CIVICUS is joining fellow civil society organisations to urge G20 leaders to put human rights norms and principles at the centre of their decision-making on financial regulation and climate change during their upcoming Summit in Cannes, France.
We invite you to consider adding your name to this call by endorsing the statement below. To endorse as an organisation, please send the name of your organisation, the country, and the name and email address of a contact person to as soon as possible, but no later than 31 October 2011.
CIVICUS along with the Center for Economic and Social Rights, the Center of Concern, Development Alternatives with Women for a New Era (DAWN), IBASE and Social Watch have already joined this appeal.
We are writing to the Group of 20 Leaders, in advance of their upcoming Summit in Cannes, to remind them that even in the policies of a most eminently economic nature, their duties to respect, protect and fulfill the economic, social, cultural, civil and political human rights, including the right to development, do not cease, but should take primacy in every commitment they undertake.
In particular, we are demanding action on the following issues on the agenda of the G20:- Endorsement of worldwide stimuli measures according to human rights principles;
- Reforms to prevent speculative activity in financial markets from undermining the enjoyment of human rights;
- Action to limit the damage to public funding of financial institutions that collapse due to excessive risk-taking
- Regulations of bank capital requirements consistent with human rights standards;
- Agreement to increase the relative fiscal pressure on the banking sector and to cooperate to increase transparency and mutual accountability in revenue mobilization;
- An agreement to drastically reduce greenhouse emissions which contribute to climate change.
Background
More than three years after the beginning of the global financial crisis the world economy faces an uncertain situation. The continuing economic malaise calls into question the real extent of the recovery so highly celebrated last year.
At the same time, the world was at no point close to a “recovery” from the human rights toll of the financial crisis. Poverty and inequality have increased, and economic growth, where it did take place, has been largely jobless, wageless and unevenly distributed to the wealthiest sectors of society. As the world braces for what seems like another coming economic recession, countries and households barely able to cope last recession are now in an even worse situation, with negative consequences for fundamental human rights in rich and poor countries alike.
G20 Leaders’ duties to place human rights norms at the center of their financial policies and regulations cannot be exhausted with a merely rhetorical recognition (however much such recognition would be an improvement over current practice). States’ human rights obligations embedded in the International Bill of Rights require that governments carefully assess their respective choices and courses of action against the human rights consequences in transparent, participatory, non-discriminatory and accountable ways. Only an enduring commitment to respect, protect and fulfill legally-binding human rights obligations enshrined in the Universal Declaration of Human Rights and core international human rights treaties can provide the basis for reforms to ensure a more sustainable, resilient and just global economy.
Large-scale deprivations of human rights stemming from the financial and economic crises are not inevitable, natural phenomena. The G20 agenda in Cannes in fact provides several actionable opportunities for governments—individually and in concert with one another—to choose alternative, human rights-centered paths to a sustainable economic recovery.
STIMULUS MEASURES: First, the seriousness of the problems threatening the world economy today warrant a cohesive and coordinated response from Group of 20 countries to stimulate their economies. The premature move towards austerity and the consequent reductions in aggregate demand have been the main reasons why the world is falling back into an economic crisis. Austerity policies threaten to continue to deprive people of access to finance, jobs, and services, while their governments for the most part refuse to establish fair systems for the private sector to share the burden of public debt restructurings.
We call on the G20 to implement economic stimulus measures within a human rights framework. Human rights standards and principles provide a framework for the design and implementation of stimuli measures which are participatory, transparent, accountable and non-discriminatory. We are not in favor of blind stimuli measures, especially those that would place new strains on public budgets to benefit private risk-taking. Gender- and environmentally-sensitive public infrastructure programs, transformational universal social protection systems and household debt restructuring that restores spending power, as well as measures to increase disposable income of the poorest, are among the measures that should be undertaken to ensure any recovery benefits those most in need.
SPECULATION IN FINANCIAL MARKETS: Second, in spite of the continued surges in speculative activity in financial markets, there is still limited progress in the regulation of commodity derivatives trading. Near 60 studies have been produced showing that speculation in commodity derivatives is either a good part or the main reason behind the spikes in food and energy prices that have increased hunger and malnutrition.
The Group of 20 should commit to the immediate implementation of reforms to bring Over–the- Counter derivatives to public exchanges, and establish meaningful position limits on derivatives in exchanges under their jurisdiction. The setting of circuit-breakers, compulsory delivery or banning of certain types of derivatives trading, in accordance with human rights standards and principles, should be given explicit individual and collective support.
