax regime and the least complicated tax code in the region, and eliminating institutional sources of cheating and corruption. To hesitate or move cautiously at this critical stage would mean reneging on the promises we have made and returning to business as usual in this part of the world. Our people will not forgive any hesitation. I believe that we cannot refrain from initiating reforms and taking radical steps at this time if we truly want to build a better future and forever change the rules of the game. But Georgia today is a visibly different State than it was one year ago, with fewer games and new rules. That is why those who fled Georgia throughout the past decade - one of decay and crisis - are now starting to return to their homeland. They are putting their skills, talents, ideas and energy to work for their new country. There is a great deal of new energy and a new optimism, which we are happy to observe. There is a renewed sense of hope and a renewed sense of purpose that speaks of unity and the unique strength that comes with it. Georgia's experiment in democracy is an ongoing success, not simply because I declare it or wish it, but, rather, because the people of Georgia continue to embrace it. We are a nation that 13 has a strong cultural heritage and identity, but that at the same time celebrates and cherishes religious and ethnic tolerance and religious freedom as part of that identity and that heritage. We are a nation that believes in the sanctity of rule of law and a strong judicial system. One thing is clear: democracy is thriving in our part of the world although many people thought it would not be possible. That is because the principles of democratic governance are reflected in our national identity and universal desire to be free. The creation of a successful State depends on the ability of its institutions to act maturely and responsibly in the face of shared challenges. In this new millennium, it is clear to all responsible nations that one issue above all others unites us as we seek to promote lasting peace, security and prosperity: the common war on terrorism. As a member of the global coalition that seeks to eliminate the threat of terrorism, Georgia has made, and will continue to make, contributions wherever possible and wherever necessary. Our willingness to act responsibly and to contribute is evident today in Kosovo and in Iraq - and soon will be in Afghanistan - all places to which we have sent our forces to serve alongside others in the pursuit of peace and freedom. For terrorism knows no greater enemy and no greater force than the one embodied in a free society. Today I am proud to announce Georgia's newest contribution to freedom: our offer to send fresh troops to Iraq to serve in the special protection force for the United Nations Mission in Iraq. In offering our services to the United Nations Mission, we are hopeful that our presence will foster lasting stability, prosperity and freedom for the Iraqi people ó freedom worthy of all those who live in the region at large. In the context of our cooperation with international anti-terrorist efforts, we especially value the work of the Counter-Terrorism Committee of the Security Council, and we support the idea of strengthening the Terrorism Prevention Branch of the Secretariat. At this point, however, one could reasonably ask why such a small country - one of fewer than 5 million people - is so out in front in its international commitments to fighting terrorism and in contributing to that global cause. The answer is as painful as it is simple. Simply put, Georgia's commitments to fighting terrorism reflect our deep understanding of the destruction that it can and has wrought in our own country and in our immediate neighbourhood. Georgia understands that we must do all we can to defeat terrorism. Unfortunately, Georgia today is still dealing with the results of unresolved separatist conflicts in two parts of our country ó Abkhazia and South Ossetia. Those conflicts have resulted in loss of life, the destruction of property, and the forced exodus and ethnic cleansing of 300,000 Georgians, thus creating a large population of internally displaced persons. Those conflicts cannot remain unresolved; we as a country will never get used to the loss of control over that part of the territory or to the plight of those who have been deprived of their livelihoods and their basic human rights. Georgia's new democracy is committed to resolving these conflicts, because no democracy can allow black holes to exist on its territory. Indeed, their existence is fundamentally incompatible with progress, development and lasting stability. No democracy can tolerate them on its territory. Today, we are living in an era where the civilized nations of the world are united in a global war on terrorism, and, in that world, neither Georgia nor the rest of the international community can afford to look the other way. Uncontrolled zones breed crime, drug trafficking, arms trading and, most notably, terrorism. The threats posed by violent separatism affect the security not only of Georgia but of the entire Caucasus. In places like Abkhazia, on the shores of the Black Sea, these lawless zones have the potential to affect European security as long as the situation there remains unresolved. The lawless territories of Abkhazia and South Ossetia are safe havens for mini-dictatorships, tightly controlled by elite groups that seek to profit from the criminal status quo. It causes me pain to say that, in these extremely closed societies ó by and large cut off from the rest of the world ó children grow up with guns in their hands instead of books. Their heads are filled with hatred and intolerance, instead of respect for difference and appreciation for cultural diversity. 