Title

Annual Trafficking in Persons Report: Europe Falling Behind on Trafficking Victim Identification

Tuesday, July 03, 2018

WASHINGTON—Last week, the U.S. Department of State released the 18th annual Trafficking in Persons (TIP) Report, which tracks the progress of 189 countries toward meeting minimum standards of prosecution, protection, and prevention in the fight against human trafficking. 

This year’s report showed a 45 percent increase in trafficking victim identification worldwide in 2017 to 100,409—an all-time high for both labor and sex trafficking. However, while more labor trafficking victims were identified in Europe than in 2016, overall victim identification in Europe dropped 4 percent.

Helsinki Commission Co-Chairman Rep. Chris Smith (NJ-04), who also serves as the Special Representative for Human Trafficking Issues to the OSCE Parliamentary Assembly, said, “With the current migrant crisis, it is more important than ever that OSCE participating States in Europe are informed and on the lookout for human trafficking victims, and have care available for them when they are found.  Unaccompanied minors, in particular, are vulnerable to trafficking and re-trafficking all along the migration routes.”

Helsinki Commission Chairman Sen. Roger Wicker (MS) welcomed the report and noted that despite the downturn in victim identification in Europe, several OSCE participating States have made substantial progress in fighting human trafficking. “Estonia, Cyprus, Serbia, Bulgaria, Moldova, and Uzbekistan are to be congratulated for their efforts to meet the minimum standards for the elimination of human trafficking,” he said. 

Ireland and Armenia, however, moved down from Tier 1 to Tier 2.  Bosnia and Herzegovina, Kyrgyzstan, Tajikistan, and Mongolia moved from Tier 2 to the Tier 2 Watch List. 

The TIP Report classifies countries into several tiers based on their progress toward meeting minimum standards to combat human trafficking. Tier 1 countries fully meet the minimum standards. Tier 2 countries do not meet the minimum standards but are making a significant effort to do so. Tier 2 Watch List countries are in a grace period and are in real danger of becoming Tier 3 if they do not take concrete action to improve their efforts. Tier 3 countries do not meet the minimum standards and are not making significant effort to do so. Tier 3 countries may be subject to U.S. sanctions.

Since the creation of the annual TIP Report by Co-Chairman Smith’s Trafficking Victims Protection Act of 2000, more than 120 countries have enacted anti-trafficking laws and many countries have taken other steps to significantly raise their tier rankings—citing the TIP Report as a key factor in their new anti-trafficking efforts. 

Media contact: 
Name: 
Stacy Hope
Email: 
csce[dot]press[at]mail[dot]house[dot]gov
Phone: 
202.225.1901
Relevant issues: 
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  • Human Trafficking and Transnational Organized Crime: Assessing Trends and Combat Strategies

    Helsinki Commission Chairman Chris Smith (NJ-04), Senator Marco Rubio (R-FL), and other lawmakers examined how human trafficking laws need to adapt to the maturation of the illicit activity, specifically in light of the Trafficking Victims Protection Act that Smith introduced in 1998. In addition, Smith, Rubio, and others examined the link between transnational organized crime and human trafficking. Witnesses testifying at the hearing – including Greg Andres, Deputy Assistant Attorney General, Criminal Division, with the Department of Justice; Piero Bonadeo, Deputy Representative with the United Nations Office on Drugs and Crime; and Martina Vandenburg, Esq., Pro Bono Counsel with the Freedom Network USA – focused on legislative proposals to combat organized criminal activity, the United Nations Office on Drugs and Crime’s (UNDOC’s) efforts, and, of course, human trafficking’s implications and consequences.

  • 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.

  • Mongolia Moves Toward Europe

    In this briefing, moderated by Commissioner Joseph Pitts (R-PA), the focus was Mongolia’s desire to seek full membership in the OSCE. Since 2004, Mongolia had been an Asian Partner for Cooperation with the OSCE. By establishing a framework for like-minded countries such as Mongolia, the OSCE has been able to further its mandate, particularly in addressing conflict prevention and security threats, and explore opportunities for a wider sharing of OSCE norms, principles, and commitments. The rationale for such an effort to make Mongolia a full-fledged member state was its democratic resilience during what had been, at times, a very difficult economic and political transition. Witnesses attending the briefing included H.E. Khasbazaryn Bekhbat, Ambassador of Mongolia to the United States, Johns Hopkins SAIS Professor Terrence Hopmann, and John Tkacik, President of China Business Intelligence.

