Title

Prerequisites for Progress in Northern Ireland

Wednesday, March 21, 2012
United States
Members: 
Name: 
Hon. Christopher Smith
Title Text: 
Chairman
Body: 
Commission on Security and Cooperation in Europe
Name: 
Hon Michael Burgess, M.D.
Title Text: 
Commissioner
Body: 
Commission on Security and Cooperation in Europe
Name: 
Hon. Eliot Engel
Title Text: 
Member of Congress
Body: 
The United States House of Representatives
Witnesses: 
Name: 
Geraldine Finucane
Title: 
Widow of Murdered Human Rights Lawyer Patrick Finucane
Name: 
Christopher Stanley
Title: 
Lawyer
Body: 
British-Irish Rights Watch
Name: 
Mark Thompson
Title: 
Director
Body: 
Relatives of Justice
Name: 
Patricia Lundy
Title: 
Senior Lecturer
Body: 
University of Ulster
Name: 
Brian Gormally
Title: 
Director
Body: 
Committee on the Administration of Justice

This hearing assessed the progress towards peace made in Northern Ireland and discussed ways to ensure the sustainability of the peace.  Witnesses condemned the British government for backtracking on the Good Friday Agreement, as well as the United States for not putting enough pressure on Great Britain. Witnesses identified the murder of human rights lawyer Patrick Finucane, whose widow Geraldine was in attendance, as an obstacle to peace.

Relevant countries: 
Leadership: 
  • Related content
  • Related content
Filter Topics Open Close
  • The Dog Barks, but the Caravan Moves On: Highs and Lows in U.S.-Russia Relations

    This briefing addressed the state of the relationship between the United States and Russia and the need for continued cooperation across a range of vital interests. A number of questions were posed, including the following: Is the chill in relations deja vu all over again or a new and different break? Are bilateral relations doomed to perpetual confrontation? What are reasonable expectations for the future of the U.S.-Russia relationship? Witnesses testifying at the briefing – including James W. Warhola, Chairman of University of Maine’s Department of Political Science and Matthew Rojansky, Director of the Kennan Institute at the Wilson Center for International Scholars – sought to provide answers to these questions. Some suggestions for improving relations between the two countries given the relevant circumstances included maintaining open lines of communication, defining mutual interests, and responding to Russian action in Crimea through economic means.

  • Senator Cardin’s Floor Statement on Ukraine

    Mr. President, tomorrow we are going to have an opportunity to vote on S. 2124, and I am pleased to learn that it looks as if there is going to be overwhelming support in the Senate for the passage of S. 2124. This is the legislation that helps Ukraine in dealing with the invasion by Russia. Russia's illegal actions of using its military to overtake Crimea, a part of Ukraine, violate numerous international obligations that Russia has committed to. I have the honor of chairing the U.S. Helsinki Commission. The Helsinki Accords were entered into in 1975. Russia was one of the leading forces for forming the OSCE. Russia's taking over of Crimea violates its commitments it made under the Helsinki Final Act. It violates the 1994 Budapest Memorandum, which was signed by the United States, the United Kingdom, Ukraine, and Russia, that guaranteed basically Ukraine's integrity of its land. It violates the 1997 Ukraine-Russia bilateral treaty. It violates the U.N. Charter. The list goes on and on and on. So I believe it is absolutely essential that we have a strong voice in standing with the people of Ukraine. There was absolutely no justification whatsoever for Russia's action. There was no threat to any of the ethnic communities in Ukraine. All the rights of the people were being protected. The country was in transition from a corrupt government to a government that respected the rights of its citizens. If there was any provocation whatsoever of any unrest, it was caused by Russia's presence in Ukraine. We got reports from the chief rabbi in Kyiv that Russia was staging anti-Semitic provocations in Crimea, and the list goes on and on as to what Russia was doing in order to try to give some justification for its actions. Russia's thinly veiled land grab, cloaked in the cloth of self-determination, must not go unchallenged. Here is what I think is critically important: This is a dangerous precedent. We saw Russia use a similar action in Georgia, and now in Crimea in Ukraine. There are other territorial issues involved around the world. If this goes unchecked, if we do not speak with a unified voice, it just encourages more irresponsible action by Russia in other countries. We know that we have concerns about the South China Sea. We know we have concerns about Moldova. There are many other areas where Russia could be involved in its border areas. So all of these issues are matters for us to speak with a strong unified voice. S. 2124 does that. It does it in two principal ways. First, it imposes the sanctions against those responsible for  Russia's invasion into Crimea, Ukraine. It provides sanctions so that these individuals are not permitted to come to the United States. There are economic sanctions in regard to the use of our banking system. These are similar sanctions to what are now being imposed by our European allies. We need to isolate Russia. As we all know, the G8, which included Russia, is now a G7 without Russia. Russia needs to know that there will be sanctions imposed, and they will be stronger sanctions unless they stop this aggressive action. In addition, the legislation provides economic assistance to the new Government of Ukraine. Just 2 weeks ago the Prime Minister of Ukraine was here and met with Members of the Senate. I tell you, it was inspirational to listen to his vision for Ukraine as a democratic, independent state, with full integration into Europe. That is important. He is preparing for a May 25 election for the Presidency of Ukraine. These are all very, very positive steps. But if Ukraine does not have the economic foothold to be able to develop the type of economy and strength in their country, it will be difficult for Ukraine to be maintained as a viable independent state. Here is where the United States and our European allies, and I hope the global community, come together, as we have in this legislation, to provide economic help on a restructured economic plan for Ukraine that will help them move forward in a very constructive way. Mr. President, I must tell you I am disappointed, though, that the reforms of the IMF will be eliminated from this legislation. I think that is regrettable. We are entering into a plan for Ukraine that very much depends upon the IMF's--the International Monetary Fund's--plan to make sure that the moneys we are spending, Europe is spending, and other countries are loaning and providing to Ukraine are based upon a sound economic plan that will work. That is why the IMF is there. And they will be there. But the United States needs to be a full participant in the IMF. We are out of compliance, and here is another opportunity lost for us to be in full compliance with the IMF. I am disappointed about that. But as I said as I took the floor, we must speak with one voice--the Obama administration; the House, the Senate; the Congress--as we stand with the people of Ukraine for their integrity, for their independence, and for the adherence to international principles, which Russia has clearly violated.

