tv Key Capitol Hill Hearings CSPAN July 8, 2015 8:00pm-10:01pm EDT
the latest game that is popping up finding ways to get your message in front of people where they are paying attention is really important. >> sunday night at 8 eastern and pacific on c-span's q and a. >> come up tonight, the greek prime minister address said the european parliament and then remarks about greece and then the second day of debate in the south carolina house on the removal of the confederate flag and later marco rubio on the economy and technology. >> greek prime minister alexis tsipras, addressed members of the european parliament on
thursday. this is after greece voted no to proposed bailout terms. mr. tsipras has submitted another request. this is an hour long talk on the future of greece. [applause] >> thank you very much mr. president. president, esteemed members, it is a great honor to address the democratic forum in europe. it is an honor to be able to talk about key representatives of the people. at the official time my country
and the european union as a whole. i find myself here only a few days after the verdict of the people. after we chose to give the floor directly to ask the greek people directly and let them be part of the negotiations. we have not gotten an answer to double the efforts in order to get economically sound for to greek problem without repeating the mistakes of the past that condemned the economy. for a period that was neverending and an impact of
severity that hurt the economy in a vicious cycle. the creative response by the greek people at a time when there was such pressure with the bank closing, with the campaign and the media televising that meant an end to talks and an end to negotiations. [applause] >> we have to listen to what they said. this was a courageous choice by the greek people and this is not a decision of breaking off relations with europe. it is one of going back to a
time when the founding principles of european unification at the arch of democracy and of solidarity and going back to mutual respects and ecologies. it is a crystal clear message. this is a crystal clear message that europe our common european union, will either be democratic or it will have eeimim -- immense problems surviving. the problems between the greek government and partners to reconfirm the jewel forms of respect in europe for the european union and also from the
democratic choice of our people. my government and our government, can talk to other governments five and a half mosquitos ago and the programs have been in place for the past five and a half years. responsible for the impasse when the greek economy finds itself in and the impact which overall europe finds itself in with the choices that have been made don't just concern the past five and a half months. they extend over five and a half years with the implementation of programs which have not help europe go out out of the crisis
it faces. and then the assurd the house that quite a part from the crisis, we will continue with our reform undertaken. but let's not forget the fact for the past five years the greek people has made a tremendous effort for adjustment, a very harsh and difficult process of adjustment. but this has exhausted the resilience and the patience of the greek people. this is not just something which has been confirmed to grease. other countries have -- we respect the sacrifices and efforts they have made. however, nowhere have the programs been so harsh and so long-lasting as it is in greece. there is no exaggeration to say
that my country has over the five years been transformed into a laboratory. however this experiment, i think all of us have to accept hasn't been a success. over these five years we have seen skyrocketing of povty and unemployment has soared and social marginalization increases as has the public debt which is now 180% of gdp. and today, the majority of the greek people quite apart from our own assistment this is the simple fact we have to face and accept. a majority of the greek people feels they have no other choice other than to demand they be given a way out of this impasse and this is dead end.
we have to imelement that decision and that verdict. we demand an agreement with our neighbors but one which gives us a sign we are on the long-basting bases getting from the crisis which will demonstrate to us what it is like at the end of the tunnel. an agreement which will bring about the credible and necessary reforms. that is clearly necessary. we have to recognize that over the past five and a half years reforms have been put into place which have been broadened on what pensions can take what employers can put up with and what they can stand for ordinary citizens. we need policy of redistribution on necessary for the middle class, for the working class and we must have a basison when we
can broseed. the proposal we have made is one which involve credible reforms with a certain degree of burden-sharing which does not bring recession aero effects with it. we need to ensure the medium-term funding of our country with development and growth program because we have to put on the table on agenda for growth because otherwise there is no way we are going to exit from this crisis. and our prime objective must be to combat unemployment and encourage entrepreneurship and clearly our proposal always contains the demand for under undertaking that we will see genuine dialogue and genuine negation negationnu
negotiation negotiations in order to get an answer to the question of substantiateability of public debt. we must find solutions to the real problem however difficult the solutions may be in practice. our proposal has been submitted. it is one that meets the requirements. today we are working with the support plans in the next two or three days. we have undertaken to bring forward concrete proposals in detail. and i am confidant that in the next few days we will be able to meet the oblayigations of the iscrucial time in in the best interof the greece and also for the eurozone.
it was not our government in terror from others. the program has not been implemented. it was not implemented then not because shopping circumstances can be left behind. there is a program then and the program night is the position to be right and it has to be right and the public support and acceptance. ladies and gentlemen over the same period because of the billion in debt.
