§ Mr. Barry GardinerTo ask the Chancellor of the Exchequer (1) what assessment he has made of the extent of(a) illegal property ownership and (b) illegal working patterns in developing countries; and what assessment he has made of the impact in each case on the ability of developing countries meeting their international financial obligations; [129314]
(2) what assessment his Department has made of the impact (a) property rights and (b) a formalised system for establishing property ownership has on the ability of developing countries (i) to improve their economic position and (ii) o fulfil their international debt repayment obligations. [129325]
§ John HealeyThere is widespread consensus that weak property rights are a key barrier to private sector development, economic growth and poverty reduction by, for example, deterring foreign investment, discouraging people from investing in their land, and preventing them from using it as collateral for loans.
Almost all of the world's poor are engaged in some form of private sector activity, with most in the informal sector. Private sector policy must therefore support the development of small, medium and micro enterprises in both the formal and informal sectors.
The ability of a country to meet its international financial obligations depends on a range of factors that will support private sector development and economic growth, including sound macroeconomic policies that ensure the level of debt remains sustainable.
There are many other factors that are important to securing greater investment, raising growth rates and reducing poverty including: the quality of governance, the level of corruption, crime and political instability; access to credit and finance; the quality of infrastructure; and the macroeconomic environment. The ability of a country to meet its international financial obligations also depends on sound macroeconomic policies that ensure the level of debt remains sustainable.
The UK Government supports various initiatives to help developing country governments identify and create the right conditions for private investment and growth