OECD WORLDWIDE OECD Paris Centre 2, rue André-Pascal, 75775 Paris Cedex 16 Tel.: 33 (0) 1 45 24 81 67 Fax: 33 (0) 1 45 24 19 50 E-mail: [email protected] Online Ordering: www.oecd.org/bookshop OECD Berlin Centre Albrechtstrasse 9/10, 3. OG, D-10117 Berlin-Mitte Tel.: 49 30 288 8353 Annual Report 2001 Fax: 49 30 288 83545 E-mail: [email protected] Internet: www.oecd.org/deutschland OECD Bonn Office August-Bebel-Allee 6, D-53175 Bonn Tel.: 49 228 959 1215 Fax: 49 228 959 1218 ANNUAL REPORT 2001 E-mail: [email protected] Internet: www.oecd.org/deutschland OECD Washington Center 2001 L Street, NW, Suite 650, Washington DC 20036-4922 Tel.: 1 202 785-6323 Fax: 1 202 785-0350 E-mail: [email protected] Internet: www.oecdwash.org OECD Tokyo Centre Landic Akasaka Bldg, 2-3-4 Akasaka, Minato-ku, Tokyo 107-0052 Tel.: 81 3 3586 2016 Fax: 81 3 3584 7929 E-mail: [email protected] Internet: www.oecdtokyo.org OECD Mexico Centre Av. Presidente Mazaryk 526 Colonia: Polanco, C.P. 11560, Mexico, D.F. Tel.: 52 52 81 38 10 Fax: 52 52 80 04 80 E-mail: [email protected] Internet: www.rtn.net.mx/ocde -:HSTCQE=V][V[X: ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT www.oecd.org ISBN 92-64-18616-6 01 2001 01 1 P OECD ANNUAL REPORT © OECD 2001 O E C D A N N U A L R E P O R T THE ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT (OECD) ANNUAL REPORT is prepared by the Public Affairs Division, Public Affairs and Communications Directorate. It is published under the responsibility of the Secretary-General of the OECD. 2 O E C D A N N U A L R E P O R T PREFACE 5 CLUB DU SAHEL 77 ABOUT THE OECD 8 CO-OPERATIVE RELATIONS REFORMING THE OECD 9 WITH NON-MEMBER ECONOMIES 78 OECD IN 2000: SELECTED EVENTS 11 PRIVATE SECTOR DEVELOPMENT CENTRE 80 OVERVIEW: OECD PRIORITY ACTIVITIES 23 CHINA 83 ECONOMIC GROWTH AND STABILITY 25 RUSSIA 84 THE SOURCES OF GROWTH 26 STATISTICS 86 DIGITAL DIVIDE 30 PUBLIC AFFAIRS AND COMMUNICATIONS 88 TERRITORIAL DEVELOPMENT BIAC AND TUAC 92 POLICY COMMITTEE (TDPC) 32 FORUM 2000 93 EMPLOYMENT AND SOCIAL COHESION 33 OECD PUBLICATIONS 94 A QUESTION OF HEALTH 36 OECD OBSERVER 96 AGEING 40 EXECUTIVE DIRECTORATE 97 TRADE AND INTERNATIONAL INVESTMENT 41 REDEVELOPMENT OF THE OECD TRADE AND CORE LABOUR STANDARDS 43 HEADQUARTERS SITE 98 GUIDELINES FOR MULTINATIONAL ENTERPRISES 46 HOW THE OECD WORKS 100 SUSTAINABLE DEVELOPMENT 49 NUCLEAR ENERGY AGENCY 106 SUSTAINABLE AGRICULTURE 52 INTERNATIONAL ENERGY AGENCY 108 CLIMATE CHANGE 54 EUROPEAN CONFERENCE OF MINISTERS OF TRANSPORT 110 GOVERNANCE 57 THE INTERNATIONAL FIGHT COMBATING CARTELS 60 AGAINST MONEY LAUNDERING: THE FATF 112 HARMFUL TAX PRACTICES 63 OECD ORGANISATION CHART 114 BEST USE OF NEW TECHNOLOGIES 64 OECD COUNCIL MEETING AT MINISTERIAL LEVEL MANAGING RISK 65 COMMUNIQUÉ: SHAPING GLOBALISATION 116 FOOD SAFETY 68 THE OECD SECRETARIAT 128 DEVELOPMENT 71 AMBASSADORS, PERMANENT REPRESENTATIVES A BETTER WORLD FOR ALL: PROGRESS TOWARDS TO THE OECD 129 INTERNATIONAL DEVELOPMENT GOALS 74 OECD MEMBER COUNTRIES 133 3 O E C D A N N U A L R E P O R T PREFACE Donald J. Johnston, OECD Secretary-General The year 2000 was a milestone for the OECD. Major technology (ICT) is making an important contribution reports were completed on biotechnology and food to productivity and growth but other factors are impor- safety, policy implications of ageing populations and tant too. Today’s new economic environment still ethics management measures in the public sector. depends on sound macro-economic management, Work advanced on two cross-cutting studies, on sus- openness to trade and competition, and well- tainable development and on the sources of growth. functioning markets and institutions. The first report Ministers gave the organisation new mandates to on the growth project was delivered to ministers in strengthen analysis of health policy and co-operative June 2000, and the final report will be submitted to the activities with civil society. In December, the organisa- 2001 OECD ministerial meeting. tion celebrated the 40th anniversary of the signing of One clear result that has emerged from the growth its Convention. And on the very same day Slovakia project is the need to place still more emphasis on became the OECD’s 30th member country. human capital in the increasingly knowledge-based This year’s annual report brings together the main global economy. Countries can be awash with technol- results of the OECD’s work in the year 2000, several of ogy, but it takes human skills and talent both to oper- which I would like to highlight. ate it and to undertake the reorganisation of work and commercial relationships that can improve productiv- Building strong economies and ity and lift growth potential. Education and policies to societies provide opportunities for lifelong education for all have long been