A/CONF.214/3*

United Nations

Conference on the World
Financial and Economic Crisis
and Its Impact on Development

Distr.: General
22 June 2009
Original: English

New York, 24-26 June 2009
Item 8 (b) of the provisional agenda**
General debate on the world financial and economic crisis
and its impact on development: consideration of the draft
outcome of the Conference

Draft outcome document of the Conference
Note by the President of the General Assembly
By General Assembly resolution 63/277 of 7 April 2009, the President of the
Assembly was requested to present in a timely manner a draft text based upon all
preparatory inputs to serve as the basis for an outcome document of the Conference,
to be agreed by the Member States. The text of the draft outcome document of the
Conference, as prepared on the basis of informal consultations which were chaired
by the co-facilitators, Frank Majoor (Netherlands) and Camillo Gonsalves (Saint
Vincent and the Grenadines), is hereby transmitted to the Conference for its
consideration.

__________________

* Reissued for technical reasons.
** A/CONF.214/1.

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Draft outcome document of the Conference on the
World Financial and Economic Crisis and its Impact
on Development
We, Heads of State and Government and High Representatives, met in New
York from 24 to 26 June 2009 for the United Nations Conference on the World
Financial and Economic Crisis and Its Impact on Development.
1.
The world is confronted with the worst financial and economic crisis since the
Great Depression. The evolving crisis, which began within the world’s major
financial centres, has spread throughout the global economy, causing severe social,
political and economic impacts. We are deeply concerned with its adverse impact on
development. This crisis is negatively affecting all countries, particularly
developing countries, and threatening the livelihoods, well-being and development
opportunities of millions of people. The crisis has not only highlighted longstanding systemic fragilities and imbalances, but has also led to an intensification of
efforts to reform and strengthen the international financial system and architecture.
Our challenge is to ensure that actions and responses to the crisis are commensurate
with its scale, depth and urgency, adequately financed, promptly implemented and
appropriately coordinated internationally.
2.
We reaffirm the purposes of the United Nations, as set forth in its Charter,
including “to achieve international cooperation in solving international problems of
an economic, social, cultural, or humanitarian character” and “to be a centre for
harmonizing the actions of nations in the attainment of these common ends”. The
principles of the Charter are particularly relevant in addressing the current
challenges. The United Nations, on the basis of its universal membership and
legitimacy, is well positioned to participate in various reform processes aimed at
improving and strengthening the effective functioning of the international financial
system and architecture. This United Nations Conference is part of our collective
effort towards recovery. It builds on and contributes to what already is being
undertaken by diverse actors and in various forums, and is intended to support,
inform and provide political impetus to future actions. This Conference also
highlights the importance of the role of the United Nations in international
economic issues.
3.
Developing countries, which did not cause the global economic and financial
crisis, are nonetheless severely affected by it. The economic and social progress
achieved during recent years, in particular on internationally agreed development
goals, including the Millennium Development Goals, is now being threatened in
developing countries, particularly least developed countries. This progress, partially
underpinned by a period of high economic growth in many countries, needs to be
secured and enhanced in the face of threats posed by the crisis. Our endeavours
must be guided by the need to address the human costs of the crisis: an increase in
the already unacceptable number of poor and vulnerable, particularly women and
children, who suffer and die of hunger, malnutrition and preventable or curable
disease; a rise in unemployment; the reduction in access to education and health
services; and the current inadequacy of social protection in many countries. Women
also face greater income insecurity and increased burdens of family care. These
particular human costs have serious developmental consequences on the human

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security of those affected. An equitable global recovery requires the full
participation of all countries in shaping appropriate responses to the crisis.
4.
Although the financial and economic crisis has affected all countries, it is
important to take into account the varying impacts and challenges of the crisis on
the different categories of developing countries. The crisis is further endangering the
achievement of their national development objectives, as well as the internationally
agreed development goals, including the Millennium Development Goals. We are
particularly concerned about the impact on countries in special situations, including
least developed countries, small island developing States and landlocked developing
countries, and on African countries and countries emerging from conflict. We are
equally concerned about the specific development challenges of middle-income
countries and low-income countries with vulnerable and poor populations. For all
these countries, the crisis presents unique challenges to their efforts to achieve their
national development goals. Our collective responses to this crisis must be made
with sensitivity to the specific needs of these different categories of developing
countries, which include trade and market access; access to adequate financing and
concessionary financing; capacity-building; strengthened support for sustainable
development; financial and technical assistance; debt sustainability; trade
facilitation measures; infrastructure development; peace and security; the
Millennium Development Goals; and our previous international development
commitments.
5.
Peace, stability and prosperity are indivisible. In today’s globalized economy,
all nations are far more closely tied together than ever before. The global reach of
the crisis calls for prompt, decisive and coordinated action to address its causes,
mitigate its impact and strengthen or establish the necessary mechanisms to help
prevent similar crises in the future.
6.
This Conference represents a milestone in an ongoing and concerted
engagement by all States Members of the United Nations to address the crisis and its
impact on development. Today, we have set forth our global consensus on the
responses to this crisis, prioritized required actions and defined a clear role for the
United Nations. We are doing so in the interest of all nations in order to achieve a
more inclusive, equitable, balanced, development-oriented and sustainable economic
development to help overcome poverty and inequality.

