Burundi (Sanctions) (EU Exit) Regulations 2019
Lord Ahmad of Wimbledon Excerpts(5 years ago)
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Lord Ahmad of Wimbledon
That the Grand Committee do consider the Burundi (Sanctions) (EU Exit) Regulations 2019.
Guinea (Sanctions) (EU Exit) Regulations 2019
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Lord Ahmad of Wimbledon
That the Grand Committee do consider the Guinea (Sanctions) (EU Exit) Regulations 2019.
Cyber (Sanctions) (EU Exit) Regulations 2020
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Lord Ahmad of Wimbledon
That the Grand Committee do consider the Cyber (Sanctions) (EU Exit) Regulations 2020.
Bosnia and Herzegovina (Sanctions) (EU Exit) Regulations 2020
Lord Ahmad of Wimbledon Excerpts(5 years ago)
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Lord Ahmad of Wimbledon
That the Grand Committee do consider the Bosnia and Herzegovina (Sanctions) (EU Exit) Regulations 2020.
Nicaragua (Sanctions) (EU Exit) Regulations 2020
Lord Ahmad of Wimbledon Excerpts(5 years ago)
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Lord Ahmad of Wimbledon
That the Grand Committee do consider the Nicaragua (Sanctions) (EU Exit) Regulations 2020.
Misappropriation (Sanctions) (EU Exit) Regulations 2020
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Lord Ahmad of Wimbledon
That the Grand Committee do consider the Misappropriation (Sanctions) (EU Exit) Regulations 2020.
Unauthorised Drilling Activities in the Eastern Mediterranean (Sanctions) (EU Exit) Regulations 2020
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Lord Ahmad of Wimbledon
That the Grand Committee do consider the Unauthorised Drilling Activities in the Eastern Mediterranean (Sanctions) (EU Exit) Regulations 2020.
Economy: Remittances
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Lord Alton of Liverpool
To ask Her Majesty’s Government what assessment they have made of the impact of remittances (1) on the United Kingdom economy, and (2) from the United Kingdom to the economies of developing countries.
The Minister of State, Foreign, Commonwealth and Development Office (Lord Ahmad of Wimbledon) (Con)
My Lords, remittances are a significant source of funds for developing economies and have a positive impact on the UK economy. Money service businesses trade around £1.8 trillion daily through the UK. The World Bank estimates that in 2019 UK remittances totalled around £23 billion, £8 billion more than the UK overseas assistance budget. Remittance payments typically flow to households and increase income and resilience to economic shocks. Let me assure noble Lords that the UK is committed to working with the G7 and G20 to ensure that remittances are sent as cheaply, accessibly and securely as possible.
Lord Alton of Liverpool (CB) [V]
My Lords, with the total value of remittances to low and middle-income African countries three times higher than official development aid—which is now being cut—and with a dramatic Covid-related reduction in remittances in 2020, will the Minister look at the gains that could be made by remittance matching and cutting the 6.5% cost in fees when sending remittances from the UK to meet the UN goal of 3%? Will he also say what the Government are doing to follow up the recommendations in chapter 5 of the International Relations and Defence Committee’s report on sub-Saharan Africa relating to remittances?
Lord Ahmad of Wimbledon (Con)
On the noble Lord’s first point, I can give him that assurance. The cost of transactions for remittances in Q4 2020 stood at 6.48%, which is beyond the SDG target. We will use our presidency of the G7 and G20 in pursuit of that aim. He is right to raise the report, which I have looked at carefully, and the work that needs to be done in that respect. As we said in our response to the International Relations and Defence Committee’s report in September, we are committed to supporting innovative mechanisms that can leverage sustainable sources of finance.
The Deputy Speaker (Lord Faulkner of Worcester) (Lab)
The noble Baroness, Lady Stuart of Edgbaston, does not appear to be on the call, so I call the noble Baroness, Lady Anelay of St Johns.
Baroness Anelay of St Johns (Con) [V]
My Lords, I welcome what the Minister has said so far. What opportunities have the Government identified specifically to support greater access to local secure remittances as a consequence of their work with the World Bank and the UK’s Financial Sector Deepening Africa programme?
Lord Ahmad of Wimbledon (Con)
My Lords, we are committed to working with the World Bank. It is noticeable that the World Bank has talked about the challenge of the decline in remittances. Across the key countries, including in sub-Saharan Africa, we are working to ensure prioritisation of access and looking at more innovative schemes. Last year, as my noble friend will recall, we launched an initiative with Switzerland in this respect.
Viscount Waverley (CB)
My Lords, I offer the Minister an innovative idea, to which he referred. Given the pressure on overseas development budgets and programmes to create growth and employment, might it be time to consider that the global tax system should be turned around and restructured, whereby taxes are not paid to a country where a company is domiciled but remitted to, or shared with, the origin country in which a purchase was placed or a service delivered? Would the Minister conceivably advance this thought to the powers that be as a possible G7 discussion over a Cornish pasty?
