AA15CR32

AS (2015) CR 32

2015 ORDINARY SESSION

________________

(Fourth part)

REPORT

Thirty-second sitting

Wednesday 30 September 2015 at 10 a.m.

In this report:

1.       Speeches in English are reported in full.

2.       Speeches in other languages are reported using the interpretation and are marked with an asterisk.

3. The text of the amendments is available at the document centre and on the Assembly’s website. Only oral amendments or oral sub-amendments are reproduced in the report of debates.

4.       Speeches in German and Italian are reproduced in full in a separate document.

5.       Corrections should be handed in at Room 1059A not later than 24 hours after the report has been circulated.

The contents page for this sitting is given at the end of the report.

(Ms Brasseur, President of the Assembly, took the Chair at 10.05 a.m.)

      THE PRESIDENT – The sitting is open.

1. Examination of credentials

      THE PRESIDENT – The first item on the Agenda is the examination of credentials of new members; the names of the members and substitutes are in Document 13882 Addendum. If no credentials are challenged, the credentials will be ratified.

      Are any credentials challenged?

      That is not the case.

      The credentials are ratified.

      I welcome our new colleagues.

2. Changes in the membership of committees

      THE PRESIDENT – Our next business is to consider the changes proposed in the membership of committees, as set out in Document Commissions (2015) 07 Addendum 3.

      Are the proposed changes in the membership of the Assembly’s committees agreed to?

      They are adopted.

3. The activities of the Organisation for Economic Co-operation and Development (OECD)

in 2014–2015

      THE PRESIDENT – The next item of business is the debate on the activities of the OECD in 2014-2-15, which will take place under special rules that enable delegations from parliaments of non-European member States of the OECD to participate, with voting by show of hands. We welcome the participation of parliamentary delegations from OECD member States that are not members of the Council of Europe, from Canada, Israel, Japan and Mexico. To our Japanese colleagues I say Yδkoso.

      We begin with the presentation by Mr Elzinga, on behalf of the Committee on Political Affairs and Democracy, of its report on the activities of the OECD in 2014-2015, Document 13865. He will be followed by an address by Mr Angel Gurría, Secretary General of the OECD.

      I call Mr Elzinga, the rapporteur, to present the report of the committee. You have 13 minutes in total, which you may divide between presentation of the report and reply to the debate.

      Mr ELZINGA (Netherlands) – Thank you, Madame President, Secretary General Gurría, ladies and gentlemen and honourable members of overseas delegations.

Colleagues, it is an honour to present my report on the OECD’s activities over the past year. If I am informed correctly, it is the first time that someone from my group, the Group of the Unified European Left, has written this report in preparation for the annual debate in the enlarged Assembly. If a Socialist writes a report on the “rich men’s club”, and the draft resolution is not only supported by the Committee on Political Affairs and Democracy, but adopted unanimously, is not that a bit strange? I leave you to reflect on that. I hope that the good discussion in Committee and the broad support for this report in the preparation for today’s debate reflects the fact that we all learned to rely on the OECD’s data, evidence-based analyses and policy recommendations.

The “rich men’s club” is a caricature – too simplistic by far. Over the years, I have come to know the OECD as an organisation that roots its analyses in solid data and that is eager to learn in order to improve its analyses and to know what data to collect. I have come truly to respect that capacity of the OECD and its Secretary General.

I pride myself on the fact that the debates in this enlarged Assembly, and the dialogue between the Parliamentary Assembly of the Council of Europe and the OECD in general, has honed the OECD’s learning and rethinking skills even further.

In 2008, during my first debate with Mr Gurría, all of us in this Assembly were worried to the bone about the then recent outburst of the financial crisis and the early signs that it would contaminate the real economy. A collective reflection process started. I for one expressed the view that the financial crisis that was coming down on us with such force would at least lead to new insights that would spur the OECD to produce a new type of policy recommendation. It was the start of an ongoing dialogue, of which one of the most obvious, visible and productive results was the OECD’s New Approaches to Economic Challenges – or NAEC – initiative: a comprehensive, organisation-wide reflection process.

This year, the Final Synthesis Report of the NAEC initiative was presented to the ministerial council meeting, hence I discuss it in my report: “The OECD is learning lessons... from recent crisis, current economic challenges, and history” – these are some of the chapter headings of the Final Synthesis Report.

The report seeks to answer the following questions: why do we need new approaches to economic challenges? What are the new approaches? How will these new approaches help address future challenges? How do we foster continuous improvement? It helped me to prepare for my report and I can recommend it to you all. For example, it looks into the trade-offs between economic growth, financial stability, ecological sustainability, and social cohesion and societal well-being.

The NAEC studies helped us to understand that growing inequality hampers economic growth; that progressive taxation does not necessarily reduce economic activity; and that redistribution has to be part of inclusive economic development. The studies helped us to comprehend that while our economic activities affect our ecosystem negatively, environmental pressure will also cost our economy dearly. Another relevant lesson is that a healthy financial sector can support our real economy, but financial sectors that are too big only burden our economies’ productivity.

The report also addresses some major challenges for the future and looks into so-called megatrends. If you take a helicopter view of long-term economic development, you will see ecological degradation, loss of biodiversity and the overshooting of our ecological footprint.

You will also see slowing economic growth, because of ageing populations – now in the West, but Asia and the rest of the world will follow – and because of slowing productivity growth, as emerging economies catch up with us.

We also see a shift of economic clout from the West to the East, and from industrial production to services and finance. There is ongoing economic globalisation and international integration; capital accumulation within multinational enterprises, but, at the same time, lagging investment by MNEs. There is also tax competition.

We see an increasing informal sector, decreasing formal employment, and the rise of irregular, non-standard employment with less protection, lower pay and worse labour conditions. There is decreasing labour share and widening domestic income inequalities.

      The report mentions more trends and adds detail, but those are the main characteristics. We need to start meeting these challenges now. That requires finding new perspectives and new paradigms. We need not only to think out of the box, but to create a new box. The OECD and its NAEC initiative can help us to take these steps. Because of it, we have already made a start, and we have some answers and short-term remedies.

      Therefore, the draft resolution suggests that we should not wait until we are done thinking, because that will never happen, but take the following action immediately: set strict C0₂ emission and climate finance targets; set equally strict targets to keep the use of water, soil and other resources at sustainable levels, and to halt the process of loss of biodiversity; seriously start investing in research and development for green growth; curb unproductive financial activities and reform the financial sector to support sustainable and inclusive growth of the real economy; refuse to rush new trade and investment deals that might not deliver on sustainable and inclusive growth, but thoroughly investigate the trade-offs between further economic integration and sustainability, stability and inclusiveness; halt rising income inequality, promote more equal distribution of income, wealth and well-being, take action to raise lower and middle household incomes; halt the increase in precarious, informal and irregular work, strengthen collective bargaining and minimum wages, and increase the labour share; and invest in education, social cohesion and inclusive economic development.

      I am confident that we can do it. I am sure that we must do it. From the left to the right, people used to say that, first, we had to think of our next meal, work hard, and make the economy grow, before we could start discussing distribution of wealth, let alone redistribution of income, and before we could permit ourselves the luxury of spending time and money on the conservation of nature and the environment: “erst kommt das Fressen, dann kommt die Moral.” But the quality and sustainability of our society and of our ecosystem are not moral issues. Without us, without society, there would be no economy. Without our planet and its ecosystem, there would be no us. Economic development requires social cohesion and a sustainable ecosystem. OECD’s NAEC initiative and its Green and Inclusive Growth initiatives have started to incorporate these notions into economic thinking. Now we, our governments and parliaments, need to start implementing new policies that kick-start a new green and inclusive economic development.

      THE PRESIDENT – Thank you. We come now to the address by the Secretary-General of the OECD.

      Secretary-General, it is always a pleasure to have you in this Chamber. We had a small exchange of views in my office, and I told you that your speeches are always like fireworks. When fireworks are finished, they are finished, but fortunately your work has a sustained effect on all of us. You handed all of these reports to me. I am glad that my mandate is about to end because I will have time to read the reports, which will add to my value as a member of this Chamber in our next discussions. It is so important to hear from you.

      We also spoke about migration and the integration of migrants, and all your other reports, because everything is linked. The economy cannot be separated from growth, from the environment, from migration flows or from demography, so it will be interesting to hear from you. I am glad that we have delegations from Mexico and Japan, with which, thanks to the OECD, we now have tighter links.

      Mr GURRÍA (Secretary-General of the OECD) – Madam President, I give Tuur Elzinga the same privilege as I gave you. I give him the “International Migration Outlook,” which we have produced for 39 consecutive years. I also present “Settling In,” which outlines the indicators of the quality of the integration of migrants—the document was produced with the European Commission and was published a few weeks ago. There is also a brief on the migration policy debates. I also give him the latest interim economic outlook, which shows the mediocre performance of the world economy. I also present “In It Together,” which addresses inequality and the need for inclusive growth. He mentioned “New Approaches to Economic Challenges,” and I have the latest report.

      I also present the latest contribution to the climate discussion, COP 21, which is an important report on everything that we do not do and other things that we do wrong. We are subsidising fossil fuels and fleets of cars while we are trying to reduce emissions, and this report tells us how schizophrenic we are. I also provide “Business and Finance Outlook 2015” and, last but not least, “The Future of Productivity,” which is key to increasing wages and growth.

      It is my pleasure to be here for this conversation on the activities of the OECD. This has become a rewarding annual tradition, and your reflections and challenging questions always help to spur our quest to deliver better policies for better lives. I extend our special thanks to the author of this year’s report, Tuur Elzinga, whom I commend on a thought-provoking and extremely thorough report that provides an excellent basis for our discussions. He has been a permanent fixture of our dialogue for many years. This is my 10th anniversary of coming here, and I have just received a renewed mandate, so I will keep coming.

      I start with a thought for the tens of thousands of migrants who are risking their lives in the hope of safety, work and a better life for their family. We have been deeply moved by the tragedies that we have witnessed in Europe in recent months. Europe can, and should, build on its core values of solidarity and humanity to respond to that challenge, beyond the crucial issues of quotas and resettlement, which unfortunately remain partly unsettled. Integration programmes must be scaled up and adapted to ensure that refugees integrate in their host countries as quickly and as successfully as possible. It is about integration, integration, integration.

      Ultimately, all OECD countries need to foster dialogue with the countries of origin and the countries of transit. The OECD has great expertise, and we offer support to our member countries so that the integration process can be more successful. We have just launched the 39th edition of “International Migration Outlook,” which analyses the latest trends in migration, alongside a policy brief on the current crisis. A few weeks ago, we launched “Settling In,” which provides the first broad international comparison of economic and social outcomes for migrants and their children across all host countries in the European Union and the OECD. The report shows that much remains to be done to improve the integration of migrants so that we can all benefit from their energy and diversity. Immigration is an asset, and we can turn the ongoing humanitarian and migration crisis into a net positive economic, fiscal and social outcome. That is within our reach.

      On the current economic situation, our most recent interim economic outlook indicates that, globally, growth will remain sub-par in 2015 and is forecast to slow to 3%. By way of comparison, the cruising speed in the 10 years before the crisis was 4%. Growth will strengthen next year to maybe 3.5% or 3.6%. The United States is the one bright spot, with the recovery remaining solid, driven by private consumption. Some 13 million jobs have been created in the United States in the last five years, which is good news. Growth in the euro area is improving but is slower than expected. The Japanese recovery remains weak. International trade, investment and credit, which are the cylinders of the economic growth engine, are at half speed. If trade, investment and credit are at half speed, we should not be surprised if we do not grow. A larger than expected slowdown in China and other emerging economies is looming as a major risk, as is the associated financial turmoil that it could cause for the global economy. Despite recent progress, the legacies of the crisis remain well anchored. Our July employment outlook shows that 42 million people are still out of work in the OECD, which is 10 million more than before the crisis. At the peak, we had 15 million more people out of work than before the crisis, but we are still under water.

      On inequality, a recent report, “In It Together: Why Less Inequality Benefits All,” shows that the gap continues to widen. The richest 10% of the population in the OECD now earn nearly 10 times the income of the poorest 10%. Is that big or small, or fat or thin? Well, the difference a generation ago was seven to eight times. The difference is going in the wrong direction very quickly. The report also estimates that rising inequality has knocked about nine to 10 points off growth in the United Kingdom, Finland and Norway, and between six and seven points in the United States, Italy and Sweden. On the other hand, greater equality prior to the crisis helped to increase GDP per capita in Spain, France and Ireland when the recovery came.

      At the OECD, we recognise that our economic models and economies are not working for all. They need to be rethought and redesigned through new and better economic theories and models. That is why we have made a great effort to refresh our ways of thinking across our house and across the board. Let me give some concrete examples.

      The “New Approaches to Economic Challenges” initiative, which was referred to by Mr Elzinga, has played a crucial role in defining our inclusive growth agenda. What is the answer to growing inequalities? It is an inclusive growth agenda and an inclusive productivity agenda – I just gave you a document on that also. We must learn lessons from the crisis and improve the way in which we tackle long-term challenges. This thinking is filtering through into our policy analysis and the advice that we give our member countries and partner countries.

      We are developing a new metric on what we call multidimensional living standards. We have a new framework for measuring and assessing job quality that is about not just the number of jobs or their remuneration, but the quality and stability of the jobs, the protection that they offer workers and even the conditions in the workplace. We have new analysis on the relationship between finance and the real world.

      Building on this year’s OECD ministerial meeting, which focused on investment, we are developing the productivity and inclusiveness agenda. We are putting those things together. Inclusive productivity will be the theme of next year’s ministerial meeting, which will be chaired by Chile – the second Latin American member of the OECD after Mexico.