Present state of the world economy
7.
This crisis is connected to multiple, interrelated global crises and challenges,
such as increased food insecurity, volatile energy and commodity prices and climate
change, as well as the lack of results so far in the multilateral trade negotiations and
a loss of confidence in the international economic system. The global economic
downturn is deeper than many early estimates, and the recovery is predicted to be
gradual and varied. While some countries still experience positive, though much
slower growth, the latest estimate of the United Nations indicates that world gross
product will fall by 2.6 per cent in 2009, the first such decline since the Second
World War. The crisis threatens to have calamitous human and development
consequences. Millions of people all over the world are losing their jobs, their
income, their savings and their homes. The World Bank estimates that more than
50 million people have already been driven into extreme poverty, particularly

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women and children. The Food and Agriculture Organization of the United Nations
projects that the crisis will contribute to the number of hungry and undernourished
people worldwide rising to a historic high of over one billion.

Impacts of the crisis
8.
The crisis has produced or exacerbated serious, wide-ranging yet differentiated
impacts across the globe. Since the crisis began, many States have reported negative
impacts, which vary by country, region, level of development and severity, including
the following:
• Rapid increases in unemployment, poverty and hunger
• Deceleration of growth, economic contraction
• Negative effects on trade balances and balance of payments
• Dwindling levels of foreign direct investment
• Large and volatile movements in exchange rates
• Growing budget deficits, falling tax revenues and reduction of fiscal space
• Contraction of world trade
• Increased volatility and falling prices for primary commodities
• Declining remittances to developing countries
• Sharply reduced revenues from tourism
• Massive reversal of private capital inflows
• Reduced access to credit and trade financing
• Reduced public confidence in financial institutions
• Reduced ability to maintain social safety nets and provide other social
services, such as health and education
• Increased infant and maternal mortality
• Collapse of housing markets.

Causes of the crisis
9.
The drivers of the financial and economic crisis are complex and multifaceted.
We recognize that many of the main causes of the crisis are linked to systemic
fragilities and imbalances that contributed to the inadequate functioning of the
global economy. Major underlying factors in the current situation included
inconsistent and insufficiently coordinated macroeconomic policies and inadequate
structural reforms, which led to unsustainable global macroeconomic outcomes.
These factors were made acute by major failures in financial regulation, supervision
and monitoring of the financial sector, and inadequate surveillance and early
warning. These regulatory failures, compounded by over-reliance on market selfregulation, overall lack of transparency, financial integrity and irresponsible
behaviour, have led to excessive risk-taking, unsustainably high asset prices,

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irresponsible leveraging and high levels of consumption fuelled by easy credit and
inflated asset prices. Financial regulators, policymakers and institutions failed to
appreciate the full measure of risks in the financial system or address the extent of
the growing economic vulnerabilities and their cross-border linkages. Insufficient
emphasis on equitable human development has contributed to significant
inequalities among countries and peoples. Other weaknesses of a systemic nature
also contributed to the unfolding crisis, which has demonstrated the need for more
effective government involvement to ensure an appropriate balance between the
market and public interest.