  • Developments in the Western Balkans and Policy Responses

    This hearing on the Western Balkans examined the progress being made towards democratization. Commissioners Benjamin L. Cardin and Christopher H. Smith presided over the hearing, which included testimonies from: Hoyt Yee, Deputy Assistant Secretary for European and Eurasian Affairs for the U.S. Department of State;  Tanja Fajon, Member for the European Parliament from Slovenia; and Kurt Volker, Executive Director of the McCain Institute for International Leadership. This hearing held great significance, not only for the members of the Commission, but the wider foreign policy community, as whilst the Western Balkans is no longer the setting for violent conflict that it was two decades ago, the United States has had to devote considerable resources—financial, diplomatic and military —to restore peace and to encourage the democratic and other reforms necessary to sustain it. However, that job is not yet done—the need to see the task of a stable, democratic and fully integrated Western Balkans is yet to be completed.   http://www.senate.gov/isvp/?type=live&comm=csce&filename=csce030514

  • U.S. Helsinki Commission to Hold Briefing on Human Rights in Turkmenistan

    WASHINGTON - The Commission on Security and Cooperation in Europe (U.S. Helsinki Commission) today announced the following briefing: Disappeared in Turkmenistan’s Prisons: Are They Still Alive?  Thursday, February 20, 2014 3:00 p.m. Cannon House Office Building Room 122 Ten years ago, the Organization for Cooperation in Europe’s Moscow Mechanism was invoked against Turkmenistan after hundreds were arrested in the wake of an alleged coup attempt. The resulting report detailed the lack of rule of law during the arrest process and subsequent trials, as well as the absence of information about the health and whereabouts of those imprisoned. And despite years of inquiries and a change in regime in Turkmenistan, the fate of many of those who have disappeared into Turkmenistan’s prisons over the past ten years remains unknown. Their families deserve answers, and this briefing will take a new look at these cases. Turkmenistan has been characterized as one of the world’s most repressive countries, with virtually no freedom of expression, association, or assembly. The U.S. Commission on International Religious Freedom again recommended in 2013 that the Secretary of State designate Turkmenistan a “country of particular concern,” and the State Department placed Turkmenistan on its “Tier 2 Watch List” for trafficking in persons - the second lowest category. Imprisonment has been used as a tool for political retaliation against those who do speak out, and Turkmenistan’s prisons – closed to outside monitoring - are notorious for torture, poor conditions, and disease. The following panelists are scheduled to participate: Rachel Denber, Deputy Director, Europe and Central Asia Division, Human Rights Watch Catherine Fitzpatrick, Independent Expert on Eurasia Peter Zalmayev, Director, Eurasia Democracy Initiative Kate Watters, Executive Director, Crude Accountability Boris Shikmuradov, Editor, Gundogar.org

  • Kyiv Ministerial Held Amid Protests

    On December 5 and 6, 2013, Kyiv hosted the 20th meeting of the Ministerial Council of the Organization for Security and Cooperation in Europe while hundreds of thousands of protestors occupied Maidan Nezalezhnosti, Kyiv’s central square. Although as 2013 OSCE Chair-in-Office, Ukraine had successfully shepherded a package of decisions to adoption in Kyiv, the meeting was dominated by demonstrations taking place throughout the country triggered on November 21 by the Ukrainian government’s suspension of preparations to sign integration agreements with the EU. Assistant Secretary of State for European and Eurasian Affairs Victoria Nuland represented the United States. She began the Ministerial by meeting with civil society activists, which she described as her “most important event” in Kyiv. In her opening statement at the Ministerial, she highlighted three “worrying trends” in OSCE participating States: the persecution of journalists, the rising intolerance of minorities, and “democratic backsliding” into restrictive laws and practices that violate civil liberties.

  • U.S. Helsinki Commission Welcomes Step Toward Justice in Serbia

    WASHINGTON—Senator Ben Cardin (MD), Chairman of the Commission on Security and Cooperation in Europe (U.S. Helsinki Commission), and Representative Christopher H. Smith (NJ-4), Co-Chairman, today issued statements welcoming arrests in Serbia relating to the murder of Dnevni Telegraf editor-in-chief Slavko Curuvija on April 11, 1999. “Slavko Cutuvija was a courageous journalist who was murdered for challenging the regime of Slobodan Milosevic in Serbia,” noted Chairman Cardin. “On several occasions, I have publicly called for the perpetrators of this crime to be brought to justice. I commend the Serbian authorities for arresting former security officers for their alleged responsibility, a demonstration of political will to confront a dark period in Serbia’s history. Serbia’s judicial system will hopefully proceed with the next steps in this case and take similarly concrete actions in regard to other outstanding cases from that period, including the murders of the American-citizen Bytyqi brothers in July 1999. Serbia has my full support in that regard.” “Slavko Curuvija testified at a hearing of the Helsinki Commission I chaired just months before he was gunned down outside his apartment in Belgrade,” added Co-Chairman Smith. “His testimony showed that he fully understood the threat he faced.  He said at the hearing: ‘By making an example of me, the regime sends a message to all those who would oppose it... After all his other wars, Slobodan Milosevic appears to be preparing a war against his own people…’ I hope that today’s news of arrests brings comfort, at long last, to the family and friends of Slavko Curuvija.”