      We say that we have decoded the trade genome. We have been working on global value chains, the trade in value added and services trade restrictiveness. Now, we are also working on trade facilitation through the Bali agreement and the development of indicators that will allow us to know where we are – a GPS on trade facilitation. All those things, together with the new policy framework for investment – dealing on the one hand with trade and on the other with investment – should help us overcome some of the obstacles to growth.

      I came back from New York only a few hours ago, where I participated in the United Nations General Assembly and the summit that approved the sustainable development goals. There are 17 goals, 169 targets and about 400 indicators. It is an ambitious agenda, but one that we must seize. It is one of the most important happenings. It is a very important statement about the vibrancy of multilateralism. We have 800 weeks to eradicate extreme poverty everywhere; 800 weeks to lift 800 million people out of extreme poverty. And that is only the first goal. We must do it in ways that address inequalities, promote opportunities and ensure that there is sustainability for generations to come. The OECD will play its part. We are already gearing up to support the implementation of the Sustainable Development Goals (SDG) through our wide-ranging policy advice, the monitoring of countries’ progress and the provision of a platform for policy dialogue.

      The COP 21 meeting in Paris this December is another opportunity not to be missed. We had Ban Ki-moon in the OECD a few weeks ago. He said simply that 2015 is the most important year since the foundation of the United Nations. We had the financing for development conference in Addis Ababa. We had the United Nations General Assembly that approved the SDGs just yesterday and the day before. We are then going to Paris for the COP 21 and, at the end of the year, we will have trade negotiations in Nairobi with the World Trade Organization. That is why 2015 is, in the words of the United Nations Secretary-General, the most important year for the United Nations since its creation.

      More ambition in the area of climate is paramount. The aim of leaving fossil fuels behind implies a transformation that will cut across every corner of the economy and, hence, every policy domain. The report that we just delivered, “Aligning Policies for a Low-carbon Economy”, sketches the scale of the transformational challenge and, as I said, documents clearly the enormous contradictions in how we are living and the decisions we are making every day. Remember that the technology you choose today will be in place in 40 years’ time, so we are already talking about what we will do in the next generation. We are working hard to help countries improve the enabling conditions for green investment and to get better at tracking climate financing.

2015 also saw the third international conference on financing for development in Addis Ababa, at which taxation was a core issue. I have talked in this Assembly year in, year out about the need to change the taxation system of the world to avoid tax havens, to ensure that there is nowhere to hide for individuals and to make multinationals pay their fair share of tax. Over the years, in order to avoid double taxation, we have created a perfect system of double non-taxation. We do not want either extreme.

I am therefore pleased to tell you that the base erosion and profit shifting project of the OECD and the G20 is moving ahead at full speed. The final outcomes of the project will be presented to the G20 finance ministers in Lima next week – we are a few hours away! The final outcome will be blessed by the finance ministers and taken to the G20 summit in Antalya in mid-November. That project will work together with the two other pillars: the automatic exchange of tax information and tax inspectors without borders, which will support developing countries to ensure that they get the benefits of Base Erosion and Profit Shifting (BEPS) and automatic exchange. We have done that with the United Nations Development Project, by the way, which is on the ground in 150 countries. We are in the middle of an unprecedented transformation that will lead to a fairer, more effective international tax system.

I will tell you something that I shared with President Brasseur. Already, €40 billion has been received into the coffers of our countries, simply because taxpayers know that in two years’ time there will be the automatic exchange of information and the authorities might be less lenient. They are having a cup of coffee with the taxman and saying, “Let’s talk. What do you think of the hypothetical case of a hypothetical person who has a hypothetical account in a hypothetical country and has not reported it? What could you do about that?” We have already received €40 billion in voluntary disclosures. That is 100 times the budget of the OECD. Talk about cost-benefit, Mr Elzinga! You should probably put that in your report next year.

Let me stress that the implementation of the tax transformations must be global and inclusive. Achieving a level playing field is key. The tax loopholes should not shift between countries. That is why everybody has to do it. If they are just moved from one country to the next, it is no good. Equally important is the need for developing countries to have a say. I am therefore pleased to report that we received a mandate from the G20 finance ministers two weeks ago in Ankara in Turkey to develop a framework to get developing countries on board.

      Dear friends, we live in a unique moment, a very complex moment, but 2015 is filled not only with challenges, but with remarkable promise and opportunity. Boris Pasternak said, “When a great moment knocks on the door of your life, it is often no louder than the beating of your heart, and it is very easy to miss it.” Let us capture the moment and make the most of it. Our discussions and our work with you, the legislators, is fundamental to keeping our finger on society’s pulse and in aiming to design, develop and deliver better policies for better lives. Thank you very much.

      The PRESIDENT – Thank you so much, Secretary-General, for your speech and for the way in which you transmit your messages, because there are a lot of them. We need not only to listen to you, but in our national parliaments to follow up on what you said.

      I thank you for being our most loyal guest in this Chamber – as you said, you are addressing us for the 10th time. Thank you very much for doing so, and happy birthday! I also thank you for spontaneously agreeing to support our No Hate campaign. You are wearing the badge, so thank you very much for that as well. During the debate, Mr Gurría, you may intervene, and afterwards answer questions that might be put by our colleagues.

      I remind colleagues that they have three minutes speaking time. The first on my list of speakers from the political groups is Mr Villumsen, who will speak on behalf of the Group of the Unified European Left.

      Mr VILLUMSEN (Denmark) – I congratulate the rapporteur on a very good report. The fights against tax evasion, against inequality and to secure labour rights not only in economic development, but in trade agreements are extremely important. If such policies are not included among everyday policy in our national parliaments, development will be only for the few and not for the many in our countries.

      It is important that we in this Assembly and our member States learn the lessons of the financial crisis. We need to regulate the financial system. The failed austerity policies of the European Union have to be revised. We should not let bankers and speculators once again decide the fate of our nations. We should not again let the financial sector create a crisis leading to huge social destruction in our societies.

      We should also tackle the climate crisis. That should be an integrated part of our economic policies. If the policies of today destroy the future of our children, then they are the wrong policies. Climate should be part of everyday policy.

      This Assembly has a core obligation to safeguard fundamental rights. We should not neglect economic development and trade, but nor should we neglect human rights when we discuss economic development and trade. Collective bargaining is a fundamental right that should be secured in our member States and in European Union policy. Time and time again we see problems arising from the current austerity imposed on our countries by the European Union.

      Finally, dear colleagues, I draw your attention to the European Union-United States trade agreement, or TTIP (Transatlantic Trade and Investment Partnership), now taking place. Given those discussions, it is crucial for our Assembly to bear in mind that democracy should be safeguarded in trade agreements as well. I am worried that rich multinational companies will end up by not being asked to follow the rules of democracy. Democracy should be respected in economic policies and in trade policies.

      Thank you, rapporteur, for a good report, and thank you, Secretary General, for good co-operation.

      The PRESIDENT – Thank you. I now call Mr Jensen, who will speak on behalf of the Socialist Group.

      Mr Mogens JENSEN (Denmark) – On behalf of the Socialist Group I thank Mr Elzinga for a comprehensive and well-prepared report on the activities of the OECD.

      The OECD is a very important organisation whose activities and policies have for many years had great influence on developments in the economy and other political areas in Europe and the rest of the world. It is therefore satisfying that in recent years we have seen a notable change of focus in the work of the OECD. It is focusing, among other things, on promoting green and inclusive growth, on addressing inequalities in the world, on tackling tax evasion and tax avoidance – a strong focus – and on the value of social dialogue to achieve more inclusive growth and quality jobs.

      Those focuses are especially important this year, as Mr Gurría mentioned, given that only a few days ago in New York the United Nations General Assembly agreed the 17 new sustainable development goals and the 169 targets covering important worldwide issues such as ending extreme poverty and hunger, improving health and education, making cities more sustainable, combating climate change and protecting oceans and forests.

      The OECD and its member countries must fulfil our part in that important work. The activities and policies of the OECD should underline and support the fulfilment of the sustainable development goals and targets before 2030. On behalf of the Socialist Group, therefore, I will underline some of the important recommendations in the report.

      We agree that promoting sustainable growth has not yet had enough impact on the ecological sustainability of economic development. More has to be done. We encourage further action to halt rising inequality and to promote sustainable and inclusive growth and a more equal distribution of income and wealth. We emphasise that the OECD still has to strengthen its activities to fight tax evasion and tax avoidance.

      Finally, I congratulate you, Mr Angel Gurría, on your reappointment as Secretary General of the OECD. As a minister, I met you in Paris, and I brought home a whole library of your reports. You are still preparing good reports, of use to all our member States and for the benefit of Europe and the world. Thank you very much and keep up your good work.

      The PRESIDENT – Thank you, Mr Jensen. I now call Mr Manninger, who will speak on behalf of the Group of the European People’s Party.

      Mr MANNINGER (Hungary) – On behalf of the EPP, I thank the rapporteur for this far-reaching report. It brings into perspective the importance of dealing with the rise of inequality, and the value of social dialogue in achieving more inclusive growth.

      The current immigration situation has shown that crises are becoming more and more global and can be dealt with only through joint efforts on a global scale, with the close co-operation of States, international organisations and other actors. We therefore welcome this report, which truly represents a joint effort to create new approaches to economic challenges.

      Pre-crisis economic policy perceptions led to the underestimation of risks and to growing tensions being ignored. The economic policy response to the crisis was wrong because it slowed reallocation and market clearing. Based on the experience of the crisis, economies’ resilience should be strengthened, which often supposes countercyclical economic policy. Sustainability must become a priority and market confidence must be restored. A proper functioning of the banking sector must be ensured, based on social needs.

      Increasing inequality, and the economic losses stemming from it, must be handled through inclusive growth, which can be achieved by better education. Vocational training all around Europe, not least in Hungary, must be the priority in the field of boosting economic growth as a key factor for social and economic inclusion. High-scale job creation is essential for economic recovery, which can be faciIitated by support for young entrepreneurs, and particularly by improving access to finance for innovative companies. In addition, demographic change, environmental challenges, the shortage of raw materials and rapid technological change must be addressed. In general, the mainstreaming of New Approaches to Economic Challenges, and of green and inclusive growth, deserves support.

      As the report shows, the OECD can play a predominant role in finding answers to the new economic and social challenges. In the face of all these complex and interconnected challenges, it becomes crystal clear that only a global approach that includes international actors on a vast scale can lead to a sustainable economy. I thank the rapporteur once more for this extensive report, which truly represents a joint effort to create new approaches to economic challenges.

      THE PRESIDENT * – Thank you. I call Mr Pasquier on behalf of the ALDE Group.

      Mr PASQUIER (Monaco) – I congratulate the rapporteur on the report; it is a first-class job. I thank the OECD and Mr Gurria for the work of the organisation, and for his being here to listen to our comments.

      As market-oriented liberals, we share the beliefs that private initiative and opportunities for all are the key ingredients to economic growth and poverty reduction. To this I want to add one remark and two concerns on behalf of the ALDE Group. The remark is that the OECD, like the Council of Europe, needs to ensure that there is a level playing field out there. What is the point of expelling cheating customers from private banks in smaller European countries if they can move their assets to Delaware, the Channel Islands, Panama or Singapore with impunity? Smaller countries should be treated exactly like large ones, regardless of the amount they contribute to the budget of the OECD or the Council of Europe and whether or not they are members of those institutions.

      Our concerns are essentially pleas to the OECD to allocate more resources in two areas. The first is related to the understanding of the concentration of income and wealth that we have been witnessing for two decades now. If people are deprived of opportunity, if people lose hope of becoming wealthy by their hard work and intelligence, if we are moving from a system of prosperity for all to a “winner takes all” system, then we need to worry. It is as if, in political terms, democracy was being replaced by plutocracy.

      The second concern relates to the labour markets. I mention this in the light of the sudden large migration flows that we have been witnessing recently in Europe. I do not say “migration crisis” because we believe that these flows can and should be seen as an opportunity, both for the migrants and for the countries that they migrate to. But where is the academic analysis on this? There are many studies on trade liberalisation, capital flow liberalisation and services liberalisation, but on labour market liberalisation or the benefits of migration for countries with a dwindling population there is, unfortunately, not much. We as politicians very much need a credible storyline on this. If we do not get one, I am very much afraid that anti-migration forces will end up prevailing at great economic, social and political cost for all of us.

      THE PRESIDENT – Thank you. I call Ms Erkal Kara on behalf of the EC Group.

      Ms ERKAL KARA (Turkey) * – I thank the rapporteur for this excellent report, which stresses the essential notions of the world economy. One of the essential points stressed by the report is ecological sustainability. Sustainability is a concept that promotes equality between the humans of today and of tomorrow. Furthermore, economic sustainability is based on the notion that human beings have the capacity to overexploit our natural resources, leaving only polluted water and infertile ground for future generations. Water, soil and many natural resources are overexploited by our economic activities. As the report suggests, we must fix specific objectives in order to maintain the use of water, soil and other natural resources at sustainable levels.

      Another concept that I would like to highlight is that of green growth. Green growth is the new model of revolutionary development that supports economic growth while promoting sustainability in terms of climate and environment. Green growth also underscores the sustainable economic growth of the environment in order to promote an economy with low carbon emission levels and socially inclusive development.

      Inclusive development is another important aspect of the world economy that we need to think about. Growth, even at record levels, has not been able to tackle poverty inequality and unemployment. Certainly not all kinds of growth are inclusive, and they cannot be equally inclusive. Attaining high levels of growth should reduce poverty and increase human well-being, so governments should take necessary measures to be able to increase the income level of average and lower-income households. Inclusive growth that leads to employment of sufficient quality should become a focal point for the OECD, which should examine the causes of low productivity, the growth of informal or non-formal labour and the number of non-standard jobs, the decline in the share of work and the increase in inequalities. We should make use of all strategies to face up to these tendencies, and their effects on the distribution of well-being should be developed and improved. A fair share would mean that everyone would benefit from growth.

