Communiqu6 IF] DO
Commonwealth Heads of Government
Regional Meeting
Sydney
13-16 February 1978
1. Commonwealth Heads of Government of the Asian and Pacific Region met in Sydney from
13 -16 February 1978. The Heads of Government who attended the Meeting were the Prime Minister
of Australia, the President of Bangladesh, the Prime Minister of Fiji, the Prime minister of India.
the Prime Minister of Malaysia, the President of Nauru, the Prime Minister of New Zealand, the
Prime Minister of Papua New Guinea, the Prime Minister of Singapore, the President of Sri Lanka,
the Prime minister of Tonga and the Prime Minister of Western Samoa. The Australian Prime
Minister, the Rt. Hon. Malcolm Fraser, was in the Chair.
2. Heads of Government welcomed the Australian Government's initiative in proposing the
Meeting which they felt provided a valuable opportunity at the regional level to discuss matters
of common interest, including problems of a global nature, from the varied viewpoints and
perspectives of their several countries. They noted that these countries together contained
nearly one fifth of the world's population and were scattered over a hemisphere of the earth's
surface. With its wide variety of human and natural resources, and its pressing problems of
population and development, the area was in their view of key importance to the world's future.
They believ ed that this importance was too frequently overlooked, and that the region and its
problems and aspirations deserved a greater share of international attention and recognition.
3. They affirmed the importance of regional organisations such as the Association of
Southeast Asian Nations and the South Pacific Forum, each of which, responding to the diverse
conditions of different groups of countries within their respective regions, was making a
significant and growing contribution to regional co-operation. It was their firm belief that
these efforts should receive increasing international support in order to hasten economic and
social development in accordance with the wishes of the peoples concerned.
4I. They regarded their Meeting as complementing these processes of regional co-operation in
a manner which, guided solely by practical considerations, sought to achieve additional benefits
through programmes of further and mutually beneficial co-operation. Conscious of the realities of
global and regional interdependence, and of the need for neighbouring countries in particula:: to
explore every avenue of collaboration, Heads of Government expressed deep satisfaction with he
results achieved at this their first Commonwealth Regional Meeting. They regarded these as having
given an additional dimension to Commonwealth co-operation, thereby reinforcing the Commonwealth
association as a whole. tCU AiD R1] GOaLZL POLITICAL T.-CE
Recalling the full Commonwealth Meeting in London in June 1977, Heads of Government
reaffirmed the consensus achieved there on a wide range of international issues and reviewed the
developnient3 which had taken place since * then. These once again demonstrated the validity of their
profound con~ viction that fundamL-ntal changes were continuing to take place in the traditional
pattern of international relations in a manner that required much greater stress on the practical
politics of interdependence, within the region no less than world-wide. They agreed that the new
approaches which this called for, encompassing political as well as economic elements, which were
inseparably related, must advance the fundamental values of human dignity and equality. A regiOn
as variegatrdi as Asia and the Pacific held a real potential fo r advancing the cause of a wider
harmony by ' 1ostering a policy of muc-ual co-operation in an outward-looking spirit.
Heads of Government noted the dangers* presented by Great: Power rivalry to the peaceful
and harmonious development of the region. They emphasised the importance of seeking the greatest
possible freedom from the tensions caused by such rivalry and of promoting international stability
and co-operation. They acknowledged, however, that the Great Powers had a positive role to play
in supporting the economic and social development of the region.
South Asia
7. Heads of Government welcomed the developments towards an improved climate for friendly
relations in South Asia as holding promise for greater functional and economic co-operation amongst
countries of the area. Southeast Asia
8. In reviewing recent developments in Southeast Asia, Heads of Government were encouraged
by the efforts of the countries in the area to hasten economic and social development within their
own countries and to promote peaceful and mutually beneficial co-operation among them. They,
expressed the hope that the development of friendly relations amongst these countries on tho basis
of respect for sovereignty, territorial integrity and non-interference in internal affairs would
enlarge the areas of understanding and co-operation, thus enhancing the prospects of peace,
freedom and neutrality in the area.