Response to the crisis
10. We are all in this crisis together. While each country has primary responsibility
for its own economic and social development, we will continue to work in solidarity
on a vigorous, coordinated and comprehensive global response to the crisis in
accordance with our respective abilities and responsibilities. Developed countries
and emerging markets have taken the lead in restoring global growth. An immediate
priority has been to stabilize the financial markets and restore confidence in them
and counter falling demand and the recession. Major actions have already been
taken to maintain macroeconomic stability and strengthen the international financial
system. At the same time, strong and urgent actions are needed to counter the impact
of the crisis on the most vulnerable populations and help to restore strong growth
and recover lost ground in their progress towards our internationally agreed
development goals, including the Millennium Development Goals. Therefore, an
adequate share of any additional resources — both short-term liquidity and longterm development financing — will need to be made available to developing
countries, especially the least developed countries. Although this crisis continues to
have a significant impact on the peoples of the world, we believe that it represents
an important opportunity for meaningful change. Going forward, our response must
focus on creating jobs, increasing prosperity, strengthening access to health and
education, correcting imbalances, designing and implementing environmentally and
socially sustainable development paths and having a strong gender perspective. It
must also strengthen the foundation for a fair, inclusive and sustainable
globalization supported by renewed multilateralism. We are confident that we will
emerge from this crisis stronger and more vigorous and more united.

The need for prompt and decisive action
11. We commit to work in solidarity on a coordinated and comprehensive global
response to the crisis and undertake actions aimed at, inter alia:
• Restoring confidence and economic growth, and creating full and productive
employment and decent work for all
• Safeguarding economic, development and social gains
• Providing adequate support for developing countries to address the human and
social impacts of the crisis, in order to safeguard and build upon hard-won
economic and development gains to date, including the progress being
achieved towards the implementation of the Millennium Development Goals

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• Ensuring long-term debt sustainability of developing countries
• Seeking to provide sufficient developmental resources to developing countries
without unwarranted conditionalities
• Rebuilding trust in the financial sector and restoring lending
• Promoting and revitalizing open trade and investment and rejecting
protectionism
• Fostering an inclusive, green and sustainable recovery, and providing
continued support for sustainable development efforts by developing countries
• Strengthening the role of the United Nations development system in
responding to the economic crisis and its impact on development
• Reforming and strengthening the international financial and economic system
and architecture, as appropriate, to adapt to current challenges
• Fostering good governance at all levels, including the international financial
institutions and financial markets
• Addressing the human and social impacts of the crisis.

Lines of action
Make the stimulus work for all
12. In attempting to combat the immediate impacts of the crisis, there have already
been a number of responses at the national, regional and international levels. While
acknowledging those efforts, we encourage greater cooperation and coordination
among countries’ fiscal and economic actions. Support for development is an
essential and integral part of the solution to the global crisis, inter alia through
actions aimed at enhancing sustained economic growth, poverty eradication and
sustainable development. We encourage countries, while implementing national
stimulus measures, to avoid protectionism in any form and possible adverse impacts
on third countries, particularly developing countries.
13. We encourage countries in a position to do so to utilize the room for fiscal
stimulus that they possess, while also ensuring long-term fiscal sustainability. We
also encourage individual countries to tailor their responses to their specific
circumstances and use the available scope for domestic resource mobilization.
14. While a number of developed and emerging market economies have
implemented stimulus packages, the majority of the world’s developing countries
lack fiscal space to implement countercyclical measures to combat the effects of the
crisis and spur recovery. Many also face foreign exchange shortages. In order to
adequately respond to the crisis, developing countries will need a larger share of any
additional resources — both short-term liquidity and long-term development
financing. We call for examination of mechanisms to ensure that adequate resources
are provided to developing countries, especially the least developed countries. We
underscore that developing countries should not be unduly financially burdened by
the crisis and its impacts.
15. Developing countries facing an acute and severe shortage of foreign reserves
because of the fallout of the crisis, which is negatively affecting their balance-of-