      THE PRESIDENT – Thank you. That is the end of the speeches from for political groups. Rapporteur, do you want to reply now? No. Secretary General, would you like to answer the questions from the political groups now or wait until all the participants have intervened?

      Mr GURRIA – I shall comment briefly. Mr Villumsen, the trade issue does indeed have to be brought back to life. Trade should normally grow at twice the speed of the economy so that it becomes a locomotive. Now it is growing at about the same speed as the economy, so it is not a locomotive – indeed, it is being dragged back by mediocre growth.

      You talked about collective bargaining. The main theme in our 2016 Employment Outlook is going to be collective bargaining, to determine objectively whether the countries where it has been weakened or indeed strengthened have produced differences in terms of workers’ roles, their wages in terms of GDP and the role of labour in general in the economy.

      The responsibility of large companies is being reviewed, and we have just updated the corporate governance guidelines. They have been adopted by the G20 so they are now the G20 OECD governance guidelines, which is very good because we now have 85% of the world’s economy. This has to do with the way in which large companies work. On the things you mentioned about lessons, we still have to work on the consolidation of banking. The debate between austerity and growth is a false dilemma. You have to get the fiscal consolidation that is necessary when your debt is threatening the stability of the country, but eventually the whole story should be about growth.

      Mr Jensen, you talked about green issues, inequality, taxes, social dialogue, and quality jobs. Yes, that is our agenda. There is a change in focus; thank you for mentioning that. This is partly about the sustainable development goals that have just been approved. Yesterday the Norwegian ambassador at the United Nations said that the SDGs look like the agenda of the OECD. That is right. We will be able to support and work with the countries with SDGs, because what practically every one of them is doing, whether on economic, social, environmental or governance issues, has to do with the work we are doing at the OECD. We will have to produce a GPS that tells us where we are, where we are going, and how to get there fastest with the 17 goals, 169 targets and 400 indicators that we are working on.

      Mr Manninger, you mentioned inclusive growth and jobs. The risks were underestimated – absolutely. Your focus on education and productivity is critical. We are now going back to ESEC – early childhood education and care. Fifteen-year-olds have PISA – the programme for international student assessment. Adult education has PIAAC – the programme for the international assessment of adult competencies – while the teachers have Thales, and there is also provision for tertiary education. We need vocational education. Not everybody can go to university but everybody should have a chance to improve the portability and saleability of their skills. It is about skills, skills, skills.

      Mr Pasquier, the level playing field that you mentioned is something that we seek. You are absolutely right. Your own country is a very good example. You have been extremely co-operative in terms of joining BEPS – base erosion and profit shifting – and joining the automatic exchange of information. However, there may be a gap in, say, Delaware or in the Channel Islands. The Channel Islands are doing quite well. David Cameron said, “We will deliver them”, and they have all voted to join these efforts. They have a certain degree of autonomy in relation to taxes. They have all delivered their commitments to me, so that is okay. On Panama there is not such good news, because it is still out of the group. It is the one large money centre of the world today that has not joined it. We should make it join because otherwise there will be an unfair, not-level playing field.

      You said at the end, “Give us a narrative – a story – on migration, because otherwise the forces of the right, the forces of the extreme, the forces of exclusivity, the forces that are saying, ‘Let’s keep these people out’ will take over.” We are trying to do this, but we are going to continue working on it. It is about integration, integration, integration. We know how to do it. For example, learning the language is critical, not in five years but in six months – an immersion course. The new migrant flows from Syria are better educated on average than in the past. With the language, they can integrate much better, so we have to do this. There is also a lot of labour migration. We need these people because our societies are ageing. We need all the women we can get, and we need the elderly to work longer. We need the migrants to compensate for very weak demographic performance. We absolutely need this narrative.

      (The speaker continued in French.)

      Ms Erkel Kara talked about green growth. In 2010-11 we were dealing with national cases, not only in general matters where one country is being compared with the next, but also green growth from a national point of view. We are now trying to establish whether a particular country is undergoing green growth at the same level as others. You focused on a very critical and basic issue – productivity. This is a problem – almost a curse – that is affecting us all. The United Kingdom, Mexico and even the United States are facing it. The drop in growth and productivity is a historical trend; it has been going on for the past 10 or 15 years in all our countries. If there is no growth in productivity then we cannot have any ambition for growth to be more inclusive and for an improvement of the employment conditions of the most vulnerable people.

      THE PRESIDENT – Thank you, Mr Gurría.

      I now open the floor to the other speakers on the list. First, I call Ms Vėsaitė.

(Ms Korenjak Kramar, Vice-President of the Assembly, took the Chair in place of Ms Brasseur.)

      Ms VĖSAITĖ (Lithuania) – Healthy economies are the background for democracy. There is concern about a half-speed recovery from the deepest recession in decades caused by the worst financial crisis since the birth of the OECD. I fully agree with the rapporteur that rising inequalities have been recognised as a long-term trend likely to deepen further over time, as this not only concerns income and wealth but affects health, education, opportunities, and wellbeing in general. It is a problem for society. Equality is no longer just a moral issue. Evidence shows that growing inequality also hampers economic growth, consumption and so on. As parliamentarians, we can only diminish the gaps in societies and see what the OECD recommendations are.

      Mr Secretary General, five years ago I was the rapporteur on OECD activities. You introduced the happiness index to measure countries in this regard. There was also an initiative for more women in high economic positions. What effect has that had on the strategies of the OECD, what are the recommendations, and what is the progress?

      Yesterday we hotly discussed the migrant crisis. An open-minded approach to refugee absorption and integration can help with some of the OECD’s structural programmes. An ageing population and shortages in the labour force are temporary challenges that can be converted into opportunities. It is said that a significant population of migrants are well educated, motivated, and committed to building a new future in their new homes. This short-term challenge could therefore be converted into long-term advantage.

      I thank the rapporteur for a very comprehensive and essential report.

      The PRESIDENT – Thank you. I call Mr Fournier.

      Mr FOURNIER (France)* – I welcome the Secretary General of the OECD, Mr Angel Gurría, and congratulate him on the renewal of his term in office. I would also like to support the ambitious draft resolution that our colleague, Mr Elzinga, has proposed. The text underlines the contributions made by the OECD initiative as well as new approaches to economic challenges, and it rightly underlines the three significant trends that will have a key impact on economic development over the years to come. Those are: environmental pressures—with that in mind, it is of paramount importance that the COP 21, which will be held in Paris in December this year, is a success—an increase in inequalities, and a slowing down of productivity. I will focus on the last two aspects and flag up their disastrous consequences.

       As the report reminds us, the inequalities in revenue and distribution of wealth are higher than they have ever been in the past 50 years. The situation is of great concern and is triggering a lively debate as far away as in the United States, where the success of the book published by the French economist, Thomas Piketty, has highlighted the failure of the social ladder. That level of inequality could even be behind the current crisis and could well be stymieing the recovery in the industrialised countries—let alone the very harmful effect that that has on signing up to democratic ideals. Only renewed dynamic and sustainable growth will boost the consumer power of the middle classes, which is a major driving force of economic activity.

      We hear far too often that the increase in inequalities is the inevitable consequence of globalisation, but I do not believe that. According to the Nobel prize winner for economics, Joseph Stiglitz, it is perfectly possible to combine growth and fairness, provided that States have decided to set that political objective. He flagged up the interesting experiences of countries such as the islands of Mauritius and Singapore, which are among the highest on the human development index. Those results are based on determined action to promote the reduction of inequalities, particularly in the areas of tax and schools. With that in mind, the very high cost of higher education in some countries is becoming a poverty-making machine.

      It is also vital to promote public and private investment to foster innovation and productivity gains, which today are lacklustre. That brings me to my second point. Our developed economies are running the risk of becoming mired in secular stagnation, which could turn into a lengthy period of weak growth that would endanger our social systems. Are industrialised countries doomed to undergo a long-lasting lack of growth? It is clear that there are structural causes, such as demographic ageing, the savings glut in emerging countries, the explosion of public debt, an increase in inequalities, and the slowing down of technical progress. The inventions of the digital revolution are improving the wellbeing of users, but they are hardly giving rise to any productivity gains. That is why, as the rapporteur has proposed, it is vital to make the mobilisation of investment a political priority.

      The PRESIDENT – Thank you. I call Mr Šircelj.

      Mr ŠIRCELJ (Slovenia) – In this report, and in the presentation by the Secretary General, we have looked at recent developments in the world economy and growth in GDP (Gross Domestic Product). Projections for 2016 are slightly optimistic. Projections for the Eurozone have improved and Japan is expected to do better next year, but the United States of America and BRIC countries—Brazil, Russia, India and China—are performing less well than previously projected.

      Altogether, 3.1% growth of GDP is projected for this year. In comparison, the World Bank survey is even more cautious in projecting global growth of 2.8%. The projections show us that the global economy has brightened, but on the other hand, downside risks and difficult policy challenges persist. That includes ongoing political instability in a number of regions, including Russia and Ukraine, accompanied by the refugee crisis. Global investment also remains weak and flows of foreign direct investment remain 40% below pre-crisis levels which is one of the most important factors behind the economic slow-down, resulting in unemployment. The world has lost 60 million jobs since the start of the crisis. In some countries in Latin America, Africa and Asia, employment in the informal economy, excluding in agriculture, represents between 30% and 80%.

      Because of that, it is necessary to promote employment, inclusiveness and wellbeing. New approaches to the economic challenges have demonstrated the need for a new growth narrative: one that is more sustainable, more inclusive and focused on people’s wellbeing. That includes work on youth unemployment and on building inclusive labour markets. It is also necessary to share policies to promote inclusive growth. Reviving investment in small and medium-sized enterprises is an essential element in fostering new sources of growth. Further work must be carried out on the links between inequalities and growth and on the effects of increased market competition on inequality. Those efforts should result in ongoing work on social cohesion, social protection and youth inclusion. Those are the biggest challenges for the world and for the OECD.

      The PRESIDENT – Thank you. I call Ms Anttila.

      Ms ANTTILA (Finland) – I thank Mr Elzinga for his excellent report and Secretary General Gurría for his very interesting, splendid speech. I really enjoyed listening to you because your message was so clear.

      The report recognises the political debates and controversies concerning new types of free trade and investment treaties, and at the same time, the past gains from the comparative advantages of opening up to international trade. I fully agree with the report’s aim to call on the OECD to thoroughly investigate trade-offs in the field of further global economic integration.

      The OECD’s role as a policy adviser is also to recommend to the member States the tools and different activities necessary in order to achieve more sustainable and inclusive growth and quality jobs. For example, the OECD has recommended to us Finns to make more structural reforms and to increase the profitability not only of the public sector, but of the export sector. Our new Prime Minister Sipilä’s government is doing its best to resolve our big financial problems, and especially, our high unemployment. We Finnish politicians know that we must reduce our production costs by 15%, especially in the export industry sector, in order to be more competitive. We have lost €8 billion per year of our export income, which we must be able to get back.

      The OECD report emphasises the important steps towards green growth, but much more determined efforts are needed to integrate environmental priorities into economic agendas to promote sustainable growth and wellbeing in the world. We are supporting the challenging targets of the United Nations Conference on Climate Change. In Paris, we must achieve a joint conclusion, but at the same time, we must keep in mind the reality of the market economy. That means that the promotion of sustainable growth and wellbeing must be integrated into legislation at the same time in every country. If not, there will be free travellers, with smaller production costs and without this environmental burden. It is very important to realise that in order to keep the burden equal. It is also a question of the equal access to free trade. Thank you for your attention.

      THE PRESIDENT –Thank you. The next speaker is Mr Gándara Camou, Observer from Mexico.

      Mr GÁNDARA CAMOU (Mexico)* – I congratulate Mr Elzinga on his very thorough report on the activities of the OECD in 2014-15. We recognise the on-going work of the Parliamentary Assembly of the Council of Europe on these issues of global importance. On behalf of the Mexican delegation, I echo the President’s thanks to the Secretary General of the organisation, Angel Gurría, for his statement and his attendance at the Assembly’s debate. The members of the Mexican delegation appreciate this opportunity to contribute to the debate on the global economy, which helps Mexico to face up to its own challenges.

      Turning to the report, I single out the increase in inequality, the need for decent jobs and inclusive growth, and the emphasis on better distribution of income. It strikes me that that is all relevant to sustainable development. As the report says, both water and soil are structurally over-exploited by our economic activities, and we are seeing the catastrophic consequences of those activities. Many other issues strike us as extremely important in terms of framing public policy. The economic crisis that many of us have experienced should force us to redouble our efforts.

      In our country in recent years we have transformed our economy. We have a free trade agreement which makes it possible for us to trade freely throughout the world, with countries such as the United States and those in Europe. We have also made structural changes, to the energy sector in particular, and introduced reforms in human rights and in education. Mexico is trying to shoulder its responsibilities, but we know that there are still significant problems that we need to tackle head on. For example, it is important to foster close links between the OECD and the Council of Europe. That is why the Mexican delegation supports the report. We believe that we can go back to our own country with this best practice and legislate accordingly, trying to adopt common practices to promote the well-being of our citizens and benefit from the work that we do here together in the Council of Europe. This is a technical report, and we are delighted to have this input from an organisation such as the OECD.

      THE PRESIDENT – Thank you. I call Mr Korodi.

      Mr KORODI (Romania) – Let me express my appreciation of our rapporteur for a very good, comprehensive report. As a former Environment Minister, I understand your proposals and what you emphasise for the OECD for the future. Our debate follows a very good decision in New York, when the General Assembly adopted the new post-2015 SDGs. This is a crucial moment for this year. I think that we can finalise a good agreement in Paris, and the world will be able to say that this year has been a win for us.