9. They noted with satisfaction the success of ASEAN in broadening and intensifying
co-operation among the member states and between itself and other countries.
Pacific
Heads of Government recalled the significant changes that have taken place in the
political status of many island dountries in the Pacific in recent years. They recognised the
importance of the newly independent island states and welcomed the movement towards independence
of several countries in that area. Expressing satisfaction that these countries were already
successfully engaged in various regional co-operative ventures, they called on the international
community to give greater recognition to the special problems of these countries and to grarnt
special measures, which would give added impetus -to their economic and social development an~ d to
promote further co-operation and progress in the area.
Terrorism
11. Heads of Government deplored the persistence of violence in modern society and condemned
the growing incidence of acts of terrorism world-wide. They recognised that greater international
co-operation was essential to combat this menace. They agreed to explore ways in which their
countries could enlarge collaboration, both regionally and internationally, in combating this evil,
and decided to establish an ad hoc working group to pursue such efforts.
Disarmament
12. Heads of Government discussed the importance of continuing efforts to advance the cause
of disarmament in all its diverse aspects. in welcoming the forthcoming Special1 Session of the
United Nations General Assembly on disarmament as a positive step towards world peace and security,
they expressed their deep appreciation of the initiatives taken by the non-aligned movement aind
other countries to secure the convening of the Special Session. They expressed their sincere hope
that it would lead to concrete action towards the objective of general and complete disarmament
and the application of the resources thus released for assuring a better life for the peoples of
the world. Indian Ocean
13. Heads of Government took note of the talks between the United States and the Soviet Union
on mutual limitations of their military presence in the Indian Ocean and the assurances given by
both countries that they would report on the progress of their talks to the Chairman of the Ad Hoc
Committee of the United Nations. In this connection they expressed the earnest hope that practical
steps would be taken for the implementation of the Declaration of the Indian Ocean as a Zone of
Peace and other subsequent related Resolutions adopted by the United Nations General Assembly.
They urged all the great powers as well as other major mnaritime users of the Indian Ocean to
co-operate effectively with the littoral and hinterland states and with the Ad Hoc Committee in the
current consultations for convening a conference on the Indian Oceanl. They looked forward to the
forthcoming meeting in New York of all the littoral and hinterland stater, as the next step towards
the eventual convening of a full scale conference on the Indian Ocean.
Southern Africa
,14. Reviewing the situation in Southern Africa, Heads of Government reiterated their concerns
and commitments expressed in London in June 1977. Condemning the racist system of apartheid in
South Africa they once again called upon the international commnunity to take effective measures to
compel South Africa to bring about majority rule. They welcomed the recent talks held in MIalta on
Zimbabwe in the context of the Anglo-American proposals and stressed their belief that any solution
from which the Patriotic Front was excluded would be unacceptable to the international community.
They expr~ szed the hope that the 5-power initiative on Namibia would contribute to speedy progress,
in full co-operation with SWAPO, in effecting a transfer of power based on principles established
u~ nder the relevant United Nations resolutions. Middle East
Heads of Government felt that the situation in the Middle East continued to pose a
serious threat to world peace. They reaffirmed the necessity of urgently moving towards a just
settlement of the problem orn the basis of the relevant resolutions of the United Nations General
Assembly and Security Council and the recognition of the legitimate rights of the Palestinian
people.
INTERNATIONAL ECONOMIC ISSUES
16. Heads of Government reviewed the current trends and prospects in the world economy and
the present state of international economic co-operation in the light of the reality that the
majority of the world's absolute poor lived in the region. They noted the close relationship
between adequate economic development sustained over the long term and the maintenance of political
stability. They agreed that, in the context of increasing interdependence, sustained and balanced
economic growth world-wide would benefit all nations and stressed the need for international
action which would promote structural change in the international economic system and enable the
poorest nations to earn a more equitable share of the rising world product.
17. They acknowledged the value of. the assistance which the internationzl community had
provided to the developing countries in the region and called for a sustained increase of those
efforts. Heads of Government emphasised however that hard work, self-reliance and the pursuit of
appropriate policies were the principal means for countries to achieve a satisfactory level of
development and satisfy the basic needs of their populations within an acceptable period of time.
