Diplomatic handbook

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The major cause of global warming is judged to be the use of fossil fuels - oil, lignite, coal, and wood - mainly in industry, transport and the generation of electricity, but also for domestic purposes; but reservations in respect of the use of nuclear fuels prevent serious reduction of the output of carbon dioxide. Funds for the reduction in growth of global warming gases are to be made available by donor countries through the Global Environment Facility, a joint organisation of the World Bank, the United Nations Development Programme and the United Nations Environmental Programme.

 

 

 

3. BIODIVERSITY

 

The relatively recent discovery of DNA has opened up the field of genetic engineering, with its prospects of worldwide benefits especially in medicine. Bio-technology, however, is dependent upon the preservation of biodiversity - the vast number of different forms of life existing on the planet - and the ability to have access to such sources. These two matters - preservation and access - more particularly the financial basis on which access is permitted, were the subject of the Convention on Bio-Diversity signed at the 1992 Earth Summit in Rio de Janeiro.

 

 

 

4. THE PRESERVATION OF FORESTS

 

The preservation of forests - particularly the rainforests - is seen as the major element in the maintenance of biodiversity, and their diminution or destruction would, in addition, undoubtedly result in a change of influence of the world's climate and accentuate the problem of soil erosion.

 

The origins of the 1992 United Nations Conference on Environment and Development, the 'Earth Summit', are to be found in an instruction from the Secretary General to create a World Commission on

 

'how the human species could make economic

progress within nature's strict laws'.

 

It would be hard to find words that more precisely sum up the essence of the problem that diplomats have to face. The 1992 Earth Summit produced a non-binding Earth Charter and Agenda 21 with excellent intentions, but supreme diplomatic skills will be necessary if the imperative of economic progress is to be reconciled with the inflexibility of nature's strict laws. In the meantime it may be noted that, according to the UNFPA, within twenty years more than half of the world's ever-increasing population will be urban dwellers, thus increasing pressure on water resources, waste disposal and other potential hazards to the environment.

 

 

 

Appendix E

GLOSSARY OF DIPLOMATIC,

CONSULAR, LEGAL AND

ECONOMIC TERMS

 

 

 

above the line payments and receipts, payments and receipts contained in that part of the government's budget dealing with expenditure to be met out of revenue raised mainly from taxation

abrogate, to annul, revoke (e.g. a treaty)

ad hominem, on an individual basis

ad interim, temporary; during the intervening period of time

ad referendum, subject to confirmation

ad valorem tax, a duty imposed on goods in proportion to their value, i.e. a duty expressed as a percentage, and not a specific amount

amortisation, the gradual repayment of a debt by means of a sinking fund annexation, the acquisition by a state of additional territory

appellation d'origine, the name given to a commodity indicating its place of origin

arbitration, the judgment of a dispute by an agreed third party, the matter to be resolved on the basis of international law, and the decision to be binding on the parties concerned

autarky, self-sufficiency (e.g. national economic self-sufficiency)

autocracy, government or control by a single person

balance of payments, the relation between the payments of all kinds made from one country to the rest of the world and its receipts from all other countries

balance of trade, the relationship between a country's merchandise imports ('visible imports') and its merchandise exports ('visible exports'). It excludes current payments and receipts for services and capital account items

bank rate, the minimum rate at which a central bank will discount firstclass bills

basket, a jargon term, first popularised at the meetings of the Conference on Security and Cooperation in Europe, to refer to a grouping of items or subjects. In financial circles it refers to a collection of different currencies

becquerel, unit of measurement of radioactivity

belligerency, a term of legal significance to describe a particular state of aggression

below the line payments and receipts, payments and receipts contained in that part of the government's budget dealing with capital items

bill of exchange, an order for the making of payment, mainly used in international trade. A term bill may not be payable until, say, ninety days after acceptance; a sight bill is payable upon acceptance

bill of lading, a document of title to goods received for shipment

bonded warehouse, warehouse in which dutiable articles may be stored without payment of duty until they are withdrawn

Bourse, the Paris Stock Exchange and money market; term widely used for similar institutions in other countries

boycott, the refusal to do business with a state (or person)

broker, an intermediary between two or more persons engaged in a business transaction

budget, an estimate of national revenue and expenditure for the ensuing fiscal year

buffer state, one situated between more powerful neighbours which relics for its security largely on the fact that no one neighbouring state is prepared to let it be occupied by a third state

bullion, gold and silver in bulk

buyers' market, a market in which producers, suppliers and dealers experience difficulty in selling the goods which are available

capital expenditure, expenditure of a non-recurrent nature resulting in the acquisition of assets

capital intensive, forms of production in which there is a considerable use of capital equipment per person employed relative to the labour employed

capital market, a market comprising institutions which deal in the purchase and sale of securities

cartel, a central selling organisation which assigns to each of its members a specific share in the total output of a commodity

casus belli, an action justifying a declaration of war

caveat, a request for action to be deferred, a proviso

Central Bank, a bank which in any country is (a) banker to the government, (b) banker to the commercial banks and (c) implements the currency and credit policy of the country