      Sometimes in our discussions we talk about carbon linkage and pollution. What does that mean? Rather than making an honest profit, companies move their business to countries with lower environmental standards, placing at a disadvantage the countries of the European Union and others who have adopted strong environmental policies. The adoption of the SDGs achieved equilibrium between the economy, society and the environment. We need to follow that with decisions in our own countries and in international forums that work towards a common standard of sustainable economic growth not only for our planet but for our population.

      The report discusses the labour market and refers to an ambitious but necessary outcome from Paris. It talks about bilateral and international trade agreements, stating: “The enlarged Assembly calls on the OECD member States not to rush into trade and investment deals that are not likely to deliver tangible and substantive benefits to our economies as a whole and to first look into the effects of trade-offs between growth, stability, sustainability, inclusiveness and equity. It also calls on the OECD to… maximise well-being in member countries, as well as in countries that are trade and investment partners.” That is elemental.

      In Romania, big companies involved in mining projects want to use trade agreements to push the country into avoiding the impact of local and European environmental policies. That is not permitted. It is our responsibility to strengthen our international trade agreements to ensure local and sustainable development.

      THE PRESIDENT – Thank you. I call Mr Mota Amaral.

      Mr MOTA AMARAL (Portugal) – I congratulate Mr Elzinga on his report, which I have supported during the work of the committee. I congratulate the Secretary-General of the OECD on his presentation and on the €400 million budget of the institution that he leads.

      Taking the floor in several debates in the past few years, I have consistently called to the Assembly’s attention the implications for our members of placing the European political model, whose fundamental elements are human rights, parliamentary democracy and the rule of law, and the European social model, which includes the pursuit of full employment, decent jobs and a social security system for the working classes, within the framework of the free market enterprise principle and the submission of economic and financial forces to democratic political power. The crisis we now face in Europe is, in my opinion, the consequence of the dissolution of the links between those models.

      The erosion of the European social model, promoted by the prevailing neoliberal ideology which has captured the centre, the centre right and even the centre left – the social democratic political parties – puts at risk the European political model. Globalisation is enabling millions of men, women and children in less developed countries to escape from extreme poverty, but it needs to be regulated; otherwise the trail of employment destruction that it leaves in industrialised countries will become an even more serious problem, which is made more difficult to solve by the technological revolution that is under way.

      There is a need to globalise human rights. Fair trade among nations should be based on acceptable and balanced common rules for the protection of labour and the environment. What we have seen so far, in many cases, is the wild exploitation of ill-paid workers – sometimes even children working in conditions pretty close to slavery – and destructive ecological imbalances, which now threaten the future of mankind. As a consequence of these disorders, aggravated by greedy financial speculation, there has been an accumulation of wealth and an impoverishment of the middle class that is shocking and socially very dangerous to democracy in many countries around the world.

      In some countries, including member States of the Council of Europe, we are confronted with the scandalous behaviour of the over-privileged technostructure of multinational high finance and industrial conglomerates, which act against the law, pay billionaire fines with the resources of the corporations they chair at the expense of their shareholders and of the tax that they should pay, and, at the end of the day, collect fabulous bonuses and even manage to promote legislation to cover their wrong doings. The influence of big money in politics is undeniable and jeopardises democratic institutions. We need significant reforms to correct this situation. In the name of the sound principles of the Council of Europe we should not close our eyes, but must act, and act now!

      THE PRESIDENT – Thank you, Mr Mota Amaral. I call Ms Ishii, Special Guest from Japan.

      Ms ISHII (Japan)* – Madame President Brasseur, Secretary General Gurría and Rapporteur Mr Elzinga, thank you very much for the opportunity to take the floor. My name is Midori Ishii, and I am a member of the Liberal Democratic Party of Japan and the House of Councillors of the Japanese Diet. Today I would like to share with you Japan’s current economic and fiscal situation in light of the recent OECD economic survey of Japan.

      The economic survey, published in April this year, points out that it is necessary for all the “three arrows” of Abenomics promoted by the Abe Government – bold financial policies, flexible fiscal policies and a growth strategy to stimulate private-sector investment – to be implemented steadily and solidly. I thank Secretary General Gurría and the OECD for supporting Japan’s economic and fiscal policies.

      When we look at recent economic indices, we see a moderate recovery trend under Abenomics, with improvements in corporate profits and employment numbers. Tax revenue for the fiscal year 2014 showed a large year-on-year increase of 14.9%. The consumption tax rate also increased from 5% to 8%. We have postponed until April 2017 the consumption tax rate increase from 8% to 10% originally planned for October 2015. However, we will ensure that this tax rate increases, including by legal provisions, in order to fulfil our responsibility to pass on to future generations our social security system, which is one of the best in the world, and to maintain credibility and trust with the market and the international community.

      A key recommendation of the economic survey is to set out a detailed and credible plan to constrain government spending and raise revenues so as to achieve the target of a primary surplus at both national and regional levels by the financial year 2020. On that point, just this June we formulated an economic/fiscal revitalisation plan. Under the plan, by the financial year 2018, we will evaluate the progress of that reform, with a focus on bringing the primary deficit to GDP ratio to about -1% and continuing until 2018 the trend in general account expenditure, which thanks to a three-year effort by the Abe cabinet has increased in real terms by about 1.6 trillion yen, while at the same time keeping an eye on the economic and price index trends.

      The Abe Administration is heralding women’s active participation as one of the core pillars of the third arrow of economic growth. The target is for 30% of leadership positions to be filled by women by 2020. On the 28th of last month, a law on the promotion of women’s active participation was enacted. Under the law, starting from 1 April 2016, all large enterprises with more than 300 employees will have new obligations, such as forming action plans to promote women’s career development.

      I believe it is very important that we keep in mind the OECD policy recommendations and use forums such as this to push our policies going forward. Thank you.

      THE PRESIDENT – Thank you. I call Mr Stroe.

      Mr STROE (Romania) – Honourable Chair, distinguished members and guests, I congratulate the rapporteur on his excellent efforts in preparing the report and the draft resolution, and the Secretary-General on his intervention today.

      We can clearly affirm that the OECD’s activities are crucial to the development of the 21st century, as they complement the consolidation and development of democracy in States and societies through sustainable development and inclusive growth. After several years of economic crisis, we are witnessing a recovery that, although slow, is encouraging. Global private and public investment still remain below pre-crisis levels. Reflecting on the lessons of the past, we must rebuild a new foundation for durable and sustainable economic growth. I would like to strengthen the essential role of productive investment in promoting sustainable and inclusive growth, driving job creation and supporting the transition to a low-carbon resilient economy. It underlines the need to unlock investment.

The crisis has imposed an enormous social cost. In many countries, the whole of society has been scarred, and the pain has eroded people’s confidence in their governments’ capacities. To enhance confidence, targeted public investments for the creation of green and decent jobs are needed, in recognition that innovation is critical to increasing productivity and creating new jobs and that investment, especially in research and development, contributes to real-terms and productivity growth. A more innovative economy is a more productive and faster-growing economy, with higher returns for workers and increased living standards. We must regain the trust of our citizens. It is of fundamental importance.

THE PRESIDENT – Thank you. I call Mr Valen.

Mr VALEN (Norway) – I congratulate the rapporteur on a very good and important report. My generation were kids in the 1990s. We grew up in a time of great economic growth, and with the notion that growth means more prosperity and that a country’s GDP per capita is a good way of assessing the wealth of its citizens. But that is simply not true. Seldom have the facts been clearer than in the report.

The labour share of income in the OECD countries is shrinking. Despite all our advances in efficiency, technology and productivity, those who do the actual work now get a smaller share of the value created. A substantial share of those who get a job are locked into low-income, low-security jobs, which in turn makes it more difficult for them to get a mortgage, obtain housing or support a family. Moreover, most new income in the OECD countries goes to the top-earning 10%. In the United States, it goes to the top 1%.

The European welfare systems and the American dream were both made possible and legitimate by a tax system that redistributed wealth. The idea that eternal tax cuts will stimulate the economy has been proven wrong; what happens instead is that inequality rises. It is threatening social stability in Europe, especially in times of crisis. Ordinary people have a harder time making ends meet, even though they work all they can. Although there is growth in their society, it does not contribute anything to their economy. Meanwhile, they see a small elite get away with an ever larger share of that growth.

More equality in Europe is highly possible. It is in fact quite easy to obtain, by doing what we know works: organising labour; implementing a progressive tax system on income, wealth and property; maintaining good public services and welfare; and, not least, defeating the growing threat of tax havens and tax evasion that is undermining both our welfare and the competitiveness of our businesses.

THE PRESIDENT – Thank you. I call Mr Sabella, Partner for Democracy.

(Ms Brasseur, Vice-President of the Assembly, took the Chair in place of Ms Korenjak Kramar.)

Mr SABELLA (Palestine) – Mr Elzinga’s enlightening and timely report and Mr Gurría’s very pertinent statement underline the importance of addressing the rise of inequalities and the value of social dialogue towards more inclusive growth and quality jobs. The question is how the partnership between the Council of Europe and the OECD can promote addressing those inequalities not only in Europe but more broadly, particularly with southern Mediterranean neighbours. Can the social dialogue attempted, worked for and hoped for in Europe really be extended to address the root causes of conflict in neighbouring countries in the southern Mediterranean, especially in the Middle East and North Africa region, where we need more than 100 million new jobs in the coming decade?

Not having opportunities for millions of young people in our region will not only drive some of them to extremism but lead to fear that not solving problems in Syria and the Israeli-occupied territories, where Israel continues its occupation policies unhindered, promotes directly and indirectly the increase in extremism in the region. How can the Council of Europe and the OECD address some of these burning questions?

      Ms ZIMMERMANN (France)* – At a time when my country, France, is poised to host the Conference of the Parties of the United Nations Framework Convention on Climate Change 2015, I should like to return to the concept of green growth, on which several of the OECD documents expand.

      The commitment to limit CO₂ emissions and questions of green funding are particularly important. The establishment of tailored fiscal rules has become necessary but the new taxes based on the polluter pays principle are meaningful only if all countries of a region apply them; otherwise we will face an imbalance and polluters going to the areas with the lowest taxes.

      A graphic example is the eco-tax, specifically the heavy vehicle eco-tax. The principle of a tax on heavy vehicles will make it possible to tackle the harm generated but it will have other outcomes. Its financial implications foster alternative solutions such as piggybacking which increase competitiveness. The tax may also be used, however, to fund other transport infrastructure that cannot be overlooked at a time of budget-saving. The gross estimated return for France would be €1.1 billion, €160 million of which would be for local authorities.

      The eco-tax is fair because it targets not the taxpayer, who is already feeling the squeeze, but the users of road infrastructure. A heavy vehicle does as much damage to the roads as 1 000 private cars. The absence of co-ordination or fiscal harmonisation among neighbouring countries shifts the traffic and penalises countries that do not have an eco-tax.

      That is especially true of the border areas of Germany. The situation in France is different as the parliament voted almost unanimously in 2014 for the establishment of a heavy vehicle eco-tax, but its implementation has been suspended. I regret that, as the principle of subsidiarity must benefit regions and local communities that are ready to pledge themselves to meaningful green growth. Indeed, the establishment of an eco-tax will make it possible to restore an environmental and economic balance in the transportation of goods throughout Europe. It would also influence local consumption and therefore be more consistent with sustainable development. Europe will have to be a driving force at COP21 in December.

      The eco-tax corresponds fully with the will of the OECD to align policies with a low-carbon economy. Its uniform establishment would be a strong signal of genuine change and would augur well for future generations.

      Mr ABAD (France)* – The OECD is very important in understanding world economic activities, but certain biases have been included in the report, such as inclusive green growth. I fail to see how economic development cannot be green, and we all agree on the need for sustainable development to be based on the three pillars – economic, social and environmental policy.

      A sentence in the report mentions the negative correlation between growth and GDP and the quality of the environment. I believe that there can be both – an increase in GDP and environmental improvement.

      The report criticises some financial activities and unproductive volume, which allegedly is bad for growth. Apart from the question of volume and the quantity of financial transactions there is a disconnect between real economic activities and financial activities, which could give rise to difficulty. We must consider the role of the financial sector in the real economy.

      You have a fairly critical view of credits and loans, which are positive for the economy. For SMEs, the lack of credit curbs their developing their activities. I remind you, Secretary General, that the cement of growth is credit, investment and trade, which is why the report should have placed greater emphasis on the supply factors that strengthen growth.

      Inequalities are growing and the distribution of wealth is a central issue. In order better to share the cake, do we need a better cake? The economist Amartya Sen has said that we must take into account the freedom to develop new indicators and approaches, and the OECD is pursuing such lines, which is positive. We must take into consideration freedom in the economic and, indeed, political spheres.

      The COP21 meeting to be held in December should look at all the challenges, including climate change and global warming, and find synergies on the path to world growth.

      Mr REIMANN (Switzerland)* – I shall not, for once, sing the praises of the OECD and I trust that that will not provoke the ire of Secretary General Gurría. You know, Mr Gurría, that a high-ranking official such as you must listen to and, I hope, embrace criticism; otherwise, your job would be rather dull.

      I recognise the OECD’s many important contributions to the global economy, but where there is light there is shadow, which is cast by the OECD’s lack of democratic legitimacy. That is borne out by the fact that the principle of unanimity that is meant to apply to recommendations and even decisions is occasionally unnecessarily ignored. That can be seen in the drawing up of increasing numbers of grey and black lists of countries and in the resulting pressure brought to bear on them regardless of the principle of unanimity.       