  • U.S. Policy and the OSCE: Making Good on Commitments

    This hearing examined the United States' policy towards the Organization for Security and Cooperation in Europe, in particular  how to support the OSCE’s human rights work in the face of opposition to it from several countries within the OSCE. The witnesses and commissioners discussed ways in which the U.S. can strengthen the priority given to human rights and humanitarian concerns within the OSCE.  Priorities identifed were: supporting oppressed people of Belarus; turning back the trend to restrict Internet and media freedoms, supporting democracy in Kyrgyzstan and democratic activists throughout all of central Asia.   The discussion also focused on using the OSCE partnership program to promote human rights for minorities, particularly the Copts in Egypt.

  • Spotlight on Bosnia – Obstacles to Progress and Recommendations for the International Response

    This briefing addressed how politics in Bosnia are marked by increased nationalist rhetoric, which sometimes threatens the country’s peace, stability and territorial integrity, and the parties’ unwillingness to work constructively with the representatives of the international community, and the difficulties that have been faces since the October 2010 elections. Possible sources of this political impasse and possible course of action for the international community were also examined. Witnesses testifying at the briefing – including Clifford Bond, former U.S. Ambassador to Bosnia-Herzegovina and Vice President of the American University in Bosnia-Herzegovina; Kurt Bassuener, Senior Associate of the Democratization Policy Council; and Nida Gelazis, Senior Associate of European Studies Program at the Woodrow Wilson International Center for Scholars – provided several recommendations for improving the political situation in Bosnia, including a strong EU presence in the country, an emphasis on economic improvements, and basic reforms to improve the functionality of the Dayton state.

  • The Thirty-Seven Year Occupation of Cyprus

    Mr. Speaker, I rise today to address ongoing human rights violations in occupied northern Cyprus . Today is the 37th anniversary of the illegal 1974 invasion--a terrible tragedy, and an ongoing one, as the continued occupation of that country by tens of thousands of Turkish troops continues to deprive of their homes all those forced to flee the north--estimated to number approximately 200,000. Many Greek Cypriots escaped the north with little more than the clothes on their backs. While some have returned to visit their own homes or ancestral villages, none have been allowed to take back their rightful property--those despoiled include an estimated 5,000 Americans of Cypriot descent. Several hundred courageous Greek Cypriots, mainly elderly people, refused to be uprooted and today live in enclaves, the remnant of once-thriving Greek Cypriot communities which have effectively been ethnically cleansed.  Hundreds of churches, chapels and monasteries once dotted the rugged landscape of the region, part of Cyprus's rich religious cultural heritage. Indeed, St. Paul visited the island nation on one of his early missionary journeys, and St. Barnabas, a native of the Cypriot city of Salamis, was martyred nearby for his defense of Christianity. The Helsinki Commission, of which I am the Chairman in this Congress, has documented the desecration and destruction of some of the over 500 religious sites in the occupied area looted of their priceless icons, mosaics and frescoes once revered by the faithful. Many of these sacred objects, stolen from churches inside or adjoining Turkish military bases, have landed on the international art market. Even the dead are not allowed to rest in peace with destruction of cemeteries rampant throughout the region. Cypriot authorities interdicted a container originating in the occupied area filled with metal destined for a recycling facility in Asia. Upon inspection agents found that the unit consisted of metal crosses and stolen grave markers.  Mr. Speaker, I remain deeply concerned over ongoing violations of freedom of religion and other rights in northern Cyprus. Let there be no mistake, the Turkish government is responsible for what happens in the occupied part of the island. Last Christmas, a small group of Orthodox believers gathered in the village of Rizokarpaso to celebrate the divine liturgy--only to have their worship disrupted by Turkish security forces, who ordered them to disperse. The Helsinki Commission continues to receive reports of the demolition of churches in the region even as others are converted to commercial use as warehouses, barns, or casinos.  Mr. Speaker, the nearly four-decade-long illegal occupation of northern Cyprus by Turkey is an affront to the principles enshrined in the Helsinki Final Act and an encroachment on the fundamental freedoms and human rights of Greek Cypriots living in the region's enclaves and those forced to flee the area following the 1974 invasion. Our government must continue to engage on behalf of the human rights of Greek Cypriots.