Baroness Whitaker (Lab) [V]
While the whole amount of remittances is clearly more than UK aid to developing countries, it is not targeted at national strategic objectives being mainly used for housing and business development. Have the Government been able to make any analysis of the proportion of remittances that went to those sectors, or education?
Lord Ahmad of Wimbledon (Con)
My Lords, the noble Baroness raises an important point. Our priority for remittances has been key countries across the world, in Africa and Asia in particular, and key sectors focused on the most vulnerable. I will write to the noble Baroness with a specific breakdown if that is available.
Baroness Sheehan (LD) [V]
My Lords, the sustainable development goal target is to reduce the transaction costs of migrant remittances to less than 3%. However, the most recent data from Our World in Data tells us that countries in sub-Saharan Africa were, at 9%, paying the highest remittance costs of any region as a proportion of the amount remitted. This is morally repugnant. As well as raising the subject at the G7, will the Minister raise it with his colleagues at the Treasury?
Lord Ahmad of Wimbledon (Con)
My Lords, let me assure the noble Baroness that, in preparation for the G7, we are working across government to ensure that the targets, including the SDG target of 3%, can be met—and we will work to ensure that other countries also commit themselves to that.
Baroness Sugg (Con) [V]
My Lords, acknowledging the significance of remittances is particularly important at the moment, with the global impacts of Covid-19 and as our own development assistance to low-income countries is being cut so substantially, so I welcome my noble friend’s reassurance that this subject will be discussed at the G7. There are many stakeholders who need to be involved in improving the ease and cost of remittances, and some years ago the Government established the Action Group on Cross Border Remittances, chaired by Sir Brian Pomeroy, which brought those groups together. Can my noble friend tell me whether that group continues its important work and, if not, what it has been replaced by?
Lord Ahmad of Wimbledon (Con)
My Lords, I pay tribute to my noble friend’s work in this area. The action group last met in person in 2019. Its current membership and format are under review, and I will, of course, share with her the outcomes of those discussions.
Lord Collins of Highbury (Lab)
My Lords, this issue is, of course, one of the untold benefits of migration. As the noble Lord, Lord Alton, said, it accounts for three times the amount of FDI and ODA flows. Last year, the UN Conference on Trade and Development forecast that ODA and FDI flows will have contracted by 40%. To pick up the point made by my noble friend, what steps is the FCDO taking to ensure that funds that are remitted are turned into productive investment and help pave the way to economic prosperity for all?
Lord Ahmad of Wimbledon (Con)
My Lords, I share the noble Lord’s opinion. Indeed, in my own family, when my father first arrived in the early 1950s, remittances were an important part of supporting his family in the sub-continent. In answer to the noble Lord’s specific point, remittances have been shown to be more resilient than, for example, capital flows—but they also tend to be countercyclical. As for the specifics of where they are going, they are aimed at the most vulnerable; as I said, there is further information on the sectors available, and I will share that with him.
Lord Hastings of Scarisbrick (CB)
My Lords, the Minister has admitted how vital remittances are to individual communities and families. Yet most of that money is used on basic purchasing and family needs. Will the Government look at exploring the possibility with the banks both here and there—wherever “there” is—a holding pools investment strategy to make money from the money while it is being transferred, and pre-transfer, and put that into jobs, trade and infrastructure? Will the Minister meet me to discuss this?
Lord Ahmad of Wimbledon (Con)
Of course, I look forward to meeting the noble Lord on that last point. We are looking at particular processes, especially in countries such as Ghana, Nigeria and Somalia, and I am sure that will form the basis of our discussions.
Lord Risby (Con) [V]
My Lords, does my noble friend agree, particularly in current circumstances, that it would be desirable to have an international drive to scale up digital solutions, complete with the integration of fintech, if we are to be more innovative in facilitating less costly cross-border transactions?
Lord Ahmad of Wimbledon (Con)
My Lords, I agree with my noble friend. The UK supports the Financial Stability Board’s work to enhance cross-border payments, and we will work through the ambitions set at the last G20. I have alluded to the work of the G7; as I said, the UK encourages innovative fintech solutions connecting cross-border mobile wallets, because it is much easier and cheaper to send remittances in that way. We support that objective.
Lord Oates (LD)
My Lords, the Minister will be aware of the figures showing a very significant reduction in the level of remittances, and the wider impacts of coronavirus on the economies of lower-income countries. In light of those figures, can he conceive of a worse possible time for the Conservative Party to decide to betray its manifesto commitment on 0.7%, when the poorest people in the world are in the greatest need?
