Madam Deputy Secretary-General, Your Excellencies,
Ladies and gentlemen,

First, I would like to express my gratitude to the International Peace Academy and FAFO for organizing today’s symposium on Economic Agendas in Armed Conflict. As your studies clearly show, struggles over natural resources can trigger hostilities, turn low intensity conflicts into full-scale war, and prolong terror and violence.

Most armed conflicts are complex, and have deep ethnic and historical roots. Often they have their origin in poverty and discrimination. But it is increasingly clear that lack of economic opportunities and pure greed are prominent root causes as well. Hence, in preventing and resolving armed conflicts, we must focus on the economic dimensions of war.

Most of today’s armed conflicts are taking place inside states, rather than between them. But they have impacts far beyond state borders – flows of refugees, smuggling and other crimes, the spread of arms. Truly internal conflicts are hardly ever found.

Rich natural resources provide opportunities, but they do not ensure results. Oil, timber, diamonds and minerals are no guarantee of peace and prosperity. They frequently contribute to the opposite, as we have so tragically seen in Africa and elsewhere.

Valuable natural resources may not only trigger wars, but also sustain them. During the past decades, economically driven conflicts have become not only more frequent, but also more persistent.

The rule of law and transparent economies are essential to maximize wealth from raw materials. Responsible governments are essential to turn wealth into opportunities for all. And opportunities for all are essential for stability and viable societies.

Often we are witnessing that both governments and rebel groups are profiting from the exploitation of their countries’ natural resources. Poor and destitute youngsters are recruited to fight their own countrymen in order to enable a powerful few to amass wealth. All too readily available small arms undermine law and order, break down the fabric of society and spread fear, hatred and violence.

Over time, soldiers, officials and others become dependent on conflict and war for their livelihoods. Peace becomes not only a question of settling disputes, but also of fighting crime and finding alternative sources of income for large groups.

Neighbouring countries and international criminal networks are often fueling the conflict by contributing to the illegal exploitation of natural resources. Private companies and financial institutions – even in countries far away – may promote violence and war by illicit business transactions and money laundering.
We are all affected. The illicit trafficking in natural resources and drugs underpin both criminal networks and terrorist activities around the world.

Ladies and gentlemen,
The main responsibility for preventing and resolving conflicts lies with national governments. They have the responsibility for creating a law-based society with equal opportunities. Far too often they also have the means to do so, but choose not to.

But also the outside world has a responsibility to help prevent violence and war:

Above all, neighbouring countries must avoid fueling the fire by seeking to enrich themselves by plundering their neighbour’s wealth. They must avoid adding to the conflict by supporting or turning a blind eye to the smuggling of natural resources, money and weapons.

Instead they should take advantage of their proximity to assist those seeking peaceful solutions and reconciliation. Such efforts deserve every possible support.

Regional organizations must assume a greater share of responsibility for preventing and resolving conflicts. The European Union has been instrumental in this regard in Europe. The OAS has made important contributions to peace and democracy in Latin America, while the OAU has made great efforts to secure peace in many parts of Africa.

However, the most important peace building measure that regional groups and organizations can take, is to promote the broadest possible cooperation between neighbouring countries – advancing common interests and visions.

Both neighbouring and other countries have a clear responsibility to prevent their business community to avoid illicit trade, money laundering and other illegal activities.

Also the United Nations and other international organizations can help:

Firstly, by assisting member countries to combat corruption, tax evasion and organized crime. And by helping developing countries to build legal systems and effective public administrations, to attract investment and to adhere to internationally recognized trade rules.

Secondly, by helping to prevent the spread of criminal networks and terrorist organizations. The UN Convention against Transnational Organized Crime and the Convention for the Suppression of Terrorist Financing are important instruments to this end.

Ensuring the full implementation of Security Council Resolution 1373 will not only help to suppress the financing of terrorism, it will also assist us in our fight against organized crime.

Thirdly, the United Nations can encourage the business community to adhere to acceptable standards – also when operating in conflict zones. I would like to commend Secretary-General Annan on his Global Compact Initiative. The member countries and their business communities should build on this platform to ensure that their companies operate in a responsible manner and do not profit from violence and conflicts.

In a global world, we need a global code of conduct as well as a global white list to ensure that transparency and other basic standards are met.

Fourthly, securing justice. Justice is key to peace and security. It promotes both reconciliation and conflict prevention. If national legal systems are unwilling or unable to apprehend and prosecute the perpetrators of international crimes, the international community must take responsibility. This is why we need an International Criminal Court.

Finally, as a last resort, we must be prepared to use coercive measures. If voluntary means to obstruct fuelling of conflicts do not work, we must consider economic and other sanctions.

The targeted sanctions to reduce UNITA’s income from the diamond trade seem to have reduced its military strength. The targeted sanctions against Sierra Leone and Liberia have had a positive effect by reducing the rebel groups’ income and influence.

Ladies and gentlemen,
The primary role of the United Nations is to safeguard international peace and security. Economically driven conflicts are a growing threat to our security and must be firmly dealt with.

To do so, we need a better understanding of how to effectively attack the causes of these conflicts. What can we do as neighbouring countries? As regional partners? And as members of the United Nations?
Hopefully this seminar will bring us a step further.

Thank you!