  • 37th Anniversary of the Invasion of Cyprus

    Mr. President, I rise in my capacity as co-chairman of the Helsinki Commission to again draw attention to the tragic consequences of Turkey's invasion and ongoing occupation of the Republic of Cyprus begun 37 years ago today. I applaud the leadership demonstrated by President Christofias in an attempt to bring about a comprehensive settlement and reunification of his country based on a bi-zonal, bi-communal federation with political equality, as defined in the relevant U.N. Security Council resolutions, with a single sovereignty, single citizenship and single international personality. Attempts to resolve the Cyprus issue are exacerbated by Turkish intransigence; the continued deployment of tens of thousands of Turkish troops in occupied northern Cyprus; and the introduction of an estimated 160,000 settlers from mainland Turkey. Indeed, the reality is that settlers outnumber indigenous Turkish Cypriots altering the demographic composition of that community by a margin of about two to one. Previously, I have addressed a number of specific human rights concerns stemming from the ongoing occupation, including freedom of movement, property rights, and freedom of religion. Under my chairmanship, the Helsinki Commission convened a public briefing, "Cyprus' Religious Cultural Heritage in Peril'' to document the desecration and destruction of sacred sites in occupied Northern Cyprus. Today, I want to focus on the situation in the city of Famagusta, the once thriving commercial center and tourist destination on the east coast of Cyprus , featuring the country's deepest water port. This cosmopolitan city, home to nearly 50,000 Cypriots, was a center for trade and finance as well as culture, known for its many museums and vibrant nightlife. The second wave of the Turkish invasion, launched in August 1974, targeted Famagusta and the surrounding region. Seaside hotels that attracted tourists from throughout the world and other important high rise buildings were targeted for bombardment as residents were forced to flee. Today, barbwire rings the city of Famagusta, a veritable ghost town except for Turkish troops patrolling the perimeter of this once bustling urban center. What looters left behind is slowly being reclaimed by nature and decades of exposure to the elements. The only thing I can compare this scene to comes from my walk along the deserted streets in the city of Prypiat, a Ukrainian city of similar size to Famagusta, located in the Chornobyl exclusion zone a short distance from the site of the world's worst nuclear accident. While health concerns keep the residents of the former away, armed Turkish troops prevent lawful residents of Famagusta from returning. Notwithstanding numerous U.N. resolutions on Cyprus, including provisions specifically addressing the city of Famagusta, Turkey continues to illegally occupy a third of Cypriot territory, preventing Greek Cypriots from returning to their homes and businesses in the occupied area, including Famagusta. In keeping with these UN resolutions and principles enshrined in the Helsinki Final Act, it is time for Turkey to end its illegal occupation of the sovereign Republic of Cyprus. Agreement allowing the lawful residents to return and rebuild the city of Famagusta would be an important step in the right direction.

  • Addressing Ethnic Tensions in Kyrgyzstan

    During four days in June, 2011, ethnic Kyrgyz and ethnic Uzbeks clashed in the southern region of Osh, leaving some 470 dead and over 400,000 displaced.  Thousands of homes and businesses were destroyed. Although international assistance prevented a humanitarian disaster, rebuilding has barely started. Human rights abuses continue and ethnic nationalism is on the rise. An independent international investigative report made numerous recommendations to the Government of Kyrgyzstan about addressing the serious ethnic situation.  So far, the reaction by the Kyrgyz authorities has been mixed, and it is unclear which proposals Bishkek will accept. In this complicated atmosphere, Kyrgyzstan is also facing presidential elections this fall, the final step in putting in place a new governmental system following the revolution that overthrew former President Bakiyev in April 2010

  • 2050: Implications of Demographic Trends in the OSCE Region

    The hearing focused on the implications of current demographic trends in the expansive OSCE region through the prism of the security, economic and human dimensions.  Most of the OSCE’s 56 participating states are experiencing varying stages of demographic decline, marked by diminishing and rapidly aging populations. Such patterns were identifying as likely to have significant social, economic and security consequences for countries throughout the region, including the United States. Witnesses testifying at this hearing – including Jack A. Goldstone, Director of the Center for Global Policy at George Mason University; Nicholas Eberstadt, Henry Wendt Scholar in Political Economy of the American Enterprise Institute; Richard Jackson, Director and Senior Fellow of the Global Aging Initiative at the Center for Strategic and International Studies; and Steven W. Mosher, President of the Population Research Institute – addressed issues related to the demographic trends in the OSCE region, such as shrinking workforces in a growing number of participating States that are expected to become increasingly dependent upon foreign workers in the coming decades. A concern that these factors could contribute to mounting social tensions as demonstrated by clashes in some participating States in recent years was evident.