18. in this connection they stressed the urgent need for all countries to adopt effective
domestic policies to achieve sustained economic recovery, to overcome inflation and to secure
price stability, making the most efficient use of their own resources. They recognised,
however, that unsatisfactory arrangements and developments in the international economy could
nullify the effects of the efforts and sacrifice which the countries of the region might make.
North/ South-Dialogue
19. Heads of Goverrnent welcomed the agreement reached at the 32nd Session of the uN General
Assembly to establish a Cozcn-ittee of the Whole to oversee and monitor negotiations on New
International Economic order proposals and other economic matters. They agreed however that progress
made so far in the substantive issues under negotiation was inadequate; they called upon all
nations to promote early international consensus and action on the specific issues under discussion
and to take other steps to ensure that, in a world which has the means and the resources to do it,
the basic needs of all mankind would be satisfied within an acceptable period of time.
Commw~ odities and the Common Fund
Heads of Government agreed that the delay in introducing measures designed to
stabilise commodity prices at remunecrative levels had adverse con'sequences for producing and
consuming nations alike. They noted that the continuing instability in commodity prices generally
and the recent sharp decline in the prices of some comnodities were adversely affecting development
in all producing countries and aggravating the already serious balance of payments and debt
servicing problem of many developing countries. They noted further that the unsatisfactory price
levels were reducing the flow of much needed new investment funds into new commodity production
which had a long lead tine and hence endangering adequate future supplies. They agreed to take
and to promote-action in relevant international forums to secure greater progress in the
negotiations on the implementation of the Resolutions of the Fourth Session of the United Nat~ ions
Conference on Trade and Development and of the Conference on International Economic Co-operation
on the Integrated Programme for Commodities, in which the establishment of a Common Fund is at key
instrument. 21. Heads of Government expressed the hope that the UNCTAD Negotiating Conference on the
Common Fund would reconvene as soon as possible. They undertook to do all they could te facilitate
such an early resumption of the negotiations and indicated their willingness to participate
actively and constructively in then to achieve an early successful ou . tcome.
22. Heads of Government noted with interest the indications of the Government of Australia
of its acce ptance of the need for adequate direct Government subscriptions to a Common Fund, and
for ' other measures' while recognising the need for further examination of the scope of such
activities to be supported by the. Fund.
23. They welcomed the report of the Commonwealth Technical Group on the Commnon Fund as a
constructive contribution to the ongoing dialogue on the subject. They supported the proposal
of the Comronwealth Secretary-General for a meeting of Comronwealth M~ inisters in March to
consider the report with a view to advancing international consensus in the resumed UNCTAD
negotiations on the Fund.
Trade Policy
24. Noting the fundamental importance of freer international trade to economic development,
Heads of Government emphasised the urgent need for a substantial liberalisation of the interniational
. trading systerm within the current multilateral Trade Negotiations. I n this regard,
they stressed the importance of improved access for agricultural products to the major consumer
markets.
Heads of Government expressed their concern over rising protectionism in the industrialised
countries against manufactured goods which countries of the region were wcll equipped to supply.
They were also concerned over the damaging effects of non-tariff and other barriers in trade in
agricultural products which were of major importance to regional countries.
26. They noted that the restrictions in agricultural trade had a doubly adverse effect on
the developing countries in that they reduced the capacity to irport on the part of those
developed countries for whom agricultural exports comprised a high proportion of their export
trade.
27, They urged the key industrialised countries to take the lead In giving effect to the
undertakings which they had repeatedly given in the past to liberalise speedily the conditions
of world trade. In this connection they also referred to the need for the European Economic
Community to devise apprcopriate solutions, as envisaged in the Joint Declaration of Intent, to
the problems of the trade of the Asian developing countries which had arisen as a result of the
enlargement of the EEC.
Industrial Developrrent
28. Heads of Government agreed that accelerated industrialisation of the developing
countries in the region would not only sustain development in these countries but also enlarge
the markets for capital and skill intensive manufactures and services which tile industrialised
countries have the capability to supply. They also noted the crucial role of appropriate
technology in the economic development of the developing countries.
