I am privileged today to be able to congratulate the President, on behalf of the Government of the Republic of Vanuatu, on his election to preside over the Assembly at a period critical to the life of the Organization and its role in future relations between our countries and peoples. I should like to assure him of the full support and cooperation my delegation and my country will lend him and his country, Ukraine, during his mandate. I should also like to take this opportunity to express the warmest congratulations of the Government and people of Vanuatu to the President of the preceding session, Ambassador Razali Ismail of Malaysia, on the role he played during a period in mankind’s history that 15 will be noteworthy for a series of events that were important both on an international level and on various regional levels. This is also a special opportunity for me to welcome the new Secretary-General of the Organization, Mr. Kofi Annan, and to reiterate the support of the Republic of Vanuatu for him in carrying out his mandate as Secretary- General and, in particular, for the new initiatives he has taken and committed himself to take in the process of dialogue and consultation with all Member States with regard to the future of the Organization. After more than 50 years of existence, the United Nations today finds itself facing an economic and international political situation that is increasingly complex and particularly more difficult for small developing countries in general, and especially so for the least developed small island countries, like the Republic of Vanuatu. This situation should be recognized as one of the major challenges to the international community and one that must be dealt with through more committed international cooperation, particularly favourable treatment being given to meet the specific needs of those countries and populations that are its victims. For the Republic of Vanuatu, the highest priority remains the economic development and social well-being of its population, more than 80 per cent of whom live in rural areas or on islands far from the administrative and commercial centre. The maintenance of political stability and social harmony in a country depends and will continue to depend, first and foremost, on the country’s orientation and economic development process. The rhetoric of certain development partners in trying to make their technical and financial assistance contingent on the political commitment of government leaders and on the maintenance of peace is futile with regard to the Pacific region. Such rhetoric tends rather to challenge the very integrity of these leaders and their commitment to socio-economic development in their respective countries. Genuine international cooperation must not only be based on the high-priority socio-economic needs of the developing countries and on the interests of the donors; it must above all be anchored firmly in respect for the principles of sovereignty and mutual acknowledgment of the competence of the national political authorities in the exercise of their functions in office. In the framework of its restructuring and in the context of new international challenges, the United Nations is called upon to play a leading role in international cooperation on the basis of these new elements. In this regard, the Government of Vanuatu most warmly welcomes the Secretary-General’s initiative to establish a special development account for the developing country Members. I also wish to recall the importance and role of regional and subregional forums in the process of establishing and strengthening international cooperation. In our part of the world, the South Pacific Forum and the Melanesian Spearhead Group are concrete examples of such cooperation and their initiatives deserve the recognition and support of the international community. On 24 October 1995, during the commemoration of the fiftieth anniversary of the entry into force of the United Nations Charter, the head of the delegation of Vanuatu declared from this rostrum the support of the Republic of Vanuatu for the reform and rational management of the United Nations system. Today, I reaffirm the support of my Government and congratulate Secretary-General Kofi Annan for the courage and determination that he has demonstrated in drafting and implementing this crucial reform. I fully share the Secretary-General’s point of view when he emphasizes in his report that “Reform is not an event; it is a process” (A/51/950, para. 25). It is well known that, throughout today’s world, reform is also the sine qua non for a State’s sustainable economic and ecological growth and development. Indeed, the global challenges that States must face require the constant review and ongoing reform of development policies and of the institutions of state, in order that the latter may become instruments and tools adapted to and honed for the accomplishment of specific tasks, while contributing to the vision of development that we have set for ourselves. Seventeen years after attaining its independence, my country, Vanuatu, has made great social and economic strides. However, the disproportionate challenges facing a small island State such as Vanuatu determined us to initiate a reform programme early this year. This global reform programme, as we call it, covers the formal and informal economic sector as well as the public sector, in the broad sense of that word. With our reform, we would equip our country with the means to meet the major development challenges of the twenty-first century and to avoid or reduce the effects and risks, natural and 16 otherwise, that stalk all developing countries and small island States in particular. This vision of the future that we have crafted for our country requires the creation of dynamic economic conditions in which the private sector is the major protagonist. In most cases, attempts by Governments to act directly in the production of goods and services have purely and simply failed. It also requires the establishment and development of appropriate institutional machinery for technical and financial assistance that will promote the creation, development and growth of private enterprise while placing greater responsibility in the individual. As the General Assembly is aware, it is not enough to create conditions for the development of a dynamic private sector that is a driving force for growth if we seek development that is economically and ecologically sustainable and fair. Indeed, in our case, we consider the reform and revitalization of the State as another sine qua non of this sustainable and fair development. Hence, public administration must be made more effective and freed from any adverse political interference, allowing us thus to reestablish transparency, confidence, stability and the security of private investment. Our reform is designed above all to eliminate existing injustices and not to create others, which would represent