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Viewing cable 09DHAKA322, BANGLADESH CONCERNS ON ITS EXCLUSION AT G20 SUMMIT

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Reference ID Created Released Classification Origin
09DHAKA322 2009-04-01 10:08 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Dhaka
VZCZCXRO6180
RR RUEHAST RUEHBI RUEHCI RUEHDBU RUEHLH RUEHNEH RUEHPW
DE RUEHKA #0322/01 0911008
ZNR UUUUU ZZH
R 011008Z APR 09
FM AMEMBASSY DHAKA
TO RUEHC/SECSTATE WASHDC 8545
INFO RUEATRS/DEPT OF TREASURY WASHDC
RHHMUNA/USCINCPAC HONOLULU HI
RUCNCLS/ALL SOUTH AND CENTRAL ASIA COLLECTIVE
UNCLAS SECTION 01 OF 02 DHAKA 000322 
 
SENSITIVE 
SIPDIS 
 
DEPT FOR: SCA/INS 
DEPT PLEASE PASS USTR 
 
E.O. 12958: N/A 
TAGS: EAID ECIN ECON EFIN ETRD WTRO BG
SUBJECT: BANGLADESH CONCERNS ON ITS EXCLUSION AT G20 SUMMIT 
 
1.(SBU) During the preparations for the upcoming Group of Twenty 
(G20) Summit in London, the Government of Bangladesh (GOB) expressed 
interest in attending the Summit, as an observer, to represent the 
Least Developed Countries (LDCs).  GOB officials had raised this 
issue with various diplomatic missions over the last few months, 
including the US Embassy. 
 
2.(SBU) The G20 eventually decided against inviting an LDC observer 
to the Summit.  In response the GOB has submitted the following 
non-paper regarding this decision to the Embassy. 
 
Begin Non-Paper: 
 
Non-paper for the G -20 Summit (London 2nd April) on behalf of the 
LDC Group 
 
Bangladesh, as Coordinator of the Least Developed Countries, is 
placing the following issues for consideration of the G20 Summit to 
be held in London on 2nd April 2009: 
 
-- The LDC Group has serious concern about not being allowed to be 
represented in the G20 Summit and in its other forums at the levels 
of finance ministers and central bank governors. It is regrettable 
that the interests and concerns of the LDCs, a Group of 49 most 
vulnerable countries and the unfortunate home of the "bottom 
billion", continues to remain unrepresented in the G20. Bangladesh, 
as the Coordinator of the LDC Group in the international fora, seeks 
support of the G20 Group on some key issues that are critically 
important for the LDCs. 
 
-- The LDCs are highly vulnerable to the unfolding financial crisis. 
Exports, terms of trade, migration and remittances, ODA, FDI are 
some of the key areas where the LDCs would be severely affected. 
This would, in turn, negatively affect the socio-economic 
development programmes that these countries are currently 
implementing in order to achieve their respective national 
development goals including the MDGs. This might lead to social 
unrest in the LDCs with all its accompanying malaises. 
 
-- The fiscal space, which could have been an important stabilizer, 
is absent in LDCs. We cannot afford to offer stimulus package for 
arresting the recession in our economies. It is apprehended that 
even if the LDCs could put together some stimulus package, it would 
remain dependent on external resources for its implementation. 
 
-- Protectionist approach is a major threat to the LDC exports. We 
welcome the pledges of the G20 countries to fight all forms of 
protectionism and maintain open trade and investment. Stalemate in 
the WTO Doha Trade negotiation is a big challenge for the LDCs. The 
LDCs, therefore, urge for an early conclusion of the WTO Doha Trade 
negotiations. We call upon the G20 members to decide on key 
development deliverables such as duty-free, quota-free market 
access, and trade capacity building for LDCs as soon as possible to 
tackle the financial crisis. 
 
-- Many of the LDCs have been facing huge unemployment at national 
level. This has only aggravated with the financial crisis. Overseas 
market provides a major source of their employment and foreign 
exchange. Remittance constitutes a significant part of their GDP. 
The LDCs are seriously concerned that the migrant workers are being 
made to be disproportionately affected by the unfolding crisis in 
the global job market. Any decrease in the capital flow sent by 
migrants will have significant negative impacts on the 
migrant-sending country's development. The LDCs, therefore, call 
upon the G20 to ensure employment guarantee for all existing migrant 
workers of the LDCs in all markets. Access of skilled and 
semi-skilled workers from LDCs to the advanced economies should also 
be granted. 
 
-- The LDCs are also drawing attention of the G20 to the existing 
internationally agreed commitments, including those made on 
financing for development in the Doha Conference last year. These 
assistances for the LDCs become even more urgent during the current 
global recession in order to meet their basic needs. Developed 
countries should scale-up their effort to fulfill their Brussels aid 
commitment of 0.2 percent of GNI to LOCs by 2010. Under the current 
circumstances, donors should make concerted efforts to enhance the 
share of assistance that is untied and provided in the form of 
direct budgetary support. 
 
-- The LDCs also recognize that issues like external debt relief, 
access to credit, technical assistance, capacity building and 
technology transfer are areas where the support of the international 
community in general and of the G20 in particular is crucial for the 
LDCs. 
 
-- The current financial crisis, no doubt, manifests a gross failure 
 
DHAKA 00000322  002 OF 002 
 
 
of the global economic architecture. International monetary and 
financial systems need to be fundamentally reformed in a way that 
also meets the concerns of the LDCs. 
 
-- The LDCs believe that the United Nations, as the only institution 
having universality of membership and credibility, must play a 
central role in the necessary reform of the international financial 
system. The upcoming UN Conference on financial crisis from I to 3 
June 2009 would provide an important opportunity to examine various 
facets of the crisis and remedial measures. The G-20 Summit can make 
substantive contributions to the upcoming UN Conference for a 
successful outcome. 
 
End Non-paper 
 
PASI