  • Resolving Crises in East Asia Through a New System of Collective Security: The Helsinki Process as a Model

    This hearing discussed the possibility of establishing an organization in East Asia similar to the OSCE, in order to increase cooperation and improve regional security. Witnesses cited curbing North Korea’s nuclear ambitions, which have been condemned by Japan, China and South Korea, as a primary goal for such an organization.  Witnesses also suggested that an OSCE-like mechanism could be used to mediate air security zone disagreements and regional maritime issues.

  • Troubled Partner: Growing Authoritarianism in Azerbaijan

    This briefing provided an opportunity to discuss current events in Azerbaijan and the prospects for a free and fair election. Recent political trends in Azerbaijan include reported intimidation, arrests, and use of force against journalists and human rights activists; tough new NGO registration requirements; legal restrictions on the Internet, including criminalizing online “libel” and “abuse”; restrictions on freedom of assembly, forceful dispersion of unsanctioned protests, detention of demonstrators; and unfair administration of justice, including arbitrary arrest and detention, politically motivated imprisonment, lack of due process, lengthy pre-trial detention, and executive interference in the judiciary. Witnesses testifying at this briefing addressed these trends and the overall political environment for human rights and fundamental freedom, which had worsened in recent years. They urged the government of Azerbaijan to respect universally recognized freedoms such as freedom of expression, assembly, and association, and not to penalize individuals for attempting to exercise these freedoms and to take concrete steps to enhance political stability during the important election year.

  • Age of Delirium

    Paul Carter, State Department Adviser at the Commission, and Kyle Parker facilitated a discussion with David Satter, the author and producer of Age of Delirium. They addressed the relevance of these personal testimonies in understanding post-communist Russia. They spoke of the “moral decay of the society” under communist rule and the detrimental effects of ideological thinking, which continues to affect post-communist, as well as Western, societies. Age of Delirium, produced by Russian scholar and former Moscow correspondent David Satter, chronicles the fall of the Soviet Union through the personal stories of those who lived this momentous transformation. The film is based on Satter's book, Age of Delirium: the Decline and Fall of the Soviet Union acclaimed by the Virginia Quarterly Review as, "the finest or one of the finest psychological portraits of Russia in the 1970s and 1980s.” Delirium received the prestigious 2013 Van Gogh Grand Jury Award at the Amsterdam Film Festival and has been screened in Russia, the United Kingdom, Germany, Canada, and New Zealand.

  • THE TRAJECTORY OF DEMOCRACY – WHY HUNGARY MATTERS

    This hearing focused on recent constitutional changes to the Hungarian Constitution which has brought concerns from the United States and the European Union. Recently, Hungary has instituted sweeping and controversial changes to its constitutional framework, effectively remaking the country’s entire legal foundation. In addition to constitutional changes, there have been some bills passed without the proper democratic spirit and has brought concerns about the trajectory of democracy in that country. The witnesses raised the changes that have created the majority government into a nearly one-party rule structure and compared such actions to President Madison’s written exposé in the Federalist Papers number 47.

  • Healing the Wounds of Conflict and Disaster: Clarifying the Fate of Missing Persons in the OSCE Area

    The hearing examined efforts by governments and their partners in clarifying the fate of persons missing within a number of OSCE participating States and partner countries, especially in the western Balkans and northern Caucasus. The hearing also appraised the adequacy of assistance to governments and other entities engaged in locating missing persons, the obstacles that impede progress in some areas, as well as how rule of law mechanisms help governments fulfill their obligations to the affected families and society in clarifying the fate of missing persons. Currently, over a million persons are reported missing from wars and violations of human rights. In addition, there are thousands of reported cases a year of persons missing from trafficking, drug-related violence, and other causes. Locating and identifying persons missing as a result of conflicts, trafficking in humans and human rights violations and other causes remains a global challenge, with significant impact within the OSCE area.

  • Irish Chairmanship of the OSCE

    Rep. Chris Smith (NJ-04), Eamon Gilmore and others discussed what had transpired in regards to the Organization for Security and Cooperation in Europe (OSCE) while Ireland was at the helm of the organization. This included priorities set by Gilmore involving Internet freedom. Congressman Smith also praised Gilmore for incorporating his experiences in Ireland into his leadership of the OSCE, such as drawing on Ireland’s experience in Northern Ireland’s peace process in reference to protracted conflicts elsewhere in the OSCE region. The hearing attendees went on to discuss the status of the agenda as it related to ODIHR and human dimension meetings.

  • Conflicts in the Caucasus: Prospects for Resolutions

    Representative Michael Burgess led this briefing on the conflictual history in the Caucasus. Twenty years after the disappearance of the Soviet Union, the unresolved conflicts in the Caucasus remain one of its most problematic legacies. Despite the Organization for Security and Cooperation in Europe’s (OSCE) long mediation in the dispute over Nagorno-Karabakh, the results have been disappointing. After the 2008 Russia-Georgia war and Moscow’s subsequent recognition of the independence of Abkhazia and South Ossetia, the prospects for settling those conflicts seem more remote than ever. The witnesses examined where these conflicts stood at the end of 2011, what factors impeded a settlement,  whether the resumption of armed hostilities was a serious threat, whether changes in the negotiating format could yield  a better outcome, and what, if anything, could the United States do to facilitate a resolution.

  • Combating Anti-Semitism in the OSCE Region: Taking Stock of the Situation Today

    By most accounts, and thanks to the work of many courageous nongovernmental organizations (NGOs) the despicable evil of anti-Semitism has decreased in most parts of the OSCE region in recent years – but it still remains at higher levels than in 2000. This is simply unacceptable, and it was the topic discussed in this hearing. Concerns raised included political transitions in the Arab world and how they might affect Muslim-Jewish relations, including in Europe; the importance of engagement with Muslim communities in Europe; and growing nationalist and extremist movements that target religious and ethnic minorities.  Additionally the roles of the OSCE, U.S. government, and Congress in addressing continuing issues of anti-Semitism at home and abroad were discussed.