      I am disappointed that the OECD juggernaut, with its growing bureaucracy, is increasingly weighing in on subjects that are matters of national sovereignty. For instance, there was a proposal for a general increase in the minimum wage. Such a proposal was roundly rejected by the Swiss people in a recent referendum. The most important economic policy aims of the OECD should be to strive to achieve full employment and to combat unemployment, with special emphasis on the serious youth unemployment situation. Precious little is said by Mr Elzinga in his report of that, which I greatly regret – all the more so because in many European countries youth unemployment is very apparent.

      Many Swiss people are angry with the two most recent OECD recommendations directed at Switzerland, which are seen as undue interference. I am delighted to be able to share these concerns with you, Secretary General. We feel it is inappropriate for the OECD to encourage us to increase VAT. That is a matter exclusively for the people. Our tax system has worked well up to now. We do not need any advice from an international organisation.

      It is also inappropriate for the OECD to recommend that more married women and mothers should be in employment and, to compensate for this, that more nursery places should be made available. That is going too far – way too far for a country that attaches the utmost importance to the individual freedom of its citizens and has had a tried and tested democracy for centuries. Secretary General, may I ask you kindly to convey these points back to Château de la Muette in Paris?

      THE PRESIDENT* – The last speaker is Mr Yatim from Morocco, Partner for Democracy.

      Mr YATIM (Morocco)* – I commend Mr Elzinga for the quality of his report and the Secretary-General for taking part in the debate. I know just how interested the Assembly is in the activities of the OECD and it is good that we have the opportunity to discuss their scope. I signed up to the debate for two reasons. First, there is increasing co-operation between Morocco and the OECD and, secondly, I am a leader of one of the biggest trade unions in Morocco.

      When it comes to co-operation, we must be aware of the fact that Morocco is one of the OECD’s three partner economies, along with Kazakhstan and Peru. As such, it benefits from a co-operation programme that comprises listing the reforms required and offering best practice to those countries. Our country programme allows us and the public authorities to co-operate in examining public policies and to sign up to nine of the OECD’s legal instruments, as well as enhanced co-operation in the organisation’s committees.

      The programme is based on three pillars that are key areas for Morocco. First, there is boosting economic growth and improving the machinery of governance. When it comes to social issues and trade unionism, in both the OECD report and in our rapporteur’s recommendations, I find many sources of inspiration because we have seen a rise in inequality when what we need is inclusive growth. We need quality jobs, green growth and to make sure that GDP is properly distributed. Let us put an end to the yawning gulf of inequality and ensure that we concentrate on well-being.

      Morocco is a partner not only of the Council of Europe but also of the OECD and it is doing what it can to try to remedy the imbalances in its economy, against the backdrop of a global economic crisis, as well as trying to lessen the divide between the different parts of the country that want to transform themselves into an emerging economy. Therefore, we can only embrace the recommendations on the activities of the OECD that have emerged from this debate.

THE PRESIDENT* – That concludes the list of speakers.

      I call Mr Elzinga to reply to the debate. You have four minutes.

Mr ELZINGA (Netherlands) – I should have liked to address all those who spoke, but I do not have the time to address everyone personally. I thank you all for your warm support, especially Mr Gándara Camou from Mexico and Ms Ishii from Japan. I also thank the Japanese delegation for taking part in the very productive deliberations of the committee in Paris. I also thank those who spoke for the political groups, Mr Mogens Jensen and Mr Manninger, for their support.

      I thank Mr Villumsen for his support. Obviously, I agree with him that in debating and working on economic development, especially as members of this Assembly, we should always keep human rights and democracy in mind. We must never forget the importance of upholding the values of our Council of Europe. Mr Pasquier spoke on behalf of the Alliance of Liberals and Democrats for Europe (ALDE), but also perhaps partly on behalf of small countries when he talked about banks shifting profits. I agreed with his plea on striving for prosperity for all. I thank Ms Erkal Kara for the way in which she stressed the importance of sustainability for our future generations and for her discussion of green growth, inclusive growth and inclusive productivity.

      Mr Reimann, I would like to say some words to you. You questioned the democratic legitimacy of the OECD, but I think you were attacking it because you want to defend tax havens. Do not forget that the OECD is an intergovernmental organisation. All our governments are members of the OECD. Here we are, all parliamentarians of OECD countries, discussing the policy of the OECD. You also said that you found it unfortunate that I discussed unemployment only a little. I remind you that in my report one of the three main themes is unemployment and living standards, which I discuss at great length.

      I thank Mr Korodi for telling us about mining in Romania and illustrating the costs and trade-offs of current international investment agreements. That was a nice illustration of some of the points made in my report. I thank Mr Mota Amaral for stressing the need to regulate economic globalisation and to globalise human rights.

      I thank Mr Sabella for stressing the importance of opportunities for inclusive growth, particularly in relation to the tensions in the MENA – Middle East and North Africa – region and to the rise of extremism. That is very important.

      Mr Abad questioned what I said about the negative correlation between economic growth and the costs for our ecosystems and biodiversity. I agree that that does not necessarily have to be the case, but past data unfortunately show the negative correlation.

      I congratulate the Secretary General on his tenth anniversary and on his reappointment, which means that he can look forward to at least another five years of these debates. I thank you for your warm words and for your emphasis on migration. I wrote my report before the summer, but that issue played an important role in the discussions in the Committee on Political Affairs and Democracy. That is why I am seeking to include a short paragraph on migration through an amendment.

      THE PRESIDENT – Thank you. I call the Secretary General. There were many questions and, as always, we are running out of time.

      Mr GURRÍA (Secretary-General of the OECD) – In answer to Ms Vėsaitė, the better life index is the result of many years of asking what lies beyond GDP and breaking down the things that really matter for the quality of life. That now includes the Gender 25 for 25 programme, which seeks a 25% reduction in the participation gap in the labour market by 2025—we took that idea to the G20. Our Sherpa, a woman, conspired with another Sherpa woman, Heather, from Australia and Sherpa women from the United States and Turkey, and they asked a man from Japan, Mr Nagamine, to propose it, which he did. All the women then raised their hands and said, “What a brilliant idea.” Everybody approved the idea, and now we have 25 for 25, a good combination of smart women and dedicated men.

      Mr Fournier said that inequality is bad morally, politically and economically but is not inevitable. I agree. Inequality is man-made and we can undo it. The question of productivity is very difficult because it is not obvious. Why is productivity not increasing if it is a solution to practically everything? Among other things, technology is now being disseminated much more slowly than before. That is a complex notion. Why is technology being disseminated to small and medium-sized enterprises more slowly? Because of credit channels and other things.

      Mr Šircelj, the informal economy accounts for between 30% and 80% of the economy in some countries because the incentives are not aligned. People choose to stay in the informal economy because it is better business to do so. People are intelligent and pursue their own interests. We should change the incentives. Slovenia is now presenting its national development programme in line with the objectives, which is excellent.

      In answer to Ms Anttila, Finland has a challenge in changing the model because traditional pulp and paper industries are fading and moving due to technology. Sustainable and inclusive growth is critical. She talked about equal access to trade, but trade is not advancing—it is stuck. The TTIP and the TPP (Trans Pacific Partnership), and so on, are second best because we cannot make a worldwide deal. We have to continue pushing.

      (The speaker continued in Spanish.)

      Mr Gándara Camou from Mexico: reforms, reforms and more reforms.

      (The speaker continued in English.)

      I will continue in English because I want everyone to understand what I am saying. The single most important OECD reform package was made in Mexico in the first two years of the government. They are now at the implementation stage, which is why Mexico is growing at 3.5% when many other countries in the region are growing at minus 2%. Mexico is getting the benefit, but implementation, implementation, implementation will now be critical. Issues such as justice, the application of law and equality are still big challenges. The distribution of growth, and the distribution of the benefits of growth, are clearly a big issue, but it is about continuing reform. Reform has to be a state of mind, almost a way of life. We should not be afraid. Reforms do not start and finish; they have to be a constant process in government.

      In answer to Mr Korodi, we are at a crucial moment, but the environmental, social and economic factors are not opposites. Green and growth go well together. Equality and growth go well together. More job creation and increased productivity go well together. They are not opposites. They used to be opposites in the old analysis, but in NAEC they go well together. Let us talk about the mining companies that are trying to avoid environmental policies. We can probably help you.

      Mr Mota Amaral, €40 billion more has reached the coffers since we started work on the automatic exchange of information. That is 100 times our budget, so it is good business to invest in the OECD. Technology will threaten 40% of the work force if we do not upskill. It is very dangerous to leave the lower part of the work force unattended because of the threat of technology. If we do that, wages will continue to drop and those people will continue to drop off the radar screen. Skills, skills, skills is the answer to that conundrum. We have to increase the skills of the work force.

      Ishii-san, there are three arrows: Kuroda-san, the first arrow; Taro Aso, the second arrow; and, of course, Abe-san and Amari-san, the third arrow. They are responsible for revitalisation, but we need to focus on the third arrow. Central banks can only do so much. We cannot demand that central banks do everything. Governments have to make the decisions, and parliamentarians have to tell their governments what they want from them, because central banks have only a limited array of instruments and capacity. Japan has a debt beyond 200% of GDP, which is constraining the country’s room for manoeuvre, and Japan has one of the greatest participation and pay gaps for women. Japan has one of the oldest societies in the OECD, so women represent its greatest potential for continued growth. Incorporating women is Japan’s one chance to turn back the clock.

      Mr Stroe of Romania: trust, trust, trust. The crisis has several legacies: low growth, high unemployment, growing inequality and the destruction of trust in all the institutions we have created in the last 100 years, which is no surprise. Not only have we not produced growth, jobs and more equality but we have produced many instances of corruption. We used to trust some things almost blindly, such as German cars, but even that has gone for heaven’s sake. Trust is fundamental.

      Mr Valen, poverty not only includes the unemployed. There is in-work poverty because wages are precarious and working conditions are not good enough. Mr Sabella, the young are becoming extremists because they do not have options, because they know no better and because they are not provided with alternatives. That applies to the United Kingdom and France.

I was in Tunisia recently. That country has the greatest number of people going to be jihadist militants. Why? Because Tunisia bet on the idea of getting people diplomas and higher education, but is not providing employment opportunities. There are therefore relatively well educated men and women who are frustrated because they do not have opportunities. Countries have to provide work. We are, of course, working with that country to see whether we can help.

      Ms Zimmermann spoke about COP 21, climate finance and green growth. By the way, the “polluter pays” principle started at the OECD. I say that with great pride. We know that the enemy is carbon, so it is very simple: put a big fat tax on carbon. We have failed for the fourth time to have an emissions trading system. It is not producing the right prices for carbon. China has launched seven pilot ETS projects for carbon. They are not working. Why not just put a big fat tax on it? Sweden has a big fat tax of €100 per avoidable tonne of carbon. Why can that not be adopted? I have been told that the reason is that politicians do not like the word “tax”. That is not a good enough reason, because this would be a good tax. We have an intergenerational responsibility to do what is right and not to make short-term excuses to get out of it.

      Coal has to be phased out. That is inevitable. It is the least taxed source of electricity, but the most polluting one – how paradoxical! We even tax gasoline more than diesel. Again, how paradoxical, because one is more polluting than the other. Again, these are contradictions that we need to fix. This is low-hanging fruit. We do not have to do anything very dramatic. We are still fighting about whether we are going to finance coal-fired plants through export credit systems, but at the same time we are trying to bring down emissions.

      Mr Abad, there is not a conflict between the environment and growth, as I have said repeatedly. The aspiration of financing the real economy is critical, as is the supply side. Let me tell you what the problem is: we have run out of options on the monetary policy side because we are at zero and we have run out of options on the fiscal policy side because we want to reduce the deficit, not increase it. What is the answer? It is structural change, structural change, structural change.

      Mr Reimann, with all due respect, it is our duty to tell countries what we believe they could be doing better for the benefit of their populations. That is what we were designed for; that is what is demanded of us. Frankly, that is what we will do not only on the question of taxes, but in saying that women should be encouraged to work, rather than stay at home. We believe that that will be critical to every single country’s success in the future. The way to do it is to liberate women of household tasks such as raising children and taking care of the elderly. The State can help through early childhood facilities and health care facilities for the elderly. That is the only way in which ageing societies will continue to grow. We do not tell countries what to do; we simply share the best practices of other countries. That idea has been successful in many other countries and we will continue to share it with our own countries. We do not believe that that is interference; we believe it to be our duty.

Last but not least, we are very proud of the country programme that we have with Morocco, which is economic, societal and governance-related. I praise Morocco because it is in a difficult neighbourhood and it faces difficult circumstances in the world, but it has maintained its structural effort towards improvement.

      The PRESIDENT – Thank you very much, Mr Gurría. We listened very carefully but, unfortunately, our whole programme is now a bit upside down. I apologise, because we have to get on to the Chairman of the Council of Ministers of Bosnia and Herzegovina, but first we have to vote. That is why we are here – we are a Parliamentary Assembly.

The committee has presented a draft resolution contained in Document 13865 to which one amendment has been tabled.

May I remind colleagues that for this part of our proceedings voting will be by show of hands to allow delegates from non-European members of the OECD, who do not have voting cards, to participate? I should remind you that from among the delegations, only those from members of the OECD are entitled to vote.

The amendment was agreed unanimously by the committee. I therefore understand that the chairperson of the committee wishes to propose that that amendment should be declared as agreed by the Assembly. Is that so, chairperson? Does anyone object?

As there is no objection, I declare therefore that Amendment 1 to the draft resolution has been adopted.

We will now proceed to vote on the whole of the draft resolution contained in Document 13865, as amended. I shall put the draft resolution to the vote by show of hands.

      The vote is open.

      Do colleagues agree to prolong the sitting until 1.15 p.m.? I see no objections.

