Cover Story
Enduring Commitments
An exclusive Pacific Magazine interview with Australian Foreign Minister Alexander Downer conducted by Veteran Australian Journalist, Rowan Callick.
Pacific Magazine: The Pacific was widely viewed, in the years following the Pacific War, as an American lake. But as the U.S. and other powers have reduced their involvement and interest in the Islands, has it become an Australian lake? Are Islanders thus transferring their resentments and their requests for support to the region’s remaining Big Brother?
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Foreign Minister Alexander Downer: I would not subscribe to those analogies or use that language. Australia has an enduring commitment to constructive engagement with the countries of the Pacific region. At the same time, I am convinced that there are limits to what outsiders can achieve. Pacific Island countries are sovereign states and must determine their own future. We can do a lot to support ambitious, reform-minded governments, but our ability to assist governments not committed to reform is inevitably constrained. Australia will do all it can to help, but ultimately it is up to the countries of the region to shape their own destiny. As one of the region’s largest donors, we provide substantial support and our assistance is generally welcomed and appreciated by national governments and communities, not resented.
PM: To what extent is Australia assessed by its allies and friends according to its capacity to “manage” events in the Islands?
AD: As the Pacific’s leading aid donor, as a major defense and security partner, and the key trade partner for many countries, Australia has substantial and long-standing interests in the region. Our objectives of encouraging good governance and sustainable economic development are shared by many other countries in the international community. There is undoubtedly an expectation among key allies and friends that Australia will take the lead in managing responses to developments in the region. We remain keen to play a constructive role in providing advice on regional developments, leading the international donor community and working to ensure the region’s main concerns receive appropriate attention within the international community. Many countries have expressed their appreciation for our contribution to the stability and development of the Pacific region.
PM: As Australia’s economic clout increases, and thus its relations also intensify with its major trading partners the U.S., Japan, China and Korea, is it becoming increasingly difficult to accord priority to its Island neighbors? Is there a possibility of literally over-looking them?
AD: No. Australia has a longstanding and enduring commitment to its economic and political partnership with the Pacific Island states. Irrespective of developments in Australia’s international relations elsewhere, relations with the countries of the Pacific Island region will continue to attract an appropriately high level of attention and resources.
PM: The Melanesian region has been dubbed by Paul Dibb as “the arc of instability.” Is it becoming more or less stable? What are the factors that might help provide greater stability? What is Australia doing to reinforce those factors?
AD: Events in some Pacific countries in recent years have been cause for concern. However, I remain committed and optimistic. On the whole, across the region, legal systems function, governments change through democratic elections and basic human rights are respected. These are important prerequisites for a stable region—and stability is a prerequisite for prosperity. A number of countries have experienced the benefits of stable governments and responsible policies. Indeed, reformist governments in some countries have been re-elected in recent years.
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Certainly, the current situations in Fiji, Bougainville and New Caledonia are substantially improved from previous years of political instability and violent conflict. This is not to dismiss the substantial challenges facing some countries and the serious problems facing a few, particularly Solomon Islands. To help meet these challenges, the Australian Government, through regional and multilateral organizations and our own bilateral aid program, supports the pursuit of good governance, maintenance of the rule of law, and encourages prudent economic management in the Pacific. Assistance in strengthening key institutions in the financial management, health, education and security sectors is an important component of our support.
Importantly, we should not look at the Pacific in a vacuum. We face global uncertainty—the approach we take to dealing with the global threats will feed into regional stability and visa versa. It is important for regional stability that global issues such as terrorism, money laundering and transnational crime are also dealt with. Australia is helping Pacific countries address these issues.
PM: You made comments, during your recent visit to Samoa, to the effect that it is becoming something of a model for the region. What are the elements of the Samoan success from which others can learn?
AD: Stable government, the rule of law, prudent policies and sound fiscal management are the basis of Samoa’s recent economic success. Samoa’s comprehensive development plan, the 2002-2004 Strategy for the Development of Samoa, and its theme “Opportunities for All,” underlines the Samoan Government’s determination to share the benefits of development and reform initiatives with the community at large. Samoa’s commitment to restructuring its economy and its success in delivering some tangible benefits at community-level provide a concrete example to others in the region that economic reform can deliver positive outcomes.
PM: Despite Australia being the dominant external influence in the Islands, what do you feel of the roles being played by other countries most engaged in the region (perhaps a brief comment on each): China, Taiwan, France, the U.S., the European Union, Japan.
AD: I welcome the involvement of other interested countries in the South Pacific region and the support they provide to the development of the Pacific Islands and Pacific regional organisations. In addition to our close cooperation with New Zealand, Australia works closely with France, the U.S. and the EU in a range of development, environmental and governance programs in the Pacific. These programs reflect common interests and objectives. Japan, through its substantial aid program, provides significant and welcome support to the region and is also a key donor partner for us. China, and many others, also provides significant aid and we welcome their contribution. Australia supports the region attracting development assistance from as wide a range of bilateral and multilateral sources as possible and is strongly committed to cooperation with the region’s international donors.
PM: We in the media, and some Island politicians too, sometimes present the view that Australia and New Zealand are competing for influence in the region, rather than acting in concert. To what extent are the two competitors, to what extent complementary?