  • Human Rights Play on Magnitsky Murder

    Kyle Parker introduced the briefing, which followed a performance of the play “One Hour Eighteen,” based on the final moments in the life of Russian whistleblower Sergei Magnitsky. After exposing the largest tax fraud in Russian history, Magnitsky was wrongly arrested and tortured in prison. Six months later he became seriously ill and was consistently denied medical attention despite 20 formal requests. On the night of November 16, 2009, he went into critical condition, but instead of being treated in a hospital he was put in an isolation cell, chained to a bed, and beaten by eight prison guards for one hour and eighteen minutes. Sergei Magnitsky was 37 years old and left behind a wife and two children. Those responsible for this crime have yet to be punished and his story has become a global human rights cause and is emblematic of corruption, violence, and impunity in Russia. Parker was joined by Ury Urnov, director of “One Hour Eighteen,”  in discussing the play as an emblematic example of the devastating human cost of corruption and the lack of rule of law in Russia. The play juxtaposed the moving and chilling testimony and documents from Magnitsky's diary; a radio interview with his mother; two judges; a prison doctor and paramedic; an investigator; and a young ambulance paramedic.  

  • From Arab Spring to Coptic Winter: Sectarian Violence and the Struggle for Democratic Transition in Egypt

    On Sunday, October 9, 2011, 25 people were killed and more than 300 injured when the Egyptian military attacked a peaceful group of Coptic Christians protesting the burning of a church in Aswan. In what has been deemed the “Massacre at Maspero,” referring to the location of the demonstration, witnesses say the army fired on the demonstrators with live ammunition and plowed into the crowd with armored vehicles. The military denied the use of live ammunition and claimed that their soldiers were attacked by an armed mob. The military has arrested at least 28 people, almost all Copts, including prominent blogger Alaa Abdel Fattah, and brought them before military prosecutors. The hearing focused on violence perpetrated against the Coptic Christians in Egypt, the implications of the events for that community and the current Egyptian leadership, and prospects for the consolidation of democracy in Egypt.

  • Belarus: The Ongoing Crackdown and Forces for Change

    Nearly one year after the brutal post-December 19, 2010, election crackdown, the human rights picture in Belarus remains bleak. Brave and committed individuals who attempt to promote a democratic future for Belarus continue to be crushed by the dictatorial Lukashenka regime. Civil society continues to be under assault, with NGOs facing ever greater constraints, and freedoms of assembly and expression are severely curtailed. Yet the ongoing economic turmoil has produced growing disaffection, as manifested in Lukashenka’s plummeting popular support, and a changing domestic and international environment. The hearing will focus on the extent and impact of the crackdown on the lives of its victims and on the larger society, and what more can be done by the U.S. and our European partners to promote democratic change in Belarus.