Lord Ahmad of Wimbledon (Con)
My Lords, on the noble Lord’s last point, we have had various discussions on the announcement made on the reduction in ODA. As I have said before from the Dispatch Box, we will look to return at the earliest opportunity to 0.7%—but the fact is that we will still be spending one of the highest sums of any G7 country, amounting to £10 billion, on our ODA commitments. Equally, on the subject that we are discussing today—remittances—we are working, and indeed leading the world, in innovative solutions to reduce the cost of transactions and increase the number of remittances. As I said in my original Answer, remittances far outweigh ODA in developing parts of the world. Our eight countries of priority reflect the very objectives of our ODA spend, which is helping the most vulnerable around the world.
The Deputy Speaker (Lord Faulkner of Worcester) (Lab)
My Lords, all supplementary questions have been asked, and we now move to the next Question.
Burma: Military Coup
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Lord Alton of Liverpool (CB)
My Lords, in begging leave to ask the Question standing in my name on the Order Paper, I declare that I am vice-chairman of the All-Party Parliamentary Group on Democracy in Burma.
The Minister of State, Foreign, Commonwealth and Development Office (Lord Ahmad of Wimbledon) (Con)
My Lords, we wholeheartedly condemn this coup. The military seizure of power, detention of the State Counsellor and other political and civil society leaders, and attempts to undermine the legitimacy of recent election results are totally unacceptable. We are pressing for confirmation of Aung San Suu Kyi’s safety, the urgent release of civilian leaders and the peaceful reconvening of the national assembly. The results of the 2020 election must be respected.
Lord Alton of Liverpool (CB)
My Lords, I welcome the statement that the Minister has just made to the House. He is right robustly to condemn the military coup in Burma and the incarceration of Aung San Suu Kyi. However, will he go further? What steps have Her Majesty’s Government taken to make it clear to the military that, unless it reverses course, respects the election result, releases those who have been arrested, reinstates Ministers and returns to a constitutional parliamentary system, engaging in dialogue with the National League for Democracy to chart a peaceful course towards political progress in Burma, the UK will impose robust targeted sanctions not only on military leaders but on military enterprises and assets?
Lord Ahmad of Wimbledon (Con)
My Lords, on the noble Lord’s final point, he will be aware that the UK, along with other European partners, led on the sanctions that were imposed. Indeed, the current head of the military and his deputy have sanctions against them. Let me assure the noble Lord that we are looking at all actions. Later this afternoon we are convening, as president of the UN Security Council, an emergency meeting on the situation in Myanmar, and we are also talking to allies quite directly about further steps that can be taken.
Baroness Nye (Lab) [V]
My Lords, the Burma Campaign UK, in which I declare an interest as a board member, has received many messages from within Burma for concerted and robust international action. The Minister will know that the Magnitsky sanctions do not target the financial interests of the military but are, effectively, a holiday ban for 16 generals during the pandemic. Will the British Government join the new Biden Administration in the US and review our policy on economic sanctions as well as supporting a ban on all, but especially British, companies doing business with companies owned by the military, and work towards a coalition on a global arms embargo?
Lord Ahmad of Wimbledon (Con)
My Lords, let me assure the noble Baroness that we are working closely with our allies, including the United States, in this respect. I have already outlined the first action that we have taken as president of the UN Security Council. On the issue of the international arms embargo in Myanmar, let me also assure the noble Baroness that, at the end of the transition period, the specific restrictions that applied as part of our membership of the EU were rolled forward into domestic law. Of course we will consider any further action that needs to be taken in this respect.
Baroness Northover (LD)
My Lords, the military coup in Myanmar is hugely worrying, so can the noble Lord say more about how the Government are building a coalition of countries willing to impose embargos, as others have mentioned, and sanctions, and also protection for the Rohingya, who will now be in even greater danger, including by joining the genocide case at the International Court of Justice?
Lord Ahmad of Wimbledon (Con)
My Lords, on the noble Baroness’s final point, of course we are very supportive of the action at the ICJ, and we are looking at the situation of a formal intervention. Myanmar was supposed to come back in January, I believe, with its challenge to the action. We have not yet been formally been told of that, but I understand that it has been put in by Myanmar. In terms of international coalitions and actions, as I have already alluded to, we are working with international partners and directly with the Myanmar Government—yesterday my honourable friend the Minister for Asia summoned the Myanmar ambassador to convey the sentiments that I expressed in my original Answer.
Lord Sarfraz (Con) [V]
My Lords, I have spoken to several people in Myanmar who are now terrified of what lies ahead. Could my noble friend reassure the House that Her Majesty’s Government will use all the tools at their disposal and keep all options on the table to ensure that the Rohingya and other minorities in Myanmar are adequately protected? These include the ongoing ICJ action but also the ICC action, the universal jurisdiction case and working constructively with those countries that have influence over Myanmar’s military.
