UNCTAD: POOREST NATIONS MUST FOCUS ON TECHNOLOGY

The world's poorest nations continue to fall behind the rest of the world in terms of technology and innovation, according to a new UN report.

The Least Developed Countries Report 2007, published by the United Nations Conference on Trade and Development (UNCTAD), maintains that least developed countries (LDCs) - defined as those with very low incomes, weak human assets, and high economic vulnerability - are likely to "face deepening marginalisation in the global economy" unless they take concrete steps to retain skilled workers and promote technological progress within their borders.

"We need to adopt new policies which should be orientated to reducing the technology gap and diversifying the economy," said Charles Gore, the report's lead author, as reported by the Guardian. "The least developed countries have a huge problem when it comes to expanding their productive employment. It is no use just investing in human capital without policies which develop employment opportunities to encourage workers to stay."

The report recommends that LDC governments, together with partner development agencies, put a stronger emphasis on science, technology, and innovation policies; strive to achieve more stringent intellectual property rights protections at the multilateral level; and implement measures to stop the 'brain drain' of skilled workers moving overseas. Moreover, the report emphasises that LDCs must diversify their economies and work to achieve greater technological advancement in the agricultural, manufacturing, and services sectors.

The report further contends that, in contrast to the conventional arguments by economists, international trade, foreign direct investment, and intellectual property licencing have not in fact helped narrow the knowledge gap between rich and poor countries. In order for LDCs to make true economic progress, the report argues, innovation must come from within.

The 50 nations defined as LDCs are home to 767 million people worldwide; 34 of those countries are located in Africa, 10 in Asia, five in Oceania, and one in the Caribbean.

For more information on the report visit http://www.unctad.org/Templates/WebFlyer.asp?intItemID=4314&lang=1

ICTSD reporting; "The best move out, so the rest lose out," THE GUARDIAN, 20 July 2007; "Knowledge, tech key for poor," UPI, 20 July 2007; "World's poorest lagging in technology despite FDI boom - UN," REUTERS, 20 July 2007.