  • Good Governance

    Economic and Environmental Dimension Implementation Meeting Session 3: Good Governance Before I begin, I’d like to thank the panelists today for their excellent and informative presentations. The United States has viewed with keen interest the evolving discussions in recent years on what the OSCE’s priorities should be in the Economic and Environmental Dimension. As our friend and colleague Mr. Svilanovic pointed out during last year’s Vienna Review Conference, we appear to have come to an appreciation that good governance is the key linking theme across the entire second dimension. The Maastricht Strategy is very clear on this point: “Good public and corporate governance and strong institutions are essential foundations for a sound economy, which can attract investments, and thereby enable States to reduce poverty and inequality, to increase social integration and opportunities for all, and to protect the environment. Good governance at all levels contributes to prosperity, stability and security.” As we consider the implementation of our second dimension commitments, however, we should keep in mind why it is important to implement those commitments. The global economic downturn continues to put extreme pressure on people and governments across the OSCE region. To be sure, some countries have weathered the storm better than others. Still, no country can be forever immune to market forces, and even within those that have done well, there are always citizens left behind. This is certainly the case in the United States, and for this reason President Obama is focused intently on how best to put those Americans without a job back to work. We all know that trade and investment are critical drivers of economic growth. Indeed, recognizing this important reality, the Obama Administration has launched the National Export Initiative, which seeks to deepen our strategic trade relationships around the world, recognizing that 85 percent of world GDP growth will occur outside the United States in the coming few years. As we encourage more American businesses – large and small – to embrace international trade, seek opportunities in new markets, and make strategic investments that will lead to increased global trade flows, we are keenly aware of the challenges and costs posed by official corruption, weak institutions, and lack of respect for property rights, including intellectual property. Weak governance and lack of transparency constitute non-tariff barriers to trade, which we have committed ourselves to eliminating. Furthermore, the same issues that deter trade and investment also work against comprehensive security: a lack of transparency in governance leads to diminished confidence that problems and disputes will be addressed in a fair and impartial manner. Without trust and confidence in public institutions, there is little incentive for investors and companies to pursue trade deals or direct investment in those economies. The effect is stagnating economic performance, which, as we have seen in the past several months and years, can lead to political upheaval. The United States Government is deeply committed to fostering good governance and transparency in its political and economic institutions. President Obama has made the global fight against corruption a top priority. As he has noted, “In too many places, the culture of the bribe is a brake on development and prosperity. It discourages entrepreneurship, destroys public trust, and undermines the rule of law while stifling economic growth.” The real world costs of corruption and weak institutions should not be underestimated. The World Bank estimates that more than one trillion dollars in bribes are paid each year out of a global economy of approximately 30 trillion dollars. That's an incredible three percent of the world’s economy. In 2009, companies lost nearly $25 billion to companies willing to pay bribes in deals for which the outcome is known. And bribery is especially costly for small and medium-size enterprises (SMEs): a separate study has shown that up to 25 percent of SME operating capital in companies operating internationally is diverted to corruption. That is a staggering figure that illustrates how corruption diverts scarce resources to thoroughly unproductive ends. Corruption is a global problem that knows no borders. And that’s why corruption demands a truly global response – one that knows no limits on collaboration. The Obama Administration is doing its part to implement its obligations under the OECD Anti-Bribery Convention by enforcing the U.S. Foreign Corrupt Practices Act (FCPA) strictly and fairly. We are determined to ensure that U.S. businesses do not contribute to corruption in foreign markets. At the same time, we are determined to do what we can to assist them in the fight against foreign corruption, and against the high risk and significant costs of corruption in such markets. Regrettably, at this stage, the lack of enforcement of domestic bribery laws, and of foreign bribery laws by many nations that are Parties to the OECD Anti-Bribery Convention is extremely troubling and raises concerns about a lack of political will. Governments can and should prosecute both those who give bribes and those who receive them, both at home and abroad. And the OSCE should continue to encourage participating States to adopt and enforce rigorous anti-bribery regimes. Of course, the fight against corruption is not simply a law enforcement matter; rather it can also be a significant – if not the most significant – non-tariff barrier all companies face. Accordingly, the U.S. Department of Commerce and the International Trade Administration (or ITA) are committed to working with our trading partners to level the playing field and to promote transparent and corruption-free markets globally. Our work to promote clean and ethical business environments occurs at both the multilateral and bilateral level. At the multilateral level, the ITA is pressing its counterparts to lead by example and to implement comprehensive anti-corruption measures. In addition to our work through the OECD, the United States has been working diligently to persuade the G20 countries to adopt a comprehensive anti-corruption action plan, which includes a commitment focused on adoption and robust enforcement of anti-bribery laws, implementation of the UN Convention Against Corruption, greater engagement with the private sector, and support for transparency mechanisms, to name a few. Many of these commitments require our G20 partners to enact and implement new laws and preventive measures. The United States, at ITA’s initiative, in particular, took the lead on proposals relating to the private sector and also on whistleblower protection, within the G20. In the United States, whistleblowers play a crucial role in helping to enforce anti-corruption law. This principle is also embodied in international conventions. Articles 12 and 13 of the UN Convention require States Parties to prevent corruption in the private sector and promote the fight against corruption with the business community and civil society. Unless governments can protect whistleblowers, it is unlikely that they can identify or address systemic causes of corruption. The United States believes robust whistleblower protection should be an essential part of any good governance initiative in the OSCE, and I was encouraged to hear Ambassador O’Leary indicate that this will be an area of focus under the Irish Chairmanship. The U.S. Department of Commerce has also been committed to fostering strong private sector integrity as an integral part of promoting good governance in markets worldwide. Companies are global corporate citizens, and as such, can work collectively and with governments to foster trust, and promote transparency. I hope that some our work may provide a useful model for the OSCE to consider as it looks to embrace good governance and anti-corruption as a priority for the second dimension, a goal we fully support, and which I am personally committed to supporting. For example, the ITA has championed business ethics and corporate governance reform since the early 1990s, following the fall of the Berlin Wall. Our Business Ethics Manual has been translated into Chinese, Spanish and Russian and is still one of the most widely used resources on this important topic. We have partnered with business associations and chambers of commerce to develop collective action and business ethics program in many markets. Our work on business ethics has grown. This past year, the ITA has focused on trying to heighten awareness of good governance, transparency and business ethics in sectors of vital importance to many economies – by taking a “sectoral” approach to combating corruption and promoting good business practice, the challenge of dealing with corruption becomes less daunting. The ethical issues specific to different industries vary greatly – and there is no one-size-fits-all approach to the problem. Within the G20, for example, the United States, at the initiative of the U.S. Department of Commerce, has taken the lead in calling for the G20 to endorse additional sectoral approaches to fighting corruption, beyond the Extractive Industries Transparency Initiative (EITI). We have asked G20 governments, for example, to consider supporting the Construction Sector Transparency Initiative (COST) – a new multistakeholder initiative, developed by the World Bank. COST uses similar approaches to EITI to promote greater transparency in public infrastructure projects and government procurement. I hope that the OSCE might similarly consider COST and other multistakeholder approaches to promoting transparency under the Irish chairmanship. Within APEC, the ITA has focused on developing new ethical principles for key sectors within the APEC region. I am pleased to report that under the APEC SME working group, we have coordinated a project with APEC countries and businesses to develop principles of business ethics in the construction, medical devices and biopharmaceutical sectors. These voluntary principles are meant to be used by businesses and trade associations – large andwithin the OSCE framework and the EEDIM, we might also consider focusing on business ethics in specific sectors of interest to all of our economies. I want to close by suggesting some activities to take the theme of good governance and transparency forward. In addition to encouraging the OSCE to formally endorse the Extractive Industries Transparency Initiative—a move that would send an important signal about this body’s commitment to the principles of good governance and transparency—the U.S. encourages us to explore whether there are additional sectoral initiatives that merit support from the OSCE, including the Construction Sector Transparency Initiative. The United States Government also strongly supports the Irish Chair’s goal to develop a Statement or Declaration of Transparency Principles to help guide our governments in their future activities. I want to encourage us to consider new models of bilateral cooperation to promote good governance such as the model Mr. Murray just discussed, leading to a public-private initiative in the Russian power generation sector. We at the U.S. Department of Commerce are working closely with the Center for Black Sea/Caspian Studies at American University to potentially convene a conference in May of next year that would seek to address the challenge of developing mechanisms to ensure good governance and transparency, while also balancing the goals of protecting national security and accelerating economic development faced by the countries of the Caucasus and Central Asia, as they seek to assert their role as a gateway between Europe and Asia. In addition, the conference will also focus on specific market access challenges to regional integration and economic development in the Caucasus and Central Asia such as transparency in Government procurement and privatization, and trade facilitation challenges, including customs and lack of regional harmonization. It is our hope that the OSCE will join us for this event – focused on critical areas such as transport and infrastructure – to work on tangible ideas for projects and collaborations in the OSCE region. We look forward with great interest to the 20th Economic and Environmental Forum, where we will delve deeper into all the facets of good governance. We also thank the Lithuanian Chairman-in-Office for  ensuring that their draft Ministerial Council decision on Energy Security incorporates transparency in the energy sector – in our view, considering the vital role that energy plays in modern economic life, there can be no confidence, and thus no security, without energy transparency. In the year ahead, we envision an even broader focus on transparency principles across the entire spectrum of economic and environmental activities, and will work with all of our colleagues in the OSCE to make that vision a reality. Thank you, Mr. Moderator.  