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payment situation, should not be denied the right to use legitimate trade defence
measures in accordance with relevant provisions of the World Trade Organization
(WTO), and, as a last resort, impose temporary capital restrictions and seek to
negotiate agreements on temporary debt standstills between debtors and creditors, in
order to help mitigate the adverse impacts of the crisis and stabilize macroeconomic
developments.
16. We acknowledge the G20 summit held in London on 2 April 2009, and
recognize its commitment to make available an additional $1.1 trillion programme
aimed at revitalizing the world economy. A major part of these funds will be
available for use by emerging markets and developing countries. A limited share
($50 billion) of these resources was targeted specifically to low-income countries.
We call upon the G20 to further consider addressing the financial needs of
developing countries, especially low-income countries. We also call upon all G20
countries to follow through with their commitments and to monitor the
implementation of them. While recognizing the decisions taken in the G20, we are
resolved to strengthen the role of the United Nations and its Member States in
economic and financial affairs, including its coordinating role.
17. Countries must have the necessary flexibility to implement countercyclical
measures and to pursue tailored and targeted responses to the crisis. We call for a
streamlining of conditionalities to ensure that they are timely, tailored and targeted
and support developing countries in the face of financial, economic and
developmental challenges. In this context we note the recent improvement of the
lending framework of the International Monetary Fund (IMF), through inter alia
modernizing conditionality, and the creation of more flexible instruments, such as a
flexible credit line, as a welcome step. New and ongoing programmes should not
contain unwarranted pro-cyclical conditionalities. We call upon the multilateral
development banks to move forward on flexible, concessional, fast-disbursing and
front-loaded assistance designed to substantially and quickly assist developing
countries facing financing gaps. While doing so, multilateral development banks
need to assure the application of agreed safeguards to ensure their financial stability.
18. The increasing interdependence of national economies in a globalizing world
and the emergence of rules-based regimes for international economic relations have
meant that the space for national economic policy, that is, the scope for domestic
policies, especially in the areas of trade, investment and international development,
is now often framed by international disciplines and commitments and global
market considerations. We recognize that these regimes, disciplines, commitments
and considerations have presented challenges to many developing countries seeking
to fashion a national response to the financial and economic crisis. We also
recognize that many developing countries have called for opportunities to exercise
greater policy flexibility within the scope of these constraints as a necessary
component of recovery from the crisis and to address specific national concerns,
which include, inter alia, the human and social impacts of the crisis, safeguarding
progress achieved towards implementation of the Millennium Development Goals,
effective use of credit and liquidity facilities, regulation of local financial markets,
institutions, instruments and capital flows, and limited trade defence measures. It is
for each Government to evaluate the trade-off between the benefits of accepting
international rules and commitments and the constraints posed by the loss of policy
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19. We recognize the continued importance of good governance along with
national ownership of policies and strategies. We commit ourselves to the promotion
of effective and efficient economic and financial institutions at all levels — key
determinants of long-term economic growth and development. We also commit
ourselves to accelerate our collective recovery from the crisis through improved
transparency, eradication of corruption and strengthened governance. In this regard,
we urge all States that have not done so to consider ratifying or acceding to the
United Nations Convention Against Corruption and call upon all States parties to
vigorously implement the Convention.
20. The crisis has disparate impacts across regions, subregions and countries.
These heterogeneous impacts have added complexity to our common goal of
eradicating poverty, reducing inequality and promoting human development. Given
the sensitivity of regional and subregional institutions to the specific needs of their
constituencies, we note the value of regional and subregional cooperation efforts in
meeting the challenges of the global economic crisis and we encourage enhanced
regional and subregional cooperation, for example, through regional and subregional
development banks, commercial and reserve currency arrangements, and other
regional initiatives, as contributions to the multilateral response to the current crisis
and to improved resilience to potential future crises.
Contain the effects of the crisis and improve future global resilience
21. This crisis does not affect only the economic and financial sectors. We
recognize the human and social impacts of the crisis and the inherent challenges
involved in addressing them. Short-term mitigation measures should take into
account long-term goals, especially those related to poverty eradication; sustainable
development, including environmental protection and clean and renewable energy;
food security; gender equality; health; education; and sustained economic growth,
including full and productive employment and decent work for all. Strengthening of
existing social safety nets, establishing new ones where needed and protecting social
expenditures are important to the advancement of people-centred development and
addressing the human and social impacts of the crisis. We reaffirm our commitment
to timely achievement of our internationally agreed development goals, including
the Millennium Development Goals.
22. Closer cooperation and strong partnership between the United Nations
development system, regional development banks and the World Bank and their
scaled-up efforts can effectively address the needs of those hardest hit and ensure
that their plight is not ignored. We call for the mobilization of additional resources
for social protection, food security and human development through all sources of
development finance, including voluntary bilateral contributions, to strengthen the
foundation for early and sustained economic and social recovery in developing
countries, particularly least developed countries. Such additional resources should
be channelled through existing institutions such as the United Nations development
system, the World Bank-proposed vulnerability fund and framework and multilateral
development banks, where appropriate. These funds, including those for the United
Nations development system, should be provided on a predictable basis.
Furthermore, we stress the importance of the United Nations development system,
given its broad field presence, in supporting the activities at country level to
mitigate the impact of the crisis in developing countries.

