The Government is Unveiling a Plan to Reduce the Need for International aid Through the Development of Insurance Markets
The British government intends to capitalize on the wealth and experience of London to help third-world countries hit by disasters, Herresa May said.
At the G20 conference in Hamburg, the prime minister unveiled the creation of the new London Center for Global Disaster Protection, which will help governments in developing countries plan disasters such as drought and famine.
However, the center will also aim to develop insurance markets in poorer countries, which the government says will be a more cost-effective, expeditious and reliable means of raising funding for disaster aid.
The government says the center’s activities will “reduce the need for expensive humanitarian assistance, reassure private investors and help people rebuild their lives” and could save about £ 2 billion to support countries affected by disasters.
A senior government official at the conference said that in the long term, the center could boost the profits of the insurance industry in Britain.
Non-governmental organizations had cautiously welcomed the “untested” approach to disaster relief, but said that the Center should serve primarily the needs of developing countries rather than those of city financiers.
The center will receive 60 million pounds of new government spending to help African countries integrate into global financial markets, which the government says will encourage economic development and reduce dependence on aid.
The government also highlighted £ 60 million in cash to rebuild Tanzania’s port facilities, £ 30 million to build an effective civil service in Somalia, £ 35 million to transport infrastructure in Ethiopia and £ 11.8 million to attract private investment in Rwanda.
A review of foreign aid projects by G20 officials in Hamburg indicates that Ms. May rejects pressure on Conservative elements to cut aid spending. A week ago, former Secretary Robert Halvon said spending on aid should be cut to raise money to raise paid-up capital to the public sector.
Investment in African countries is part of a broader approach aimed at building the continent’s economy, which the British government hopes will reduce the long-term need for aid.
Speaking on the sidelines of the G-20 summit, Ms. May told reporters: “We must not forget that progress in Africa is beneficial to the UK at home.
“Our work in international aid helps build future business partners for Britain, creating real alternatives to mass migration and enhancing our security while ensuring that we are committed to our ethical responsibility to meet the immediate humanitarian needs of some of the poorest people on Earth.
“This is the future of aid, offering value for money to the taxpayer.”
Max Lawson, Oxfam’s senior policy adviser, welcomed the new policy but cautioned that economic growth did not automatically lead to disaster relief.
“We welcome the prime minister’s commitment to helping African countries strengthen their economies – stimulating growth has the potential to make a big difference in fighting poverty,” he said.
“But it is important to recognize that developing economies will not automatically provide enough food for food or life-saving medicines – especially since Africa is home to some of the most unequal countries on earth.” We urge the government to define in practice how it will ensure those who need it most To help us reap the benefits of this initiative.
“The new center to help poor countries reduce the impact of future disasters is also welcome, often waiting for the world until the disaster before providing assistance.Earry the resources of the insurance industry is an interesting idea but has not been tested so far, and must be judged on Benefits to poor countries rather than London.
“Work to address climate change is critical to reducing future disaster risk, and it is important that rich countries increase funding for poor countries in accordance with the Paris agreement.”
The prime minister also used the G20 to call for the suppression of modern slavery, drawing on cross-border cooperation. She described the practice as “the great human rights issue of our time” and called for “a new radical, global and coordinated approach to defeat this evil crime”.