29. They urged the industrialised countries to adopt policies to improve access for
manufactures from the developing countries as rapidly as possible and to facilitate the mutually
beneficial process of increasing the share of the developing countries in a rising world
Industrial production.
They noted that the Commonwealth Team of Industrial Specialists was examining specific
programmes of action to assist developing countries to industrialise, including proposals for
the establish-ment. of a Commonwealth Fund for Industrial Co-operation and Development and a
Centre for Development and Diffusion of Appropriate Technology. They expressed the hope that
the report would be presented at an early date and would identify specific measures for
facilitating industrial development in the developing countries. Noting that the Team's report
would be considered by all Commonwealth members, they agreed to consult thereafter, at an
appropriate time, on ways in which the Comm-onwealth countries of the region might give effect
to any decisions agreed by m~ inisters.
External Debt
31. Heads of Government reaffirmed the importance of enlarging external capital flows on
appropriate termns to the developing countries in order to help them to increase their rate of
economic and social development. In this connection, they reviewed the problems which some
developing countries now experien~ ce in servicing their existing debt obligations. They
recognised that while some developing countries had the capacity to service a higher level of
borrowing, for others, renegotiations of existing debt obligations are now or shortly may be
necessary. They noted that certain donor countries had waived the official debt service
obligation of the least developed countries. They stressed the importance of early
agreement on the appropriate machinery to examine the debt problems of the developing countries.
Official Development Assistance
32. Developed countries at the meeting reaffirmed their commitment to increase their ODA
with a view to reaching the 0.7% target. Recalling that the commitmsent to increase their ODA
towards the target and improve the quality of their assistance was also entered into by other
developed Commonwealth countries, and noting that the developed countries in the region provided
virtually all their ODA on grant terms, Heads of Government renewed the call for other donor
countries to make a parallel effort to improve the volume and quality of-their ODA in accordance
with the UN target; they also stressed the need to enlarge multilateral mechanisms which would
enable developing countries to expand their assistance to each other.
33. In this' connection, Heads of Governm~ ent noted that the economic situation in the
least developed and ' most seriously affected' countries had shown little improvement in recent
years and that in some cases it had worsened. They urged donor countries and international
agencies to commit themselves to a continuing enlargement and a softening of the terms of the
assistance they provide to these countries.
11inan Penourco Development
37. Heoads of Governmecnt attached the highest importance to the development of the human
resources of the countries in the region. They noted the contributions which the developed
and some developing countries were already making in the form of technical assistance and
training facilities for students from the developing countries in the region; they expressed
the hope that this contribution would be continued and enlarged.
Food Produ. ction and RuralDevelopment
38. Heads of Government recognised the crucial role of increased food production and rural
development in the economic development of developing countries. ' While the food supply positicn
had irproved appreciably during the last few years, it wap still inadequate to meet
consumption requirements. They recognised the urgency of expanding food production and also.
recommended that measures be devised to improve marketing, employment and inccmes, as well ais
for the provision of food aid and other basic human needs through rural development. They
agreed that food surplu. s countries together with other donor countries should make special
efforts to ensure world food security. They urged that the Commcnwealth Advisory Group should
report at an early date on concrete measures and practical programmes towards meeting these
objectives. Illicit Drug Trafficking
39. Heads of Government recognised that the illicit drug traffic was a growing problem for
several countries Of the region. They welcomed efforts to suppress the traffic and expressed
the view that these efforts needed to be intensified. They confirmed their willingness to
co-operate with each other on these matters recognisin~ g that the work of international ag~ encies
formed the basis for such regional co-operation. In this context, they agreed that interested
countries should b, invited to participate in a working group of officials to examine the
possibilities for further regional co-operation.
Commonwealth Fund for Technical Co-operation
Heads of Government recognised the important contribution being made by the Comrmonwealth
Fund for Technical Co-operation as a quick and flexible instrument to supplement the bilateral
and other multilateral prograrmmes of technical assistance to developing countries in the region.
