oftheindustrialized countries and,toalesserdegree,ofthedeveloping countries. Theworldeconomy todayshowssignsofgreatuncertainty. Theeconomic recovery intheindustrialized world,whichbeganin1983,hasnothadenough impetus toreachthedeveloping countries. Whatismare,thepaceofrecovery is nowbeginning toshowsignsofslackening. Therehasbeenasignificant dropin thepricesofprimary products, worsening thetermsoftradeofthedeveloping countries andmakingtheirprospects ofeconomic progress gloomy.JPlat A/40/PV,,8 2S (Hr"sepulveda AJlQr, Mexl~) Theslowdown intheinternational econoayha.c~e,.~d raounting tensionG" The threatpersists thattheworld e~c.ywillbeea.efragaented aspressures increase toadoptprotectionist aeasures thatwoulddoparticQlar heratothedeveloping countries.BG/8 A/40/PV.8 26 (Mr.Sepulveda ArRor,Mexico) Interest rates1ntheprincipa~ financi~l centres remainhighandinhibit the chanelling ofresources intoproductive investments. Instability andspeciJl.Eltion havepersisted intheexchange markets. Today"facedwiththehesitant evolution oftheworldeconomy, direction has beenlostandprosperity hasbeenjeopardized. Consequently, tothedeveloping countries andparticula~ly toLatinAmerica, aninternational monetary system which,insteadofcreating certainty andproductive investment, givesrisetothe instability ofexchange rates,inflation andspeculation, isnotacceptable. Aninternational financial systemwhich,insteadofpromoting aflowof rescurces thatwouldcontribute toeconomic andsocialdevelopment, givesrisetoa gre~ter concentration ofwealthandthedecapitalization ofcountries that represent morethanthreefourths oftheworldpopulation, isnotacceptable. Aninternational tradesystemwhich,insteadofencouraging efficiency andthe utilization ofcomparative advantag~s, givesrisetoprotectionism andisolation andrelegates developing countries tothesimpleroleofproviding rawmaterials andgoodsoflittleaddedvalue,isnotacceptable. Inaworldthatismoreinterdependent thanitwas40yearsago,thelackof SUfficient willtosolvetheproblems confronted bytheworldeconomy byemploying effective co-operation systems isnotacceptable. Theunfavourable international economic climate hashindered theefforts undertaken bydeveloping countries toimprovetheirstandards ofliving. A steadfast battleisbeingwagedagainstinflation andinternal andexternal imbalances, while,atthesametime,efforts arebeingmadetoreactivate the productive apparatus, increase exports andmaintain themostessential eocial investments. Inthedeveloping countries, ouractions havedemonstrated our acceptance thattherecanbenosubstitute forourowninternal efforts toconfront ourproblems.BG/8 A/40/PV.8.27 (Mr.Sepulveda Amor,Mexico) Thoseinternal efforts areunprecedented, buttheirsuccess depends on receiving greater support fromtheinternational community. Paradoxically, our adjustment measures havemetwithnoequivalent counterpart inthemostdeveloped economies. Efforts toexportaremetwithtraderestrictions andtheneedfor resources isresponded towithlimited andburdensome financing andinadequate investment andtransfer oftechnology. Increased dialogue andtheholdingofmultilateral negotiations areimperative ifwearetosolvethegreateconomic problems afflicting theworldandturn economic co-operation fromwordsintoactualfact. Theinternational monetary systemmustberevised without delaytorecover the stability lost,tocreateaclimate conducive toproductive investment andto stimulate worldtrade. Everyeffortmustbemadetoensurethatthecorrection of disparities inthebalance ofpayments iseven-handed, distributing theburdenof theadjustment process between thedeveloping andtheindustrialized countries, between thenations withadeficit andthosewithasurplus. Equitable distribution ofcostsandbenefits withinaworldeconomic systemis abasicpremise fortheprosperity ofall.Infinance, asintrade,itis essential torecognize different levelsofdevelopment asanelement onwhichthe principle ofequityisbased. Thefinancial systemshouldbecapable ofchannelling resources underterms andinamountsthatareconcordant withdevelopment needs.Inrecentyearsthe developing countries, andparticularly thoseofLatinAmerica, havehadtouse credits fromthecommercial banking system, inwhichtermsandinterest ratesare notthemostsuitable fordevelopment purposes. Thishasbeencausedbythelack ofdevelopment fundsnegotiated throughbilateral andmultilateral agreements.
**Analysis**
The text appears to be a speech or statement about the state of the global economy, focusing on the challenges faced by developing countries, particularly in Latin America. It discusses the need for international cooperation and reform of the international monetary system to promote economic development, stability, and prosperity.

**Category**
Economic development, International trade