It is my great pleasure to greet my dear friend Mr. Miguel d’Escoto Brockmann, President of the General Assembly. I wish you much success in your mission. The present session of the General Assembly is being held at a particularly serious time. An often predicted economic and financial crisis is now today’s harsh reality. Because of the responsibility of speculators, entire peoples are suffering anguish in the wake of successive financial disasters that threaten the world’s economy. Indispensable interventions by State authorities have defied market fundamentalists and shown that this is a time for political decisions. Only decisive action by Governments — particularly those of countries at the epicentre of the crisis — will be able to rein in the disorder that has spread through the world’s financial sector, with perverse effects on the daily lives of millions of people. The lack of rules favours adventurers and opportunists, to the detriment of real companies and workers. The great Brazilian economist Celso Furtado said that we must not always allow speculators’ profits to be privatized while their losses are invariably socialized. We must not allow the burden of the boundless greed of a few to be shouldered by all. The economy is too serious a matter to be left in the hands of speculators. Ethics must also apply to the economy. A crisis of such magnitude will not be overcome through palliative measures. Mechanisms for both prevention and control are needed to ensure full transparency for international finance. Today’s supranational economic institutions have neither the authority nor the workable instruments that they need to control the anarchy of speculation. We must rebuild them on entirely new foundations. The global nature of this crisis means that the solutions we adopt must also be global and must be decided upon in legitimate and trusted multilateral forums, without coercion. The United Nations, as the world’s largest multilateral arena, must call for a vigorous response to the weighty threats that we all face. Yet there are other, equally serious matters facing the world today. One of them is the food crisis, which afflicts more than a billion human beings. The energy crisis is also growing worse every day, as will the risks to world trade if we fail to achieve an agreement at the 7 08-51570 Doha Round; another is the unrestrained degradation of the environment, which lies behind so many natural calamities whose victims are overwhelmingly the poor. The fall of the Berlin Wall was expected to open up possibilities for building a world of peace, free from the stigmas of the cold war. However, it is sad to see other walls going up so quickly. Many of those who preach the free circulation of commodities and capital continue to fight the free movement of men and women, using nationalistic and even racist arguments that evoke unpleasant memories and fears of times that we thought were behind us. A supposedly “populist nationalism”, which some forces seek to identify and criticize in the South, is being unabashedly promoted in the developed countries. The financial, food, energy, environmental and migration crises, to say nothing of threats to peace in several regions of the world, reveal that the multilateral system must be overhauled to meet the challenges of the twenty-first century. Gradually, countries are moving beyond old conformist alignments with traditional centres. That new attitude, however, does not imply a confrontational stance. Simply by using direct dialogue without intermediation by major powers, developing countries have stepped into new roles in designing a multipolar world, with examples such as India, Brazil and South Africa (IBSA), the G-20, the summits between South America and Africa and between South America and the Arab countries and the BRIC countries — Brazil, Russian Federation, India and China. A new political, economic and trade geography is being built in today’s world. While navigators in the past would look to the North Star, today we are trying to find our way by looking at multiple dimensions of our planet. Now we often find our North Star in the South. On my continent, the Union of South American Nations (UNASUR) was created last May, as the first treaty — after 200 years of independence — that brings together all South American countries. This new political union will coordinate the region’s countries in terms of infrastructure, energy, social policies, complementary production mechanisms, finance and defence. Meeting in Santiago, Chile, just over a week ago, the Presidents of South America demonstrated UNASUR’s ability to respond quickly and effectively to complex situations, such as the one in our sister nation, Bolivia. We supported its legitimately-elected Government, its democratic institutions and its territorial integrity and we issued a call for dialogue as a path to peace and prosperity for the people of Bolivia. Next December, in the state of Bahia, Brazil will host the first summit of all of the countries of Latin America and the Caribbean on integration and development. This will be a high-level meeting under no umbrella, based on Latin America’s and the Caribbean’s own perspectives. All these efforts in the multilateral sphere are complemented by my country’s solidarity initiatives with poorer nations, particularly in Africa. I also wish to emphasize our commitment to Haiti, where we command troops of the United Nations Stabilization Mission in Haiti and are helping to restore peace. I reiterate my appeal for the solidarity of developed countries with Haiti, since implementation has fallen far short of the many promises. The strength of values must prevail over the value of strength. Only legitimate and effective instruments can assure collective security. The United Nations has spent 15 years discussing the reform of its Security Council. Today’s structure has been frozen for six decades and does not match the challenges of today’s world. Its distorted form of representation stands between us and the multilateral world to which we aspire. Therefore, I am much encouraged by the General Assembly’s decision to launch negotiations in the near future on the reform of the Security Council. It is multilateralism that must also guide us toward solutions to the complex problems of global warming, based on the principle of common but differentiated responsibilities. Brazil has not shirked its responsibilities. Our energy matrix is increasingly clean. Today’s food and energy crises are deeply intertwined. The inflation of food prices is affected not only by climatic factors and speculation in agricultural commodities; it is also driven by rising oil prices which affect the prices of fertilizers and transportation. Attempts to tie high food prices to the distribution of biofuels do not stand up to an objective analysis of reality. Brazil’s experience demonstrates — and this could be the case for countries similar to ours — that 08-51570 8 sugar-cane ethanol and biodiesel production reduce our dependency on fossil fuels, create jobs, regenerate degraded land and are fully compatible with expanding food production. We wish to intensify all aspects of that discussion at the world conference on energy and biofuels which we will be holding in November 2008, in the city of Sao Paulo. My obsession with the hunger problem explains my ongoing efforts, along with other world leaders, to reach a positive conclusion to the Doha Round. We are still pushing for an agreement to reduce scandalous farm subsidies in rich countries. A successful Doha Round will have a very positive impact on food production, particularly in developing and poor countries. Four years ago, along with several world leaders, I launched the Action Against Hunger and Poverty here in New York. Our proposal, then and now, is to adopt innovative funding mechanisms. The International Drug Purchase Facility is one early result of that initiative, helping to fight AIDS, tuberculosis and malaria in several African countries. But it is not enough. We still have a long way to go if we want humanity to actually achieve the Millennium Development Goals. In December 2008, we will commemorate the sixtieth anniversary of the Universal Declaration of Human Rights, paying a tribute that will go far beyond mere formalities. That document expresses inalienable commitments that challenge us all. As Governments, we must do more than support the Declaration with rhetoric. We are called upon to fight for the values proclaimed six decades ago and to make them a reality in each country and around the world. Today’s Brazil is very different from what it was in 2003, when I became President of my country and stood for the first time before the General Assembly. Our Government and society have taken decisive steps to transform the lives of Brazilians, creating nearly 10 million formal jobs, distributing income and wealth, improving public services, lifting 9 million people out of extreme poverty, and bringing another 20 million into the middle class. All this has occurred in an environment of strong growth, economic stability, lower external vulnerability and, above all, a stronger democracy with the intense participation of our people. In the year when we commemorate the one-hundredth birthday of the great Brazilian Josué de Castro — the first Director-General of the Food and Agriculture Organization of the United Nations and a pioneer in the studies concerning the problem of hunger in the world — it is worthwhile to reread his warning: “It is no longer possible to sit back and let a region go hungry without the entire world suffering the consequences.” I am proud to state that Brazil is overcoming hunger and poverty. I reiterate the optimism that I expressed here five years ago. We are much greater than the crises that threaten us. We have the heart, the right-mindedness and the will to overcome any adversity. More than ever, that is the spirit of Brazilians.