14 We must put an end to this cycle of destruction. We must do more to eliminate the threats to peace and security that have for too long retarded our development. As we seek to find lasting solutions to these ìfrozenî conflicts, once again Georgia can be considered a test case. Our success in that respect would be your success, too. Here, I want to state in the clearest of terms that Georgia is fully committed to solving these conflicts through solely peaceful means. Georgia will not and cannot use violence to solve these conflicts, because no democracy can go to war against its own people. What all parts of Georgia need today is development, investment, security and lasting economic growth. We will peacefully reincorporate South Ossetia and Abkhazia, so that all citizens of Georgia can share in the fruits of our success. I believe that the most effective mechanism for establishing Georgiaís unity is the creation of a strong economy, where those who are not yet sure if they want to remain outside Georgia will be given real incentives and chances to benefit from a prosperous, tolerant and successful State ó a place where they and their children will be able to find jobs, earn stable incomes, and have access to new opportunities and investments. In a strengthened economy, all of Georgia's inhabitants will know that they live in a State that is able to care for and look after them ó in sickness and in health. These are the qualities that an economically strong and democratically vibrant Georgia will guarantee all its citizens. We must do everything possible to realize that vision if we want to build a united future. As Georgia looks to the future, it does so with a clear and understandable plan. Today, I would like to introduce the idea of a new stage-by-stage settlement plan, designed to speed the resolution of these conflicts. Step one is to initiate confidence-building measures, so that new forms of trust are established that create lasting human bonds between peoples. Those measures could include exchanges and links between various non-governmental organizations ó youth group to youth group, student to student, journalist to journalist, athlete to athlete, health-care worker to health-care worker, mother to mother ó so that more citizens and more segments of our society can learn to understand one another and to trust one another. Building confidence means pursuing joint economic projects that create wealth where today there is want and create profits where today there is poverty. Building confidence means restoring and guaranteeing the right of internally displaced persons to return to their native homes. We can and must build confidence between peoples, as the first precondition for peace. We can and must do more to protect human rights through international police forces in places like Gali and through the existing Human Rights Office of the Organization for Security and Cooperation in Europe, located in Gali. Together, we could move on to step two, which would focus on specific measures aimed at achieving demilitarization and a truly international format for a peacekeeping operation in our area, transforming the current peacekeeping operation into a broad international operation, so that the people of those regions can live free from fear of uncontrolled militias, irregulars and violent gangs, which hold us all hostage to the status quo. Those steps will require monitoring, verification and transparency, so that we can achieve the necessary results. The third stage, step three, envisions a global solution with global guarantees that would lead to the establishment of the fullest and broadest form of autonomy ó one that protects culture and language and guarantees self-governance, fiscal control and meaningful representation and power-sharing at the national government level. Most important, it would lead to an autonomy that empowers average people, so that isolated elites no longer act as the sole decision makers over peopleís future. Georgia greatly appreciates the support rendered by the Group of Friends and the Geneva process, as well as the concepts and principles contained within the Boden document, which should be transmitted to the Abkhaz side. Now is the time to enhance those commitments; now is the time for the international community to do much more. Simply put: the international community can no longer afford to look the other way when gross violations of human rights take place in separatist 15 enclaves, just as they can no longer afford to ignore the security risks that emanate from those black holes and smugglersí safe havens. The relevance of that point was brought to the attention of the world after terrorists seized a school of innocent children in Beslan, surprising and shocking the world with their brutality. The people of Georgia were deeply shocked, and we of course condemn that brutal act and express deep sympathy to the families of the victims of that terrible tragedy, which sent shockwaves through every Georgian household. As we know, the terrorists that seized the school are common enemies of Russia and Georgia alike. We had seen such individuals ó notorious for their acts of destruction, violence and killing ó when they unleashed the same kind of bloodshed in the name of Abkhaz separatism 10 or 11 years ago. Those