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23. We commit ourselves to strengthening the ability of the United Nations to
fulfil its development mandate. United Nations funds and programmes and United
Nations agencies, in accordance with their respective mandates, have an important
role to play in advancing development and in protecting development gains, in
accordance with national strategies and priorities, including progress towards
achieving the internationally agreed development goals including the Millennium
Development Goals, threatened by the current economic crisis. The United Nations
should use the current economic situation as an opportunity to redouble its efforts to
improve the efficiency and effectiveness of its development programmes in support
of system-wide coherence. We recognize the unique role of the United Nations as an
inclusive forum to promote a better understanding of the social and economic
impact of the crisis and to fashion appropriate responses.
24. We acknowledge that the current economic crisis has the potential to increase
the need for resources for humanitarian assistance in developing countries. We
stress the need to take measures to ensure adequate resources for international
cooperation in the provision of humanitarian assistance.
25. The crisis has severely impacted on international trade in most countries,
especially developing countries. For many developing countries, these impacts
include, among others, falling exports and loss of export revenue, diminishing
access to trade finance, reductions in export-oriented and infrastructure investment,
lower fiscal revenues and balance of payments problems. We undertake to resist all
protectionist tendencies and rectify any protectionist measures already taken. At the
same time we recognize the right of countries to fully utilize their flexibilities
consistent with their WTO commitments and obligations. It is important that we
contribute to the efforts of WTO and other relevant bodies to monitor and report on
protectionist measures, including on how they affect developing countries.
26. We must also fully harness the potential of trade as an engine of sustained
economic growth and development in our efforts to overcome this crisis. In this
regard, we reaffirm our commitment to a universal, rules-based, open,
non-discriminatory and equitable multilateral trading system. We reaffirm that
international trade is an engine for development and sustained economic growth. We
therefore reiterate our call for an early, ambitious, successful and balanced
conclusion to the Doha Round that increases market access, generates increased
trade flows and places the needs of developing countries at its centre. We welcome
the commitment to implement duty-free and quota-free access for least developed
countries, as agreed in the WTO Hong Kong Ministerial Declaration; to make
operationally effective the principle of special and differential treatment for
developing countries; to the parallel elimination of all forms of export subsidies; to
disciplines on all export measures with equivalent effect; to substantial reductions in
trade-distorting domestic support, in accordance with the mandate of the Doha
Round and the WTO Hong Kong Ministerial Declaration; and to meet existing aidfor-trade pledges. We also reaffirm the need to make progress on the implementation
of the WTO work programme on small economies, mandated in the Doha
Ministerial Declaration (A/C.2/56/7).
27. Migrant workers are among the most vulnerable in the context of the current
crisis. Remittances, which are significant private financial resources for households
in countries of origin of migration, have been seriously affected by rising
unemployment and weak earnings growth among migrant workers, particularly in

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advanced economies. We should resist unfair and discriminatory treatment of
migrant workers and the imposition of unreasonable restrictions on labour migration
in order to maximize the benefits of international migration, while complying with
the relevant national legislation and applicable international instruments. We
recognize the important contribution of migrant workers for both countries of origin
and destination. We commit ourselves to allowing labour migration to meet labour
market needs.
28. An effective response to the current economic crisis requires timely
implementation of existing aid commitments. There is an urgent need for all donors
to maintain and deliver on their existing bilateral and multilateral official
development assistance (ODA) commitments and targets made, inter alia, in the
Millennium Declaration, the Monterrey Consensus and the 2005 World Summit
Outcome, at the G8 summit in Gleneagles, in the Doha Declaration and at the
G20 London Summit. We underline that the fulfilment of all ODA commitments is
crucial, including the commitments by many developed countries to achieve the
target of 0.7 per cent of gross national product (GNP) for ODA to developing
countries by 2015 and to reach the level of at least 0.5 per cent of GNP for ODA by
2010, as well as a target of 0.15 to 0.20 per cent of GNP for ODA to least developed
countries. We recognize that many developed countries have established timetables
to reach the level of at least 0.5 per cent for ODA by 2010. We encourage other
donors to work on national timetables, by the end of 2010, to increase aid levels
within their respective budget allocation processes towards achieving the
established ODA targets. The full implementation of these commitments will
substantially boost the resources available to push forward the international
development agenda and to assist developing countries to mitigate and more
effectively respond to the crisis in accordance with their national strategies. Donors
should review, and if appropriate increase or redirect, their assistance to developing
countries to enable them to mitigate and more effectively respond to the crisis in
accordance with their national strategies.
29. We emphasize the importance for all development actors to continue to pursue
economic and governance reforms and other steps to improve the effectiveness of
aid based on the fundamental principles of national ownership, alignment,
harmonization and managing for results.
30. We also encourage developing countries in a position to do so to continue to
make concrete efforts to increase and make more effective their South-South
cooperation initiatives, in accordance with the principles of aid effectiveness. We
reiterate our support for South-South cooperation, as well as triangular cooperation,
which provide much-need additional resources for the implementation of
development programmes.
31. New voluntary and innovative forms of financing can contribute to addressing
our global problems. We encourage the scaling up of development finance from
existing sources and the establishment, where appropriate, of new voluntary and
innovative sources of financing initiatives to provide additional stable sources of
development finance, which should supplement and not be a substitute for
traditional sources of finance and should be disbursed in accordance with the
priorities of developing countries and not unduly burden them. We reiterate our
request to the Secretary-General to produce a progress report by the sixty-fourth
session of the General Assembly, taking into account all existing initiatives.

