Subjects: World Economic Forum; free trade; protectionist policies; Australia';s involvement in the war against terrorism; asylum seekers; Medibank Private
E&OE...........
LIEBMANN:
Prime Minister, thank you for joining us, good morning to you.
PRIME MINISTER:
Good morning to you, Steve.
LIEBMANN:
Prime Minister, in New York you and others have been running a pro-globalisation agenda. Can I begin by asking you whether you think the World Economic Forum is now inclined to accept the link between free trade and the fight against terrorism?
PRIME MINISTER:
In an ultimate, can I put it, indirect way, yes it is, because to the extent that you reduce poverty then you address some of the causes of the discontent that might provide a breeding ground for terrorists to recruit people to their cause. But it would be a mistake for people to imagine that the terrorist behaviour that we saw exhibited in this city on the 11th of September was a direct result of the people involved being poverty stricken, in fact, quite a number of them clearly were not. So it';s a complex situation and it would be over-simplistic to draw too direct a link between the two things but it, nonetheless, is a contribution that globalisation and the benefits that will flow from it, via higher living standards, clearly that will help. LIEBMANN:
But is it possible that protectionist policies hurt developing countries and indirectly play a role in breeding the sort of terrorism that America is now trying to stamp out?
PRIME MINISTER:
Well, protectionist policies impoverish nations, there';s no doubt about that. Protectionist policies, if removed, would do more to help the really poor countries in the world than doubling or quadrupling or trebling the level of overseas aid. If all the developed countries of the world abolish their trade restrictions on the exports of poorer countries that would do a lot more for living standards than increasing the amount of our foreign aid in the case of Australia. But once again…
LIEBMANN:
Sorry, you go.
PRIME MINISTER:
…there are ideological…I';m sorry, once again there are ideological and other reasons other than economic reasons for acts of terrorism.
LIEBMANN:
Prime Minister, on terrorism and the war on terror, it';s being reported here today that you have committed Australia to a broader war against terrorism. Have you and will we follow America into a broader war that takes us beyond Afghanistan';s borders?
PRIME MINISTER:
Well, we certainly and I certainly support the view that the war against terrorism around the world did not start and will not finish with the defeat of the Taliban and the Al Queda in Afghanistan. In relation to any Australian involvement in further American military operations beyond Afghanistan we have repeatedly and clearly said to the United States that if a request were made, that would be considered but it would have to be looked at according to the circumstances of the request and what countries and what operations might be involved. In other words, I haven';t said in advance that we are there to be involved in some further military operation and all the Americans have to do is ask. We obviously have to make our own independent separate judgements on a nation by nation, case by case basis. But we will clearly, because of our broad commitment to the fight against terrorism, we will clearly examine and consider any American request.
LIEBMANN:
Prime Minister, from what you have heard and seen during your stay in the United States this past week, is Iran or Iraq the next war front? The Americans are talking very tough about Iran today.
PRIME MINISTER:
Well, the Americans and the President in his address, and I fully understood why he did it, talked about the attitude of particular regimes. I am not going to use the language of the next war front. This is a sensitive, difficult, overwhelmingly important issue and everybody has a responsibility to speak carefully. Clearly, terrorism is not confined to Afghanistan and clearly if we are ever in the future to be able to say well the war against terrorism has been won or as near as won then there will probably have to be some activities beyond Afghanistan. But what they are and where they are I am not going to speculate about.
LIEBMANN:
The aid agency Oxfam in a report to be released later today says that your Government';s policy on asylum seekers is damaging our reputation, treats neighbouring pacific countries like prostitutes and adds to regional instability. That';s pretty damning criticism.
PRIME MINISTER:
Well, it';s certainly highly critical but I don';t agree with it. I don';t agree on any of those three issues. It';s not adding to regional instability, that is an absurd argument. I saw only in this morning';s press, that is in Australia';s press, an indication from Foreign Minister for Papua New Guinea that they welcomed some of the benefits in terms of additional economic activity locally, that the processing centre at Manus Island had brought to his country. I can';t for the life of me see how that allegation can validly be made.
Steve, this policy of ours will continue to be criticised by a number of international agencies. I understand that. I don';t think that criticism is valid, I don';t like the circumstances that have made the policy necessary. But remember the policy of mandatory detention has been with us now for 10 years and it was introduced by the former Labor government.
LIEBMANN:
Prime Minister, just one quick final question, there are also reports today that Medibank Private wants a 13 per cent premium increase because of a 60 per cent jump in payouts. Is your Government going to give them the green light? They are talking about an HIH style collapse if you don';t.
PRIME MINISTER:
Well, I think 13 per cent sounds, to say the least, a bit rich. Given that some of the other funds are talking about much lower increases. I have no doubt that the Health Minister, Kay Patterson, will look very carefully and with a justifiable degree of scepticism about the largest private health fund in the country wanting a 13 per cent increase. This is a two way process and I say to the private health funds, the Government has given you a lot of assistance. We have provided you, via the 30 per cent tax rebate, with a great deal of additional business and you have an obligation to make certain that you return full value to the Australian public. So I simply indicate my view that 13 per cent sounds like a very large increase indeed and no assumptions about automatic government approval can be made.
LIEBMANN:
Prime Minister, thank you for your time this morning, travel safely.
[ends]