we also had an obligation to leave pay to the same institutions to finance. i am not one of those politicians to claim that those responsible for the words of greece are at foreigners. greece has gotten to the verge of bankruptcy because for many, many years, documents, the government, have been creating a clientless government. they have strengthened the hands
of corruption. they have created and nurtured a nexus between political and economic power. they have allowed people to riot and that is not right. in accordance with the rules, 10% of greeks simply have 56% of the national wealth and 10% in a time of austerity they not shared the pressure. this is not justice. to repair the programs we have not made things better on the country, they are made things worse.
they were supposed to bring about response but these reforms are not. they collapsed under the excessive view of enlightened and testified to national officials. none of the reforms have helped when it comes to the nexus between the political establishment, the oligarchs and the banks and that three-sided ring. none of the reforms have improved the functioning and efficiency of the mechanisms of state which is inward to watching the selfish interest rather than the common interest. our proposals are based on genuine reforms whose purpose is
to change the face. these are reforms that previous governmental regimes didn't want to put in place. effectively tackling the oligarchy and the cartel of the interest we have not got to turn the page of that. we must get a handle on development. we must get traction under the difficulties and this is when both parties are ones we are going to weed out with our partners. today we come with strong pressure and we are determined
not to have a class with europe but to tackle heads on the establishments in the fancy and change the mindset which has taken us and the eurozone down. ladies and gentlemen europe finds itself at a crucial crossroad. the greek crisis is only a manifestation of the euro zone to find a lasting solution to the self healing debt crisis and lead the european -- this is not exclusively a greek problem. this is a european problem. and european problems require european solutions. look at history, there is a history of conflict but conflict leading to compromise.
there is history of convergence as well. it is history of unity and not additions. and this is why we talked about united europe and that is not a devoted europe. at this time we are told establishment to produce a lot of fear compromise which will avoid a great amount of negotiations and this is line with the traditions of european and all of us have taken the measures of the situation and i believe together we can rise to the challenge. [applause]
president. i have said in the past and today i will address the principles of european culture. for example, decency partnership in the way we deal with each other as friends. this presents a government that has said a lot of things in recent weeks. this is an unleashing of migrants to the rest of europe if this settlements were not made as we were. i believe or i would have thought they should apologize for the utterly unacceptable statements. unfortunately he passed over them in silence.
reliability and confidence. in 2016 as the first european conference you guarantee that you will present reform programs up until now there are no specific proposals from greece but from the basis of nugoings negotiation negotiations and without that you are destroying confidence in europe. you are talking about dignity, but that means choice honestly and the government is said to the greek people the back to closing because the evil ecb is wishing to wrap up pressure. the people of greaseece are told
the banks are going to open but they are still closed. you are not telling people the truth and that is not dignified politics. i would like to continue to express the dignity. dignity is involved in terms of who your friends are. look around this chamber and you will see to the far left and the far right you have a lot of applause. i think castro wrote you a letter of congrats on your triumps triumphs. seems to me you are surrounding yourself with the wrong friends.
please continue mr. president. may i say something else about dignity? the dignity of other people in europe. if you are talking about a fair cut, they don't like people because it is extraneous financial institutions that will pay for this. it is going to be paid for by 5 billion and it is going to be the nationals in poland. it seems we must look at those people's dignity. ordinary people in other eu countries. mr. president, i would like to bring out to the principle the concept of solidarity. it is in dire straits.
you are also having a bulgarian and who knows what the situation of people is in people in bullgarbulu buluthe with -- the with standard of living is lower in five eu countries than greece. and i would like to add, the culture when it comes to hope people need hope in the future. now, last year youououououday, and in 2009 they were facing a big economic catastophre but they sorted ort their budget and they have faith
in the future now instilled in their people. it seems you are not standing for hope. in your approach and the last concept of democracy, demomeracy demomeracy and you -- >> one moment please one moment please mr. president, one moment please. >> he is able to use this speaking time effectively so i think if there is a quite time he will be able to meet his speaking time. democracy involves people sitting and listening.
we know that. you have the floor once more. >> i was grateful for the applause it shows the people trying to preserve democracy. >> standing here as greek democracy, he is carry it as a referendum. the prime minister is back here? the they are fed up selling to the greeks. europe is not a sum of nationalist views. europe is compromised and sadly you have departed from that
past. the president concludes and thank you. >> mr. president, yes i would say he is a force of respect from our country. as polittle reps you engage in provocation and we engage in compromise. you are looking for failure and we are looking for success. i hope you are able to come up with a program finally. thank you.
