Millennium Development Goals

Earl of Sandwich Excerpts

Thursday 22nd November 2012 Lords Chamber

[The Earl of Sandwich]

My Lords, I thank the noble Baroness, Lady Nicholson. We share a background in the voluntary sector. I strongly agree that we need more time, as is evidenced today, for debate. She said that there are huge imbalances between and within countries. The main target, the halving of poverty, is certainly a milestone, but the noble Lord, Lord Bates, reminded us that it will be met not because the west has helped the south, but because millions of Chinese have been lifted out of poverty, largely, in my view, by their own efforts. Not surprisingly, rural China remains poor. According to a Save the Children study, Born Equal, the urban/rural ratio of income in China has widened progressively to about 3:1 since 1990 and gender inequality there has also increased dramatically. The political climate in China, though restrictive, has certainly not inhibited urbanisation and entrepreneurial spirit, and the example of Mozambique shows that even communism can be adapted to some of the principles of smallholder capitalism.

The MDGs are primarily about aid to reduce poverty, but they should also be a catalyst to economic development, especially in agriculture. Oxfam rightly says that its influence on central Governments is fast diminishing. In itself, it makes a minute contribution in a country such as India. Of course, if aid misses its mark, it has to be our fault. While we cannot be blamed for the mistakes and corrupt practices of Governments, we are responsible for channelling our aid in the direction of the poorest and most vulnerable, and that is not something we are succeeding in.

It is said that OECD countries have not met the MDG targets in developing countries because they have not given enough. The $167 billion shortfall in development aid means that they have failed to meet the 0.7% target, and they will have to double their assistance even during a recession. As we are among a handful of countries trying to maintain or increase our aid budget, I agree with those who accept that aid must be value for money. I agree with the Prime Minister, who repeated that the coalition is determined to resist its Conservative Back-Benchers on this issue. Of course, none of this is as simple as it sounds. The public know there is corruption and bad governance out there. The aid agencies offer solutions, but their outreach is limited.

We have to convince the public that some aid is bound to be wasted, and that is difficult when we know there are hungry people in our midst. I would like to recommend a new MDG in public awareness. I have always believed that we know far too little in this country about other cultures, and in the US, the public know even less. How can we give more aid when we do not understand how its recipients live? It can be done through the media, educational exchanges and in many other ways, including through the MDGs themselves, as others have said. NGOs that are critical of the MDGs also admit that they have been a yardstick for educational purposes, although they are increasingly meaningless to academics since you can prove anything you like with statistics.

From an educational point of view, we should not complicate the present MDGs with human rights and governance tests that can scarcely be objective. After all, we are not free of corruption ourselves. I read recently that the EU gets only six out of 10 on Transparency International’s corruption perceptions index, with some member states scoring below five. I am convinced that NGOs in general are the best route to poverty eradication. Since the noble Lord, Lord Giddens, will speak later, I am glad to say that the LSE-based International Growth Centre lends economists to developing countries and shares experience gathered in those countries on subjects such as finance, banking, taxation and currency. Such NGOs can multiply the value of aid many times over.

Most NGOs that have kindly contributed briefings to this debate are concerned about inequality and the need to see in the post-MDG agenda a more universal recognition of poverty, with more benchmarks of progress. I strongly agree with those who say that gender disparity and inequality must be addressed, but across the whole spectrum of the MDGs, not as an addition to the list of new goals.

I was going to say a word about the health targets, but in this environment, it seems very appropriate that a Crisp should replace a Sandwich.