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32. The crisis must not delay the necessary global response to climate change and
environmental degradation, taking into account the principle of common but
differentiated responsibilities and respective capabilities. We acknowledge that the
response to the crisis presents an opportunity to promote green economy initiatives.
In this regard, we encourage the utilization of national stimulus packages, for those
countries in a position to do so, to contribute to sustainable development,
sustainable long-term growth, promotion of full and productive employment and
decent work for all and poverty eradication. It is important that global green
initiatives and proposals be inclusive and address sustainable development and
environmental challenges and opportunities including climate change mitigation and
adaptation, financing and technology transfer to developing countries and
sustainable forest management. We also encourage private-sector participation in
these initiatives at the national level in accordance with national development
strategies and priorities. We look forward to a successful outcome of the fifteenth
session of the Conference of the Parties to the United Nations Framework
Convention on Climate Change, to be held in Copenhagen in December 2009, as
part of our overall efforts for a green recovery from the crisis.
33. The deepening crisis threatens to increase the debt and therefore threatens the
debt sustainability of developing countries. This growing pressure limits the ability
of these States to enact the appropriate fiscal measures to mitigate the impact of the
crisis or engage in development financing. We affirm that the appropriate measures
must be taken to mitigate the negative effects of the crisis on the indebtedness of
developing States and to avoid a new debt crisis. In that regard, we support making
full use of the existing flexibility within the Debt Sustainability Framework.
34. We call upon States to redouble efforts to honour their commitments regarding
debt relief and stress the responsibility of all debtors and creditors on the issue of
debt sustainability, and emphasize the importance of equivalent treatment of all
creditors. Donors and multilateral financial institutions should also increasingly
consider providing grants and concessional loans as the preferred modalities of their
financial support instruments to ensure debt sustainability. We will also explore
enhanced approaches to the restructuring of sovereign debt based on existing
frameworks and principles, broad creditors’ and debtors’ participation and
comparable burden-sharing among creditors. We will also explore the need and
feasibility of a more structured framework for international cooperation in this area.
35. We recognize that increases in global liquidity play a useful role in
overcoming the financial crisis. Therefore, we strongly support and call for early
implementation of the new general special drawing right (SDR) allocation of
$250 billion. We also call for the urgent ratification of the fourth amendment to the
IMF Articles of Agreement of for a special one-time allocation of SDRs, as
approved by the IMF Board of Governors in September 1997. We recognize the
need for keeping under review the allocation of SDRs for development purposes.
We also recognize the potential of expanded SDRs to help increase global liquidity
in response to the urgent financial shortfalls caused by this crisis and to help prevent
future crises. This potential should be further studied.
36. The crisis has intensified calls by some States for reform of the current global
reserve system to overcome its insufficiencies. We acknowledge the calls by many
States for further study of the feasibility and advisability of a more efficient reserve
system, including the possible function of SDRs in any such system and the