[applause] >> clearly this is a lively debate. we are all aware of that. i don't think it is a bad thing people are letting off esteem. we all know we are pleased to be here today. but i now call the leader of the social and democratic greek. >> thank you, president shultz. i would like to say at the
beginning that for us as social democrats europe without greece is just something that is unthinkable. greece is part of the eurozone and essential. without greece in the eurozone europe would no longer be itself and that is why we have opposed and will opposed extremist and political speculations calling for greece to leave europe. i would quote the extremist positions or i could reply with any statement made.
but i would prefer to underlie the sobriety the seriousness, the constructiveness of the president who throughout all of these months has worked to find a solution a positive solution today is not the type for friends to apologize to each other. what is at stake is too serious for us to throw around and too serious to turn this house into a football stadium. it is not a time for divisions in the house for divisions in europe, it is a time for us to stand united because the future is at stake.
and we should be above party politics. what is at stake is europe's future which includes greece. i agree on one point. there was a great speech given today but the most important institution of europe, the parliament cannot have its president taking part in the euro summit so i would formally ask him to be invited to the meetings. mr. tsipras, you are not a member of my party. but at this point in time i feel
we will never accept this. and recently hope has been reignited and i can note that everybody is showing a constructive attitude. the attitude of heads of state of government yesterday was positive. and the political forces in greece are positive about a possible solution. i think that the conditions are there for an agreement to be reached this week. we need to call for labor, combating corruption and tax evasion and all of the measures that are required not because europe would impose them but because they will benefit greek citizens and i think it is their right to discuss restructuring
debate. and that is something that is a commitment in 2012 which should be honored and i think we should think about having a european conference on that which should be thinking about this as well as the polling of debt. it is possible for there to be a medium term agreement i would say, president, but to those who read about these days in the future when it is history should be able to read there were men and women who knew how to put aside their divisions and rise above party politics and enter into an ax of responsibility and
the eu too, i can add. in the beginning there was the original sin of the currency union and today we are rooting its soft roots. i have an impression that has been unfolding before our eyes. nothing really is what it seems. the greeks want help but want free hands at the same time apparently not knowing the saying he who pays the piper gets to call the tune. they organized an anthem which was and at the same time was not about what it was reported to be about. the final grounds of talks and
we know final doesn't mean final. it means something else. there is a monetary union and seeing it as crucial and they say once greece is out the entire construction said to be so magnificent was falling to pieces. i don't want that ladies and gentlemen. if this continues, is the greek society, the credibility of the
government, the creditors, the representation reputations of some or the european union? we certainly, ladies and gentlemen, cannot say all of these. there will be come casualties i am sure. >> thank you. and now our next speaker. >> there is a crisis in europe and european institutions have to be united. welcome. you see we don't have to be afraid of the european
parliament. you ought to refuse in the beginning and i am saying as such a big democrat that stayed that can not be true. you are here. and i am pleased you are here. it is in european parliament for the first time we discussed this and i think there are no solutions possible and we don't have the backing of democracy. it is true what you said. you said the greeks put forth enormous effort and that is true. but the greek class didn't do enough in the case of greece. that is the problem today. i am angry i have to tell you. i am angry because you are talking about reforms but we
never seem to incroseease the proposals of reform. and i am angry why? i am angry because we are in fact sleep walking toward the exit. already five years we keep walking with the help and support to hear them of the people of the extreme right. and not only are we sleep walking but the last months we are running toward that. it is not you, and it is not we who is paying the bills. it is the ordinary greek citizens paying the bills of the taxes at 30-40 percent.
in the coming 48 hours with a credible reform package and that doesn't mean i want to incline. it means you make a road map, a clear calendar and no intentions that the end dates of different reforms we need desperately in greece. let me get you the five things of what you have to do. i am running to come to athens with you. first ending the crime system. you need to put regulations for that on the table that doesn't exist. and not to apply. a few weeks ago, 13 directors in the ministry of education had to be nominated and by accident 12 were parties and one is not
known. that is the reality. you are using the system. you are using the system. you are falling into the the chuck of of people. you have to downside the public sector. it is difficult for the leftist but it has to be because 800,000 people to get there. you have to transform the public banks. you have to open the markets and the professions for young people. we don't happily see this. we need to open ten that are
still closed. and finally let's propose to end the privilege in your country. the probeivilege of the military the churches the privilege and not forget the privilege of the political parties that receive every day money and loans. your party receives such. and that is a strong. what i ask you is put all of this together in a package and put it on the table now in the coming days. and from the european we have to
be ready to find the solution for the problems. you can do it because there was never a prime minister in greece who had a strong mandate. you had double mandate with lessons and referendum. you are the only political leader in greece who can put an end to that system in greece. i say this to you, we still have responsibility. we have to make -- in my opinion, a redemption and we have to do it as past as possible. but first thing is first, you need to come forward with your reform packages. this is not the chicken or egg discussion, ladies and gentlemen. and you have a choice and that is my conclusion. the choice that you have is fairly simple. how do you want to be a member?