terrible events prove once again that we cannot afford to ignore the dangerous linkages that exist between the separatism on one side of the Caucasus mountains and the violence on the other side. All separatists sow the seeds of great instability, and lawless zones can be sanctuaries for criminals who conduct acts of terror. It is our moral obligation to put an end to the unilateral practice of reaching out to separatists without the consent or knowledge of the authorities of the central Government in Tbilisi. In order to defeat that evil, we must not allow double standards to persist. I believe that we can work together with other countries in that respect. The time has come for Georgia and Russia to enter a new stage of cooperation whose goal is to defeat that common enemy. It is our moral obligation and profound responsibility to join forces more robustly in that cause. I firmly agree with President Putin that we can never negotiate with terrorists or cut deals with killers. But we may - and we should - work with moderate elements who seek peace without violence. We must reach out to every segment of society. We must do away forever with the Basayevs of the world, no matter what side of the border they terrorize, and reach out to ordinary, peace-loving people. All forms of violent separatism - whether in Tskhinvali, Grozny or Sukhumi - represent destabilizing factors for Russia and Georgia alike. I am confident that, by working together more robustly, we can make great progress in reducing that shared risk. I believe that there are a number of concrete initiatives on which we can embark today that will bring immediate results - initiatives that again confirm Georgia's status as a test case for the promotion of a foreign policy that leads us away from the outdated politics of domination, advancing, instead, our shared interest and the great potential for regional cooperation. That means finally coming to grips with the need to close outdated Russian military bases, left over from the past and from a country that no longer exists. Let me be clear: while we appreciate any help in strengthening our security structures so as to make us a more responsible contributor to international peace and security, Georgia is firm in its position that we will not have any new foreign military bases on our territory. Today, Georgia needs bridges, not bases; roads, not rockets. And we need cooperation, not competition, when it comes to eliminating sources of instability and terror. The mechanics of the new relationship with Russia means pooling our resources and efforts to create a joint anti-terrorism centre to counter common threats. It means expanding joint border patrols to the entire Russian-Georgian border, so that no area is left exposed. Thus the era of zero-sum thinking can be replaced with policies that lead to a win-win situation. That is my fundamental conviction. Those efforts will require greater sharing of information and intelligence, and a greater degree of trust ó all of which Georgia stands ready to provide. Why? Because such actions serve the cause of peace; because they are part of what it means to remain a responsible member of the international community of nations; and, finally, because we have no reasonable alternative: failure is not an option. In order to replace the mistrust and misperceptions that sometimes derail our progress, Georgia today proposes the establishment of new bilateral bodies to deal with issues between us and Russia, in which bilateral issues and misgivings could be regularly discussed and considered. We should begin considering the establishment of such a body so that our relations never again suffer from misunderstanding or misinterpretation. 16 We should, together, consider issues such as the protection of the rights of Russian citizens now living in Georgia so that no inhabitant of Georgia ever feels forgotten or unprotected. At the same time, of course, such relations would be based on the principles of international law and mutual respect for each otherís independence. All this and more is necessary because there is nothing more important than serving the cause of peace. And I am confident and optimistic that my colleague, President Putin, desires the very same for his people. I believe that Georgia will remain a test case in our part of the world in the near future as we build democracy and further advance cooperation. Cooperation among the United States, the European Union, Russia and the countries of the Caucasus must become the litmus test for this new relationship. Whether it is the fight against terrorism or the development of energy or of transit and trade lines, the region must become a model of cooperation and stability that benefits everybody. We are firmly on the path towards integrating into regional security structures that serve the stability and security of everybody in the region. Georgia is becoming an increasingly functional, performing State, after being a failed State just one year ago. We now have a budget that is three times bigger than it used to be. Our structures are much more efficient than they used to be. Our people are more optimistic than they used to be. We could be a major part of those structures, and we offer ourselves as a responsible member of the local and international communities. I am sure that, by following that path, we can unlock the great potential of this crucial and great region for peace, prosperity and stability - a task I look forward to pursuing with all of Georgia's friends and neighbours.