LARGE AND COMPLEX FINANCIAL INSTITUTIONS: Third, regrettably, there is no guarantee that companies that took undue risks will not again have to be bailed out with public funding. Large and complex financial firms, some of them operating in dozens of jurisdictions, have successfully resisted calls to reduce their complexity or size. They are able to profit from the tax and regulatory arbitrage that such position makes possible, while their complexity and size limits the chances that they can be successfully resolved without disrupting vital banking activities in the event of a collapse.
The Group of 20 should undertake measures to reduce the size and complexity of systemically important financial institutions, including through direct regulatory intervention to break up large firms. Strict separation between traditional banking activities such as deposit –taking and credit provision to households and small companies and proprietary trading should be enforced. Cross-border banking resolution agreements should be pursued. Yet, given the presumably long time it will take to develop them, it is urgent to ensure banks are incorporated and separately capitalized in every jurisdiction where they operate.
BANK CAPITAL REQUIREMENTS: Fourth, the reforms to the Basel Agreement on capital requirements amount to too little and are too slow in implementation. Above all, they amount to more of the same–a reliance on a bank capital regulation model that banks have proven they can manipulate to hide the true extent of their risks. Financial companies that have produced record profits in the last decade and that claim to operate on a highly efficient basis due to their large size have no justification for their persistent complaint that they will reduce credit if such capital requirements are implemented.
Governments in the long term should lend support to replacing Basel requirements with a framework for banking regulation that fully recognizes the duty of States to prevent and protect against and provide effective remedy for human rights infringements by private actors, including the financial sector. In the short to medium term, governments must be fully empowered to consider regulations of banking services as one essential tool to enhance enjoyment of human rights for all, including by taking proactive steps to ensure substantive equality in financial regulatory policies to protect the poor and disadvantaged and allow for where necessary the direct engagement of the State in the provision of banking services.
FINANCIAL SECTOR TAXATION: Fifth, governments’ obligations to take steps “to the maximum of their available resources” to fulfill their economic and social rights responsibilities cannot be upheld without a thorough evaluation of the contribution that the financial sector makes to public budgets through taxation. In general, the liberalization of capital of the last two to three decades has meant more indirect and regressive taxes, disproportionately raising fiscal pressure on poorer and middle-income households.
The G20 should take measures which ensure their financial sectors pay their fair share. Governments should commit to transparent, participatory and accountable taxation systems that introduce greater progressivity overall, and increase in particular the relative weight of fiscal pressure on the banking sector. Specifically, we demand G20 members to agree on the implementation of financial transaction taxes and to express a clear commitment to use this newly-generated revenue to fulfill their human rights obligations–at home and abroad. We further call on governments to take decisive steps to cooperate internationally in order to ensure transparency and mutual accountability in domestic revenue mobilization, putting an end to actions or omissions which prevent governments from raising the resources needed to fulfill their human rights obligations.
CLIMATE CHANGE: Lastly, the absence of serious commitments from G20 governments to reduce greenhouse gas emissions and adopt greener technologies is fast becoming a huge human rights issue. Emissions continue to trigger weather-related natural disasters, subjecting vulnerable and marginalised communities to increased risk as well as threatening the earth’s fragile biodiversity.
As the world’s largest economies and emitters of greenhouse gas emissions which are imperiling the planet, it is imperative that G20 governments take the lead in arriving at consensus solutions to drastically reduce greenhouse gas emissions at the 17th Conference of the Parties of the UN Framework Convention on Climate Change at Durban in November-December 2011. A fair, ambitious and binding treaty on addressing climate change is the planet’s last hope which needs to be supported by G20 governments.
Accion Campesina –Mexico
ACCION-Asociacion Chilena de ONGs –Chile
Action Internationale pour la Paix et le Développement dans la Région des Grands Lacs
ActionAid International
Africa Development Interchange Network (ADIN)
African Women Economic Policy Network (AWEPON)
African Women's Development and Communication Network (FEMNET)
Alliance Sud –Switzerland
Alola Foundation- East Timor
APDR –India
Arab NGO Network for Development
Articulacion Feminista Mercosur- America Latina
Asociación Latinoamericana de Organizaciones de Promoción al Desarrollo (ALOP), A.C.
