On June 24, 2009, Chinese Foreign Minister Yang Jiechi delivered a speech during the United Nations Conference on the World Financial and Economic Crisis and Its Impact on Development at the UN headquarters in New York. He called on the international community to enhance cooperation on development in a bid to tackle the global financial and economic crisis.

In his address, Yang said as the international financial crisis is still unfolding, resources for international development cooperation are dwindling. "Though developing countries did not cause this crisis, they have turned out to be its biggest victims," Yang said at the high-level meeting. "Amid the financial and economic crisis, we are facing with an unprecedented crisis for development," said Yang. Should the development situation continue to worsen, it will slow the pace of global economic recovery, he added.

Yang said the international community should therefore look at the development issue from a more macroscopic perspective, take developing countries as an important force of coping with the global financial crisis and reviving the world economy and take resolving the development issue and easing the development crisis as a key part of the effort to tackle the financial crisis. "To this end, we should deepen global development partnership, strengthen development institutions, increase input in development and ensure unimpeded progress towards the attainment of the Millennium Development Goals," he said.

Yang said China suggests that efforts be made in the following five areas. First, coordinate macroeconomic policies. When introducing fiscal, monetary, trade and employment policies in response to the crisis, all parties, developed economies in particular, should make every effort to avoid any negative spillover effect on developing countries.

Second, promote growth of international trade. The international community should firmly oppose trade protectionism, open markets to developing countries, particularly the least developed countries, and lower or exempt their tariffs. "We should step up efforts to increase aid-for-trade and help developing countries enhance capacity building," said Yang. Countries should also build on the progress already made in the Doha round negotiations and make vigorous efforts to achieve the goals set for this development round at an early date, he said.

Third, intensify international development cooperation. Developed countries should implement the Monterrey Consensus, fulfill the commitment of using 0.7 percent of their gross national income (GNI) as official development assistance and act further to reduce and cancel the debt of developing countries. International financial institutions should establish financial rescue mechanisms that can provide prompt and effective assistance to developing countries, and use their new resources mainly to assist developing countries, the foreign minister said.

Fourth, broaden and deepen South-South cooperation. Developing countries should increase trade and investment cooperation, open markets to each other, and work together to foster new areas of growth. It is important for developing countries to share development experience. "We should develop innovative ways of cooperation, expand cooperation channels and upgrade the level of cooperation among developing countries," Yang said.

Fifth, build an international financial system that is fair, just, inclusive and orderly, continue to improve the governance structure of the International Monetary Fund (IMF) and the World Bank and genuinely increase the representation and voice of developing countries. The IMF should be fair, just and balanced in supervising the macroeconomic policies of its members. It is important to keep the exchange rates of major reserve currencies relatively stable and promote a diversified and rational international monetary system, he said.

China actively promotes and participates in international development cooperation. To pursue common development is a major pillar of China's foreign policy, Yang said. "Since the outbreak of the international financial crisis, China has been calling on the international community to promote development as an important way to tackle the crisis and has vigorously pushed forward and participated in relevant international cooperation," Yang said. China is ready to work with the rest of the international community to tackle the financial crisis, achieve early recovery of the world economy, contribute to the attainment of the MDGs on schedule and build a harmonious world of enduring peace and common prosperity, the foreign minister said.