AD: Australia and New Zealand share many of the same goals for the region. We both support enhancing political stability and economic development in the Pacific and work closely to ensure our efforts do not cut across pursuit of these shared interests. Our two governments regularly share assessments and consult on current issues and priorities. This cooperation is exemplified by the joint visit to Solomon Islands undertaken by Mr. Goff [the New Zealand Foreign Minister] and myself in January 2002, the joint visit by senior officials to Solomon Islands and Vanuatu in October 2001 and October 2002 and Australia-New Zealand cooperation on the implementation of the Nasonini Declaration on regional security. We have also worked very closely on the Bougainville peace process including through joint participation in the Peace Monitoring Group, in the Solomon Islands through joint support of the International Peace Monitoring Team and support for police reform. We pursue a program of harmonizing some of our key bilateral aid programs in the Pacific.
PM: What are the big issues that tend to be prominent in your talks with Island leaders? Do governance and economic development remain focal issues? Is it a frustration to Australia, that there appears such little progress on either?
AD: As reflected in the broad agenda of the Pacific Islands Forum, good governance and economic development continue to be predominant issues among regional leaders. While progress is inconsistent across the region, a number of countries have experienced the benefits of stable governments and responsible economic policies and the region has embraced political declarations and plans of action to consolidate progress. In any endeavor, worthwhile progress and reform are seldom easy or instantaneous. We are encouraged by the commitments of a number of national leaders to economic and political reform agendas and we welcome increasing awareness of the need for governments in the region to meet community demands. The increasing influence of civil society groups and non-government organizations is also a pleasing development in further bolstering good governance in the region.
PM: The Islands have effectively locked Australia and New Zealand out of their embryonic free trade zone. Is this a sensible move, economically speaking?
AD: Australia and New Zealand have not been locked out of regional trade arrangements. Australia is a party to the Pacific Agreement on Closer Economic Relations, a trade and economic cooperation framework agreement applying to all 16 Pacific Island Forum members. PACER came into force on 3 October 2002 and provides a framework for strengthening trade and economic cooperation among Forum members in a way that supports sustainable development and contributes to their integration into the international economy. The PACER agreement also encompasses the Pacific Island Countries Trade Agreement, open to Island states only, concluded in parallel with the PACER. It will advance the region significantly towards the goal of regional free trade and will increase economic opportunities and competitiveness through more effective regional trade arrangements.
The PACER protects Australian trade interests in the event that Forum Island countries begin negotiations for a free trade agreement, or offer improved market access to another developed country, by providing for consultations with Australia on improved market access and the negotiation of a free trade agreement. Australia already offers duty-free access to imports from all Forum island countries under the South Pacific Regional Trade and Economic Cooperation Agreement.
PM: Australia a few months ago indicated support for Greg Urwin as next Secretary-General of the Pacific Islands Forum. Is it still backing him? What do you think of the comments made by some leaders, to the effect that the Forum head should always be an Islander?
AD: Australia as a Pacific Islands Forum member is entitled to nominate a candidate for the position of Secretary-General. This was confirmed by Forum leaders at their annual meeting in Suva in 2002. Australia intends to proceed with our nomination of Greg Urwin for Forum Secretary-General when the position is advertised.
PM: Has the Pacific Solution refugee program damaged Australia’s reputation in the Islands? Is it now in the process of being wound down?
AD: While there has been some negative media commentary in the region on Australia’s asylum seeker policies, such views generally have not been reflected in official dealings between Pacific Island countries and Australia. There has been no negative impact on Australia’s reputation in the region resulting from these policies and many countries have welcomed our efforts to address people smuggling and supported our approach by participating in regional meetings on this issue. Australia’s cooperation with Nauru and PNG in establishing processing facilities in the Pacific has been an important component of a successful policy which has had a substantial deterrent effect on people smugglers. The Memorandum of Understanding with Nauru currently lapses in June 2003 although it can be extended at the mutual agreement of both Governments. In the case of Papua New Guinea the MOU lapses in October 2003.
PM: Australia is a major aid donor to the region, with PNG the biggest single recipient. Are there any plans to review how aid is being delivered?
AD: PNG and the Pacific are important partners for Australia, for both development and national interest reasons. Australia is committed to long-term engagement to assist the region as it faces the challenges of globalization and technological change, while at the same time grappling with internal instability, the need to improve governance and deliver basic services to their people. A new Pacific Strategy that further defines our priorities and approach to the Pacific is also near finalization.
I make it a priority to visit the Pacific each year (most recently Solomon Islands, Vanuatu and Samoa in December 2002) and use this as an opportunity to see for myself what impact the aid program is having and to ask our partners their priorities, needs and views on the effectiveness of Australia’s assistance.
At an individual country level, there are regular opportunities to review the focus and implementation of the program. I ensure that the aid program remains responsive to emerging needs and priorities in the region. We aim to deliver our aid in a way that builds on our experience, maximizes its effectiveness and embraces innovation.
PNG is our biggest aid partner in the region. In line with international best practice on aid effectiveness, the PNG program is increasingly coordinating its efforts with those of the other major donors to PNG and in close partnership with the Government of PNG. We are exploring joint approaches to analytical work, programming, financing and monitoring, focused on building the Government of PNG’s own systems and capacity to promote development.