Asociación Mexicana de Mujeres Líderes Miroempresarias, AC - Mexico
Asociación Nacional de Centro de Investigación, Promoción y Desarrollo –Peru
Asociación para el Desarrollo de los Pueblos -Nicaragua
Asociación Salvadoreña para la Formación y Capacitación Integral Sostenible (ASAFOCAIS)
Associação para a Cooperação Entre os Povos (ACEP) -Portugal
ATTAC Hungary, Budapest- Hungary
Austin Tan Cerca de la Frontera –USA
Base Educación, Comunicación, Tecnología Alternativa (Base ECTA) –Paraguay
Bi'alli. AC - Mexico
Bread for All –Switzerland
Canadian Council for International Cooperation
Canadian Feminist Alliance for International Action (FAFIA)
CARDET –Cyprus
CASM –Honduras
Center for Economic and Social Rights (CESR)
Center for Participatory Research and Development (CPRD) – Bangladesh
Center for the Development of Civil Society –Armenia
Center for Women's Global Leadership (CWGL) –USA
Center of Concern -USA
Centre for Civil Society Economic Justice Project –South Africa
Centre for Social and Corporate Responsibility –Nigeria
Centre for Youth and Social Development –India
Centro de Derechos Humanos Miguel Agustín Pro Juárez –México
Centro de Derechos y Desarrollo (CEDAL) –Peru
Centro de Estudios de la Mujer -Honduras
Centro de Estudios Sociales y Culturales Antonio de Montesinos A.C. –Mexico
Centro de Estudios Sociales y Culturales Antonio de Montesinos A.C. (CAM) – México
Centro de Investigación Laboral y Asesoría Sindical, CILAS,AC – Mexico
Centro de Investigación y Promoción del Campesinado (CIPCA) –Bolivia
Centro de Investigación y Promoción Social, S.C. (CIPROSOC) –México
Centro de la Mujer Panamena –Panama
Centro de Participación Popular –Uruguay
Centro de Reflexion y Acción Laboral de Fomento Cultural y Educativo, A.C. (CEREAL) –México
Centro Flora Tristan –Peru
Centro Peruano de Estudios Sociales (CEPES) –Peru
Children Education Society (CHESO) – Tanzania
CINEP/ Programa por la Paz –Colombia
Ciudadanos en Apoyo a los Derechos Humanos, A.C. –Mexico
CIVICUS
CNCD-11.11.11 –Belgium
Comité de América Latina y el Caribe para la Defensa de los Derechos de la Mujer (CLADEM)
Comité de Derechos Humanos del Cerro del Judío –Mexico
Company of the Daughters of Charity of St. Vincent de Paul –USA
Congregation of Notre Dame –Canada
Congregation of the Sisters of the Presentation, Newfoundland and Labrador –Canada
Consejo Internacional de Educacion de Adultos (ICAE)
Cooperation for Peace and Development –Afghanistan
Coordinación de ONG y Cooperativas (CONGCOOP) –Guatemala
Coordinador General de la Red Rural –Paraguay
Coordinadora Servicios y Cooperación Externa (CONGCOOP) –Guatemala
Copevi –Mexico
Corporación Región –Colombia
Corporación Viva la Ciudadanía –Colombia
CRADEC – Cameroon
DECA Equipo Pueblo - Mexico
DECIDAMOs –Paraguay
Declaration of Salzburg for Development in Solidarity –Austria
Development Alternatives with Women for a New Era (DAWN)
Dominican Leadership Conference –USA
Economic Governance for Health
Educational Evaluation and Policy Analysis (EEPA) -Belgium
EDUCON –Czech Republic
ENGENHO & OBRA, Associação para o Desenvolvimento e Cooperação, ONGD –Portugal
Enlace, Comunicaciones y Capacitación, A.C –México
Espace Associatif –Morocco
Espacio de Coordinacion de Organizaciones Civiles sobre DESC (Espacio DESC) – Mexico
Eurostep
Fastenopfer/Swiss Catholic Lenten Fund -Switzerland
Feminist Task Force of the Global Call to Action against Poverty
Fokupers –East Timor
Food First International Action Network (FIAN-Mexico Section)
Foro Ciudadano de Participación por la Justicia y los Derechos Humanos (FOCO) –Argentina
Foro de Jóvenes con Liderazgo AC –Mexico
Foro Nacional por Colombia
FUNDACION ETNICA INTEGRAL – Dominican Republic
Fundación FORINS –Fortalecimiento Institucional –Argentina
Fundación Salvadoreña para la Promoción Social y el Desarrollo Económico –El Salvador
G C A P M É X I C O -Coalición Nacional Mexicana del Llamado Mundial a la Acción Contra la Pobreza
Gevao,s Legal Aid Scheme – Sierra Leone
Global Advocates for Justice –USA
Global Initiative for Economic, Social and Cultural Rights
Global Policy Forum Europe –Germany
Global Social Justice –Belgium
Global-Local Links Project & Global Community Rights Framework Initiative
Groupe Tadamoun –Mauritania
Grupo Social FONDO ECUATORIANO POPULORUM PROGRESSIO – FEPP –Ecuador
Grupo Tacuba - Mexico
IBASE -Brazil
IBON Foundation -Philippines
Imprenta Francia –El Salvador
Indian Social Institute
INESC –Brazil
INHURED International
Instituto de Desarrollo Social y Promoción Humana (INDES) -Argentina
Instituto de Estudios Jurídico Em Direitos Humanos, Economicos, Sociais, Culturais e Ambientais -Brazil
Instituto del Tercer Mundo –Uruguay
Instituto Mexicano de Derechos Humanos y Democracia (IMDHD) –Mexico
Instituto Mexicano de Derechos Humanos y Democracia A.C.
