BALI DECLARATION OF THE DEVELOPING EIGHT COUNTRIES

1. We, the Heads of State/Government of the People’s Republic of Bangladesh, Arab Republic of Egypt, Republic of Indonesia, Islamic Republic of Iran, Malaysia, Federal Republic of Nigeria, Islamic Republic of Pakistan and Republic of Turkey met in Bali, Indonesia on the 13th of May 2006 for the Fifth Summit of the Developing Eight (D-8). We reaffirm our commitment to continue pursuing the goals and objectives set out in the Declarations of Istanbul, Dhaka, Cairo and Tehran.

2. We welcome the signing of the Preferential Trade Agreement (PTA) and the Multilateral Agreement Among D-8 Member Countries on Administrative Assistance in Customs Matters at this Summit in Bali, as a milestone to achieve the objectives of promoting and enhancing D-8 intra trade cooperation.

3. Having reviewed the global economic developments and current progress of the D-8 cooperation, we underline the need to formulate new strategies, policies and measures to effectively enhance D-8 cooperation as our common efforts in overcoming basic problems of poverty to achieve sustainable development.

4. We note with great concern the ever increasing economic disparities between developed and developing countries in the current era of globalization. This prevailing imbalance should be overcome through closer collaboration between development partners, international development agencies, multilateral financing institutions, and related cooperation mechanisms. In this regard, we call for greater international support for the development efforts of the developing countries. We also commit ourselves to work together to solve the problem of economic disparities within our countries.

5. We call upon the international community to undertake concerted actions in achieving the Millennium Development Goals, in particular to halve the world poverty by 2015.

6. We emphasize the need to address the problems of debt of developing countries by adopting an effective, comprehensive, equitable, durable and development oriented solutions, particularly through debt cancellation, debt rescheduling, debt swaps for development and alternative mechanisms for debt management, as well as the fulfillment of commitment of 0.7% of the GNP of the developed countries as Official Development Assistance, and increased financial flows to the developing countries.

7. We note the positive development during the 6th WTO Ministerial Conference in Hong Kong, on 13-18 December 2005, particularly concerning the negotiation of agricultural products of the developing countries. We further urge all WTO member states to continue supporting any measures and practices that will allow the improvement of market access for products and services from developing countries in accordance with the spirit of free trade for the benefit for all states.

8. We recognize the need for universal membership of the WTO and call on members of the WTO to accelerate the application and accession process of all developing countries, based on non-discriminatory principles. In this context, we express our full support for a speedy accession process of the Islamic Republic of Iran to the WTO.

9. In addressing the global energy crisis caused particularly by the unstable oil price, we reaffirm our commitment to enhance cooperation in the field of energy to develop alternative and renewable energy resources, among others bio-fuel, biomass, hydro, solar, wind and the use of nuclear energy for peaceful purposes.

10. We note the digital divide between the developed and developing countries. We also note the fact that the new millennium is being driven by the emerging technologies of ICT, space technology and bio-technology. We therefore urge member countries of the D-8 to redouble their efforts to be key participants and evolve cooperation in these technologies. We also give particular importance to develop high technology projects among the members.

11. We note with deepest concern the threat of the spread of pandemic diseases, such as avian influenza, HIV/AIDS, malaria and tuberculosis, which have claimed many lives and caused adverse social and economic impact. We urge the international community, especially the World Health Organization, to undertake concrete measures and actions to overcome the spread of the diseases, as well as to develop a cure and provide affordable medicine for the poor.

12. We express our concern over the crisis following the publication of insulting caricatures of Prophet Muhammad Peace Be Upon Him, which has deeply offended Muslim populations worldwide. We underline that the right for freedom of expression must be exercised responsibly and not to be used as a pretext for incitement to hatred or insult towards any belief or religion. We call upon the international community to promote dialogue among civilizations in establishing deeper understanding of values and beliefs and strengthen the unity and solidarity amongst communities. In this respect, we welcome the “Alliance of Civilizations” initiative under the aegis of the United Nations Secretary General as a direct and timely response to this challenge.

13. We are cognizant of the need to improve coordination and cooperation among our member countries in order to enable us to participate more actively in the process of globalization, and to support our respective national development.

14. We emphasize the need for the strengthening of cooperation among our member countries in all international organizations relevant to the D-8 scope of cooperation.

15. We emphasize the importance of D-8 in contributing to the economic development of its member countries, and ensure that it promotes global trade.

16. We recognize that the expansion of D-8 intra trade has emerged as the most promising area of cooperation and has given a stimulus to the other sectors in the D-8 economies, and as such is expected to create a synergy for their overall development.

17. Having signed the Preferential Trade Agreement (PTA) and the Multilateral Agreement on Administrative Assistance on Custom Matters, we instruct the High Level Trade Officials (HLTO) through the Commission to finalize the draft text of Rules of Origin for the implementation of the PTA. We invite the member countries to ratify these two Agreements speedily so that they enter into force at an early date.

18. We take note with satisfaction that the D-8 intra trade achieved a significant growth from USD 14.5 billion in 1999 to USD 33 billion in 2004 which represents an increase of about 127% in five years, a rate which is much higher than the 84% growth of overall trade of the members with the rest of the world. We believe that there is a greater scope for the expansion of trade, given the fact that the D-8 overall trade reached USD 730 billion in 2004. We strongly believe that with the entry into force of the two Agreements mentioned above, the D-8 intra trade will further expand in the coming years.