  • Prospects for Unfreezing Moldova’s Frozen Conflict in Transnistria

    This briefing, which Commissioner Phil Gingrey moderated, focused on the human cost of Moldova’s frozen conflict with Transnistria, its breakaway region, and the prospects for resolving this conflict that, at the time of the briefing, was two decades old. The term “frozen” entails settlement not by a peace agreement, but, rather, by an agreement to freeze each side’s positions. The conflict began immediately following the dissolution of the former U.S.S.R. in 1992, when armed conflict between Moldova and Russian-backed separatist forces was frozen by mutual consent. The Moldovan government had no reasonable alternative. The frozen conflict in Transnistria also has had grave human rights and humanitarian concerns. So, the questions the briefing examined were how to resolve these concerns whether or not the conflict can be unfrozen.

  • 40th Anniversary of the Forced Closure of the Theological School of Halki

    Mr. President, I am pleased to be joined today by Senators Snowe, Reid, Shaheen, Whitehouse, and Menendez in introducing a resolution calling upon the government of Turkey to facilitate the reopening of the Ecumenical Patriarchate's Theological School of Halki without condition or further delay.  I was privileged to again meet with the Ecumenical Patriarch, Bartholomew I, during his 2009 visit to the United States. His impassioned request to those of us gathered was for our support for the reopening of the Theological School of Halki, forcibly closed by the Turkish authorities in 1971. In this year marking the 40th anniversary of that tragic action, I urge the Turkish leadership to reverse this injustice and allow this unique religious institution to reopen  Founded in 1844, the Theological School of Halki, located outside modern-day Istanbul, served as the principal seminary of the Ecumenical Patriarchate until its forced closure. Counted among alumni of this preeminent educational institution are numerous prominent Orthodox scholars, theologians, priests, and bishops as well as patriarchs, including Bartholomew I. Many of these scholars and theologians have served as faculty at other institutions serving Orthodox communities around the world.  Past indications by the Turkish authorities of pending action to reopen the seminary have, regrettably, failed to materialize. Turkey's Prime Minister, Recep Tayyip Erdogan, met with the Ecumenical Patriarch in August 2009. In an address to a wider gathering of minority religious leaders that day, Erdogan concluded by stating, ``We should not be of those who gather, talk and disperse. A result should come out of this.'' I could not agree more with the sentiment. But resolution of this longstanding matter requires resolve, not rhetoric.  In a positive development last August, the authorities in Ankara, for the first time since 1922, permitted a liturgical celebration to take place at the historic Sumela Monastery. The Ecumenical Patriarch presided at that service, attended by pilgrims and religious leaders from several countries, including Greece and Russia. Last November, a Turkish court ordered the Buyukada orphanage to be returned to Ecumenical Patriarchate and the transfer of the property has been completed.  As one who has followed issues surrounding the Ecumenical Patriarchate with interest for many years, I welcome these positive developments. My hope is that they will lead to the return of scores of other church properties seized by the government. In 2005, the Helsinki Commission, which I co-chair, convened a briefing, ``The Greek Orthodox Church in Turkey: A Victim of Systematic Expropriation.'' The Commission has consistently raised the issue of the Theological School for well over a decade and will continue to closely monitor related developments.  The State Department's 2010 Report on International Religious Freedom is a reminder of the challenges faced by Orthodox and other minority religious communities in Turkey. I urge the Turkish Prime Minister to ensure respect for the rights of individuals from these groups to freely profess and practice their religion or beliefs, in keeping with Turkey's obligations as an OSCE participating State.  The 1989 OSCE Vienna Concluding Document affirmed the right of religious communities to provide ``training of religious personnel in appropriate institutions.'' The Theological School of Halki served that function for over a century until its forced closure four decades ago. The time has come to allow the reopening of this unique institution without further delay.  