Mr. President, may I congratulate you on your election and express my deep satisfaction at seeing a representative of Portugal, an ally and a valued member of the international community, occupy the presidency of the General Assembly in our fiftieth anniversary year. Anniversaries are occasions to celebrate past accomplishments. The towering achievement of the United Nations is to have survived through nearly half a century where power relationships often submerged the high-minded vision of the United Nations Charter. Therefore, as we celebrate the half-century of our Organization, we also celebrate the triumph of hope over despair and of good faith over cynicism. At long last, there is an opportunity for the United Nations to come into its own and for the ideals of the Charter to take hold. At the same time, we must learn from our mistakes. Foremost, in that context, is the tragic conflict in Bosnia and Herzegovina. In spite of the laudable humanitarian and peace-keeping efforts of the United Nations, the Organization has in the eyes of the world appeared incapable of preventing the savage dismembering of a sovereign Member State. Although we all realize that the United Nations can never provide foolproof insurance against evil and injustice, the Organization must in the future face such challenges in a more resolute manner. We must demand more of ourselves and learn how to use more effectively the indispensable machinery the Organization has to offer. We should also bear in mind that no organization, however efficient, can provide a substitute for the political will of its Member States. Recent setbacks should, however, not be allowed to obscure the considerable gains, global and regional, that have been made on a number of fronts over the past year. Let me mention only a few. The march of democracy has continued through the organization of free elections in different parts of the world, and a growing number of people now live under pluralistic and democratic Governments. In recent years, the Organization has contributed to the success of elections in various Member States. Two major United Nations Conferences took place earlier this year. Each could, if followed up in earnest, make a tangible difference in the lives of people everywhere. At the World Summit on Social Development in Copenhagen in March, we decided to place people at the centre of development and to address the problem of global poverty more effectively. At the recently concluded Fourth World Conference on Women in Beijing, we pledged to empower women and to involve them as equal partners in all spheres of society. Together, women and men can and should create a powerful unity based on equality, development and peace. In the area of international law, the achievements of the United Nations were once again brought into focus with the entry into force of the United Nations Convention on the Law of the Sea last November and the adoption in August of the Agreement on the 16 Implementation of the Provisions of the Convention relating to the Conservation and Management of Straddling Fish Stocks and Highly Migratory Fish Stocks. In May, a historic step was taken towards ridding the world of the threat of nuclear weapons. The decision by the Parties to the Nuclear Non-Proliferation Treaty to extend the Treaty indefinitely and without conditions should pave the way for a comprehensive and verifiable test ban and an agreement to cut off the production of fissile material. It is regrettable that China and France have not heeded the worldwide demand for a moratorium on nuclear testing. At the regional level there have also been welcome developments. While the passage has not been smooth, there has been further progress towards a comprehensive peace in the Middle East. We have witnessed the joint efforts of the Israelis and the Palestinians to bring their conflict to an end, and we extend to them our sincere congratulations on their historic agreement to be signed later this week. These are substantial accomplishments. They confirm that hard work, guided by the goals and ideals of the United Nations, can bear fruit. More of that same dedication is now required as the Organization prepares to take on the complex challenges of the twenty-first century. The foremost challenge is the need to establish and safeguard peace. While the threat of nuclear holocaust has receded, we still live in a world riven by wars. Annual military expenditure still nearly equals the total income of the poorer half of the world’s population. The peace dividend we had hoped for in the aftermath of the cold war remains for many a sight unseen. The Secretary-General has rightly observed that there is an inherent link between peace and development. Without the one you cannot have the other. Peace is the necessary precondition for the well-being of all peoples, and in the long run we shall be able to protect ourselves from the scourge of war only if we make the necessary investment in the infrastructure of peace. This involves, among other things, dealing with the legacy of deprivation that still confronts mankind. The challenge of development will not lend itself to a simple formulation in terms of government versus the market-place. Instead, we must apply a comprehensive framework, linking democracy, society, the economy and the environment, carefully nuanced to regional and local circumstances. Here, the Secretary-General has led the way in his ground-breaking report. Let me dwell on a few aspects of the issue of development that are of particular interest to my own country. First a word on the role of democracy. Democracies, it is sometimes said, do not make wars. By