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complementary roles that could be played by various regional arrangements. We
also acknowledge the importance of seeking consensus on the parameters of such a
study and its implementation. We recognize the existence of new and existing
regional and subregional economic and financial cooperation initiatives to address,
inter alia, the liquidity shortfalls and the short-term balance of payment difficulties
among its members.
Improved regulation and monitoring
37. The current crisis has revealed many deficiencies in national and international
financial regulation and supervision. We recognize the critical need for expanding
the scope of regulation and supervision and making it more effective, with respect to
all major financial centres, instruments and actors, including financial institutions,
credit rating agencies and hedge funds. The need for tighter and more coordinated
regulation of incentives, derivatives and the trading of standardized contracts is also
apparent. We reject the imposition of needlessly onerous regulatory requirements,
and call for effective, credible and enforceable regulations at all levels to ensure the
needed transparency and oversight of the financial system. Every relevant institution
must be subject to adequate and proportionate surveillance and regulation. We
underscore that each country should adequately regulate its financial markets,
institutions and instruments consistent with its development priorities and
circumstances, as well as its international commitments and obligations. We
underscore the importance of political commitment and of capacity-building to
ensure that the measures taken are fully implemented.
38. We emphasize the need to ensure that all tax jurisdictions and financial centres
comply with standards of transparency and regulation. We reiterate the need to
further promote international cooperation in tax matters, including within the United
Nations, inter alia by promoting double taxation agreements. Inclusive and
cooperative frameworks should ensure the involvement and equal treatment of all
jurisdictions. We call for consistent and non-discriminatory implementation of
transparency requirements and international standards for exchange of information.
39. Illicit financial flows are estimated to amount to several times global ODA and
have a harmful effect on development financing. Measures to enhance regulation
and supervision of and transparency in the formal and informal financial system
should include steps to curb illicit financial flows in all countries. Improving the
transparency of the global financial system also deters illicit financial flows,
including to international financial centres, and enhances the ability to detect illicit
activities.
40. The current crisis has been compounded by an initial failure to appreciate the
full scope of the risks accumulating in the financial markets and their potential to
destabilize the international financial system and the global economy. We recognize
the need for even-handed and effective IMF surveillance of major financial centres,
international capital flows and financial markets. In this context, we welcome the
improvement of early warning systems by the relevant international institutions to
provide early warning of macroeconomic and financial risks and the actions needed
to address them.
41. The ongoing crisis has highlighted the extent to which our economies are
integrated, the indivisibility of our collective well-being and the unsustainability of
a narrow focus on short-term gains. We reaffirm the principles of sustainable

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development and underscore the need for a global consensus on the key values and
principles that will promote sustainable, fair and equitable economic development.
We believe that corporate social and environmental responsibility are important
elements of such a consensus. In this regard we recognize the importance of the
10 principles of the United Nations Global Compact.
Reform of the international financial and economic system and architecture
42. This crisis has added new impetus to ongoing international discussions on the
reform of the international financial system and architecture, including issues
related to mandate, scope, governance, responsiveness and development orientation
as appropriate. There is consensus on the need for continued reform and
modernization of the international financial institutions to better enable them to
respond to the current financial and economic challenges and to the needs of
Member States, and to better equip them to strengthen existing monitoring,
surveillance, technical assistance and coordination roles to help prevent the
occurrence of similar crises in the future, in accordance with their respective
mandates.
43. We stress the urgent need for further reform of the governance of the Bretton
Woods institutions, on the basis of a fair and equitable representation of developing
countries, in order to increase the credibility and accountability of these institutions.
These reforms must reflect current realities and should enhance the perspective and
voice and participation of dynamic emerging markets and developing countries,
including the poorest.
44. We call for an expeditious completion of the reform process of the World
Bank’s governance and of an accelerated road map for further reforms on voice and
participation of developing countries, with a view to reaching agreement by April
2010, based on an approach that reflects its development mandate and with the
involvement of all shareholders in a transparent, consultative and inclusive process.
We also call for inclusive consultations on further reforms to improve the
responsiveness and adaptability of the World Bank.
45. It is imperative that the reformed World Bank emerge with the requisite
technical capacities, credit facilities and financial resources needed to assist and
complement the efforts of developing countries aimed at achieving their overall
development needs.
46. We recognize the importance of strengthening regional development banks,
taking into account the interests of all their member countries. It is also important
for them to provide medium- and long-term assistance to meet the development
needs of their clients. We support measures to enhance the financial and lending
capacity of regional development banks. Furthermore, we recognize the importance
of other regional, interregional and subregional initiatives and arrangements aimed
at promoting development, cooperation and solidarity among their members.
47. We recognize that it is imperative to undertake, as a matter of priority, a
comprehensive and fast-tracked reform of IMF. We look forward to this accelerated
progress in order to increase its credibility and accountability. We acknowledge the
agreement to accelerate the implementation of the package of IMF quota and voice
reforms agreed in April 2008. We strongly support completion of the next quota
review, which, based on current trends, is expected to result in an increase in the

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quota shares of dynamic economies, particularly in the share of emerging market
and developing countries as a whole, to be completed no later than January 2011,
thus enhancing the legitimacy and effectiveness of the Fund.
48. We reaffirm the need to address the often expressed concern at the extent of
representation of developing countries in the major standard-setting bodies. We
therefore welcome, as a step in the right direction, the expansion of the membership
in the Financial Stability Board and the Basel Committee on Banking Supervision
and encourage the major standard-setting bodies to further review their membership
promptly while enhancing their effectiveness, with a view to enhancing the
representation of developing countries as appropriate.
49. We agree that the heads and senior leadership of the international financial
institutions, particularly the Bretton Woods institutions, should be appointed
through open, transparent and merit-based selection processes, with due regard to
gender equality and geographical and regional representation.
50. The United Nations and the international financial institutions have
complementary mandates that make the coordination of their actions crucial.
Accordingly, we encourage continued and increasing cooperation, coordination and
coherence and exchanges between the United Nations and the international financial
institutions. In this regard, we believe that this Conference represents an important
step to ensure increased cooperation.