as an accident who made people poor in the country? or want to be remembered as a real revolutionary reformist in the tradition of the greek people. that is the choice to make. i know what your people want. 80% of your people want to stay in europe and the eurozone. so what you can do is show you are a real leader and not a false prophet. do it.
union and the eurozone. don't listen to the creditors. don't force them upon unwilling people. we have got to do something now as we look back test history of germany and europe, i think germany as proved with the debt that built up from the first world war, they didn't have to take for decades. they were so outdated in the first world ware and laid the bases for germany to go forward. if is our time we looked into the history. the people in europe and not to
engage and that applies to the germans germans. that is the way it has to be. let's get it on the table. let's discuss positions that have to be taken. let's take up this position on sunday. >> ladies and gentlemen, when yesterday i was preparing myself for this debate i scanned the newspapers that i stacked up in
might office and i don't know how things are going to pan out, and on the tip of the of the picture of the greek person weeping in front of an atm machine at the bank. that is the photo that burned in my mem row for this week. it seems to me that goes to explaining why 60% of the greeks who voted on sunday voted the way they did. and that photograph also captures some of the motivations
of the people you voted, yes because the vote in greece was a response to the impoverishment in in greece. a lot of people in greece can't go on. it is a vote expressing hope for change with reaching out to the european union. and that is the time before you, i think, you are at a historic moment. you are the strongest prime minister of greece in my personal recollection and you have to be the person sir the
word is turned into what you can stand back from now. you might say i am naive, but i have expected that you would come here and not just talk about the cronyism but i thought you would come along and say this is how i am going to go about it with my people. we want your views of a fair tax system set out. i thought you were going to present your view of a pair pension system. we already recognize that you can't curt further low pensions but how can you make sure the system is fair in greece? what is the future of the health system in greece so you don't
need connections for the indigenous. and i hope it is possible for ideas from you for a better future so you can ensure you have the europeans on side with you. that is what we need. we can we recaptured if the people of europe and not just heads of state in government or some of the people today who are not terribly keen to see you being invited here. you need to get into a direct debate with europeans it seems. move away from this erroneous policy.
we need have to have a solution for the greeks and a solution that can be applied in crisis. then it would be fair. then it would be european. mr. tsipras, i know you cannot stop time. i really wish it were possible to do that. but clearly, everything has to be decided this week. please listen to those who wish to seek a european solution. think about it. you are making the strong call for democracy. europe is vast and east is part of europe as well and they need solidarity, too. but democracy and putin i am sorry doesn't match up. i wish you success and i wish success for europe as well. [applause]
>> thank you. what we are seeing in this chamber this morning and across the whole of europe is an irreckon irreckon irreckon between europe and greece. no one in the room recognizes this but the people of europe are saying we would never ask, whether we wanted this this has been hoisted upon us. and we need to understand why mu doesn't work. the monsters act out for the clever but dangerous believed if they put in place an economic union that as night follows days there would be political union
and an acceptance of the project and the north and south would converge and we would love each other and feel a european ident identity and pledge allegiance to the flag and anthem. we understand the countries of europe are different and if you try to force different people or economies without seeking the consent of those people it is unlikely to work. and the plan has failed. this isn't just degrees we are talking about. the whole med tehranuerrainterrainu -- head tumed -- mediterranean is using
the wrong currency. there is a new berlin wall and it called the euro. just listen to the way the german leader of the christian democrat group attacked mr. tsipras. i think it was absolutely disgusting but it shows the way north and south now feel about each other. mr. tsipras, your country should never have joined the euro. i think you acknowledge that. but the big business and politics forced you in. golden sach and they were happy to help out. they haven't helped you at all. these years of austerity, these years of high unemployment of increasing poverty, none of it worked. your debt gdp ratio went from 100 percent at the crisis to 180
percent now. it would be madness to continue on this course. you have been brave and called the referendum when your pred predecessors did the same. they said you would have to leave the euro and the european unionian union. the president of the parliament said if the greeks voted no their power supply might go down. you cannot have your cake and eat it. they will give you no more. they cannot afford to. if they give you more they will have to give other eurozone members more. your moment has come. if you have the courage you should lead the greek people out of the eurozone with our held high. get back your democracy and get back control of your country. give your people the leadership and the hopes that they crave.