certificate of origin, a declaration by an exporter or by a chamber of commerce stating the country of origin of goods shipped

chargé d'affaires ad interim, the member of the diplomatic staff of a mission (save in exceptional cases) who acts as head of mission during the latter's absence or indisposition, or in the interval between appointments

chargé  d'affaires en titre, the head of a diplomatic mission accredited to a Minister for Foreign Affairs

cheap money, a description applied to money when the bank rate is low

c.i.f., cost, insurance and freight, i.e. a quoted price for goods shipped c.i.f. includes all charges up to the point where the goods are deposited on board ship (f.o.b.) and also the cost of their insurance and freight

cold war, a term used to denote the degree of hostility between states when their foreign policy interests clash one with another: the final stage in the spectrum of aggression conducted by non-military means commission (consular), a commission of appointment

concordat, an agreement concluded between a state and the Holy See

confrontation, a situation (usually between two states) which threatens to develop into a physical conflict in which neither party shows a willingness to give way

consular invoice, an invoice certified by the consul of an overseas country relating to goods shipped to that country

consumer goods, products in the actual form in which they will reach domestic consumers

Contadora Group, consisting of Colombia, Mexico, Panama and Venezuela, and joined in 1985 by a Support Group consisting of Argentina, Brazil, Paraguay and Peru. Their objective is to seek peace, respect for frontiers, democracy, human rights and arms reduction in Central America through negotiation

contract, an agreement, either oral or in writing, whereby two or more parties mutually undertake specific commitments

convertibility, the freedom to exchange any currency for another currency at the ruling rate of exchange

conveyance, legal description for the transfer of property from a seller to a buyer

countervailing duty, a tax levied on imports to counteract an unfair advantage, especially government subsidies and dumping, and to protect a domestic industry

coup d'état, unlawful seizure of control of a government by persons (often military) occupying positions of authority

currency dumping, derogatory term for competitive devaluation

current expenditure, expenditure recurrent in nature and not resulting in the acquisition of assets

customs cooperation council nomenclature, the internationally accepted standardised system of describing goods for customs purposes (successor to the Brussels Tariff Nomenclature)

customs duties, duties levied on goods entering one state or region from another

customs union, a grouping of states or regions which form a single customs territory: tariffs and other trade restrictions between the member states or countries are abolished, and the union maintains a common external tariff against other countries

debt-service ratio, the relationship between a country's foreign debt repayments (interest and capital) and its export earnings, expressed in percentage terms

de facto (recognition) as a matter of fact

deficit financing, the financing of a budget deficit by a government by means of borrowing in the market or from the central bank

deflation, a situation in which prices and money incomes are falling, accompanied by an increase in the value of the monetary unit

de jure (recognition) in accordance with international law

delegate, a person to whom responsibility to act (usually to a specified extent) has been delegated (e.g. by a government)

démarche, an initiative or approach by a government, often based on a fresh policy following an unsatisfactory situation

demurrage, delay caused to shipping, goods, etc., and the payment of fees or compensation as a result

de rigeur, obligatory

derogation, the temporary suspension of the enforcement of a provision

détente, relaxation of tension

devaluation, the determination of a new and lower (i.e. fewer units of foreign currency per unit of home currency) fixed exchange rate for a currency

diplomatic asylum, political asylum granted in the premises of a diplomatic mission or other such premises entitled to inviolability

diplomatic conference, as for plenipotentiary conference (q.v.)

disinflation, the removal of inflationary pressure from the economy in order to maintain the value of the monetary unit

dobson, unit of measurement of ozone level

domino theory, the theory that in a certain set of circumstances the fall of a government or state will bring about the downfall of a neighbouring government or state which, in falling, will set in train a succession of similar downfalls (a similar concept is 'to fall like a house of cards')

double taxation agreement, an agreement to prevent the same income being taxed twice

drawback, the repayment of the import duty an exporter has had to pay on foreign materials or components contained in the goods he exports

dumping, the sale of goods in foreign markets at less than their net cost in the domestic market. The term 'non-commercial competition' is similarly applied to services, e.g. shipping

economic growth, the growth per head of the population in the production of goods and services of all kinds available to meet demand

en clair, in clear (as opposed to being in code or in cipher)

en marge, incidentally: used in the sense of discussions held during the course of a meeting but not necessarily related to the topic of the meeting

en poste, having assumed duties at the authorised (diplomatic or consular) post

en principe (English), as a matter of principle

en principe (French), generally speaking, as a rule

entrepôt, a place where merchandise is collected and stored for subsequent distribution.

