UNDP

“Accommodating the poor communities among developing countries severely affected by

inflations”

Frietre World Model United Nations

December, 10th- 11th 2022

CHAIRPERSONS:
Jomayca Rivas (Head Chair)
Mouva Putri Ramadhita (Co- Chair)
Nayasa Vatsi (Co- Chair)
Chair Remarks
(Head Chair)

Greetings,Future Diplomats!

I am Jomayca Rivas, Tax Accountant at KPMG Philippines. I’ve participated as a delegate in

various MUNs and earned different awards locally as well as in an international platform before I
became part of Board of Dais/Director. I am always hungry to learn and improve all the time
because I always believe that your hunger gives you the motivation to take massive actions that
are necessary to achieve success.

So, growing up from an environment where stagnation and mediocrity is not being condoned,I
did not bind myself within the four corners of the room. Instead, I also devoted myself towards
continuous growth and improvement in other areas such as but not limited to organizational
involvement, community service, and participation on international platforms.

I have also realized that the world is a relatively small place for people who strive for continuous
excellence with a purpose, so I tried joining at international youth platforms such as Model
United Nations wherein I rose up and raised my voice to be an agent of change. I always believe
that there's still hope for a better future that lies in our hands. I expect that all delegates should
put their hearts into this issue as it is wreaking havoc and this poses a significant challenge in
every household across the world. So as head chair of this committee, I call for social solidarity
and together let's all build bridges of kindness and compassion that transcend man made-walls.
Furthermore, I hope that all delegates should enjoy learning at the same time, as we all do. Please
don't hesitate to reach me at jomaycarivas.jr@gmail.com,Instagram at @iamjomaycarivas or by
sending me a message at WhatsApp (+63) 951-330-6917. See you at the conference!

Best Regards,

Jomayca M. Rivas
Co - Chair Remarks

Greetings Future Leaders!

My name is Mouva Putri Ramadhita, also known as Mouva. I'm currently in my final year of law
school at Pembangunan Nasional Veteran Jakarta University, minoring in civil law. Model UN
will always hold a special place in my heart. I've participated in a number of Model UNs,
whether online or offline, national or international. I have successfully earned 17 honors for my
participation in Model UN, including Best Delegate, Most Outstanding Delegate, Verbal
Commendation, and Best Position Paper. In addition to serving as -a delegate, I have also held
positions on the secretariat and board of directors. However, due to my undergraduate thesis and
preparation for my master's, I have decided to take a break from being a delegate in MUNs.

I've come to understand that Model UN has helped me improve at using formal English, notably
while giving speeches and writing insightful articles. By interacting with delegates from
throughout the world, Model UN also helps me develop my social skills. Joining Model UN
helped me develop my negotiation abilities and feel competent to speak about critical global
topics and offer my viewpoint on them. Indeed, participating in Model UNs broadens my
perspective on social issues, law, and other international and legal concerns. In relation to my
undergraduate major, Model UN also supports me in a number of international law topics and
helps me develop the knowledge and debate abilities that are unquestionably necessary for a
student of law.
I, therefore, expect that my delegates will be able to use this conference to advance their social
skills as well as other crucial soft skills, as I have already highlighted. Furthermore, I hope my
delegates will enjoy the Model UN as much as I do. Finally, please don't hesitate to reach me at
mouvaramd14@gmail.com or by sending me a text at (+62) 812-1957-8993. Don't be shy about
sharing your opinions on the subject and giving your best effort if you're a newcomer.