The way forward
51. We have come together to raise our collective understanding of the impacts of
the crisis and to contribute in the fashioning of the global response, in an inclusive
manner, with actions at the national, regional and international levels.
52. We will strive to combine our short-term responses to meet the immediate
impact of the financial and economic crisis, particularly on the most vulnerable
countries, with medium- and long-term responses that necessarily involve the
pursuit of development and the review of the global economic system. In this
context, we propose the following course of action:
(a) Strengthen the capacity, effectiveness and efficiency of the United
Nations; enhance the coherence and coordination of policies and actions between
the United Nations, international financial institutions and relevant regional
organizations;
(b) Further develop the United Nations development system’s
comprehensive crisis response in support of national development strategies through
a coordinated approach by United Nations funds and programmes, specialized
agencies and the international financial institutions at country level. The response
must continue to be led by programme countries and, in this context, address
vulnerabilities caused or exacerbated by the crisis and further strengthen national
ownership. It should build on steps already taken by the United Nations
development system, in particular at the country level. We urge the international
community to ensure adequate support to the United Nations development system’s
crisis response;

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(c) Explore ways to strengthen international cooperation in the area of
international migration and development, in order to address the challenges of the
current economic and financial crisis on migration and migrants, taking into account
the related work and activities of the United Nations funds and programmes,
regional commissions and specialized agencies and of other international
organizations, such as the International Organization for Migration.
53. We request the General Assembly and the Economic and Social Council, as
well as the United Nations funds and programmes and specialized agencies, to take
full advantage of their advocacy role to promote recovery and development of the
developing countries, especially the most vulnerable among them.
54. We invite the General Assembly to establish an ad hoc open-ended working
group of the General Assembly to follow up on the issues contained in the present
outcome document, and to submit a report on the progress of its work to the General
Assembly before the end of the sixty-fourth session.
55. We encourage the President of the General Assembly to make the world
financial and economic crisis and its impact on development a main theme of the
general debate of the sixty-fourth session of the General Assembly.
56.

We request the Economic and Social Council:

(a) To consider the promotion and enhancement of a coordinated response of
the United Nations development system and specialized agencies in the follow-up
and implementation of this outcome document, in order to advance consistency and
coherence in support of consensus-building around policies related to the world
financial and economic crisis and its impact on development;
(b) To make recommendations to the General Assembly, in accordance with
the Doha Declaration of 2 December 2008 (General Assembly resolution 63/239,
annex), for a strengthened and more effective and inclusive intergovernmental
process to carry out the financing for development follow-up;
(c) Examine the strengthening of institutional arrangements to promote
international cooperation in tax matters, including the United Nations Committee of
Experts on International Cooperation in Tax Matters;
(d) Review the implementation of the agreements between the United
Nations and the Bretton Woods institutions in collaboration with these institutions,
focusing in particular on enhancing collaboration and cooperation between the
United Nations and the Bretton Woods institutions, as well as on the opportunities
for contributing to advancing their respective mandates;
(e) Consider and make recommendations to the General Assembly regarding
the possible establishment of an ad hoc panel of experts on the world economic and
financial crisis and its impact on development. The panel could provide independent
technical expertise and analysis, which would contribute to informing international
action and political decision-making and fostering constructive dialogues and
exchanges among policymakers, academics, institutions and civil society.
57. We request the Secretary-General to report to the Economic and Social
Council on a regular basis on the work of the High-level Task Force on the Global
Food Security Crisis.

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58. We invite the International Labour Organization to present the “Global Jobs
Pact”, adopted at the ninety-eighth session of the International Labour Conference,
to the substantive session of the Economic and Social Council in July, which intends
to promote a job-intensive recovery from the crisis, drawing on the decent work
agenda, and to shape a pattern for sustainable growth.
59. We encourage the Inter-Parliamentary Union to continue to contribute to the
development of global responses to the crisis.

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