failure and backsliding. With our reform, we seek equitable development that takes into account the development needs of our children and of generations to come. The redistribution of the benefits of reform and the situation of women, children and other disadvantaged groups must be seriously considered in the implementation of this reform. Guaranteed fairness requires the assignment of the highest priority to education through the allocation of available resources. Only an up-to-date and high-quality education will equip each individual with the necessary skills and allow him to satisfy his basic needs and maintain his dignity. It must be clear to all that the decision of the Economic and Social Council on 18 July to graduate my country, the Republic of Vanuatu, from the list of least developed countries was a surprise. I take this opportunity to reiterate the position of the Government of Vanuatu, as reflected in the official correspondence between my Government and the Secretary-General, the President of the Economic and Social Council and a certain number of friendly countries Members of the United Nations. While recognizing the sensitive nature of this question, the Government of Vanuatu solemnly calls on this Assembly to consider putting off the question of graduation to the year 2000, when the indicators for identifying least developed countries will be finalized by the Committee for Development Planning. My Government recently launched a global reform programme and will need the full support of the donor community in order to implement our reform and give our country the infrastructure indispensable to our growth. Similarly, during the Global Conference on the Sustainable Development of Small Island Developing States held in Barbados, it was decided to develop indicators for the vulnerability index appropriate to this category of United Nations Member. In this context, we consider the decision of the Committee for Development Planning to be premature and in no way reflecting the spirit of that United Nations resolution. Moreover, with more than 80 per cent of our population living in the countryside on food-producing subsistence agriculture; a well-paid expatriate population; and official development assistance equal to the State’s annual budget and representing 20 per cent of our gross domestic product, we feel that the Committee for Development Planning’s decision can only stem from a lack of adequate information. We do not understand why least developed countries in the same situation as Vanuatu are treated differently and demand that we receive exactly the same treatment as any that, like us, meets two of the current identifying indicators for least developed countries, as laid down in the Committee’s report. (spoke in English) As recognized by the Rio Conference and the Global Conference on the Sustainable Development of Small Island Developing States, held in Barbados, the issue of environment and its close association with the concept of development has become highly complex and sensitive. The convening of international conferences and the formulation of international treaties such as the Framework Convention on Climate Change are a clear demonstration of the significance of environmental issues in our development efforts. Small island countries like Vanuatu and other Pacific island countries have taken some tough decisions to 17 introduce restrictive measures internally in support of the international call for environment protection. They have also committed their Governments and nations to the principle of instituting a legally binding instrument which would guarantee the reduction of greenhouse gas emissions to an internationally accepted level. To the Pacific island countries, particularly the low- lying nations, a failure to fully address the issue at hand and to reach an acceptable solution could put into question the commitment of the international community, and could constitute a great security risk for our islands and our future generations. The Republic of Vanuatu recognizes the United Nations initiatives and engagement in the globalization and liberalization of trade. The building up of the multilateral trading system since 1995 is a manifestation and reflection of the United Nations effort and desire to create a global and uniform trading environment that is conducted and based on the new rules and obligations provided in the Marrakesh Declaration. My country has embarked on a wider process of consultations to seek membership of the World Trade Organization (WTO). The challenges and opportunities offered by this new regime are considerable, and therefore weaker economies like ours require time to adjust to their economic policies in order to accommodate the prescribed obligations and requirements of the multilateral trading system. In this context, we would like to develop a common approach through the United Nations system, as well as the European Union, as our partners, in coming to terms with the demands and obligations of the newly established multilateral trading system. While all of us, in particular small islands and least developed States, recognize the need to come to terms with the World Trade Organization, we cannot and should not allow ourselves to be unduly pressured by its demands on these matters where we need to protect our trade preferences and interests. What we perceive to be negative and of less relevance to us in the World Trade Organization must be changed according to our interests. There needs to be scope for all the small and vulnerable States to be accorded sufficient time to undertake reforms in trade and investment competitiveness with a view to creating a positive impact on the economy, particularly in their efforts to source private capital flows and foreign direct investment. Allow me at this point to refer to the future relations between the 71 African, Caribbean and Pacific States (ACP) and the European Union when the current fourth Lomé Convention expires in the year 2000. After some 25 years, it is important to take stock and reflect on the challenges, opportunities and weaknesses of the Convention by reviewing the existing framework of cooperation. From a wider ACP perspective, there is generally a stronger desire and willingness to retain and strengthen the existing framework of cooperation in the areas of political, economic, trade and development assistance. I would like to take this opportunity to strongly urge the international community, through this fifty-second session of the General Assembly, to recognize that there are realities which continue to warrant the need for continuity of the partnership between the ACP States and the European Union beyond the year 2000. In conclusion, allow me to reaffirm my Government’s support for the process of reforming our great Organization which was begun by Mr. Kofi Annan in order to enable it to deal successfully with the challenges of the twenty-first century.