Instituto Mexicano para el Desarrollo Comunitario (IMDEC) –México
Inter-American Platform for Human Rights, Democracy and Development (PIDHDD)
International Association for Community Development
International Human Rights Internship Program
International Presentation Association of the Sisters of the Presentation
International Women's Anthropology Conference (IWAC) –USA
Justice and Peace Commission of Mumbai –India
Kalyanamitra –Indonesia
Kehys, The Finnish NDGO Platform to the EU
Kenya National Commission on Human Rights
KEPA –Finland
Khulumani Support Group –South Africa
KOPIN –Malta
KULU-Women and Development –Denmark
LDC Watch
Loretto Community –USA
Lumière Synergie pour le Développement –Senegal
Marianists International
Maryknoll Office for Global Concerns
Medical Mission Sisters, Sector Asia
Mesoamericanas en Resistencia por una Vida Digna -Honduras
Movimiento Jurídico Nacional - Mexico
Mujer y Salud -Uruguay
Mujeres Trabajadoras Unidas, AC, MUTUAC – Mexico
National Council of Negro Women -USA
New Rules for Global Finance Coalition -USA
Oficina de Genero (GEO)
Oikos – Cooperação e Desenvolvimento –Portugal
Parroquia Nuestra Señora de Guadalupe Evangelizadora de America –Mexico
Partnership for Global Justice –USA
Passionists International
Plataforma 2015 y más –Spain
Presentation Congregation Lismore -Australia
President of Bahrain Transparency Society
PRODESSA –Guatemala
Programa Venezolano de Educación - Acción en Derechos Humanos (Provea) –Venezuela
Proyecto Aprendo me Divierto y sigo Viviendo Consultoría Social SC –México
Red de Educacion Popular Entre Mujeres -America Latina
Red Mexicana de Acción frente al Libre Comercio (RMALC) -Mexico
Red Nacional de Género y Economía, REDGE – Mexico
Red Rural -Paraguay
REMA - Mexico
REPEM –Colombia
Rural Reconstruction Nepal (RRN) -Nepal
SAHRiNGON Tanzania Chapter
Sanayee Development Organization - Afghanistan
Seminario permanente de Estudios Chicanos y de Fronteras, (DEAS-INAH) - Mexico
Servicios Ecumenicos para la Reconciliacion y la Reconstruccion (SERR) –USA
SILAKA –Cambodia
Sisters of Charity Federation –USA
Sisters of Charity, BVM Leadership Team –USA
Sisters of Mercy Brisbane –Australia
Social Agenda Working Group -Thailand
Social Justice in Global Development” (SocDevJustice)
Social Watch
Social Watch Benin
Social Watch India
Social Watch Mozambique
South Asia Alliance for Poverty Eradication (SAAPE) –Nepal
Southeast Asian Council for Food Security & Fair Trade –Malaysia
Space Allies –Japan
SUR Corporación de Estudios Sociales y Educación –Mexico
The second Chance Fd. (USA)
TRI GAY –Mexico
Union de Trabajador@s del Suroeste –USA
Unión Nacional de Instituciones para el Trabajo de Acción Social (UNITAS) –Bolivia
United Methodist General Board of Church and Society
VANÉTICA, SC - Mexico
Werkstatt Ökonomie –Germany
Women and Law in Southern Africa –Zambia
Women in Development Europe Network
Women's & Gender Studies Program of Montclair State University –USA
Women's Rights Center – Suriname
World Economy, Ecology & Development –Germany
World Hunger Education Service –USA