So, Buckle up and enjoy your journey

Best Regards,

Mouva Putri Ramadhita

Co - Chair Remarks

Greetings Delegates!
Writing, Debating and MUNning being my forte, I am Nayasa Vats, serving as a Co-Chairperson
warmly welcome you all to the fourth iteration of FRIWMUN.
I hope that you all are excited to attend this conference and learn something through this process.
I find it a big honor to be able to interact with you all even if not physically but with the help of
Zoom . I am certain that all of you have different views, ideas and solutions that you wish to
bring to the table.
I hope you all would have started with your research. I also acknowledge that for some of you,
this might be the first conference. Kindly, refer to the background guide to get an overview of the
agenda, and don’t be shy or afraid to speak up and express yourself. You will only get the full
experience if you put yourself there!
We, the executive board, are there to help you with any obstacles that you might face during the
course of the committee, and feel free to reach out to us without any hesitation.
With that being said, best of luck with your preparations, and looking forward to seeing you at
the conference!

Best Regards,
Nayasa Vats
Council Introduction

United Nations Development Programme (UNDP), United Nations (UN) organization formed in
1965 to help countries eliminate poverty and achieve sustainable human development, an
approach to economic growth that emphasizes improving the quality of life of all citizens while
conserving the environment and natural resources for future generations. The largest UN
development assistance program, the UNDP is headed by an administrator who oversees a
36-member Executive Board representing both developing and developed countries. It is
headquartered in New York City .

The UNDP administers aid through five-year Country Programmes, which fund projects aimed
at attracting investment capital, training skilled employees, and implementing modern
technologies. The UNDP also makes experts available to help developing countries increase their
capacity for good governance—by building political and legal institutions that are equitable,
responsive, and open to public participation—and to expand the private sector of their economies
in order to provide more jobs. Recent UNDP programs have focused on reducing poverty,
developing strategies to treat and combat the spread of HIV/AIDS, promoting environmentally
sound energy and economic policies, and expanding communications and technology
infrastructure. UNDP resident representatives in more than 125 developing countries help to
coordinate the local activities of other UN agencies and programs, as well as those of
nongovernmental organizations.
Topic Introduction

For many households across the world, rising inflation poses a significant challenge. Inflation
could wreak vengeance on the world’s poor. Surging economic activity, supply-chain disruptions,
and soaring commodity prices pushes global inflation to its highest level. Among emerging
markets and developing economies, inflation reached its highest level since 2011. It now exceeds
inflation targets in more than half of these economies with an inflation-targeting framework.

With the war in Ukraine, matters are going quickly from bad to horrid. Food and fuel prices have
spiked, as Russia and Ukraine are big exporters of many commodities including gas, oil, coal,
fertilizers, wheat, corn, and seed oil. Several economies in Europe and Central Asia, the Middle
East, and Africa are almost entirely dependent on Russia and Ukraine for wheat imports.

Reducing and ultimately eliminating extreme poverty continues to be the single greatest
development challenge facing the world and is at the heart of the UN Development Agenda. One
of the most significant outcomes of the Social Summit was to place the goal of poverty
eradication at the center of the national and international policy agendas. As recommended,
many governments set national poverty reduction targets and formulated and implemented
national poverty reduction plans, including by promoting employment, and developing tools to
evaluate progress. Yet, progress was highly uneven and further and better efforts are clearly
required.

With poverty reduction as an overriding objective, not only must it be a goal in its own right with
national plans for its achievement, but all government actions should take this goal into account.
In addition to ensuring that all national policies and budgets reflect the goal of reducing poverty,
governments need to ensure that measures taken for other reasons also contribute to this goal or,
at a minimum, do not compromise it. The poor should be able to participate in and benefit from
all development programs. In other words, poverty eradication is one of the wide-ranging goals
that must be ‘mainstreamed’ into national policies and actions.

In tailoring these general requirements to individual situations, most of the poorest countries
need to give attention to the agricultural sector because that is the main source of income and
employment for the poor. Rural development is an integral part of national development policy
in these countries.
Status Quo

Rising global inflation is expected to hit emerging and developing economies particularly this
year, adding to a “confluence of crises” that threatens humankind. The International Monetary
Fund (IMF) forecasts that advanced economies should brace themselves for average inflation
rates of 6.6 percent in 2022.

