PRESS BRIEFING WITH KLAUS SCHWAB

WORLD ECONOMIC FORUM

with Peter Sutherland (Chairman and Managing Director - Goldman Sachs-UK)

Was the Director General, GATT, 1993, Director WTO on its creation, Chairman of BP)

JV:

Professor, I have covered a number of conferences. When I was at the UN, I thought the power was at the UN, then I went tot he IMF/WB and I thought the power was there, then I went to IOSCO and I thought perhaps, however, its here in Davos.

I have been piece together the evolution of what you are trying to do in the world in facilitating through business or partnership a bridge between business and government. In the 180's we had de-regulation which I think led to globalization facilitated by technology and now we have corporate governance and this appears to be through public-private partnerships. How does what this initiative is doing differ from The Prince of Wales Business Leaders Forum which is basically setting up public-private partnerships in third world countries to facilitate development?

Klaus Schwab:

Let me take up the first part of your question. The power is not here because its the World Economic Forum. The power is here because you have the UN, WB/IMF and the business community here (JV: You brought it together) SCHWAB: We are just the framework for bring everybody together. I just wanted to make this point very clear because as you know we are new tool and I stress fully, an INTEGRATOR AND CATALYST IN TAKING THE INITIATIVES TO DEVELOP THIS FRAMEWORK EVEN FURTHER AS WE HAVE DONE.

As far as your second question is concerned, maybe Mr. Sutherland can also comment on it, as far as I now, we have had good cooperation with the POW group and are usually represented here. They are concentrating on very focused and down to earth projects where this initiative tries to establish the framework for partnership at the policy making level.

Sutherland: I think that is right and certainly both are complementary. The Prince of Wales Business Leaders Forum is represent here. One is very projects specific and this is to provide the basis for Forum dialogue which doesn't exist [between government and industry].

JV: Who is the representative from the POW? JV: Prince Henry

Sutherland: No, No it is not Prince Henry -

Schwab: It is their executive head.

JV: Davies?

Schwab: Sir Martin Lane is very much involved.

Schwab: emphasize the innovative nature of this council. It is the first time the interface as Sutherland between the business the community and the UN system, the international organization has been established. I want to emphasize one fact. When we started, I what was for me the best surprise, I was very doubtful about how the business community would react, especially, how the American business community would react in view of the relatively critical approach the American public is taking in general towards the UN system. When you look at the list you will see all of the top American organizations are represented by the top men. I think that is quite an achievement and shows all the more the need for this organization.

JV: Professor Klaus, I have a follow-up question. The Consultative group, the UN has been looking to add a people's assembly that would be representative of parliamentarians, the business community, I am told it is in the process of being set up through the Commission for Sustainable Development. Is this the same?

NO - It is a much more representative organization from the business side. We had invited the council for Sustainable Development to be part but for --no they were present. Yes, Mr. Stigson was present.