19. In this connection, we reiterate our call to the D-8 Governments who have not done so to expedite the ratification on the Agreement of Easing Visa Procedures for D-8 Businessmen so that this agreement, which had been signed at the Cairo Summit, will enter info force without further delay in view of the indispensable role of the businessmen in the field of commerce.

20. We instruct the Commission to explore the possibilities of initiating result-oriented projects especially in the field of industry, meeting the criteria of technical, financial and commercial feasibility. To this end, we also instruct the Commission to develop mechanisms and methodologies designed to identify specific projects of common interest by prioritizing and concretizing them.

21. We take note of the recommendations of the Meeting of D-8 Central Bank Officials which discussed common problems of the members in the field of banking, in particular those related to trade, and encourage them to meet again as required alongside the conferences of international financial institutions.

22. In view of the crucial role of SMEs in the overall development of D-8 economies, we call upon the member countries to take further steps to enhance cooperation in this field, including through the promotion of micro-financing.

23. Taking into account the importance of shipping in the expansion of intra-trade in view of the wide geography of D-8, we welcome the step taken to establish a Shipping Business Forum and call upon the members to exchange information on the capacity of ports, cargo services and cargo requirements through a dedicated desk which would act as a focal point pending the creation of an infrastructure for the Shipping Business Forum.

24. We call upon the member countries to enhance tourism cooperation, and give particular attention to the development of Eco-Based Tourism that will enhance the contribution of tourism to economic development and poverty reduction, particularly to promote local economic activities.

25. To address the problem of the looming energy crisis we instruct the Commission to study its implications for D-8 member countries and develop long-term strategies to address this problem, including the development of alternative and renewable energy resources, promotion of energy efficiency and sustainability of supply.

26. We call upon the member countries to follow up the recommendations earlier adopted in the field of poverty alleviation, to exchange their experience and best practices and to develop as well new poverty alleviation programmes especially for the rural population.

27. We encourage member countries to take new initiatives in developing technical cooperation and capacity building programme to support the development efforts in D-8 countries.

28. We endorse the following activities as part of events of the current year and 2007:

• a) The first of the series of HLTO Meetings to conclude the Draft Rules of Origin and other related instruments to implement the PTA (by Pakistan),
• b) Third Working Group Meeting on Energy (by Indonesia),
• c) Seminar on Olive and Saffron Cultivation (by Pakistan),
• d) Capacity Building on Micro Financing (by Indonesia),
• e) The Commission Meeting some time after the Summit (by Indonesia),
• f) Working Group Meeting on Industry (by Malaysia),
• g) Workshop on Data Collection and Classification Systems and Management of SMEs (by Pakistan),
• h) Expert Meeting on environmental questions including Nature-Based Tourism (by the Islamic Republic Iran),
• i) Workshop on new specific projects in the field of industry such as Digital Microscope, DNA Typing, Finger Printing Technology, Compressed Natural Gas (by the Islamic Republic of Iran and other member countries),
• j) A meeting to initiate cooperation between D-8 scientific institutions, research institutes and universities (by Egypt and Nigeria),
• k) Workshop on Financial Infrastructure Development in Takaful (by Egypt),
• l) Workshop on Emerging Threats and Opportunities of Globalization for Rural Development: Defining the D-8 Future Rural Development Agenda (by Bangladesh)

29. Recognizing the important role of the private sector in our economic development, we continue to encourage D-8 businessmen to participate in D-8 activities and generate closer interaction between governments and private sectors for achieving the objectives of D-8 cooperation.

30. We therefore consider the D-8 Trade Fair and Business Forum as an important vehicle to achieve such an interaction. We welcome the convening by the Government of Indonesia of the D-8 Trade Fair and the Third D-8 Business Forum, alongside with the Bali Summit, and call upon member countries to continue such business activities and interaction. We take note of the recommendations of the Business Forum and call upon the member countries to give serious consideration to their recommendation.

31. We invite the coordinating member countries to closely follow up the decisions and recommendations made in connection with various projects so that maximum benefit will accrue to member countries.

32. We appreciate the endeavors of the Executive Director and his staff to provide effective services for promoting the objectives of D-8 cooperation.

33. Reviewing the existing arrangements for the Secretariat, we agree to upgrade its status in order to strengthen its structure in view of the tasks to be conferred upon the Secretariat, especially by the PTA and new projects, and to better project the image of D-8. In this regard, we welcome and endorse the new arrangements as proposed by the Council of Foreign Ministers.

34. We express our deep appreciation to the Honourable President of the Islamic Republic of Iran and his Government for providing able leadership and effective guidance for the promotion of D-8 objectives during its Chairmanship.

35. We congratulate the Honourable President of the Republic of Indonesia and his Government for assuming the Chairmanship of D-8 for the next two years and assure our full support and collaboration in furthering the aims and objectives of D-8 Grouping, and extend as well our profound gratitude to the people and the Government of the Republic of Indonesia for their warm hospitality and the excellent arrangements for the success of the Fifth Summit.

36. We deeply appreciate the generous offer of the Government of Malaysia to host the Sixth Summit in the year 2008.