Lord Ahmad of Wimbledon (Con)
My Lords, I can assure my noble friend that we are working as he has suggested. Among those that exert the greatest control over the military authorities in Myanmar is China, and it is important that China, as an important member of the international community, also recognises the election and that the civilian Government should be restored to their position of government as soon as possible. On the issue of the Rohingya, which the noble Baroness, Lady Northover, mentioned, we will of course keep that at the forefront of our considerations as penholders, and I am looking to engage with Bangladesh on this important issue hopefully later this week.
Baroness Cox (CB) [V]
My Lords, is the Minister aware that I visited Burma many times to provide aid and advocacy for ethnic minorities suffering offences by the Burmese army? Just today, I have spoken to colleagues inside Burma, who report continuing attacks by the Burmese army in Kachin, northern Shan and Kayin states, with thousands of displaced people. My colleagues’ urgent requests are for the international community to engage directly with leaders of ethnic groups and for aid to be sent across borders to them and to NGOs working with them, as aid sent to the Government will not reach those in greatest need. Will the Minister give some reassurance regarding these urgent and serious requests?
Lord Ahmad of Wimbledon (Con)
My Lords, the noble Baroness and I have often spoken about these important issues. In light of the coup, the Foreign Secretary has today announced a review of all support, including that sent to the Myanmar Government, with a view to suspend it unless, as the noble Baroness has suggested, there is direct exceptional humanitarian reasons not to do so. We will be working with people and NGOs on the ground to ensure that vital humanitarian access.
The Lord Bishop of St Albans [V]
My Lords, many of us have spoken out over recent months for the protection of Rohingya Muslims. There is a deep worry at the moment that the Government of Bangladesh may continue their repatriation of the refugees. Are Her Majesty’s Government talking with Bangladesh? Also, what are the prospects for freedom of religion or belief, not least for the Christian minorities in the country, who are under threat at the moment?
Lord Ahmad of Wimbledon (Con)
My Lords, on the issue that the right reverend Prelate raises of freedom of religion or belief in Myanmar, the situation is, frankly and very candidly, dire—there is no other word that I can use for that. On the situation with Bangladesh, as I have already alluded to, we are looking to engage directly with the Bangladeshi authorities, but equally they have stated their support for the democratically elected civilian Government.
Lord Collins of Highbury (Lab)
My Lords, the Government’s decision to bring forward a UN Security Council meeting is very much welcome, and so is the announcement by President Biden that his Administration are considering sanctions. Obviously, I hope that we will be working closely with the US and other allies on this matter. It is vital that the international community imposes the toughest kind of sanctions, including on the enterprises owned by the generals and their families, because it is that network that will have the real big impact. I hope that the Minister will reassure the House that we will do that and get collective international action.
Lord Ahmad of Wimbledon (Con)
My Lords, I can assure the noble Lord that we are working closely with our allies in this respect. We will look at a range of measures, with the aim of ensuring that the wishes of the Myanmar people are fully respected, including for the release of civil society leaders. We also want to consider measures that move us towards that end. It is a fluid situation, but we are establishing the exact facts on the ground. I assure the noble Lord that we are working very quickly, as demonstrated by our convening of the UN Security Council.
Lord Dholakia (LD)
My Lords, the Minister has rightly mentioned our term in the rolling presidentship of the UN Security Council, where it is possible that the matter will be discussed today. While there is hardly any good word to say about Aung San Suu Kyi, given the way that she has behaved on the expulsion of Rohingya Muslims, there is hardly likely to be any co-operation from the countries of the Pacific zone; China and some neighbouring countries have already made comments that are not very helpful. Has the Minister had any discussion with the countries of the European Union about whether a targeted action can be taken at this time, as with the two generals?
Lord Ahmad of Wimbledon (Con)
My Lords, on the noble Lord’s last point, there is already concerted European action—specific sanctions on both the general and his deputy. On the wider point on Aung San Suu Kyi, he is quite right that we have had challenges and we have expressed deep regrets, through interactions by the current Foreign Secretary and his predecessors, about her lack of condemnation of the situation of the Rohingya. Nevertheless, she is the civilian elected leader, and she should be restored. My right honourable friend the Foreign Secretary was due to speak to her on that very issue later this week, but, of course, that is not taking place at the current time.
Lord Marlesford (Con) [V]
My Lords, I was working in Burma in 1962 when General Ne Win took over the Government. At that time, the Burmese military were completely naive; they asked a friend of mine in Rangoon University to draft them a manifesto, which he called The Burmese Way to Socialism, but we ended up with more than 40 years of what was, in fact, fascism. Does the Minister recognise that that is the danger now, and will he try to get the United Nations Security Council to recognise this in approving an appropriate resolution? Normally, Russia and China might be hesitant to support it.
Lord Ahmad of Wimbledon (Con)
My Lords, my noble friend’s personal insights are valuable. Indeed, I recall visiting Myanmar just after the first election and what he talks about—the lack of governance, the inexperience of state institutions and the inability to govern effectively—was very clear to me. I take note of what my noble friend says and, of course, today’s meeting is focused specifically on Myanmar.