4. Address by Mr Denis Zvizdić, Chairman of the Council of Ministers of Bosnia and Herzegovina

      The PRESIDENT – We will now hear an address by Mr Denis Zvizdić, Chairman of the Council of Ministers of Bosnia and Herzegovina. After his address, Mr Zvizdić will take questions.

      Dear Chairman of the Council of Ministers, allow me to welcome you warmly to the Chamber of the Parliamentary Assembly of the Council of Europe. Your visit today is a significant and symbolic event for your country, Bosnia and Herzegovina, and for the Council of Europe. On behalf of us all, welcome – dobrodošli!

      First, your visit is significant and symbolic because Bosnia and Herzegovina is chairing the Committee of Ministers of our Organisation. The challenges we face, especially in relation to the mass arrival of refugees and asylum seekers and the unprecedented rise in extremism, hate and intolerance, are enormous. Such problems are of global dimension and all 47 member States of the Council of Europe must respond to them with unity and strong resolve.

      The country chairing the Committee of Ministers therefore plays a crucial role in steering the activities of our Organisation. Two days ago I congratulated Mr Igor Crnadak, Minister of Foreign Affairs of Bosnia and Herzegovina, for the way in which he has led the chairmanship activities. I look forward to continuing our excellent co-operation and excellent personal relations.

      Secondly, this year Bosnia and Herzegovina is celebrating the 20th anniversary of the Dayton Agreement. The Dayton peace accord ended the war and set your country on the path towards peace, reconciliation and European integration. Since 1995 Bosnia and Herzegovina has made important progress in consolidating its institutions. In 2002 that progress was recognised by the country’s accession to the Council of Europe. As we and you know, however, a lot remains to be done on the reform front. Those reforms are reflected in the European Reform Agenda that was approved earlier this year by all government levels in your country. We all know what needs to be done; now it is time to work together to deliver results.

      Many of the necessary reforms are directly linked to the implementation of accession commitments and obligations, as well as to European Union integration. I assure you, Chairman, that you can count on our support, especially with the most fundamental standards of our Organisation, such as the implementation of the Sejdić and Finci judgment of the European Court of Human Rights. I was encouraged by the conversation that I had two days ago with your Minister of Foreign Affairs, who highlighted the broad understanding among all stakeholders in Bosnia and Herzegovina of the need to implement that judgment. I urge you to keep the issue in the focus of the Council of Ministers’ attention. It is one of the most important steps.

      Thirdly, the chairmanship and your visit to Strasbourg represent an excellent opportunity to promote Bosnia and Herzegovina at the European and international levels. Your country has a rich history and culture, and the social activities of Bosnia and Herzegovina’s chairmanship of the Committee of Ministers allow us to discover those. Today, with your participation, we will inaugurate an exhibition devoted to the Ars Aevi project, which represents a unique collection of the works of more than 200 eminent artists from all over the world. I encourage all my colleagues to join us for this event.

      Now, Chairman, it is a pleasure for me to give you the floor.

      Mr ZVIZDIĆ (Chairman of the Council of Ministers, Bosnia and Herzegovina)* – Madame President, Secretary General, honourable members, ladies, gentlemen and dear guests, on behalf of the Council of Ministers of Bosnia and Herzegovina and for my own part, it is a pleasure for me to address the Assembly today in my capacity as the Chairman of the Council of Ministers of Bosnia and Herzegovina. For the first time in the history of Bosnia and Herzegovina our State is presiding over the Committee of Ministers of the Council of Europe. For us in Bosnia and Herzegovina this is a wonderful opportunity to underline the political will of our people, which is predicated on the values of respect for human rights and dignity, and to promote our economic, cultural and tourist potential.

      One of the key features of our presidency is our intent to promote Bosnia and Herzegovina as a credible partner of the European community in European and international relations. I have no doubt that the experience that Bosnia and Herzegovina has garnered over the years and in responding to economic, political and social challenges will be of decisive importance in facing up to a series of crises for today’s world to overcome.

      Our chairmanship of the Committee of Ministers is a significant opportunity for us to emphasise the importance of south-eastern Europe over the past two decades. I point out that we in the region remain attached to our continuing efforts to adhere to European values. That culminated in Croatia and Slovenia joining the European Union, while other countries of south-eastern Europe continue to make efforts to become part of the European family.

      I am sure that you are all aware that the path trodden by Bosnia and Herzegovina has not been an easy one and we have had to overcome a number of difficulties. People in Bosnia and Herzegovina, however, have always believed in the European path. We citizens of Bosnia and Herzegovina feel that we are an integral part of Europe and that there is no alternative to that European path.

      I emphasise that point, because it indicates how determined we are and how much we want to adhere to all the obligations that we have entered into as we look to join the European Union, although they are complex and difficult. That is why we are more than happy to assume the chairmanship of the Committee of Ministers of the Council of Europe, because we are fully aware that it is an additional step that needs to be taken in furthering European integration.

      We are fully aware of the broad range of competencies included in the subjects on the agenda of the Parliamentary Assembly and of the instruments available when coming to implement important conventions and acts. Given our role in the chair of the Committee of Ministers, we can expect the policies that we develop to be respected fully, because we are now an important European party. A difference with the past is that role as a credible player – we know that we can play a significant and positive part in international and European relations.

      Ladies and gentlemen, given all the problems that we face today, I want to inform you of the positive and constructive atmosphere, based on good politics, that has been present in Bosnia and Herzegovina ever since the recent general elections, as a result of which the economic processes there have been strengthened. I am delighted to be able to tell you that the steps taken towards European harmonisation and integration have continued, and we are continuing on the path towards European integration. The main aim is to reach as soon as we can the current status of the countries in our region. This is why I am going to touch briefly on some important events, to flag up the existence of political will and to point out what agreements have been signed in our country for the fast-tracked adoption of a series of laws and regulations, as a result of which our economic and legal framework has been strengthened.

      The first positive news is a German and British initiative taken shortly after the Bosnia and Herzegovina elections held in October 2014. This initiative defined a new approach to Bosnia and Herzegovina, and as a result it was possible to launch a series of political, economic and social reforms that were geared towards improving the management of development and promoting sustainable growth. At the beginning of 2015 the collegial Presidency of Bosnia and Herzegovina and its Parliamentary Assembly, as well as the leaders of all political parties, adopted and signed the declaration on European orientation and the necessary reforms that Bosnia and Herzegovina has to carry out on its path towards the European Union. As a result, all institutions of Bosnia and Herzegovina committed, in line with their constitutional competencies, to incorporate in their action plans all the reforms that needed to be taken to ensure that Bosnia and Herzegovina could further progress towards joining the European Union.

      In June 2015, seven years after their signing, the agreements of stabilisation and association were finally implemented. These agreements put in place a very close partnership between the European Union and Bosnia and Herzegovina. In July, the Bosnia and Herzegovina economic reform agenda for the years 2015-18 was adopted, pinpointing a number of reform measures that should be taken in the field of public finance, business and employment, entailing the reform of social security, the rule of law and the reform of public administration and governance. A large number of strategies and a plethora of action plans have been adopted – for instance, a strategy for combating corruption, a strategy for combating terrorism and organised crime, a strategy for the justice and legal sector, and a strategy for combating violence against women and children and domestic violence – as well as a series of other laws, particularly the adoption of the new law on employment in the Federation of Bosnia and Herzegovina, and the alignment with European guidelines.

      The implementation of the documents I have just mentioned and a series of other documents and measures have already started to yield positive results, to such an extent that all the most crucial economic parameters in Bosnia and Herzegovina are improving. With regard to the employment market, the number of people in employment is increasing: it is 1.8% greater than it was in the same period last year. The physical volume of industrial production has gone up 2% this year compared with the same period in 2014. Gross income from indirect taxation has gone up by 4.2% compared to the same period last year. Compared with the same period last year, exports have gone up by 4.4% and imports have gone up by 2.58%, while the trade deficit has gone down by 5.54% compared with the same period last year.

      In the first six months of this year the number of tourists went up by 25.7% and the number of nights that they stayed in our country was 22.7% greater than in 2014. Exports of meat are increasing significantly, and we expect the same situation to occur regarding exports of milk and dairy products to the European Union following our meeting of these conditions. At the same time the coal and steel industries have continued to grow, which shows the high quality and competitiveness of our country’s products.

      Even with all the positive trends that I have just described, though, we still face a number of issues concerning the very complex political structure and the lengthy, complex procedures that need to be implemented to achieve consensus between the different players. We have set a number of priorities regarding our continuation on the path towards European integration, economic development and the rule of law. We are well aware of what we have to do, and we think we can achieve that objective. I remind all of you, dear friends, that we need your support to help us to make this a European success story.

      We should not assume that the situation in Bosnia and Herzegovina is perfect or ideal; we still have a series of challenges to meet and we face a number of problems. These relate to the very complex political structure that we have and the lengthy and complex procedures that need to be put in place if consensus is to be achieved on a number of different issues of fundamental importance for our priorities. These priorities are economic development, the rule of law and continuing our path towards European integration. We still have a lot of obligations that need to be met in a very brief period, but I assure you that we continue to be on the path of these reforms and that our wish to overcome the obstacles is absolute.

      I underline strongly once again that as far as we are concerned there is no alternative to European integration, growth, employment, the rule of law and combating corruption and all forms of extremism. They are and will continue to be the guidelines for the workings of the Council of Ministers and all Bosnia and Herzegovina institutions.

      Ladies and gentlemen, please allow me as a representative of a State that in its recent history has undergone exile, murder and devastation to share with you my thoughts on the current events in Europe. I hope I will be able to make an important contribution to your debate on the subject of migrants. Perhaps I can also give you a slightly different perspective on the issue of migration and refugees, who are fleeing barbaric acts and trying to find a safe haven. Four years ago we witnessed significant popular uprisings that shocked the Arab world. These democratic uprisings were known as the Arab spring and made one think of the 1989 popular uprisings in the former countries of the Warsaw Pact. The Arab spring was a manifestation of freedom, democracy, solidarity and the respect of universal human rights, but events have not moved in the direction that was expected. Today, instead of peace and prosperity, all we can see is devastating conflict in the territory of Syria and Libya. At the same time, instability and permanent violence are becoming a breeding ground for the development of radicalisation and terrorism, which is completely at odds with the modern moral values of civilisation. It is causing civilians to be killed – including, worst of all, children – and whole towns, as well as cultural and historic monuments, are being destroyed. All this is creating an atmosphere of despair and a society with no future.

      As a result of that, we should not be surprised at the most recent waves of refugees. I do not think that anyone here should be shocked by the fact that these refugees want to flee the violence and terror that is sweeping through their homes. We certainly should not be surprised at their clear intention to stay, either temporarily or permanently, on the territory of the European Union; it is because of the values that represent the foundations of the European Union. What are these values? They are respect for human dignity, freedom, democracy, equality, the rule of law and the protection of human rights, including the rights of minorities. These values are common to all member States of the European society, which has pluralistic qualities and qualities of non-discrimination, tolerance, justice, solidarity and equality. As result, these refugees have made the choice to come to the territory of the European Union.

      However, the arrival of these refugees is causing chaos and upheaval at an unprecedented level in the history of the European Union. Metal barriers are being erected, railway lines have been closed, and some responses from members of the European Union are not the responses that we expected. Would someone among you who has spent all their professional life defending European values – I know there are a lot of you here – really have thought at one time that the arrival of several hundred people would jeopardise our very way of life? We are all fully aware that this will not happen and that we are talking about an irrational, unjustified fear, but the fear is such that it is resulting in a lack of solidarity that can jeopardise our unity and stability. The problem can be resolved only if we carry out creative actions that are commensurate with the size of the problem. That is why, regardless of what those activities are, we need to do them together and at the right time.

      I am proud of the response by the Council of Europe, which came on time and was predicated on European values. I very much appreciate the letter that the Secretary General sent to the member States of this Organisation in which he reminded them of their obligations with regard to all people arriving in Europe. These obligations are in keeping with the European Convention on Human Rights. This is very important. National authorities need to look very closely at how their police forces handle refugees to ensure that the obligations under the Convention are strictly complied with. In the introduction to his letter, the Secretary General mentions solidarity as a fundamental European value that is being called into question and that represents the sine qua non of solving the current crisis. I think we all agree with this.

      The President of the European Commission, Mr Jean-Claude Juncker, in his annual speech on the state of the Union, put forward a plan for a rapid, firm, universal solution to the European crisis linked to refugees, including introducing compulsory quotas for taking refugees for each member country of the European Union. The Council of Europe should seriously take on board the possibility that this plan could be extended to all 47 member States of this Organisation. That would be a very positive gesture underlining our comprehension of this situation and the importance of the solidarity that is needed. If such a decision were taken, Bosnia-Herzegovina is willing to play its role and face up to its responsibility, and to meet its obligations in accordance with its abilities and capacities. I believe strongly in the symbolic nature and value of this message that is coming from a country that has aspirations to become a European Union member.

      I am not sure when this crisis will be over, but it is clear that these difficult times are going to become a real enemy. Any form of improvisation with regard to housing refugees can no longer be envisaged. That is why I call on all countries to show their goodwill and provide help to States that are most directly affected by the refugee crisis to ensure that the necessary conditions are put in place to avoid a humanitarian disaster. We want to do this before the cold days of winter are upon us. It will be important for our efforts to be stepped up to ensure that we do not find ourselves in a situation where we have to react to the consequences if our actions have not been sufficient or efficient enough.

      My State, Bosnia-Herzegovina, is not yet affected by the refugee crisis. That said, we are monitoring the situation very closely and acting in accordance with our operational action plan to be adopted if there were to be a large number of refugees or migrants. We have focused on two areas. The humanitarian side comprises the provision of adequate housing, food, medical aid and clothing, as well as ensuring basic hygienic and sanitary conditions. The second component comprises safety and security measures, including gathering data on the refugees and assessing and identifying which individuals represent a terrorist threat, or any other threat that would endanger the security of any State or region throughout Europe.

