Shift of concerns and perspectives

ISS is the international Institute of Social Studies of Erasmus University Rotterdam

Post-war International Development Diplomacy (from the 1940s to the present)

Delivered at The Graduate School of international and Area Studies Hankuk University of Foreign Studies

26 September 2013

Shigehisa Kasahara International Institute of Social Studies (ISS) (the Hague) Erasmus University (the Netherlands)

Initial Regime Setting (i) Key Conferences and Institutions The San Francisco Conference (1945) – UN (SC, GA, ECOSOC, Trusteeship C.)

The Bretton Woods Conference (1944) – IMF and WB

The Havana Conference (1947/48) – GATT (accidental creation)

Initial Regime Setting (ii) Characteristics of the regime’s operation and principles Monetary System • Stable exchange rate (with the US$ as the key currency with gold convertibility) • Short-term financing system (for BoP adjustment purposes) by using the “Drawing Rights” at the IMF • Long-term financing system (for reconstruction and development purposes) through the WB intermediation

Major Trade Principles • MFN (non-discrimination) • Reciprocity • National treatment

Shift of concerns and perspectives in foreign relations in the early post-war period (i) US position • From European Reconstruction to Global Development (late 1940s) • (NATO/Marshall Plan to Point 4) (late 1940s) • From US-LA alliance to Global anti-East alliance (late 1950s)

European (US allies) position • National Reconstruction to Regional Integration/Development (mid 1950s) • Less to More Conciliatory Posture toward anti-colonialism (more UK than France, Belgium, Dutch, Portugal, etc.) (late 1950s)

Asian Position • Nationalism to regionalism (alliance against China)

Shift of concerns and perspectives in foreign relations in the early post-war period (ii) USSR Position • From National Reconstruction/Eastern Bloc formation to wider alliance beyond the immediate bloc boundary (early 1950s) • Less to more sympathetic posture towards the Global South (mid 1950s)

LA Position • Further rise of popular anti-Yankeeism despite the “Alliance for Progress” campaign Others • China: Propagation of communism beyond its border (after 1949). • Nothing else significant to note(?)

Rise of the Global South Bandong Conference (1955) One of earliest Asian Initiatives for forging alliance among Asian and African countries

Non-aligned Movement (NAM) (1961) Political alliance of the Global South in the context of the Cold War

UNCTAD (1964) Southern alliance for collective bargaining against the North (West) with the East’s support from the sidelines

NIEO (1974) Culmination of Southern diplomatic demands for reform of norms and practices of international economic relations

Counter-insurgence in the Global North/West against the Global South Rise of Conservatism in the Global North/West (1970s-) Counter-current against popular reformist movements from the late 1960s Resurgent trend of lesser tolerance towards social changes Anti-Keynesianism (market fundamentalism) Refusal of dealing with collective dialogue at the global level (late 1970s) Stronger perception of zero-sum game in global N-S bargaining Emergence of G-7 consultations (together with rise of the OECD/DAC) Against global Keynesianism

Challenges to the Global South (1970s - 1990s) Instability of Foreign exchange rate (particularly after the breakdown of the BW system)(1970s) The (rapid) rise of external debt (1970s) Rise of interest rates (reacting to cost-push inflation) (early 1980s) Surfacing of the debt Crisis (1982-) Resurgence of the BW institutions (with SAPs) (1970s, particularly 1980s-) Collapse of Commodity Prices (early 1980s) Rise of protectionism in the North (the 1980s) Rise of diversity in economic performance within the Global South (late 1970s-) Lost decade for development (1980s) (for LA and Africa) Another lost decade for development (1990s) (Africa)

Process toward the End of the Cold War (1980s) Hard-line US (UK) position in foreign policy (Reagan, Thatcher administrations) (the 1980s) Soft-line USSR position in foreign policy (Gorbachev Administration) (the 1980s)

The End of the Cold War: (1990s-) Geopolitical consequences Disintegration of the Eastern bloc and of some of its member countries (Czechoslovakia, E. Germany, Soviet Union) Internal armed conflicts within countries in transition Greater autonomy of Europe vis-a-vis the US Lesser animosity of Europe vis-a-vis the USSR (now Russia) Enlargement and deepening of European integration

The End of the Cold War: (1990s-) Consequences beyond traditional geopolitics Market-oriented transition in the East (privatization, FDI) Rapid joining of transition countries in Western institutions (IMF/WB/GATT/WTO/EU/EUROZONE), making negotiations more complex Disappearance of the Eastern support toward the Global South Proliferation of conditionality elements Multi-dementionality of the concept of development Decline of aid to the Global South as a whole (unrealized “Peace Dividend”)

Development Diplomacy (mid-1990s-) Renewal of Global Campaign Conference Diplomacy of Social (plus Environmental) Development (1990s)

UN Millennium Conference (2000) with MDGs (much reflecting the perspectives of donors) with the target period (of 2015) Greater Emphasis on Equity (poverty reduction, gender equality, etc.) rather than Growth

Development Diplomacy (Contemporary situation) Major Concerns from Southern Perspective Increasing difficulty of identifying the Global South as such.

Proliferation of world-wide forums of Social (plus Environmental) Development (1990s) with greater emphasis, among others, on Equity (particularly, poverty reduction) than Growth Multiplication of diplomatic forums with different degrees of membership/participation, issue coverage and effectiveness. Shrinking Policy Space (sovereign autonomy) of individual diplomatic participants (particularly weak countries)

Millennium Conference (2000) with MDGs (much reflecting the interests of donors)(2015)

Thank you