N~ oting with a-ppreciation that the region accounted for one third of the Fund's commitments to
all Commonwealth developing countries, they emphasised the importance of ensuring that the Fund
played an affective role in meetin~ g the expanding needs of Commonwealth Governments, so enabling
it to continue to demonstrate in a practical way the ideals of co-operation and mutual assistance,
and to strengthen the -multilateral links among Commohwealth countries and peoples.
SPECIAI. PROnLFmS CF SIMALI, STATFS
41. Heads of Government recognised that special measures and relationships were necessary
to assist small States to realise their development potential. In this connection they welcomed
the establishment of the Pacific Forum Line as an important vehicle for promoting the export:
trade and development of the Pacific Island States. They were also mindful of the important
developmental role played by regional island air carriers thirouh the Pacific and the need to
sustain these cervices economically. The developed and the irdustrially advanced developing
countries agreed to examine ways of meeting the needs of the islands for growing flows of
concessionary finance to improve and operate their infrastructure and develop technical and
professional skills, for technical assistance to enable them to ierive maximum advantage from
their Exclusive Yconomic Zones, and for favourable conditions of access to the markets of the
larger countries for their agricultural and manufactured products.
42. Heads of Government also recognised that the range and complexity of international
issues under negotiation were placing very heavy burdens on the financial and manpower resources
of the small states in the Commonwealth. They acknowledged a collective responsibility to
render special assistance to these countries to enable them to prsue their vital national
interests. Noting that the need for such assistance will grow with the achievement of
independence by a number of very small Commonwealth countries in the years immediately ahead,
Heads of Government felt that systematic programmes of assistance for these countries should be
cstEblished as a matter of priority. Such programmes should be particularly concerned with
the problems of providing the assistance required for international representation and for
support in financial, trade and other negotiations related to the promotion of their
development, and with the wider question of how the Comionwealth collectively might better
serve the needs of its smallest member states. Recognising that many such states were in
other regions of the Commonwealth, they invited the Secretary-General to examine the most
appropriate ways in which such assistance might be rendered on a Comrjonwealth wide basis and
urged him to seek general Commonwealth support for such programmes. They noted the opportunity
which the meeting of Commonwealth Senior Officials later this year would provide in this regard.
Follow up act ion
43. neadu of Government were uatisfied that their Sydney meeting fulfilled the highest
expectations of the discussion on regionalism at the CommonweaILh Heads of Government mecting in
London last June. The-y agrcd that it served to further confirm and strengthen their faith in the..
value of the Cormonwealth generally. They invited their Chairman to convey these sentiments to all
other Heads of Government.
44. With a view to ensuring effective follow-up action on their decisions, Heads of Government
further agreed that:
, The following regional Governments will act as the co-ordinators in respect
of particular decisions involving follow-up action:
Consultative Group on Trade ( paragraph 34) AUSTRALIA
( ii) Consultative Group on Energy ( paragraph 36) INDIA
( iii) Working Group on Terrorism ( paragraph 11) SINGAPORE
( iv) Working Group on Illicit Drugs ( paragraph 39) MALAYSIA
The Secretary-General be requested to:
i) develop and put forward to the Commonwealth Senior Officials Meeting
in Malaysia later this year proposals on special Commonwealth
programmes to assist small states; and
( ii) provide liaison facilities in relation to all follow-up action through
the
a consultant provided by the Secretariat and based in/ South Pacific
Bureau for Economic Co-operation whose duties will include the
co-ordination of all follow-up action, the provision of Secretariat
resources for it as required, and keeping all regional Governments in
touch with developments. The Government of Australia has offered
initial financial support for the Secretariat's follow-up work.
They would meet again at Delhi in 1980 to renew their conversations and to review
progress on the implementation of their decisions at Sydney.
APPRECIATION TO F! OST GOVE. N.! FN,
Heads of Government expressed their warm appreciation of the excellent arrangements
rade for the meeting by the Australian Government. They algo thanked the Australian Go'ernwert
for its unstinted hospitality.