I urge my colleagues to support this resolution. SENATE RESOLUTION 196--CALLING UPON THE GOVERNMENT OF TURKEY TO FACILITATE THE REOPENING OF THE ECUMENICAL PATRIARCHATE'S THEOLOGICAL SCHOOL OF HALKI WITHOUT CONDITION OF FURTHER DELAY  Mr. CARDIN (for himself, Ms. SNOWE, Mr. REID of Nevada, Mrs. SHAHEEN, Mr. WHITEHOUSE, and Mr. MENENDEZ) submitted the following resolution; which was referred to the Committee on Foreign Relations:  S. Res. 196  Whereas the Ecumenical Patriarchate is an institution with a history spanning 17 centuries, serving as the center of the Orthodox Christian Church throughout the world;  Whereas the Ecumenical Patriarchate sits at the crossroads of East and West, offering a unique perspective on the religions and cultures of the world;  Whereas the title of Ecumenical Patriarch was formally accorded to the Archbishop of Constantinople by a synod convened in Constantinople during the sixth century;  Whereas, since November 1991, His All Holiness, Bartholomew I, has served as Archbishop of Constantinople, New Rome and Ecumenical Patriarch;  Whereas Ecumenical Patriarch Bartholomew I was awarded the Congressional Gold Medal in 1997, in recognition of his outstanding and enduring contributions toward religious understanding and peace;  Whereas, during the 110th Congress, 75 Senators and the overwhelming majority of members of the Committee on Foreign Affairs of the House of Representatives wrote to President George W. Bush and the Prime Minister of Turkey to express congressional concern, which continues today, regarding the absence of religious freedom for Ecumenical Patriarch Bartholomew I in the areas of church-controlled Patriarchal succession, the confiscation of the vast majority of Patriarchal properties, recognition of the international Ecumenicity of the Patriarchate, and the reopening of the Theological School of Halki;  Whereas the Theological School of Halki, founded in 1844 and located outside Istanbul, Turkey, served as the principal seminary for the Ecumenical Patriarchate until its forcible closure by the Turkish authorities in 1971;  Whereas the alumni of this preeminent educational institution include numerous prominent Orthodox scholars, theologians, priests, bishops, and patriarchs, including Bartholomew I;  Whereas the Republic of Turkey has been a participating state of the Organization for Security and Cooperation in Europe (OSCE) since signing the Helsinki Final Act in 1975;  Whereas in 1989, the OSCE participating states adopted the Vienna Concluding Document, committing to respect the right of religious communities to provide ``training of religious personnel in appropriate institutions'';  Whereas the continued closure of the Ecumenical Patriarchate's Theological School of Halki has been an ongoing issue of concern for the American people and the United States Congress and has been repeatedly raised by members of the Commission on Security and Cooperation in Europe and by United States delegations to the OSCE's annual Human Dimension Implementation Meeting;  Whereas, in his address to the Grand National Assembly of Turkey on April 6, 2009, President Barack Obama said, ``Freedom of religion and expression lead to a strong and vibrant civil society that only strengthens the state, which is why steps like reopening Halki Seminary will send such an important signal inside Turkey and beyond.'';  Whereas, in a welcomed development, the Prime Minister of Turkey, Recep Tayyip Erdogan, met with the Ecumenical Patriarch on August 15, 2009, and, in an address to a wider gathering of minority religious leaders that day, concluded by stating, ``We should not be of those who gather, talk, and disperse. A result should come out of this.'';  Whereas, during his visit to the United States in November 2009, Ecumenical Patriarch Bartholomew I raised the issue of the continued closure of the Theological School of Halki with President Obama, congressional leaders, and others;  Whereas, in a welcome development, for the first time since 1922, the Government of Turkey in August 2010 allowed the liturgical celebration by the Ecumenical Patriarch at the historic Sumela Monastery; and  Whereas, following a unanimous decision by the European Court of Human Rights in Strasbourg in 2010, ruling that Turkey return the former Greek Orphanage on Buyukada Island to the Ecumenical Patriarchate, on the eve of the feast day of St. Andrew observed on November 30, the Government of Turkey provided lawyers representing the Ecumenical Patriarchate with the formal property title for the confiscated building: Now, therefore, be it  Resolved, That the Senate—  (1) welcomes the historic meeting between Prime Minister Recep Tayyip Erdogan and Ecumenical Patriarch Bartholomew I;  (2) welcomes the positive gestures by the Government of Turkey, including allowing the liturgical celebration by the Ecumenical Patriarch at the historic Sumela Monastery and the return of the former Greek Orphanage on Buyukada Island to the Ecumenical Patriarchate;  (3) urges the Government of Turkey to facilitate the reopening of the Ecumenical Patriarchate's Theological School of Halki without condition or further delay; and  (4) urges the Government of Turkey to address other longstanding concerns relating to the Ecumenical Patriarchate.

  • Labor Trafficking In Troubled Economic Times: Protecting American Jobs And Migrant Human Rights

    This hearing brought attention to the extremely lucrative criminal enterprise of human trafficking. Specific attention was focused on those who were most likely to be victims (i.e. people who were poor, had lost their jobs). Therefore, human trafficking, which involves forced labor, profits more in times of economic decline.

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