  • Commissioner Camuñez's Remarks on Good Governance

    Economic and Environmental Dimension Implementation Meeting Session 3: Good Governance Before I begin, I’d like to thank the panelists today for their excellent and informative presentations. The United States has viewed with keen interest the evolving discussions in recent years on what the OSCE’s priorities should be in the Economic and Environmental Dimension.  As our friend and colleague Mr. Svilanovic pointed out during last year’s Vienna Review Conference, we appear to have come to an appreciation that good governance is the key linking theme across the entire second dimension.  The Maastricht Strategy is very clear on this point: “Good public and corporate governance and strong institutions are essential foundations for a sound economy, which can attract investments, and thereby enable States to reduce poverty and inequality, to increase social integration and opportunities for all, and to protect the environment.  Good governance at all levels contributes to prosperity, stability and security.”  As we consider the implementation of our second dimension commitments, however, we should keep in mind why it is important to implement those commitments. The global economic downturn continues to put extreme pressure on people and governments across the OSCE region.  To be sure, some countries have weathered the storm better than others.  Still, no country can be forever immune to market forces, and even within those that have done well, there are always citizens left behind.  This is certainly the case in the United States, and for this reason President Obama is focused intently on how best to put those Americans without a job back to work.  We all know that trade and investment are critical drivers of economic growth.  Indeed, recognizing this important reality, the Obama Administration has launched the National Export Initiative, which seeks to deepen our strategic trade relationships around the world, recognizing that 85 percent of world GDP growth will occur outside the United States in the coming few years.  As we encourage more American businesses – large and small – to embrace international trade, seek opportunities in new markets, and make strategic investments that will lead to increased global trade flows, we are keenly aware of the challenges and costs posed by official corruption, weak institutions, and lack of respect for property rights, including intellectual property. Weak governance and lack of transparency constitute non-tariff barriers to trade, which we have committed ourselves to eliminating.  Furthermore, the same issues that deter trade and investment also work against comprehensive security: a lack of transparency in governance leads to diminished confidence that problems and disputes will be addressed in a fair and impartial manner.  Without trust and confidence in public institutions, there is little incentive for investors and companies to pursue trade deals or direct investment in those economies.  The effect is stagnating economic performance, which, as we have seen in the past several months and years, can lead to political upheaval.    The United States Government is deeply committed to fostering good governance and transparency in its political and economic institutions.  President Obama has made the global fight against corruption a top priority.  As he has noted, “In too many places, the culture of the bribe is a brake on development and prosperity.  It discourages entrepreneurship, destroys public trust, and undermines the rule of law while stifling economic growth.”    The real world costs of corruption and weak institutions should not be underestimated.  The World Bank estimates that more than one trillion dollars in bribes are paid each year out of a global economy of approximately 30 trillion dollars.  That's an incredible three percent of the world’s economy.   In 2009, companies lost nearly $25 billion to companies willing to pay bribes in deals for which the outcome is known.  And bribery is especially costly for small and medium-size enterprises (SMEs): a separate study has shown that up to 25 percent of SME operating capital in companies operating internationally is diverted to corruption.  That is a staggering figure that illustrates how corruption diverts scarce resources to thoroughly unproductive ends. Corruption is a global problem that knows no borders.  And that’s why corruption demands a truly global response – one that knows no limits on collaboration.  The Obama Administration is doing its part to implement its obligations under the OECD Anti-Bribery Convention by enforcing the U.S. Foreign Corrupt Practices Act (FCPA) strictly and fairly.  We are determined to ensure that U.S. businesses do not contribute to corruption in foreign markets.  At the same time, we are determined to do what we can to assist them in the fight against foreign corruption, and against the high risk and significant costs of corruption in such markets.   Regrettably, at this stage, the lack of enforcement of domestic bribery laws, and of foreign bribery laws by many nations that are Parties to the OECD Anti-Bribery Convention is extremely troubling and raises concerns about a lack of political will.  Governments can and should prosecute both those who give bribes and those who receive them, both at home and abroad.  And the OSCE should continue to encourage participating States to adopt and enforce rigorous anti-bribery regimes. Of course, the fight against corruption is not simply a law enforcement matter; rather it can also be a significant – if not the most significant – non-tariff barrier all companies face.  Accordingly, the U.S. Department of Commerce and the International Trade Administration (or ITA) are committed to working with our trading partners to level the playing field and to promote transparent and corruption-free markets globally.  Our work to promote clean and ethical business environments occurs at both the multilateral and bilateral level.  At the multilateral level, the ITA is pressing its counterparts to lead by example and to implement comprehensive anti-corruption measures.   In addition to our work through the OECD, the United States has been working diligently to persuade the G20 countries to adopt a comprehensive anti-corruption action plan, which includes a commitment focused on adoption and robust enforcement of anti-bribery laws, implementation of the UN Convention Against Corruption, greater engagement with the private sector, and support for transparency mechanisms, to name a few.  