entrepreneur, a person who undertakes trading transactions on his own account

escalate, to accelerate and increase in intensity or magnitude

euro, the unit of currency of the European Union, based on the weighted value of the relevant currencies

euro-dollar(s), private dollar balances held in European commercial banks

exchange rate parity, the fixed rate of exchange between one currency and another

excise duties, duties or taxes imposed on goods produced and distributed within a country

ex officio, by virtue of a specific post or office. Appointments to committees may be ex officio, i.e. the holder of a particular post is appointed for so long as he holds the post: the appointment does not relate to him personally

explanations of vote, verbal statement explaining why a vote has been cast in a particular way

export duties, duties or taxes imposed on goods exported from a country

exposé, revelation in public of a matter hitherto secret

extra-territorial, outside the jurisdiction of a territory

fait accompli, an act that has been committed and is therefore no longer open to discussion

f.a.s., free alongside (see f.o.b.): a quoted price for goods shipped which includes all payments and charges up to the point of the goods being deposited on the quay alongside the ship

fast track, a procedure adopted by the American Congress whereby they agree to accept or reject (but not amend) an agreement within ninety working days

faux pas, a blunder (literally a false step)

feasibility study, the study of a proposed project in its technical and economic aspects to ascertain the possibility of commercial exploitation

fiduciary issue, that portion of the bank note issue which is not backed by gold

fiscal policy, the policy adopted by a government for raising revenue to meet expenditure and for influencing the level of business activity

flag of convenience, the flag of a state whose laws relating to shipping are less onerous on shipowners than other states: vessels registered in such a state fly its flag, and their crews are subject to its laws

floating debt, that part of the national debt which involves short-term borrowing

floating exchange rate, the exchange rate of any currency free to float to any level which supply and demand may determine

f.o.b., free on board (see f.a.s. for elucidation)

force majeure, unavoidable and usually unforeseen circumstances

free port, an enclosed and policed area in an airport, seaport or other locality into which goods may be imported and processed or manufactured without payment of customs duty of the country in which it is situated provided that they are re-exported subsequently to a third country

free trade, trade which is unimpeded by tariffs, import and export quotas and other devices which obstruct the free movement of goods and services between countries

Free Trade Area, a grouping of states or regions within which customs duties and other barriers to trade are removed, but which has no common external tariff

funding, the conversion of short-term debts into long-term debts

futures market, a market in which goods are sold for delivery at some future date

generalised system of preferences, arrangement whereby the exports of developing countries are admitted to the industrialised countries duty-free up to a certain level, or at reduced rates, on a non-reciprocal basis

giro system, a mechanism for the transfer of payments

gold standard, a monetary system in which each unit of currency is worth a fixed amount of gold. The rules of a gold standard are:

  1. all paper currency must be convertible at its face value into gold;
  2. there must be no restrictions on the import or export of gold;
  3. a gold reserve must be maintained, fully sufficient to meet all demands made upon it.

gross domestic product, the value of goods and services produced within the state

gross national product, gross domestic product plus net income from interest, profit and dividends derived from assets abroad

Group of Three (G3) is a forum for political discussion on the promotion of economic integration with a view to the creation of a Free Trade Area. Members are Colombia, Mexico and Venezuela, and the Secretariat is in Bogatá.

Group of Eight (G8), major industrialised countries: Canada, France, Germany, Italy, Japan, Russia, United Kingdom, and the United States of America

Group of Ten (G10), the countries with a controlling majority in the IMF (currently eleven in number)

Group of Fifteen (G15), association of developing countries with mutual economic interests vis-á-vis the G8

Group of twenty (G20), committee of the ten controlling members of the IMF and ten members of developing countries

Group of 77, group of developing countries (originally formed at UNCTAD 1)

Holy See, the legal and symbolic personification of the Roman Catholic Church of which the Pope is Supreme Pontiff. He is also Sovereign Pontiff of the State of Vatican City

hot money, money which is transferred between countries in order to benefit from advantageous rates of interest or in anticipation of a change in the parity of a currency

hot pursuit, a legal doctrine originally of nautical application permitting the apprehension of vessels which are believed to have committed an offence within a state's territorial waters, and then have escaped to the high seas. The term is also used to attempt to justify similar actions in respect of persons escaping from one state to another by land

impasse, a situation of immobility or stalemate, in which no party involved can make a move

incognito, without revealing one's identity

inflation, a condition in which the volume of purchasing power is constantly running ahead of the output of goods and services, with the result that as incomes and prices rise the value of money falls

infrastructure, services regarded as essential for the creation of a modern economy, e.g. power, transport, housing, education and health services

innocent passage, the right of any sea-going vessel of any state to pass through the territorial waters of another state provided that this is done innocently, and to stop and anchor but only in accordance with navigational requirements, force majeure or distress. Certain states demand prior notification or approval for warships. Submarines must travel on the surface and show their flag

inter alia, among other things

invisible earnings, in national accounting, receipts for services rendered (e.g. shipping, banking, insurance, tourism)

junta, a committee or a group of people working together; usually used to refer to a revolutionary government consisting of members of a group (e.g. the army)

jus sanguinis (nationality), based on blood relationship

jus soli (nationality), based on the place of birth

labour-intensive, form of production in which there is a considerable use of labour in relation to the amount of capital equipment per unit of output

laissez-faire, a policy of non-interference by the state in economic affairs

laissez-passer, a permit to travel or to enter a particular area

lapsus linguae (Latin), a slip of the tongue - a spoken error

legal tender, money which a person is obliged by law to accept in payment of a debt

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