yes, it will be tough for the first few months but with the friends of greece all over the world, you will recover. [applause] >> the ms group, the group leader. >> mr. tsipras, our positions are very different on a whole series of topics but we share the desire to give the protagnism back to the people. we are pleased about the organizational referendum.
would you except that type of campaign? one that promised to your respective people of 25 percent cut of wages and 25 percent cuts of their pensions? they love it. a tripling of the unemployment. live up to your promises. [applause] mr. tsipras, the euro iran and austerity are siamese twins joined at the hip and you cannot get your people of austerity of less to escape from the role. i think in agreement that agrees must negotiate away
out of this clamp the steel jaws that is imposed with the euro. all people should look at what is happening in greece. maybe an exit would help us durable growth that is what mr. grubman said nobel prize for economy said. but others say that greece will show it is better outside day and in its. the euro is not irreversible all they tried to send us that forever. europe is not something that cannot be revised. in the second stop is a political one people should dare to say no. you cannot hold this crisis
after so many mistakes it is high time to have a concerted dismantling of the euro the countries would grow better and intentions would be diminished. thank you. [applause] >>. >>translator:. >> thank-you very much indeed for your word of the greek referendum. who and on what basis said the greeks should look for another currency. what rights are you to get involved?
seven like to address the german chancellor for what she has done what the germans did to the greeks during the second world war from the people were lost a headstart to death and there is a huge blow to the third reich thousands of millions from these repayments which you are refusing to include in the question in the of the debt. so then you turn around a and speak in this way. what about our rights? i thank you should be turning to the chancellor of germany to ask her what is due. if you think the greeks will bowed their heads when they did not during a the slavery
of the ottoman empire the decision yesterday of no in the government now is trying to pass a new agreement or memoranda of. but yes we can exist and of survive without the heroes of. it should dissolve. thank you. >> issues important to be clear about what you want. i am sure there are all sorts of things to learn from the greek experience
experience, but i do fear for the future of that country. obviously real-estate and come to an agreement but we have to be prepared for all eventuality is to make sure whether it is helping the british tourist of the businesses we have taken all the plans of precautions that our necessary. my approach to negotiations is a little different to the greek approach that is why i have been around to see every prime minister and president in europe to save quiet beer at -- britain was to seek for change in europe and i think it will be successful.
year-old they are looking am there for our purpose was are those who want to reach the next generation or into the future to understand what political advertising will look like. candy crash or the latest game that may be fading in popularity but there is something you popping up. finding ways to get your message in front of people.
>> the afternoon. it is the pleasure as a managing director of the imf to be with us i will introduce a few minutes. they queue to all of you to come and you just made it before the major storms. excellent timing. financing for the 2015 development agenda and we will stick to that otherwise clean dash. [laughter] but she can talk about what she wants but it is big enough and ported to have. everybody knows christine lagarde i will remind you that she will support her
tenure as minister of finance in france and leading a major international law practice with baker and mckenzie. i think what we have seen that despite all the criticisms and all the debates it is crucial coming into the world and at the same time i know she is very tough putting cages with everybody and is always close to a reasonable debate the and that is important as we know it economics some think one is necessarily correct so thank you to be with us for pro to talk about the key issues that goes together with the big
seven that will take place in december but there has been huge progress in the world. no question about that but not for everyone and even those were there has been progress, modern communications means that is good for the economy was strong expectations with a strong willingness to make a better life in delivery is the big issue. christine? then we will have the panel and then some discussion. [applause] >> good afternoon to all of their thank you very much for hosting the -- me.