Many of these commitments require our G20 partners to enact and implement new laws and preventive measures.   The United States, at ITA’s initiative, in particular, took the lead on proposals relating to the private sector and also on whistleblower protection, within the G20.  In the United States, whistleblowers play a crucial role in helping to enforce anti-corruption law.  This principle is also embodied in international conventions.  Articles 12 and 13 of the UN Convention require States Parties to prevent corruption in the private sector and promote the fight against corruption with the business community and civil society.  Unless governments can protect whistleblowers, it is unlikely that they can identify or address systemic causes of corruption.  The United States believes robust whistleblower protection should be an essential part of any good governance initiative in the OSCE, and I was encouraged to hear Ambassador O’Leary indicate that this will be an area of focus under the Irish Chairmanship.   The U.S. Department of Commerce has also been committed to fostering strong private sector integrity as an integral part of promoting good governance in markets worldwide.  Companies are global corporate citizens, and as such, can work collectively and with governments to foster trust, and promote transparency.  I hope that some our work may provide a useful model for the OSCE to consider as it looks to embrace good governance and anti-corruption as a priority for the second dimension, a goal we fully support, and which I am personally committed to supporting. For example, the ITA has championed business ethics and corporate governance reform since the early 1990s, following the fall of the Berlin Wall.  Our Business Ethics Manual has been translated into Chinese, Spanish and Russian and is still one of the most widely used resources on this important topic.  We have partnered with business associations and chambers of commerce to develop collective action and business ethics program in many markets.   Our work on business ethics has grown.  This past year, the ITA has focused on trying to heighten awareness of good governance, transparency and business ethics in sectors of vital importance to many economies – by taking a “sectoral” approach to combating corruption and promoting good business practice, the challenge of dealing with corruption becomes less daunting.  The ethical issues specific to different industries vary greatly – and there is no one-size-fits-all approach to the problem.  Within the G20, for example, the United States, at the initiative of the U.S. Department of Commerce, has taken the lead in calling for the G20 to endorse additional sectoral approaches to fighting corruption, beyond the Extractive Industries Transparency Initiative (EITI).  We have asked G20 governments, for example, to consider supporting the Construction Sector Transparency Initiative (COST) – a new multistakeholder initiative, developed by the World Bank.  COST uses similar approaches to EITI to promote greater transparency in public infrastructure projects and government procurement.  I hope that the OSCE might similarly consider COST and other multistakeholder approaches to promoting transparency under the Irish chairmanship.     Within APEC, the ITA has focused on developing new ethical principles for key sectors within the APEC region.  I am pleased to report that under the APEC SME working group, we have coordinated a project with APEC countries and businesses to develop principles of business ethics in the construction, medical devices and biopharmaceutical sectors.  These voluntary principles are meant to be used by businesses and trade associations – large and small – to guide their ethical interactions with public officials and institutions.   I hope that within the OSCE framework and the EEDIM, we might also consider focusing on business ethics in specific sectors of interest to all of our economies.  I want to close by suggesting some activities to take the theme of good governance and transparency forward.  In addition to encouraging the OSCE to formally endorse the Extractive Industries Transparency Initiative—a move that would send an important signal about this body’s commitment to the principles of good governance and transparency—the U.S. encourages us to explore whether there are additional sectoral initiatives that merit support from the OSCE, including the Construction Sector Transparency Initiative.  The United States Government also strongly supports the Irish Chair’s goal to develop a Statement or Declaration of Transparency Principles to help guide our governments in their future activities. I want to encourage us to consider new models of bilateral cooperation to promote good governance such as the model Mr. Murray just discussed, leading to a public-private initiative in the Russian power generation sector.   We at the U.S. Department of Commerce are working closely with the Center for Black Sea/Caspian Studies at American University to potentially convene a conference in May of next year that would seek to address the challenge of developing mechanisms to ensure good governance and transparency, while also balancing the goals of protecting national security and accelerating economic development faced by the countries of the Caucasus and Central Asia, as they seek to assert their role as a gateway between Europe and Asia.  In addition, the conference will also focus on specific market access challenges to regional integration and economic development in the Caucasus and Central Asia such as transparency in Government procurement and privatization, and trade facilitation challenges, including customs and lack of regional harmonization.  It is our hope that the OSCE will join us for this event – focused on critical areas such as transport and infrastructure – to work on tangible ideas for projects and collaborations in the OSCE region. We look forward with great interest to the 20th Economic and Environmental Forum, where we will delve deeper into all the facets of good governance.  We also thank the Lithuanian Chairman-in-Office for ensuring that their draft Ministerial Council decision on Energy Security incorporates transparency in the energy sector – in our view, considering the vital role that energy plays in modern economic life, there can be no confidence, and thus no security, without energy transparency.  In the year ahead, we envision an even broader focus on transparency principles across the entire spectrum of economic and environmental activities, and will work with all of our colleagues in the OSCE to make that vision a reality. Thank you, Mr. Moderator.