Lord Kilclooney (CB)
My Lords, first, is not the failure of the Chinese Government to criticise and condemn the military takeover in Myanmar shameful, and a warning to neighbouring nations, such as the Philippines, Indonesia, Taiwan, Japan and South Korea, about China’s attitude towards democratic nations? Secondly, in most elections there are external observers. Were there external observers for this election in Myanmar? The army is using the excuse that it was an unfair election. If there were external observers, was their report favourable or unfavourable?
Lord Ahmad of Wimbledon (Con)
My Lords, I note what the noble Lord said about China. We appeal to China, as a member of the international community, to ensure that the democratically elected Government are restored to their position of governing the people. The 2020 elections were an important milestone on Myanmar’s path and were monitored by international and local observer groups.
Baroness Whitaker (Lab) [V]
My Lords, following the questions of the right reverend Prelate the Bishop of St Albans and several others, can the Minister confirm that the Government of Bangladesh have definitely undertaken not to send Rohingya people back to Myanmar while they are at risk?
Lord Ahmad of Wimbledon (Con)
My Lords, I can assure the noble Baroness and the whole House that in all my interactions as Minister for South Asia with the Bangladeshi Government I stress that the voluntary, safe and dignified return of the Rohingya community is paramount on any ask that they make. They have again been reassuring on that point. I have not spoken to them specifically over the last day or so, but I am seeking urgent engagement on this very point.
Lord Mackenzie of Framwellgate (Non-Afl) [V]
My Lords, I congratulate the Minister on his robust response to the Question of the noble Lord, Lord Alton. This outrage is rightly condemned and the world should unite in calling it out. Is there any point in raising this assault on democracy in the Security Council, as has been said, given the lukewarm response so far from China and Russia? Listening to the reports of the overthrow of this democratically elected Government in Burma, the reason given was that the election last November was rigged. I racked my brains to remember when I had last heard this reason and, of course, I recalled that in the United States, the symbolic seat of power was attacked. Does the Minister share the thought that, facing a clear defeat, the tactic of alleging a fraudulent election comes straight from the playbook of the former President of the United States in exactly the same month of 2020?
Lord Ahmad of Wimbledon (Con)
My Lords, I shall not comment on all the questions raised by the noble Lord. I agree with him, but I also believe that it is important we have a UN Security Council debate on this.
Lord McConnell of Glenscorrodale (Lab)
My Lords, on an additional, very serious point, I visited Myanmar just before the previous set of elections, and there was deep worry on the ground that, should there be uncertainty and instability after the election at that time, the people who would suffer most would be those who need, for example, international supplies of HIV medication and that sort of humanitarian support. So, will the Government, in their discussions at the UN Security Council, look not just at the democratic and constitutional issues at stake here but ensure that the UN agencies that provide humanitarian support inside Myanmar are able to continue to do so during this crisis?
Lord Ahmad of Wimbledon (Con)
My Lords, first, in terms of direct financial aid to the Myanmar Government, as the noble Lord will know, we do not provide any such support. We do provide, as he is aware and rightly articulates, targeted support, working through international organisations and multilateral bodies. As I said earlier, in light of the coup the Foreign Secretary has today announced a review of all indirect support involving the Myanmar Government. However, we retain the importance, as I said earlier, of humanitarian aid getting through and will continue to work on that basis.
The Deputy Speaker (Lord Duncan of Springbank) (Con)
My Lords, despite it being a near-run thing, noble Lords managed to ask all the questions in this allocated slot. We are not going to adjourn, but we will take a small breather to allow people to move in and out of the Chamber.
The UK’s Relationship with the Pacific Alliance (International Relations Committee Report)
Lord Ahmad of Wimbledon Excerpts(5 years ago)
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The Minister of State, Foreign, Commonwealth and Development Office (Lord Ahmad of Wimbledon) (Con)
My Lords, I join other noble Lords in thanking my noble friend, Lord Howell, for tabling this important debate on the Pacific Alliance, and the International Relations Committee on its excellent report on this subject. I join others in paying tribute to it.
The noble Lord, Lord Hannay, and others, including the noble Baroness, Lady Quin, raised the delay between the publication of the report and the debate today. I followed up on this specifically, in preparation. The government response was not delayed; it was issued on 2 September 2019. Where the challenge has been is in the tabling of the debate, and I shall take that point back to see how we can make a much more effective response in terms of the timing of a debate on a report that has been produced. I think we all accept that last year was an incredibly different one for all of us, not least for the parliamentary authorities. Nevertheless, there is always the point that we can do better—and certainly I take the point on other debates. I shall reflect on that and ensure that we can do this in a more efficient manner. Of course, I look forward to discussions through the usual channels on tabling these debates in a timely fashion.