i know some of you have concerns for the financing of development the key reason why most of us are here. i will get that out of the way but i will say a few words about greece. i dunno if the new york stock exchange trading but clearly significant and rapid developments the imf is adopting a of line of not silence but we try to be mindful of developments with then our position but i would like to say that if
the imf is involved in this situation it is because they were asked by greece to be involved to try to resolve the economic issues. whenever the imf is involved it has to follow its rule and it should not bend the rules and should always be even-handed. there should not be any special treatment. the other point of a bike to make is loans to countries experiencing difficulties they are conditional upon various requirements but all of them came at to restore civility, restore growth and that sustainability. within the context of greece
, we have always advised that broke - - step program walk on two legs. one is about significant reform as we have advised with portugal and cyprus and outside day eurozone iceland if it has worked for perot the other leg with his debt restructuring which we believe is needed for greece to have that sustainability. that has not changed but the numbers will have to be revisited. what has changed clearly greece is a in a situation of the acute crisis which needs to be addressed seriously and promptly.
creases now it areas where the greek people have rejected by a their response though latest proposal that was made by the institution and the europeans. to remain fully engaged. [applause] the solution that is the most conducive with those guiding principles in order to help the country. i will leave it like that there are clearly developments on going over the next few days. working as much as we can and in relation to greece as
much as i could say and with the topic of today's that brings everybody in the room which is financing for development. and hal i am honored to be on the panel with the center for global development and also from brookings as well. and i do know we have some of the executive director's who are here with us to discuss all together the financing for development with the three key summit in 2016. a few days ago i gave the
speech about a quality and at the end of this speech that in 2015 we may actually change the music. into focus on financing of development you have to collectively explore areas with the united nations to have a goal then it will focus on climate change. then the international community can come together to redress those issues. combined they can help us to change the music.
contribute. sauternes and that deejaying international landscape. with there were adopted 58 years ago he alluded to that. what trends have be merged? the three trent that i will summarize is by the three v's. the first is velocity -- bossidy. reversion markets have prospered. they have become more integrated and there has been a rapid expansion of growth as well as capital flows.
since 2009, developing countries gdp and trade have expanded the annual average rate since the early 2000 the capital economies have increased threefold. thises it is good news that what is not is that it is not been shared equitably which is the second splatter variants. more than 10% for trade and growth the variants is the second to. the better performing economies with their policies have forged ahead and sadly the most cry dial
has ben left behind over the last 50 years real per capita of gdp has increased by almost 70 percent but the same increase is only 15 percent. in to mention this variants a high-level of income inequality within the country's the by the same token there is less inequality between countries , largely due to the emergence of the other economies my third is volatility. as well as the great
recession with natural disasters have also set many countries back. climate change is an increasing problem with the countries hit especially hard since 1980 almost three-quarters of all natural disaster has occurred in developing countries their reliance on agriculture and their infrastructure can make the poorest countries particularly vulnerable and another factor is demographics those with aging populations that can constrain government finance to slow down growth equally other countries such as sub-saharan africa has the
benefit if they can reap the benefits but there are a condition is for that of course, so velocity and barry and say and volatility but some were built of speed love their struggle with their all part of the un charter waters each of those should be taken into account with the challenges ahead of us. the key the right choice will rely on collective
commitments and as i have heard it begins at home whenever we talk about domestic mobilization we are pointing to that. looking back over the last 15 years was the lesson is those that have performed faster those that have assumed their greatest of ownership of their policies. what does that entail? coming from the imf you ladies surprised if i did not mention stability it is a prerequisite for sustainable growth to include keeping inflation and moderate and public debt sustainable and also to prevent policies that often
has to do that if he think about sub-saharan africa. they're region demonstrated resilience most actually did have but buses for a portion of fed nearly two-thirds of subsidiary could trees have gone ted or more years of uninterrupted growth during that period those countries applied proven policies and it paid off. with the strong economic policies will remain affront to specially if the region has new challenges and risks. that is why the imf places so much emphasis on the greek economic policies. why is that? because stability helps
people and the poor people the most because instability victimizes the port and the most vulnerable first bike high inflation for instance and instability is the death knell of large-scale private investment is one of the key from growth over time the city into use this analogy and we can raise the mast and voice the state -- the sale with a sustainable growth so much for macroeconomic stability if those foundations are solid but to mobilize revenue will be a priority about half of
all developing countries the ratios are below 15%. compare that to others it is 34% this situation is worse than fried chiles states and it can be faxed by implementing simple broadbased fair tax system that can be turned around their recent climb a steady a cement middle-income countries between 1983 and 2013 and found those with revenue conditionality help to increase the tax revenue by one percentage point of gdp if it is under those
programs for three consecutive years tax revenues increase by three and a half percentage points this is something to be proud of? but it is important because revenue generated in that fashion will actually make a difference can be spent on health and education on the right policies. and that is another point i would like to make. the revenues raised lusby effectively and support of growth of strong fiscal institution and to ms. rich are essentials another imf research study has shown will manage public
investment has improved infrastructure. so money raised in a simple affair will spend on the right policies could be a game changer. and unfortunately we have found around 30 percent of those potential gains is lost due to the inefficiencies but 30 percent of it is lost. we are a country able to increase its efficiency to the highest level to double the baying that it gets for its buck.