      I want to be very clear in talking about my country’s position. We are ready and willing to help because that is a moral obligation that we have, but if the European Union closes its borders, and if refugees find themselves closed up in Bosnia-Herzegovina or the western Balkan countries, we will be limited in terms of our logistical and financial capacities. I remind you that Bosnia-Herzegovina is having to face up to having thousands of displaced persons within its country as one of the consequences of the war in the 1990s. If the borders of the European Union remain open, Bosnia-Herzegovina will have no difficulties in dealing with the regular transit of refugees. It would do this by creating appropriate centres through which the transport of refugees can be organised towards their preferred destination. I am not expecting us to have a significant number of asylum requests in Bosnia-Herzegovina because, from the looks of things, our country is clearly a transit country for refugees and is not seen as a destination country.

      I think that this problem can be resolved rapidly and successfully if organised efforts and solidarity are there, but if we want to come up with a long-lasting solution we need to tackle the problem at its root cause by looking at the refugees’ countries of origin. I am well aware of the limited possibilities that the Council of Europe has in terms of action, but given the large number of conventions, bodies of experts and monitoring mechanisms that are at our disposal, we can make an important contribution to peace and stability in these neighbouring countries.

      I would like to take this opportunity to thank the administrative bodies of the Council of Europe development Bank, which have provided important funding and subsidies for the member countries affected by the crisis linked to refugees. If Bosnia-Herzegovina were to become concerned by the current refugee situation, then of course it is quite possible that we will be making a request for these funds.

      The trafficking of human beings is a very important matter that we have had to face up to in Bosnia-Herzegovina as well. In recent times we have managed to make some significant headway in resolving it, but in the light of current refugee crisis that has affected the western Balkans, we fear that the difficulties successfully resolved may well emerge once again. Abuse of refugees in such a hopeless situation by human traffickers and smugglers is one of the worst crimes that can occur and it has to be clamped down on very strongly. We need to do what we can to find the most efficient solution to this; otherwise things will only get worse. The matter will shortly be addressed as one of the main subjects in the Committee of Ministers in the Parliamentary Assembly and in the Congress. In the light of the current new circumstances, it is highly likely that amendments to conventions, recommendations and decisions will need to be made. I hope that the experts concerned will act in due course to help prevent this problem from escalating. Bosnia-Herzegovina, as a country that is following the issue very closely, will continue to monitor the situation in its own country but also in the context of the Council of Europe. I hope that the other member States, particularly those that share our concerns, will act in a similar fashion.

      Another important question affecting our society is terrorism. Bosnia and Herzegovina supports the Council of Europe’s action plan to combat radicalism and terrorism, as well as the Additional Protocol to the Council of Europe Convention on the Prevention of Terrorism, which concerns foreign terrorist fighters. The Chair of the Committee of Ministers and the Foreign Minister of Bosnia and Herzegovina has already informed you that through the Council of Europe chairmanship held by Bosnia and Herzegovina, and following intense consultations with other member States, we have managed to reach a consensus and have pinpointed a date for the signing of the protocol. It will take place on 22 October 2015 in Riga, Latvia, and I take this opportunity to invite all member States to attend the signing ceremony, which will be a very important one.

      In parallel with the authorisation of legal instruments, the Council of Europe should step up its very effective efforts to combat hate, intolerance and radicalisation. The main message that we should convey is that a society predicated on the rule of law, the equality of rights and the acceptance of human rights and diversity can be a prosperous and healthy one. As well as the alliance of parliamentarians against hate speech, there is the work carried out on discrimination in Europe, radicalisation, terrorism, cybercrime and the refugee crisis, which are all things that we need to act on in good time. I congratulate you all for your work on that.

      Finally, I praise the decision that has been taken to create a partnership for democracy with our neighbouring countries. That is a very important factor not only in consolidating democratic societies, but in stepping up activities on questions that are in our common interest and that are about choosing the right models and mechanisms to resolve the problems that we all face. Thank you for your attention and patience, ladies and gentlemen.

       The PRESIDENT – Thank you, Mr Zvizdić. I will now open the floor to the representatives of the political groups. I call Ms Durrieu on behalf of the Socialist Group       .

Ms DURRIEU (France)* – I remind you in passing that I was a rapporteur on the Dayton Accords for this Assembly. You have just reminded us of the importance of 20 years of peace and stability in the Balkans which, in turn, is vital for peace in Europe. You, President, have worked very hard on that. A number of us were in Sarajevo a short while ago and the political process does not yet appear to have gained new dynamism. Is not there need to amend the constitution, and is the High Representative not an obstacle to the engagement of people, particularly young people?

      The PRESIDENT – Shall we group the questions or would you like to answer immediately, Mr Zvizdić? Okay, you have the floor.

      Mr ZVIZDIĆ – Thank you for your question and for stating that the processes in Bosnia and Herzegovina are running in a positive direction. That is very important for us, because we want to implement our three key priorities: the European path, the development of the economy and the rule of law.

      Your question is closely linked to the Office of the High Representative and to the fulfilment of clear requirements by the Peace Implementation Council. Colloquially, we refer to those requirements as “5+2”. When those requirements have been fully met and when Bosnia and Herzegovina is fully capable of taking over all the responsibilities that currently rest with the High Representative, there will be no need for the High Representative to be in Bosnia and Herzegovina, because through our institutions—parliament and other bodies—we will be able to make decisions that currently, as part of the Bonn powers and other powers that the High Representative has, rest with the Office of the High Representative. Over the past 10 years, Bosnia and Herzegovina has made significant progress on institutional strengthening. We have been working towards the implementation of those 5+2 requirements and once they are fully implemented, Bosnia and Herzegovina will have full powers to manage all the processes at the executive and legislative level of authority.

      The PRESIDENT – Thank you. I call Mr Vareikis on behalf of the Group of the European People’s Party.

      Mr VAREIKIS (Lithuania) – As you know, Chairman, many problems in Bosnia and Herzegovina are related to education, language, culture and heritage matters, and, at a State level, the country has no ministry of education or ministry of culture. What is your opinion on that? Perhaps it is necessary to change these things quickly.

      Mr ZVIZDIĆ – Any change in Bosnia and Herzegovina that would lead to changing constitutions at all levels of government would require serious preparation, serious analysis and long procedures. You are right that there is no ministry of education or ministry of culture at a State level, but there is a ministry that is inter alia responsible for these areas in a co-ordinating role. In the Federation of Bosnia and Herzegovina, the responsibilities for education and culture rest with cantons. In the Republika Srpska, the government of the Republika Sprksa is responsible for those areas.

      In future, the education and culture sectors need to be based on modern priniciples, prevailing in the European Union, which have to be based on the transfer of knowledge and experience, gaining skills, enabling young people to use skills, the compatibility of professions in the labour market and further improvement of the Bologna Process, as well as the respect of fundamental human rights—ethnic, national, cultural and linguistic characteristics and rights that any citizen of the country is entitled to. Of course, such ministries being established in Bosnia and Herzegovina requires a number of procedures to be taken. Some are related to constitutional amendments, and as you know, constitutional amendments in Bosnia and Herzegovina require a lot of time and patience, as well as consensus and readiness to achieve an internal dialogue on such matters. I am sure that the time will come for us to raise these issues and to implement reform in those two important sectors in a serious manner. In the mean time, we will try to improve the existing systems as much as we can, just as we have over the past six or seven years. I have to say that we have seen progress in developing the sectors of culture, sport and education in Bosnia and Herzegovina.

      THE PRESIDENT – Thank you, Mr Zvizdić. I call Ms Pallarés Cortés, who speaks on behalf of the Alliance of Liberals and Democrats for Europe.

      Ms PALLARÉS CORTÉS (Andorra) – Aside from maintaining technical divisions, Dayton is keeping alive an economically unsustainable administrative system. Moreover, it sometimes seems that politicians in your country worry more about political protest than about how to reactivate your economy and make it more effective. Do you have any specific plans to reduce your public expenses and to favour the private sector, to try to give more opportunities to new generations?

      Mr ZVIZDIĆ* – Thank you for your question. As I mentioned, a few months ago we adopted a very important document, the economic reform agenda, which defines a number of measures and activities aimed at improving the business environment, taking advantage of our natural resources, developing SMEs and reforming the entire public sector, with a special focus on job creation for young people so that they remain in Bosnia and Herzegovina. We look to rationalise public spending. In the public sector we have imposed a ban on employment and a wages freeze, and all other funds and budgets in the sector are funnelled towards providing favourable loans and enabling young people to start their own businesses, particularly SMEs, thus creating a better business environment and increasing employment in the country.

      All that, of course, requires an improved business environment and amendments to labour legislation. We have already started that process. A new labour act has been adopted in one of the entities, namely the Federation of Bosnia and Herzegovina, and will soon be adopted in the other, the Republika Srpska. In Bosnia and Herzegovina, we have already improved the parameters that measure the quality of business, and some indicators show that the entrepreneurship and economic potential of the country is increasing, especially among young people, who are opening up businesses and therefore leaving the country in reduced numbers.

      THE PRESIDENT – Thank you. I call Mr Binley, on behalf of the European Conservatives Group.

      Mr BINLEY (United Kingdom) – Mr Chairman, you mentioned your country’s strategies for eradicating corruption. Could you tell me what specific steps your country is taking to eradicate corruption in relation to employment opportunities in public services, thus bringing to an end the practice of bribery in respect of such employment, which is so harmful, especially to young people?

       Mr ZVIZDIĆ* – We in Bosnia and Herzegovina are aware of all the negative consequences of corruption. There is no difference whatsoever between Bosnia and Herzegovina and any other country in the region, in the European Union or elsewhere in the world in that regard. Corruption is a negative phenomenon which has a devastating effect on countries, and for that reason Bosnia and Herzegovina has been focused on effectively combating it. At entity level we have established the anti-corruption agency, and after sharing the experience and skills of our colleagues from Europe we established procedures to report corruption and to provide constant monitoring in our institutions. Three months ago, we adopted a strategy and action plan to combat corruption from 2015 to 2020. The strategy will be cascaded down to lower levels of government, so that through synergy between State-level, entity-level, canton-level and municipal-level institutions we can act in unison and prevent corruption in public institutions. The further reform of public administration will contribute to that process, as will administrative capacity-building and training civil servants to better respond to the needs of institutions and citizens within legally specified time limits and procedures without any corrupt acts.

      Of course, we are affected by corruption in just the same way as the rest of the region or indeed the rest of the world, but let me assure you that we are working very hard to fight corruption and to prosecute all reported cases. We also try to cut off corruption at its source by preventing corrupt acts by those who are asked to do their jobs in an effective and professional manner. We will continue our efforts, which have already produced positive results. Our activities will increase, and you will see that the administration of Bosnia and Herzegovina is working more effectively, with higher professionalism and more respect for the law.

      THE PRESIDENT – We will now take the last question because unfortunately we do not have time to call every speaker on the list. I call Mr Kox on behalf of the Group of the Unified European Left.

      Mr KOX (Netherlands) – Thank you for your news from your beautiful country, including the fact that you now have a functioning government and a constructive political atmosphere. However, when we observed your elections last year, we mentioned in our statement that we had noticed the public’s growing mistrust in the functioning of democratic institutions. We even stated that that might, in the long run, threaten the stability of the country because without public trust in your institutions the country cannot function. Could you tell us how you think the Government and the political class could restore that much-needed public trust?

      Mr ZVIZDIĆ* – I think we can regain public trust in the way that the Council of Ministers of Bosnia and Herzegovina is currently doing: by consistent, persistent and credible implementation of a reform plan for European integration, economic development and the rule of law, and by more clearly demonstrating the existence of positive political will that will enable internal agreements and consensus on the most important priorities for the European and economic development of Bosnia and Herzegovina. The fact that the Council of Ministers of Bosnia and Herzegovina has approved more than 800 documents unanimously over the past five months demonstrates the existence of sufficient political will to agree on issues important to Bosnia and Herzegovina without encroaching on the responsibilities of other entities or levels of government.

This approach will restore public trust in the institutions of Bosnia and Herzegovina. I am certain that we will implement all the reforms and strategies that I have mentioned and show seriousness, consistency and persistence in our work. When real-life effects are shown in a strengthened economy, more competitive products or job creation, I am sure that citizens will trust the government more than before. We have shown several examples already. We have managed to adopt the economic agenda along with other levels of government; we have ensured the export of agricultural produce from Bosnia and Herzegovina, increasing those exports by 220%; over the past eight months, 7 000 new jobs have been created in Bosnia and Herzegovina. The economic effects are already visible.

We have also speeded up European integration activities. We are fulfilling our obligations in a credible manner, and we expect that by the end of this year or early next year, we will be able to apply for membership. We expect the activation of a membership action plan with NATO as one of the next steps toward NATO membership for Bosnia and Herzegovina. All these developments speak to stability in Bosnia and Herzegovina, the rule of law and a business environment that will definitely attract domestic and, especially importantly, foreign investors.

THE PRESIDENT – Thank you, Mr Zvizdić, for answering these questions. I wish you good luck for the rest of your presidency. We now have the pleasure of going to an exhibition of the Ars Aevi project. I invite all colleagues to follow us to the inauguration. I thank the interpreters for allowing us to go beyond our usual schedule.

5. Next public business

      THE PRESIDENT – The Assembly will hold its next public sitting this afternoon at 3.30 p.m. with the agenda which was approved on Monday morning.

      The sitting is closed.

      (The sitting was closed at 1.15 p.m.)

