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Paul Wolfowitz: Beijing Summit is a terrific idea

(People's Daily Online)
Updated: 2006-11-01 14:01

Correspondents: You have been to China several times since you became President of the World Bank. How do your trips in China change your perceptions about China?

Paul Wolfowitz: My first trip to China was in 1983. I was with Secretary of State George Shultz. My first big impression is how things changed and developed in China. My second big impression is that it is not just a big country, it is like several big countries, and some provinces are bigger than any countries in Europe so it is not surprising that there is a huge variation. I once went to Gansu Province and saw people who still live in serious poverty. I think one of the important reasons why the World Bank is still useful in China is there're still 140 million people, which is a very large number, who would be counted as living in poverty; and that's a big challenge for China and it's something where we think we can help. Another area the World Bank and China could work together is on developing the financial systems in China.

Correspondents: What has the World Bank done to fight against corruption in the world?

Paul Wolfowitz: The issue of governance is a very broad one. It is very difficult to make a general statement about this, the only general statement you can make is the more effective government institutions are, the better the results will be for fighting poverty. It's even a challenge in the most successful economies in the world ¨C look at the US with the Enron case. The difference between the US and a poor African country is that the American economy is so strong that Enron doesn't damage its economy while some African countries are so weak that even a small corruption problem can weaken the whole economy. The goal of the World Bank is to fight poverty. Fighting corruption is a means to an end.

Correspondents: What is the biggest challenge for the World Bank today?

Paul Wolfowitz: One of the big challenges is to coordinate our efforts with all the other donors. That is a very difficult thing to do. Another big challenge is encouraging the countries we work with to determine and pursue good policies. We can't force them to pursue those policies. That is why it is so important to set an example that good policies make a difference. China is one perfect example.


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