so to mobilize efficiency is huge the third critical priority is the development of the financial sector in a way that is foolproof that is targeted to those two imperatives that the annual growth rate with more efficient banking centers exceeds those by one percentage point it rigo the percentage of people living on less than $2 a day can perform more rapidly with other levels of financial development and for government to play the interpol role to apply supervision to strength
financial infrastructure because it was alleged for a period of time having too much could impair the development of those financial services in the developing world. not true they can work in parallel and one can proceed the other. obviously having a strong financial sector that is well supervised and well-managed is conducive to do direct investment with a more business friendly environment conducive as well. that takes me to the next important point what type of growth are we talking about? sustainable growth yes. because to be sustainable it is the central budget these to be shared and that
includes providing access to finance to empower women and girls to give full access of restricted opportunities for a professional life. if women participate in the labor force in the same proportion as men income would rise 23% is solved asia 70 percent of latin america 14% in europe and central asia and 12 percent in sub-saharan africa. soto of power limiting given them the same access is the
economy game changer because real also done a study of the restrictions from data provided by the overall bank and there is clear evidence that discrimination is not from the developing world but everywhere. llord generally showing it is higher gdp growth we have found an increase that measure is a quality if it increases by 1.is associated with a 6 percent higher risk that the growth this bill will come to an end in the coming year. interesting so what is more inclusive is higher and more
durable so impoverished woman is good economics into game changer. by implementing policies developing countries can go a long way to support their own development and they cannot do that alone another african proverb says if you travel by yourself to go faster travel with others you go far. something like that. [laughter] they to do that by themselves but the international community participates in that effort will go a lot farther for a lot longer. so that is my third and final point we share a common response ability so
to help create an environment that is more conducive to sustainable in inclusive development so how can you make sure the small votes are lifted also? it is multi a digital that tax evasion will not be dead at the domestic level it will require the cooperation of everyone. it includes constructing a trading system it includes raising aid levels and reduce the debt cost in the four countries and with a committed and long lasting partnership i don't think
those are just about government they also include a civil society. the civil society organizations bring to the table of wealth of experience, was sometimes monday in a unique perspective along with other networks that play any essential part of the due multilateralism to make sure that we hear the voice i encourage the imf to pay special attention to their voices and what they have to say. that takes me to the imf. what can we do? to pick on something you said, we are not promising we are delivering. do not promise me anything
that is what i want to say to the membership at large we're not promise a we are delivering. we have the global membership and the political economic growth and stability which makes such committed partner for development that this is not our task but those that did that to invade. but we still can do things and deliver so those areas that we can participate, a first and foremost we can give policy advice we are committed to strengthening strengthening, we will help
more countries with domestic revenue to read purpose to drive sustainable growth to reallocate additional resources which already accounts for one-fifth of the imf capacity building. for example, there is a debate profit shifting. perez of project of automatic exchange of every share. the ec views doing good at that but the voices that have not been heard at all is what the banks have experienced some you want to carry those voices to make
sure whatever new treaties are model is the voices of the developing countries and the most noble are heard as well ament taken into account we also have our support, excuse me. i am going to cover the increase the efficiency such jazz by eliminating an targeted subsidies they benefit everybody without any aid to riff - - differentiation in order to target those to the debt most.
second, we will support countries seeking to invest in infrastructure to use a range of tools with the public british mitt capacity to identify areas of technical institution is needed that is what i referred to earlier. but we will not stop there and also summarize these investments and might have to do with port richmond or procurement with special purpose vehicles that are not particularly satisfactory we will summarize those to put them in the article it says a bill of health of every country conducted on an annual basis.
that is public, a totally public on the web site is helpful to share that to deepen the engagement with countries on issues of rising concern this will include expanding your work and inequality in some might argue that is not related to the core of mandate of the imf but i contend it is because we have demonstrated if there is better access for all there is a better growth were more sustainable growth.