CONTENTS

1. Examination of credentials

2. Changes in membership of committees

3. The activities of the Organisation for Economic Co-operation and Development (OECD) in 2014–2015

Presentation by Mr Elzinga of report, Document 13865, on behalf of the Committee on Political Affairs and Democracy

Statement by Mr Angel Gurria, Secretary General of the OECD

Speakers: Mr Villumsen, Mr Mogens Jensen, Mr Manninger, Mr Pasquier, Ms Erkal Kara, Ms Vėsiatė, Mr Fournier, Mr Šircelj, Ms Anttila, Mr Gándara Camou, Mr Korodi, Mr Mota Amaral, Ms Ishii, Mr Stroe, Mr Valen, Mr Sabella, Ms Zimmermann, Mr Abad, Mr Reimann, Mr Yatim

Amendment 1 adopted.

Draft resolution contained in Document 13865, as amended, adopted.

4. Address by Mr Denis Zvizdić, Chairman of the Council of Ministers of Bosnia and Herzegovina

Questions: Ms Durrieu, Mr Vareikis, Ms Pallarés Cortés, Mr Binley, Mr Kox

5. Next public business

Appendix I

Representatives or Substitutes who signed the Attendance Register in accordance with Rule 11.2 of the Rules of Procedure. The names of Substitutes who replaced absent Representatives are printed in small letters. The names of those who were absent or apologised for absence are followed by an asterisk.

Pedro AGRAMUNT

Alexey Ivanovich ALEKSANDROV*

Brigitte ALLAIN

Jean-Charles ALLAVENA

Werner AMON*

Luise AMTSBERG

Athanasia ANAGNOSTOPOULOU/Antigoni Lymperaki

Lord Donald ANDERSON

Paride ANDREOLI

Sirkka-Liisa ANTTILA

Ben-Oni ARDELEAN

Khadija ARIB/Tineke Strik

Volodymyr ARIEV

Anna ASCANI*

Egemen BAĞIŞ*

Theodora BAKOYANNIS*

David BAKRADZE

Gérard BAPT/Geneviève Gosselin-Fleury

Doris BARNETT*

José Manuel BARREIRO*

Deniz BAYKAL

Marieluise BECK*

Ondřej BENEŠIK/Jana Fischerová

José María BENEYTO*

Levan BERDZENISHVILI

Deborah BERGAMINI/Giuseppe Galati

Sali BERISHA*

Anna Maria BERNINI/Claudio Fazzone

Maria Teresa BERTUZZI*

Andris BĒRZINŠ

Gülsün BİLGEHAN

Brian BINLEY

Ľuboš BLAHA/Darina Gabániová

Philippe BLANCHART*

Maryvonne BLONDIN

Tilde BORK*

Olga BORZOVA*

Mladen BOSIĆ

António BRAGA

Anne BRASSEUR/Claude Adam

Piet De BRUYN/Petra De Sutter

Beata BUBLEWICZ*

Gerold BÜCHEL*

André BUGNON

Natalia BURYKINA*

Nunzia CATALFO*

Elena CENTEMERO*

Irakli CHIKOVANI

Vannino CHITI/Francesco Verducci

Christopher CHOPE

Lise CHRISTOFFERSEN

Henryk CIOCH*

James CLAPPISON

Igor CORMAN/Valentina Buliga

Telmo CORREIA*

Paolo CORSINI*

Carlos COSTA NEVES*

Celeste COSTANTINO*

Yves CRUCHTEN

Zsolt CSENGER-ZALÁN*

Katalin CSÖBÖR/Mónika Bartos

Joseph DEBONO GRECH

Reha DENEMEÇ

Renata DESKOSKA*

Alain DESTEXHE

Manlio DI STEFANO*

Arcadio DÍAZ TEJERA

Peter van DIJK

Şaban DİŞLİ

Sergio DIVINA*

Aleksandra DJUROVIĆ

Namik DOKLE

Elvira DROBINSKI-WEIß/Gabriela Heinrich

Daphné DUMERY

Alexander [The Earl of] DUNDEE*

Nicole DURANTON

Josette DURRIEU

Mustafa DZHEMILIEV/Serhii Kiral

Mikuláš DZURINDA/Helena Mezenská

Lady Diana ECCLES*

Tülin ERKAL KARA

Franz Leonhard EßL*

Samvel FARMANYAN*

Joseph FENECH ADAMI*

Cătălin Daniel FENECHIU

Vyacheslav FETISOV*

Doris FIALA

Daniela FLIPIOVÁ*

Ute FINCKH-KRÄMER

Axel E. FISCHER

Gvozden Srećko FLEGO

Bernard FOURNIER

Hans FRANKEN

Béatrice FRESKO-ROLFO

Martin FRONC

Sir Roger GALE

Adele GAMBARO

Karl GARÐARSSON*

Iryna GERASHCHENKO*

Tina GHASEMI

Valeriu GHILETCHI

Francesco Maria GIRO

Pavol GOGA

Carlos Alberto GONÇALVES*

Mustafa Sait GÖNEN

Alina Ștefania GORGHIU*

Svetlana GORYACHEVA*

Sylvie GOY-CHAVENT

Fred de GRAAF/ Tuur Elzinga

François GROSDIDIER

Andreas GROSS

Dzhema GROZDANOVA

Mehmet Kasim GÜLPINAR*

Gergely GULYÁS/ Jenő Manninger

Jonas GUNNARSSON

Nazmi GÜR*

Antonio GUTIÉRREZ*

Maria GUZENINA/Susanna Huovinen

Márton GYÖNGYÖSI*

Sabir HAJIYEV

Alfred HEER/Maximilian Reimann

Michael HENNRICH/Bernd Fabritius

Martin HENRIKSEN*

Françoise HETTO-GAASCH

Oleksii HONCHARENKO/Vladyslav Golub

Jim HOOD/David Crausby

Anette HÜBINGER

Johannes HÜBNER/ Barbara Rosenkranz

Andrej HUNKO

Ali HUSEYNLI*

Rafael HUSEYNOV

Vitaly IGNATENKO*

Ekmeleddin Mehmet İHSANOĞLU

Florin IORDACHE/Daniel Florea

Tadeusz IWIŃSKI

Denis JACQUAT

Gedimnas JAKAVONIS

Gordan JANDROKOVIĆ*

Tedo JAPARIDZE*

Michael Aastrup JENSEN*

Mogens JENSEN

Frank J. JENSSEN/Kristin Ørmen Johnsen

Florina-Ruxandra JIPA/Viorel Riceard Badea

Ögmundur JÓNASSON

Aleksandar JOVIČIĆ/Dejan Kovačević

Josip JURATOVIC*

Anne KALMARI

Mustafa KARADAYI/Hamid Hamid

Marietta KARAMANLI/Pascale Crozon

Niklas KARLSSON

Vasiliki KATRIVANOU*

Ioanneta KAVVADIA*

Danail KIRILOV*

Bogdan KLICH/Helena Hatka

Manana KOBAKHIDZE*

Haluk KOÇ/Metin Lütfü Baydar

Igor KOLMAN*

Željko KOMŠIĆ

Unnur Brá KONRÁÐSDÓTTIR*

Ksenija KORENJAK KRAMAR

Attila KORODI

Alev KORUN*

Rom KOSTŘICA/Gabriela Pecková

Elvira KOVÁCS

Tiny KOX

Borjana KRIŠTO

Julia KRONLID*

Eerik-Niiles KROSS

Marek KRZĄKAŁA/Killion Munyama

Ertuğrul KÜRKÇÜ

Athina KYRIAKIDOU

Serhiy LABAZIUK *

Inese LAIZĀNE

Olof LAVESSON/Boriana Åberg

Pierre-Yves LE BORGN’

Jean-Yves LE DÉAUT

Igor LEBEDEV*

Valentina LESKAJ*

Terry LEYDEN

Inese LĪBIŅA-EGNERE

Georgii LOGVYNSKYI

François LONCLE/Catherine Quéré

George LOUKAIDES

Yuliya L’OVOCHKINA*

Philippe MAHOUX

Thierry MARIANI/Marie-Christine Dalloz

Soňa MARKOVÁ/Pavel Holík

Milica MARKOVIĆ

Meritxell MATEU PI/Carles Jordana Madero

Ana MATO

Frano MATUŠIĆ

Liliane MAURY PASQUIER/Eric Voruz

Michael McNAMARA*

Sir Alan MEALE

Ermira MEHMETI DEVAJA*

Evangelos MEIMARAKIS/Liana Kanelli

Ivan MELNIKOV*

Ana Catarina MENDES*

Attila MESTERHÁZY*

Jean-Claude MIGNON/ Damien Abad

Marianne MIKKO*

Olivia MITCHELL

Igor MOROZOV*

João Bosco MOTA AMARAL

Arkadiusz MULARCZYK*

Melita MULIĆ*

Oľga NACHTMANNOVÁ

Hermine NAGHDALYAN*

Piotr NAIMSKI*

Sergey NARYSHKIN*

Marian NEACȘU*

Andrei NEGUTA

Zsolt NÉMETH

Miroslav NENUTIL

Baroness Emma NICHOLSON*

Michele NICOLETTI

Aleksandar NIKOLOSKI*

Julia OBERMEIER*

Marija OBRADOVIĆ

Žarko OBRADOVIĆ

Judith OEHRI*

Carina OHLSSON

Joseph O’REILLY

Maciej ORZECHOWSKI/Michal Stuligrosz

Sandra OSBORNE/Joe Benton

Tom PACKALÉN

José Ignacio PALACIOS*

Liliana PALIHOVICI

Judith PALLARÉS CORTÉS

Ganira PASHAYEVA*

Florin Costin PÂSLARU

Waldemar PAWLAK/Jan Rzymełka

Jaana PELKONEN

Vladimir PLIGIN*

Cezar Florin PREDA

John PRESCOTT*

Gabino PUCHE

Alexey PUSHKOV*

Lia QUARTAPELLE PROCOPIO*

Carmen QUINTANILLA/Jordi Xuclà

Kerstin RADOMSKI

Mailis REPS*

Andrea RIGONI*

François ROCHEBLOINE

Soraya RODRÍGUEZ

Alexander ROMANOVICH*

Maria de Belém ROSEIRA*

René ROUQUET/Jean-Claude Frécon

Rovshan RZAYEV/Fazil Mustafa

Àlex SÁEZ*

Vincenzo SANTANGELO*

Milena SANTERINI*

Nadiia SAVCHENKO/ Sergiy Vlasenko

Deborah SCHEMBRI/Joseph Sammut

Stefan SCHENNACH

Ingjerd SCHOU

Frank SCHWABE*

Urs SCHWALLER

Salvador SEDÓ

Predrag SEKULIĆ

Ömer SELVİ*

Aleksandar SENIĆ

Senad ŠEPIĆ

Samad SEYIDOV*

Jim SHERIDAN*

Bernd SIEBERT/Thomas Feist

Valeri SIMEONOV/Kancho Filipov

Andrej ŠIRCELJ

Arturas SKARDŽIUS/Egidijus Vareikis

Jan ŠKOBERNE

Leonid SLUTSKY*

Serhiy SOBOLEV

Olena SOTNYK

Lorella STEFANELLI/Gerardo Giovagnoli

Yanaki STOILOV/Valeri Jablianov

Karin STRENZ*

Ionuț-Marian STROE

Valeriy SUDARENKOV*

Krzysztof SZCZERSKI/Iwona Guzowska

Damien THIÉRY

Lord John E. TOMLINSON

Antoni TRENCHEV*

Goran TUPONJA

Ahmet Kutalmiş TÜRKEŞ*

Tuğrul TÜRKEŞ*

Theodora TZAKRI*

Ilyas UMAKHANOV*

Dana VÁHALOVÁ

Snorre Serigstad VALEN

Petrit VASILI*

Imre VEJKEY/Rózsa Hoffmann

Stefaan VERCAMER

Birutė VĖSAITĖ

Nikolaj VILLUMSEN

Dimitris VITSAS*

Vladimir VORONIN

Viktor VOVK

Klaas de VRIES

Nataša VUČKOVIĆ

Draginja VUKSANOVIĆ/Snežana Jonica

Piotr WACH

Robert WALTER

Dame Angela WATKINSON*

Tom WATSON/Jeffrey Donaldson

Karl-Georg WELLMANN*

Katrin WERNER*

Morten WOLD/Tore Hagebakken

Bas van ‘t WOUT*

Gisela WURM

Maciej WYDRZYŃSKI

Leonid YEMETS/Pavlo Unguryan

Tobias ZECH

Kristýna ZELIENKOVÁ

Sergey ZHELEZNYAK*

Marie-Jo ZIMMERMANN

Emanuelis ZINGERIS*

Guennady ZIUGANOV*

Naira ZOHRABYAN

Levon ZOURABIAN*

Vacant Seat, Cyprus*

Vacant Seat, Estonia*

Vacant Seat, Turkey*

Vacant Seat, Turkey*

Vacant Seat, Turkey*

Vacant Seat, United Kingdom*

ALSO PRESENT

Representatives and Substitutes not authorised to vote

Aaja Chemnitz LARSE

Kerstin LUNDGREN

Bernard PASQUIER

Marc SPAUTZ

Partners for democracy

Hanane ABOULFATH

Najat AL-ASTAL

Mohammed AMEUR

Nezha EL OUAFI

Qais KHADER

Bernard SABELLA

Mohamed YATIM

Mohammed Mehdi BENSAID

Members of Parliament of an OECD member State non-member of the Council of Europe

George FUREY, Canada

Ernesto GÁNDARA CAMOU, Mexico

Midori ISHII, Japan

Héctor LARIOS CÓRDOVA, Mexico

Javier LOZANO ALARCÓN, Mexico

Ghislain MALTAIS, Canada