As the Minister for reassurance—it can be added to my portfolio after today’s debate—I reassure noble Lords that, as I go through my comments, I shall be able to provide some detail behind some of the strengthening of our relationships with these important countries. As the noble Lord, Lord Bilimoria, and others have said—my noble friend Lord Kirkhope also alluded to this—this is part of our broader global Britain strategy. Indeed, as we look towards the Pacific, one major area of my focus as the Minister responsible for south Asia has been on our Indo-Pacific strategy across all areas, many of which noble Lords have touched on. Those include issues of security, including maritime security, which was an area that was focused on, to ensure that we regard the Pacific as an important partner as we build global Britain’s strength. We will continue to work with partners across the Pacific in strengthening this. Indeed, our wider alliances include our application for dialogue status in ASEAN, the fact that we now have a post in Jakarta and an ambassador specifically to ASEAN underlining the important broader focus that the United Kingdom Government attach to our relationships in that region.
In response to the noble Lord, Lord Wallace, I think we have all recognised the challenge but also the opportunity presented with the new trade agreement with our partners within the European Union. We will continue to work closely with our friends and partners in the European region, with a broad set of priorities, in the context of some of the areas of trade that we have talked about as well as broader issues of security and human rights. That will continue, and it should not be perceived as a detriment in any way that there is an opportunity to strengthen relationships elsewhere.
When the committee wrote this report 18 months ago, as many noble Lords have reflected, nobody had an idea of how our world would be turned upside-down by the pandemic. It is shocking to think that it is almost a year since we went into that first lockdown, and how the world has changed. Thanks to the incredible efforts of our scientific community, we can see the light at the end of the tunnel—but for now we continue to suffer devastating loss of life and severe economic impacts, both here in the UK and, indeed, across Latin America.
The noble Lord, Lord Purvis, in his excellent summing up, talked about the importance of the security narrative, strengthening our partnerships with countries across Latin American and the Pacific. I stand by that; when we look at the issues of the pandemic, as my right honourable friend the Prime Minister has said, we went into this together—and the way to come out of it is by working collaboratively together. In that regard, the ravages of the pandemic have only strengthened the need for co-operation with our friends and partners. The only way in which to defeat this virus and be ready for future pandemics is by working together with transparency and good will.
In this regard, my noble friend Lady Anelay talked about the Prime Minister and the new appointment of my noble friend Lord Frost. She asked an obvious question about strengthened co-operation, and I think it bodes well for the strengthened focus on international relationships and trade partnerships in post-Brexit Britain that the Prime Minister has appointed my noble friend to this role. As the noble Lords, Lord Purvis and Lord Collins, said, it is about the importance of each tenet of diplomacy, defence and development in our approach to global Britain.
So what are we doing? In recent months, just on the Covid pandemic—to reassure the noble Lords, Lord Hain and Lord Boateng, and the noble Baroness, Lady Goudie—my honourable friend Minister Morton has co-hosted a series of seminars on equitable access to the vaccine with countries including Mexico and Chile, both members of the Pacific Alliance, as well as Argentina. Notwithstanding challenges domestically, the United Kingdom has committed £548 million to the COVAX facility. We continue to stress the importance of all countries signing up to that important instrument. These events brought together country experts and Ministers with a multilateral health system, as well as development banks. That illustrates how we are working to tackle the sheer threat as partners.
I also assure the noble Lord, Lord Boateng, that the important issues that he raised, particularly on SDG 5, continue to be a primary focus for the FCDO. I shall talk about Colombia in a moment, and he will see the important work that we have done in that respect. In the Government’s response to the committee’s report, we agreed that Latin America is an increasingly important partner for the UK’s global ambitions. It is one of the most naturally aligned regions in terms of UK values. As my noble friend Lord Howell said, we continue to work, and should strengthen our work, within those regions and should leverage the opportunity presented by our current role as Chair-in-Office of the Commonwealth. I shall explore how we can do that further, as the current Minister of State for the Commonwealth.
I reassure the noble Viscount, Lord Waverley, as well as other noble Lords, including the noble Lord, Lord Purvis, who talked about high-level contact: they may recall that the first visit that my right honourable friend the Foreign Secretary made after his appointment on 8 August 2019 was to Mexico. There were challenges for Foreign Ministers during 2020; we have perhaps not been travelling in the way we did. However, I am sure that normal service will be restored in good time, and we will have further debates in this regard. Our commitment to the region has not changed.
The noble Lord, Lord Collins, rightly raised the important issue of climate change. Nowhere do we see that commitment more than in our shared efforts to combat climate change. Latin America is one of the most biodiverse regions in the world, and many countries in Latin America are among those most determined to do what they can to make a difference. Our Pacific Alliance friends are the most ambitious in that regard. Specifically, we are presidents of COP 26, but it was Chile that had the presidency of COP 25, and we are working closely with Chile on co-operation and international discussions.
