On the eve of the first international, high level and public meeting of the Extractive
Industries Transparency Initiative (EITI) Save the Children, the UK’s leading
international children’s charity, is calling on governments and company leaders to seize
the opportunity to increase financial transparency, in order to alleviate the corruption and
conflict afflicting more than 700 million poor children in mineral-rich countries.
With the spiralling situation in the Democratic Republic of Congo providing a tragic
example, Save the Children’s new report – Lifting the Resource Curse – highlights the
increased likelihood of private armies, corruption, poor economic growth and child
poverty in developing countries with large, lucrative mineral reserves. Congo – with a
vast cache of minerals including gold, coltan, silver, zinc , uranium, diamonds and oil–
has seen over 3 million people die since 1998. More than 4 out of 10 children die before
they reach their first birthday.
Mike Aaronson, Save the Children’s Director General said: “ The ‘resource curse’ is
unjust. Under the UN Convention on the Rights of the Child children have the right to
information that affects their well being; this must include payments being made for their
country’s natural resources. Oil, gas and mining companies could, by simply publishing
the revenues they pay governments, allow civil society to engage further with
government on investment of these revenues. Host governments have obligations under
the UNCRC to make this information available and to invest revenues in vital health and
education services. We cannot afford to wait or waste time, we must agree now a
comprehensive and mandatory approach on revenue transparency.”
In many cases the oil revenues benefit the elite, enabling luxury lifestyles to the detriment
of thousands of children who are condemned to poverty or whose lives are at risk.
However, there are countries that have managed to transform their mineral assets into
benefits for children and their families. Botswana now has the second highest public
expenditure on education in the world, as a proportion of GNP, since its diamond cache
was discovered 30 years ago. Key to this has been the transparency of revenues going to
the government and its wise management of this income.
Save the Children believes that by highlighting success stories like Botswana and
focussing on positive, practical and achievable approaches that governments, extractive
companies and civil society can implement, the ‘resource curse’ can be lifted.
Save the Children is calling for the following key approaches:
The EITI public meeting to be held in central London tomorrow – June 17th, – is
expected to be attended by Prime Minister Tony Blair, high level representatives from
governments, international agencies, extractive industry companies, shareholders and
investors. Save the Children, a founder member of the Publish What You Pay Coalition
of more than 130 NGOs from 33 countries, is calling on the meeting to agree a
mandatory and global regulatory approach to full disclosure of all payments made to
governments and national authorities by all extractive industries.
For the children whose lives are being devastated by collapsing basic services and
corruption, the leaders attending the EITI meeting tomorrow could make a real
difference to their survival and development.
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For further details please contact: Sheila Boswell, Save the Children UK Media Unit
020 7 716 2214 email s.boswell@scfuk.org.uk. For copies of The Resource Curse – ensuring extractive industries benefit children please call 020 7 716 2280 or visiting our
website www.savethechildren.org.
Notes to Editors