Poverty, Social wWelfare and Social Development: Challenges for the 21st Century

Keynote address by Dr Zola Skweyiya,
south africa's minister for social development
and chair of the un commission for social development


Chairperson and President of the International Council on Social Welfare, Dr Julian Disney, Deputy Chairpersons of Conference and distinguished delegates from across the globe, greetings and welcome to South Africa. We are pleased that the International Council on Social Welfare is holding its 29th conference in Cape Town. We congratulate you on bringing together people representing government, intergovernmental agencies and the non governmental sector together to debate some of the most pressing and fundamental concerns affecting all our countries.

Once again in world events and history the issues of poverty, social welfare and social development are being brought to the fore. These issues have gained increasing prominence during the UN World Conferences of the 1990s, especially the World Summit on Social Development and its recent 5-year review in Geneva.

The 1990's saw an unprecedented commitment made by 117 heads of state and governments, to eradicate poverty "as an ethical, social political and moral imperative of human kind". Importantly, people centred development was recognised as the key to achieving poverty eradication" (UNDP, HDR, 1997:iii)

Since these commitments were made, little has changed for the world's poorest people. All forms of poverty have deepened and widened while inequalities within and between countries have increased. In the developing world one third of people experience income poverty and live on less than one dollar a day. When this is broken down into regions the picture is far worse for some. In South Asia forty five percent and in sub Saharan Africa almost forty percent of the population live under a dollar a day.

Moreover, human poverty, when measured through health and literacy levels, reveals a far worse picture. For example, while in developing countries thirty percent of all children under five are malnourished and thirty eight percent of adult women are illiterate, in South Asia half the children under five are malnourished and close to two thirds of women are illiterate. The human face of poverty continues to be women and children even as the rhetoric is pro gender equality and pro children's needs.

The varied, multiple and uneven impacts of this phase of globalisation has created a new urgency for us to respond to poverty, social inequality, human rights abuses and issues of inequity. Given such widespread human poverty, our governments and organisations of civil society need to respond in a more co-ordinated and strategic manner to these problems. But such a response requires supportive and peaceful regional and international environments. While much can be done to strengthen responses within our national contexts, international agreements on free and fair trade and the promotion of peace and justice are critical to the process of poverty eradication and social development.

Experiences across regions have shown that while the rhetoric of social development and human rights is impressive, this rhetoric has not been translated into action. The terms of international trade have worsened and financial resources have declined in many developing countries. Further, debt servicing and a lack of economic growth have had negative impacts on governments' capacity to deliver on social development. For many of our countries social services are dwindling, the poorest people are having to pay for basic services such as water, health care and education to name a few. Food security and livelihoods are threatened and for some non-existent.

External debt payments continue to have a dramatic impact on many countries' abilities to respond to poverty and social expenditure. There is also growing doubt about the Enhanced Heavily Indebted Poor Countries Initiative to ensure faster, deeper and broader debt relief. Many indebted countries doubt that these measures will have the required effect in the face of declining donor aid.
The volume of donor aid reached an all time low in 1998 of zero point two two percent (0.22%). This is a significant decline when countries rely on such aid to address poverty.

Furthermore countries are wary of being subjected to new poverty-related conditions tied to debt relief and aid. While official development assistance is supposed to strengthen the hand of developing countries in combating poverty, the experience of some countries is otherwise. A concern therefore is that not only has aid been declining markedly; aid flows are not focused on country determined programmes but become dispersed to piecemeal projects that relate to the agendas of donor countries.

While new information technologies and globalisation have enhanced choices for some people it has also diminished prospects for others and reinforced inequalities within and across nations. The liberalisation of trade and capital flows pursued by developing countries and countries with economies in transition during the last 10 to 20 years has resulted in the free play of market forces excluding those who were and continue to exist outside of a monetised economy.

Across poor countries the inadequacy of national and regional policy and institutional capacity to manage the economic and social devastation of recurrent economic crises is evident. There is growing consensus that there is a need to anticipate, prevent and offset negative social and economic consequences through effective regional and national strategies supported by appropriate international aid.

Conflicts, ongoing wars and struggles over the distribution of economic and political power continue to challenge developing countries. Such conflicts with all their resultant violence have diverted resources much needed poverty eradication and sustainable human development.

A particular concern in Sub Saharan Africa is the inadequacy of existing policy prescriptions to respond sufficiently and effectively to the challenges of poverty and economic development given the devastating impacts of HIV/AIDS.

The Trade-Related Intellectual Property Rights (TRIPS) treaty agreed at the Uruguay Round of negotiations at the WTO has affected trade and patenting rights and disadvantaged many of our countries. As a region that is suffering the worst epidemic of HIV/AIDS, we are being challenged to develop a position to ensure that issues of survival and health care are not simply left to the vagaries of markets. Certain medicines and drugs that are central to the treatment of HIV/AIDS should be affordable. We need to examine the rules that prevail to ensure protection not only for the corporate innovator but also for traditional producers and users. We also urge the international community to integrate the ethics of human development into trade negotiations.

When it comes to sustainable livelihoods especially of poor women in rural areas we need concerted action from governments, the private sector and the non-governmental sector to ensure their capacity for self-organisation. Moreover the development of secondary agro-industry needs to be promoted within an effective and sustainable land use framework. These initiatives must be promoted in ways that lead to the development of assets, capabilities and livelihoods of the poorest people, especially women. That the trade regime operates in a contradictory way is evident when we look at the situation of Africa where for low-income groups, agriculture is among the most liberal and subsidy free in the world, compared to some countries in Europe where farmers are subsidised.

An emerging trend in the face of unemployment is an increase in casual and informal employment. While more women are able to enter such employment, there has not been a reduction in their work within the household or at community levels. The lack of waged employment has forced many of the poorest, especially women and children, into exploitative forms of work including commercial sex and criminal activity including drug trafficking. A further concern is the extent to which women and children are vulnerable to the risk of HIV/IADS because of economic hardship.

Moreover, the push towards flexible labour markets, while increasing some work opportunities has also created more pockets of poverty. We now have more working people living in poverty. Their incomes are below the poverty line. At the same time low levels of social security in many countries are generating new forms of social exclusion and fragmentation. Economic liberalisation without effective social policies to mitigate the negative impacts of globalisation is unsustainable in human and environmental terms.

The challenges that government and civil society organisations face are many as we attempt to respond to poverty, social welfare and social development. Democracy means ensuring an environment for accountable, responsive government that promotes the active citizenship of those who have been living on the sidewalks of society. However, the narrative of social marginalisation of women and poor people from economic and political decision-making structures and processes continues to be a painful reality. Programmes to eradicate poverty and promote social development must therefore be planned and evaluated with poor people. The many innovative ways through which people have been working to overcome their poverty should be strengthened and promoted.

We also have to introduce mechanisms within our countries and regions to root out corrupt practices in all spheres of governance. Corruption and mal-administration are a drain on resources that are required to fight poverty and inequality. Such practices undermine the legitimacy of democracy.

While many countries recognise the role of civil society organisations to promote common interests in development and as a check on governments and the private sector some still prevent and oppose civil society involvement in issues of social development and governance. A vibrant civil society working to overcome poverty and social inequality can reinforce governments' in their work.

In conclusion, let me end with a quote from a statement made by President Thabo Mbeki at the UN Millennium Summit in September this year. "Part of the naked truth is that the second millennium provided humanity with the capital, technology and the human skills to end poverty and underdevelopment throughout the world. Another part of that truth is that we have refused to use this enormous capacity to end the contemporary, deliberate and savage violence of poverty and underdevelopment."