  • Commissioner Camuñez's Opening Statement at the Economic and Environmental Dimension Implementation Meeting

    Economic and Environmental Dimension Implementation Meeting Opening Remarks On behalf of the United States, I would like to thank the Lithuanian Chairman-in-Office, Secretary General Zannier, Coordinator for Economic and Environmental Activities Svilanović, and of course our Austrian hosts for convening this inaugural Economic and Environmental Dimension Implementation Meeting and for providing a warm welcome to Vienna. It is an honor to be here today as head of the U.S. delegation to the OSCE, representing the U.S. Government in my capacity as an Assistant Secretary of Commerce for Market Access and Compliance (MAC) within the International Trade Administration, and as a Commissioner to the U.S. Helsinki Commission. As a Commerce Department Assistant Secretary for Market Access and Compliance, I am responsible for helping lead the effort to open new markets for U.S. companies, identifying and eliminating market access challenges such as non-tariff barriers to trade, and helping to monitor and enforce U.S. trade agreements and commitments. The work of the Environmental and Economic Dimension, especially that which focuses on transparency of markets and good governance, is closely aligned with the work we undertake in the International Trade Administration. I am here today to deliver the message that the U.S. Government is highly committed to making the second dimension even more effective and dynamic, and that we will do our part in ensuring that our economic and environmental commitments receive the same level of attention and scrutiny that those in the political-military and human dimensions currently enjoy. I will try to keep my remarks brief, but I think it is critical that we take a close look at the economic and environmental commitments as they were spelled out in the 2003 Maastricht Strategy. We still see Maastricht as the key blueprint for moving forward on all the  commitments that have come before, and in particular, note a number of areas where we could pursue significant, substantive action over the next few years to achieve measurable progress. Our commitments on economic cooperation have at their core the idea of connectedness to regional and global markets, to trade and investment networks, and to energy and transportation infrastructure, as a way to address emerging economic challenges and threats. In light of the global economic downturn, it is vital that we recommit ourselves to increasing cooperation through a variety of measures, including improving corporate governance and public management, eliminating unnecessary and discriminatory barriers to trade, continuing  to harmonize our regulations and standards where appropriate, taking further steps to combat financial crimes like bribery and money laundering, and increasing confidence through the incorporation of transparency principles in all of our public and private ventures. At the same time, in view of our progress made this year worldwide on  empowering women in the economy, first at the Invest for the Future Conference in Istanbul in January and most recently at the APEC Summit in San Francisco, we believe it is important to recognize the critical connection between women and strong economies, and to remove all barriers that prevent women from full and equal participation in the economy. I would like to focus my comments this morning on the subject of good governance, however. We have committed ourselves time and again to “good governance,” and while progress has been made, much work remains to be done. As stated in the 2003 Maastricht Strategy, achieving good governance will require a comprehensive, long-term strategic approach. In the view of the U.S. Government, good governance is the core theme within the economic and environmental dimension, and we are pleased that next year’s Forum will address the topic in a broad and detailed way. When we speak of good governance, we speak about governments having both the propensity and the competence to manage complex political and economic systems in a fair, fully inclusive, and transparent way. Anti-corruption is part of it, but not the whole picture. It’s about having transparent, clear and predictable legislative and regulatory frameworks that foster efficient and low-cost business formation and development, and most importantly allow and even encourage robust participation in the political and economic spheres by civil society. Let me say a few words about my agency’s past and current work in this area, reserving greater details and the highlights of a new proposal for Session III tomorrow. From 1998-2008, the U.S. Department of Commerce launched a Good Governance Program, focused on partnering with the public and private sectors in the countries of the former Soviet Union and Central-Eastern Europe. This work, focused on promoting sound corporate governance and business ethics, culminated in the publication of a Business Ethics Manual, a Commercial Dispute Resolution Handbook, and a Corporate Governance Manual translated into several languages and disseminated widely throughout the OSCE region. Today, we continue to work on numerous initiatives around the world, within multilateral fora such as APEC and the G20, which involve OSCE members, promoting consensus based principles focused on anticorruption. We have taken our business ethics work and branched out into new regions including Asia and Latin America. Despite a clear understanding of its importance, the lack of good governance and systemic corruption remain some of the single most important market access challenges for companies engaged in trade around the world. This is especially true for small and medium sized enterprises, which are the engine of economic growth and innovation throughout the world. The United States believes that addressing these issues can only lead to greater investment, economic prosperity and security. Over the next three days, we will discuss OSCE support for the Extractive Industries Transparency Initiative (EITI). I am pleased to report that the U.S. Department of Commerce played an important role in supporting the creation of the EITI in its initial phase. The OSCE now has a chance to follow in the steps of the G8 and G20, by endorsing the EITI, and I applaud the governments that have preceded the United States as implementers. The EITI is a great example of how shared commitments towards good governance and transparency in a vital sector to many countries can work and build sustained momentum and engagement between the private sector, governments and civil society. Tomorrow I will share more concrete information about the work that the U.S. Government and my Department have undertaken to promote good governance and to combat corruption. I am pleased to have an expert on business ethics and anti-corruption in the energy sector, as part of the U.S. delegation. Mr. Matthew Murray runs the Center for Business Ethics and Corporate Governance in St. Petersburg, Russia, and he’ll speak to you later about a good governance initiative involving public and private stakeholders in the power generation sector in Russia, which may serve as a model for similar programs in other OSCE countries. I am also pleased to have Kate Watters of Crude Accountability joining the U.S. delegation, who will provide some examples of how transparency is a critical component of enhancing security in the environmental sphere. A month ago, the Economic and Environmental Forum discussed the concept of sustainability and where efforts to promote sustainable practices stand in our region. Those discussions remind us that our commitments on sustainable development encompass a broad spectrum of activities related to efficiency, sound resource management, and the full involvement of all stakeholders in decision-making. Just to cite an example from the Prague Forum, we recognize that in order to further develop economies and markets in such varied areas as the Black Sea region and Central Asia we will need to address several problems: improving the efficiency of border crossings and building construction, tilting the energy mix towards cleaner fuels, harmonizing standards and practices across the region, and, just as critically, ensuring broad involvement of civil society in the decision-making on project proposal, design, and implementation. One thing that sets the OSCE apart from many other organizations addressing the environment is recognition of the clear connection between the environment and security. We recognize that many environmental disasters cannot be predicted or prevented. At the same time, greater transparency – through information sharing and civil society engagement – about possible security risks stemming from the environment will make it possible to prevent or mitigate more disasters, both natural and man-made. We also must recognize that failure to protect the environment is itself a security risk, putting increased pressure on populations facing dwindling resources of clean air and water, arable farmland, and adequate energy. Colleagues, The next three days provide a critical juncture and platform for finding consensus on measures that will improve our implementation of the OSCE commitments in the economic and environmental dimension. The Vilnius Ministerial is only a month and a half away; now is the time to summon the political will to find a way forward. We look forward to building consensus on decisions on energy security, to include good governance and transparency, and we welcome constructive dialogue on additional measures proposed on confidence-building initiatives and sustainable transport. We view these elements, along with sustainable development and protecting the environment, as the cornerstones of the Maastricht Strategy, and will be speaking about these over the next several days. Just a month ago, we found some convergence of opinion on discrete aspects of the second dimension. Let us expand that convergence to the entire dimension as we review our economic and environmental commitments over the next few days, with a view toward substantive deliverables for Vilnius. Thank you, Mr. Moderator.

Pages