an OECD priority and remain so. This The OECD’s 3-year project on sustainable develop- coupled with reinforced work on health will comple- ment is being submitted to the 2001 OECD ministerial ment our longstanding work on the OECD’s Jobs Strat- meeting, and will constitute an important contribution egy which seeks to define the policy environment that to the “Rio+10” summit in 2002. This work emphasises will promote higher levels of employment and social the integration of environmental, economic and social progress. objectives in making policy, and will also give special ICT holds out enormous promise for economies in the attention to issues such as climate change, the man- developing as well as the developed world. No sector agement of natural resources, bio-diversity, and other will be left untouched by ICT in the long term. But international environmental challenges. there is a risk of a "digital divide", both within and The project on the sources of economic growth between countries, especially access to technology for explores the causes of differences in growth perfor- developing countries. The possibility to use these mance in OECD countries over the past decade. Our technologies to reduce and eventually close the gap research shows that information and communications between the developed and developing worlds is also 5 O E C D A N N U A L R E P O R T real. I am therefore pleased that the OECD is an active agenda in both OECD and non-OECD countries as member of the Dot.Force created by the G8 at its electronic government emerges as an instrument of Okinawa Summit to assess ways to bridge the digital democracy and development. Governments must divide. ensure that domestic markets work by applying good and effective regulatory mechanisms which do not dis- Strengthening multilateral trade and criminate against foreign trade and investment, and investment they must co-operate to protect the integrity of the international financial system against corruption, Delay in the launch of a new trade round has placed money laundering and other illegal activities. even greater responsibility on the OECD’s extensive work in support of the WTO and the multilateral trade The fight against bribery and corruption is a high prior- and investment system. The rules-based system com- ity and some 30 countries have now ratified the Con- bined with well-designed domestic institutions and vention against Bribery of Foreign Public Officials. The policies provide the best framework for realising the OECD’s work on harmful tax practices seeks to promote promise of a new economy, and supporting poverty fairness and transparency in what is now a global tax reduction and sustainable development. Analytical environment. It is designed to bring all jurisdictions to work has been advancing on the complementarities a level of transparency and accountability which will between trade policies and other policies such as the cease to penalise honest taxpayers in developed and environment, core labour standards, competition and developing countries alike. development, as well as agricultural trade and export In addition, the OECD has developed a large number credits. of governance instruments – codes of behaviour and The revised OECD Guidelines for Multinational Enter- guidelines elaborated through policy dialogue and prises provide a new benchmark for international cor- consensus such as the corporate governance princi- porate behaviour, and the stronger implementation ples, recommendations on bank secrecy and on hard procedures should make them even more effective. core cartels, and so on. We often refer to such instru- They were adopted in 2000 by all OECD governments, ments as “soft law”. I believe that such soft law is the together with those of Argentina, Brazil and Chile. The way forward in international co-operation and policy Guidelines were developed in constructive dialogue development in many areas, and will play an increas- with the business community, labour representatives ing role in the international arena in the 21st century. It and civil society organisations, and represent an is not subject to the difficult and lengthy negotiations important initiative in addressing public concerns over of treaties, and can be more efficient and flexible, as it globalisation is in the self-interest of business and governments to adhere to such internationally accepted standards. Improving systems of governance OECD and the broader universe The role of governments has not diminished with glo- balisation, but it has changed. In this new environ- The OECD’s mission is to help policy-makers tackle the ment, there is an increasingly common governance economic, social and governance challenges of a glob- 6 O E C D A N N U A L R E P O R T alised economy.