promoting democracy we also foster peace. This is in part because two of the main pillars of democracy are tolerance and respect for the customs, traditions and opinions of others. But tolerance and respect for diversity must not be misinterpreted. We live in a world of rich cultural diversity, which we should relish and protect. However, multiculturalism should never be used as a pretext for compromising basic and universal human rights. Iceland attaches continued importance to international efforts to create a global environment conducive to job-led economic growth. But economic growth must never be our sole objective, without regard to human values. Environmental protection is another main concern. Important strides have been made in this area since the Earth Summit in Rio. Climate change and ozone depletion, two major dangers to the global ecosystem, are now being dealt with on the basis of legally binding conventions. But much will depend on coordinated action to implement the commitments we have undertaken. Furthermore, greater attention needs to be devoted to the marine environment. Pollution of the marine environment, if not contained, can have a serious impact on human settlements in certain regions of the world, not least communities of indigenous peoples. In this connection, chemical pollutants in the form of persistent organic substances are of particular concern for entire societies which base their livelihood on the living resources of the sea. Iceland is firmly of the view that this threat can be countered only through a global and legally binding framework similar to that governing climate change and ozone depletion. For this reason, my Government attaches particular importance to the conference on the protection of the marine environment from land-based sources, due to take place in Washington later this year, and we urge Member States to take active part in this conference. Marine living resources can make an important contribution to food security in a world faced with rapid population growth. Such resources provide food and 17 livelihood to millions of people and, if sustainably used, offer increased potential to meet nutritional and social needs, particularly in the developing countries, as noted in a recent report of the Food and Agriculture Organization. For this reason, it is particularly regrettable that close to 70 per cent of the world’s conventional species of fish were, according to the same agency, fully exploited, overexploited or depleted, or are in the process of rebuilding as a result of depletion in the early 1990s. Clearly, the ability to satisfy global demand for food from the sea in the coming years will depend to no small extent on the adoption of responsible fisheries conservation and management policies. We should at all times view the ecosystem of the oceans as a whole and harvest all species of this vast but delicate resource in a sustainable manner. Looked at in this light, the results of the United Nations Conference on Straddling Fish Stocks and Highly Migratory Fish Stocks, while by no means the final word on this matter, acquire major significance. Let me point out that the law of the sea has been the sphere in which Iceland has been most engaged, beginning in 1949, when, upon a proposal by Iceland, the International Law Commission was given the task of studying all aspects of the law of the sea. Iceland will continue to be active in the implementation of the Convention on the Law of the Sea. We live in an era of growing demand on diminishing natural resources. It is therefore to be welcomed that international cooperation is now gradually extending to the Arctic region, breaking at last through the barrier of what the Icelandic- American explorer Vilhjálmur Stefánsson once referred to as “the ancient inherited opinions about the terrors of the Frozen North”, a “lifeless waste of eternal silence”. The resources of the Arctic are enormous. The nations of the region should develop its potential and work together in the economic, environmental and cultural fields. Therefore, my Government attaches the highest importance to the consultations that have taken place among the Governments of the eight Arctic States to establish the Arctic Council. We have had intensive discussions on changes in the Security Council, including on whether to increase its membership. Iceland is of the view that the fundamental objective of an enlargement of the Council should be to strengthen its capacity to discharge the duties assigned to it. We believe that there should be an increase in the number of both permanent and non-permanent members. In this context, I would like to express my Government’s support for the permanent membership of Germany and Japan in the Security Council. Reform, however, will avail us little if we fail to come to grips with the serious financial situation of the United Nations. Here, I fully share the deep concerns that the Secretary-General has expressed in his comprehensive report on the state of the Organization. According to their obligations under the Charter, the Member States should pay their contributions to the regular budget in full, on time and without condition. If all Member States do not live up to their obligations, we will be forced to take the inevitable political decision to scale back the activities of the Organization. At a time when the services of the United Nations are in greater demand and when the Organization has a better chance of success than ever before, such a step would be highly unfortunate. Instead, let us put the fiftieth anniversary to good use and make the earnest pledge to put the Organization on a sound financial footing.