we are fully alert from the challenges faced we're terrorism breeds rigo the for agile states requires engagement of though long haul with the economic institutions that we are in it for though long haul and will stay the course beyond that policy advisement i am also pleased to announce several changes in the financing facility for developing countries and they have been approved just a few days ago. first to better protect
countries of external shock we will expand access to all facilities by a full 50 percent. second we will target the resources more on the more vulnerable countries and maintain our interest-rate with the lowe's touche fragile states to read teide interest-rate at zero over the of longer-term so 50 percent more focus on the port and the most vulnerable with zero interest rates for the longer-term. we believe the imf is to some important safety net in will provide an additional level of support to those pursuing ambitious development there will have
a more supportive environment to prosper in the period ahead so we will play our part with the mandate given in never liked to finish with that africans saying that i mentioned already. if we want to go fast we go alone if we want to go far we will go together the many areas where countries to be on their own but faint of tax evasion you could do anything you want on your own climate change issues that affect the most full there will countries removing subsidies can have a great impact but it won't
we are very limited so i will turn right to the panel did you are well known anyway but i will start with the leader of the one country. the one thing that christine emphasized is a partnership between the business sector and civil society would you like to say a few words on that? >> faq for having us here brookings. in just to reiterate the importance of concentrating
on equality in has already used the campaign slogan in the importance to find a place and then also looking for word as well but to give us an opportunity of those five points as afternoon really established for virginia comprehensive and coherent position and the imf has taken on in key issues the for a variety of factors to come together for
financing development of the next 15 years. the sad they as renewed the picture has changed radically not just domestic mobilization so governments from both sides need to have skidded in the game to produce something for it to be a success that governments need to do one other thing don't they need to? but the corporations together the to do something about the framework to be
absolutely serious in day package that tepals corruption an international tax cooperation for what works for those who need it most so it all requires a true commitment not just for investment that is great but to recognize there are real issues that they needed to help us tackle. >> but the tax avoidance in the context of article for iran to do you want to elaborate how you see the changes in article four?
it has always been powerful and though leadership is coming from above but of course, with the constraints of time that the product is more traditional than some of the ideas that you put forward civic that is another way to put it to. [laughter] >> where we have consensus and changes in the area of project management and financing assessment to identify along the way where we cam published in article for a summary. there other areas where we can do some work with the
mainstream business of the cases of the of voluntary participation with the quality for girls that they have now volunteered to include that in the scope of what we are studying like japan or in india have indicated clearly on the tax rand i totally support has to do know there are a member states that it took some 25 years to come to the first initial efforts their
low the time to get there but if there is social conscience to optimize that position with the full respect that could be a major step. >> you have been impressive leader of issues around the world. how would you feel about what christine said? >> there was of wonderful speech. thank you. and michael repeated the big thing -- the major themes but the with the issue of
the domestic resource mobilization to be accountable for what? and to make some request of the imf. what the developing countries to could do in how they help to the issue of inclusive growth in the medium turn ask leave more than the value added tax but be kidding with help from the imf to invest in a progressive tax system. property-tax is which will require time to work out. and income-tax is. that is an issue that you did not specifically mention
but it is so fundamental with that domestic resource mobilization and it is important to keep in mind the more consumption taxes on the port, the struggling not yet middle-class group that by far they are the largest group in terms of distribution of income without lower quintile. thank you. with domestic resource mobilization has to deal with energy subsidies rather is an opportunity for
mobilization even with tobacco is the tax on a bad day now we go for research a can feel regressive in the beginning that people die sooner because of cigarettes it is some to the extent that is specially for the port said the others in tax of course, here want to say something it isn't only a collective action issue but i did not look at the latest article for benghazi and american citizen and taxpayer we have an embarrassment that the reform has not been passed
in congress we want to keep finding new ways to make that happen in that since 1980 when -- 1983 gasoline tax under your leadership the imf had a string of regrettable subsidies but dash steady energy subsidies and health implications and is it impressive set of working and i hope that there will be some discussion of domestic resource mobilization. in the big markets that it could go fast alone if one of the largest were kids took on its own price of
energy that is politically out there to be a gasoline tax. as of now looking at article for. [laughter] because seven of these bear talking about. >> comments from the american citizen makes it easy. >> it is an area where we have published recently. and heavily. even if nobody else does it the latest deadly shows -- study shows from those energy subsidies collateral
your consequential the or however you want to say it. the largest countries are the largest contributors to that amount with china's leading the charge. so you are completely right. there are negative effects in generally not the best energy either. >> there was ted huge emphasis on the financial market with the dodd/frank act should be pursued and completed but we did recommend it and i have to tell you the latest. >> if i could add to the compliments we have received