worldindustrial production, itisindicative oftheeconomic strategy thatis beingpursued. Evenastheystruggle tocopewithexternal shocksasignificant numberofdeveloping countries aretryingtodiversify their p~oductive capacities andtomaketheireconomies moreefficient. Thisisparticularly reflected inthe factthattheworldBankhasalready lentsome$4.5billion fors~ructural adjustment programmes.AP/jcl A/40/PV.27 32 (Mr.Harding, Jamaica) Atanotherlevel,evidence ofthedemonctrated willofdeveloping countries to address theproblems theyfaceisfoundinthereduction ofthecumulative current accountdeficit. Developing countries havereducedthatdeficit byalmosttwo- thirdsfromahighofover$105billion in1981tojust$35billion in1984.Even thi$baldstatistic doesnotdojusticetothefirmness offiscalandmonetary policies thathavehadtobeintroduced. Thematurity andstaminaofGovernments havebeenteste8andthehe~oicfortitude ofthepeoples ofthethirdworldhas beendemonstrated. Asoneprominent publicfigurefromanindustrial country has said: "Thecitizens ofthedeveloping worldcannotbeexpected totightentheir belts i,~~!initely norcandebtorcountries continue tobenetexporters of capita.;•..' Wecanclearly assert,therefore, thattwokeyissuesareprotectionism and debt.Theinternational community mustensureatrading environment whichisfree fromtariffandnon-tariff barriers against theproducts ofdeveloping countries. Theironyisthatthemoredeveloping countries seektobroadentheireconomic basebymovingintoareassuchasmanufacturing andnon-traditional products, the moreintensive arethepressures forprotectionism intheindustrial countries. F-.r2.tforthemthesolution doesnotlieinprotecting declining industries or sectors frommorecost-effective producers inthethirdworld. Theinterests of efficiency andequityarebestservedwhencostsandbenefits associated with shifting comparative advantage arenotnullified atthepointsofentrybytariff andnon-tariff barriers whichpenalize emerging industries andsectors inthe developing world.\AP/jcl A/40/PV.27 33 ."(Mr.Harding, Jamaica) Thisisnotanabstract concern. TheWorldBankhasestimated thatan increase inprotectionism largeenoughtoproduce a10percentdeterioration in thetermsoftradeofLatin .~rica andtheCaribbean exactsacostfromourregion equivalent totherealinterest costoftheregion's entiredebt.Thesituation, therefore, requires wiseandfirmleadership. Commonsensetellsusthatif developing countries cannotexporttheywillbeableneither topaytheirdebtsnor tocontinue tobeamajormarketfortheexports oftheindustrialized countries. Theshiftfromequitytodebtfinancing thatbeganinthe1970snowresults in massive debt-service payments bydeveloping countries. Lastyearthosepayments amounted to$100billion. Thatoutflow hascontributed insignificant measure to theoverall netresource transfer thatoccurred fromcapital importing developing countries todeveloped countries in1984.InLatinAmerica andtheCaribbean asa whole,35percentofexportearnings wereneededtomakeinterest payments ondebt in1984.Inonecountry thefigurewasashighas57percent.Thiscannotbe sustained. Thedebtproblem haditsgenesis inscarceresources: weborro~to supplement ourresources andtoachieve greater returns inthefuture. Butthe unprecedented economic eventsofthefirsthalfofthedecadehavecreated theneed forabreathing space. Intheimmediate futuredifficult decisions mustbemade. Thosedecisions shouldbeconsistent withatradition offidelity toobligations as wellasshowing afullunderstanding ofthedifficult socialandeconomic realities whichnowexistinmanydebtorcountries. Thedebtissueurgently requires judicious andsympathetic handling withinaframework whichrecognizes thatitis notsimplynowamatterofmeeting obligations, whichJamaica, forone,ispledgedAP/jcl A/40/W.27 34-35 (Mr.Harding, Jamaica) todo,buthasbecomepartoftheproblem ofdevelopment itself. Jamaica continues tosupport theproposal foraninternational conference onmoneyandfinance for development, wheretheseandotherrelated issuescanreceive theintegrated treatment webelieveisnecessary. Itisprecisely becauseofproblems ofthesedimensions thattherecanbeno shirking ofthenational responsibility toberesolute andcreative intackling the problems ofdevelopment. Equally, anditismoreimportant tosaysointhis forum,itisprecisely becauseoftheinternational natureofproblems suchas thesethattherecanbenoretreat frommultilateral co-operation. Thisyeartheactivities oftheUnitedNations havebeenmarkedbytwo important events: theworldConference toReviewandAppraise theAchievements of theUnitedNations DecadeforWomen,heldinNairobi, Kenya,andtheobservance of International YouthYear.
**Analysis**
The text discusses the economic development of developing countries, specifically the challenges they face in terms of debt, protectionism, and structural adjustment programs. It also touches on the international community's role in addressing these issues and the need for cooperation and responsibility. The text does not mention natural resources, agriculture, forestry, fishing, transport, communication, health, education, employment, humanitarian aid, or culture.

**Category**
Economic development, International trade