I turn to our relationship with the Pacific Alliance. As several noble Lords said, our status within the alliance is as an observer state, and we are in good company; 59 countries in total have that status. As noble Lords would expect, as such close partners we are one of the most active and share a joint programme of work across many priorities. The noble Lord, Lord Purvis, and the noble Baroness, Lady Falkner, asked about associate membership. What I can share is that our primary focus on our international arrangements in that part of the world will be initially on the CPTPP. By the way, I was rehearsing that with my nine year-old to see who could say it faster five times over without tripping over it, and I fear that he beat me by a few seconds. However, we will get used to it.
The important thing is that the announcement made by my right honourable friend the Trade Secretary underlines our commitment to the region. In spite of the pandemic and the obvious constraints that it has caused, we had a fruitful relationship with the Chilean presidency, which handed over to Colombia in December. Since the committee published its report, our co-operation with the Pacific Alliance as a group has focused on both finance and education—points well made by several noble Lords, including the noble Lords, Lord Collins and Lord Purvis, in their summing up.
I will give a few other examples. Noble Lords mentioned the importance of fintech. We have worked together in that respect on the development of the environment and regulatory best practices across the alliance, which is crucial for financial inclusion. In the area of education, we launched the English network of the Pacific Alliance with the British Council. I hope that that reassures the noble Lords, Lord McNally, Lord Hain and Lord Purvis—in my capacity as Minister for reassurance—about our continued commitment to the importance of the English language and soft power as we work with countries in the Pacific Alliance on improving English language skills and creating more opportunities. Indeed, I believe that in Peru the British Council reopened in 2015.
Trade was, rightly, a key area of focus. Trade has also continued to flourish. It is an area of huge potential for British business. As we have already heard, Latin America and the Caribbean have a combined GDP of over $5 trillion and their population is 650 million people. Of course, this growth comes with the 21st-century challenges of climate change, delivering inclusive and sustainable development, and building back better from the pandemic. We are supporting British businesses to become partners of choice in the region.
We were reminded by the noble Baroness, Lady Falkner, of the importance of fintech and the broader service sector. Between 2010 and 2019, total trade in goods and services between the UK and Latin America and the Caribbean increased by 17%. In the year to quarter 2 of 2020, it was worth nearly £30 billion. While Covid-19 has undoubtedly affected recent performance, total trade in goods and services between the UK and the Pacific Alliance countries was worth just shy of £10 billion in 2019. In under two years, the UK has secured trade continuity deals with Mexico, Chile, and the Andean countries Colombia, Ecuador, and Peru worth more than £10 billion of trade in 2019. Agreements have also been signed with other countries in the wider region, including South Korea. Currently, we are in discussion on FTAs with New Zealand and Australia.
In addition, the UK is working with Pacific Alliance partners to implement these agreements and has committed to start negotiating a new and ambitious free trade agreement with Mexico later this year. I will again address the point raised by my noble friend Lady Gardner of Parkes: we are ensuring that all sectors are included in this and we recognise the value of the tourism sector, which her contribution demonstrated.
In addition to these continuity agreements, and to further support our bilateral relationships, we have established a series of dialogues with regional partners to boost the trade environment. The inaugural UK-Colombia trade dialogue took place in July 2020, where Ministers agreed to ensure that free and fair trade supports a green and resilient recovery. At the inaugural Anglo-Chilean trade dialogue in October 2020, Ministers also reaffirmed their ambition to increase trade in important sectors such as infrastructure, financial services and life sciences. Other vital work is being done, for example on the issue of double taxation agreements between the UK and Colombia. I am sure my noble friend Lady Hooper, and the noble Baronesses, Lady Falkner and Lady Quin, will be reassured by the importance we continue to attach to fintech. We also believe that the double taxation agreement provides a good basis to allow for greater legal certainty for the UK’s brilliant financial services sector.
The noble Baroness, Lady Quin, the noble Lord, Lord Grocott, and my noble friend Lord Empey, among others, raised the important issue of trade envoys. The noble Lord, Lord Truscott, also talked of co-ordination in this sector. In the interests of time, I will respond later to the noble Lord, Lord Grocott, with a full list of trade commissioners currently working across the world. As we have already heard, we have appointed trade envoys to some of the countries in this particular region. My noble friend Lady Hooper is doing a sterling job with her responsibilities.
On co-ordination, I assure the noble Lord, Lord Truscott, that Her Majesty’s trade commissioners co-operate very closely with Her Majesty’s ambassadors and high commissioners in each country. Indeed, we work very closely across government, at Westminster and in post, to ensure that level of co-ordination and strategic approach. Many will know about Jonathan Knott, who is the new trade commissioner for Latin America, and the Prime Minister’s trade envoys, including my honourable friend Mark Menzies, who covers certain countries in that region. Although it is the Prime Minister’s call, we are looking towards Mexico in the near future in this respect as well.
Mexico, Peru and Chile also form part of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. I say to my noble friend Lord Trenchard, who said that he was going to withdraw from this debate, that when I first heard the acronym CPTPP it was during a Question a couple of years back, I believe, on this very issue. I was very grateful for him for introducing that, and in time I am sure we will all get used to the acronym and be as efficient as my nine year-old in pronouncing it.
Nevertheless, the UK’s accession to the CPTPP is a priority for the Government this year. I feel the noble Lord, Lord Bilimoria, stole my thunder somewhat, but I am pleased to say that today we are submitting our notification of intent to begin the accession process. I hope this also provides the focus requested by the noble Lord, Lord Hain, on the importance of cementing our relationship with the region, which has an increasingly influential trade network of 11 dynamic economies in the Indo-Pacific and Americas region that already account for 13% of global GDP and will rise to 16% with our accession.
I would like to spend the few moments that I have left outlining the importance of our broader relationships with the four countries within the Pacific Alliance. First of all, to assure the noble Lord, Lord Hannay, and others, we are working very closely with the Pacific Alliance countries on issues of climate and COP 26. I would argue that our continuity trade agreements are not a standstill moment but rather add the basis of continuing our strong trade agreements to look to see how we can strengthen our relationships further. It was our work on climate which has, for example, allowed various countries to make quite ambitious commitments on NDCs, and that is something to be celebrated.
The noble Baronesses, Lady Blower and Lady Goudie, and the noble Lords, Lord Browne and Lord Collins, among others, talked of Colombia. We have collaborated closely with Colombia for more than 30 years on issues of security and anti-narcotics work. In recent years, our relationship has broadened significantly. The noble Lord, Lord Boateng, will be pleased to know that we work very closely on issues of women’s empowerment. As with other Pacific Alliance countries, Colombia shares the UK’s ambition when it comes to tackling climate change and deforestation and is a close regional partner. Ahead of COP 26, Colombia has already announced a very ambitious NDC of 51%.
We have also worked very closely with the Colombian Government to help implement the 2016 peace agreement and to improve and protect human rights, as the lead country on the subject at the UN Security Council. Challenges remain, but no one can doubt the vast progress that has been made. I wish to put on record my sincere thanks to the noble Baroness, Lady Coussins, for her continued work with Colombia, and for her valuable insights in helping me plan for my virtual visit to Colombia. It was a positive and collegiate experience, and I was able to appreciate the depth of our relationship.
Chile is another remarkable country: a consolidated democracy which champions free trade. Chile was the first country to conclude a trading agreement with the UK as we prepared to leave the EU. As with Chile, we have also worked closely with Mexico on access to vaccines and across various areas, including various SDGs. I hope the noble Viscount, Lord Waverley, will take note of the important role we attach to Mexico. The noble Lord, Lord Collins, mentioned our relationship specifically on issues of press freedom. Indeed, I have already reached out on that very issue, when it was announced that Mexico would become a member of the UN Security Council.
Finally, Peru is another likeminded partner working across the full range of UK trade, climate and values priorities. The breadth of our relationship sees the UK providing equipment and mobile hospitals to help the Peruvian healthcare sector. The noble Lord, Lord Purvis, talked about the importance of transport links in this respect. I have a sister-in-law who is originally Peruvian, grew up in Peru and works in the airline sector, so I assure the noble Lord that the lobbying in that respect is very clear within the Ahmad household. I assure him in my final few moments that human rights remain high up my focus as Human Rights Minister, and I say to the noble Lords, Lord Hain, Lord Browne and Lord Collins, and the noble Baroness, Lady Coussins, that these will remain a focus. Let me assure the noble Lord, Lord Alderdice, that the point he made on indigenous people is well read, and I will certainly reflect on that. I assure my noble friend Lady Anelay that the Ruggie principles remain focused in our mind.
As a final point, on the issue of visas, I ought to say to the noble Baroness, Lady Coussins, the noble Lord, Lord Purvis, and others, that I have of course noted the points which have been made. The Government are engaging with a wide group to hear the priorities, concerns and ideas about how future border and immigration systems can work.
I am really grateful to all noble Lords for the debate that has taken place but particularly to the noble Lord, Lord Howell, for tabling the Motion. Important issues looking to the future, including the issue of Chevening scholars, are well made. I assure the noble Lord, Lord Boateng, and others that we remain very much committed to the next generation and continue to invest in Chevening scholarships, which I believe have tripled from that part of the world in recent years.
Looking to the future, we will continue to work with countries across the Pacific Alliance in areas of shared interest. Much will depend on what we want to achieve and where our priorities lie, but what is certain is that the four countries of the Pacific Alliance both around and beyond the Pacific Alliance will remain important friends, and we look forward to strengthening partnerships with all those countries as part of global Britain.