As Poverty Increases
Global economic activity is experiencing a broad-based and sharper-than-expected slowdown,
with inflation higher than seen in several decades. The cost-of-living crisis, tightening financial
conditions in most regions, Russia’s invasion of Ukraine, and the lingering COVID-19 pandemic
all weigh heavily on the outlook. Global growth is forecast to slow from 6.0 percent in 2021 to
3.2 percent in 2022 and 2.7 percent in 2023. This is the weakest growth profile since 2001 except
for the global financial crisis and the acute phase of the COVID-19 pandemic.
There are millions of people living in extreme poverty. A plausible alternative scenario in which
risks materialize, inflation rises further, and global growth declines to about 2.6 percent and 2.0
percent in 2022 and 2023, respectively, would put growth in the bottom 10 percent of outcomes
since 1970.

Monetary policy should stay the course to restore price stability, and fiscal policy should aim to
alleviate the cost-of-living pressures while maintaining a sufficiently tight stance aligned with
monetary policy. Structural reforms can further support the fight against inflation by improving
productivity and easing supply constraints, while multilateral cooperation is necessary for
fast-tracking the green energy transition and preventing fragmentation.
With increasing prices continuing to squeeze living standards worldwide, taming inflation should
be the first priority for policymakers. Tighter monetary policy will inevitably have real economic
costs, but delay will only exacerbate them. Targeted fiscal support can help cushion the impact
on the most vulnerable, but with government budgets stretched by the pandemic and the need for
a disinflationary overall macroeconomic policy stance, such policies will need to be offset by
increased taxes or lower government spending. Tighter monetary conditions will also affect
financial stability, requiring judicious use of macroprudential tools and making reforms to debt
resolution frameworks all the more necessary. Policies to address specific impacts on energy and
food prices should focus on those most affected without distorting prices. And as the pandemic
continues, vaccination rates must rise to guard against future variants. Finally, mitigating climate
change continues to require urgent multilateral action to limit emissions and raise investments to
hasten the green transition.

The risks to the outlook are overwhelmingly tilted to the downside. The war in Ukraine could
lead to a sudden stop of European gas imports from Russia; inflation could be harder to bring
down than anticipated either if labor markets are tighter than expected or inflation expectations
un-anchor; tighter global financial conditions could induce debt distress in emerging market and
developing economies; renewed COVID-19 outbreaks and lockdowns as well as a further
escalation of the property sector crisis might further suppress Chinese growth; and geopolitical
fragmentation could impede global trade and cooperation. The confluence of crises has created
spin-off effects on food and nutrition, health and education, the environment, peace and security,
further undermining progress towards the realization of the 2030 Agenda and jeopardizing
sustainable recovery from the pandemic.

WORLD ECONOMIC OUTLINE DATABASE

 PAST ACTION

IMF Monetary Policy and Central Banking

The implementation of monetary policy by central banks is a crucial function in achieving price
stability (low and stable inflation) and aiding in the management of economic volatility.
International Monetary Fund or also known as IMF has required worldwide central banks to
construct monetary policies to stabilize the national economy. This issue is due to the crucial role
that central banks make in guaranteeing stability in the economy and the financial
system.1Interest rates in the economy are affected by monetary policy, including interest rates on
savings accounts, corporate loans, and mortgages.2 In essence, monetary policy has three goals:
limiting inflation, regulating employment levels, and keeping long-term interest rates steady.3

Temporary Basic Income

In the developing world, the pace of new COVID-19 instances is increasing, which reveals the
potentially disastrous effects of job loss and income reversals. In 2021, The United Nations
Development Programme UNDP launched the Temporary Basic Income (TBI) offered directly to
hundreds of millions of people in the poorest nations of the world might stop the COVID-19
epidemic from worsening poverty. With the TBI, they would be able to afford food as well as the

1
International Monetay Fund, Monetary Policy and Central Banking in Asia, Communications Department
(Washington DC, 2017) <https://doi.org/10.4324/9781315543222-22>.
2
Reserve Bank of Australia, ‘What Is Monetary Policy?’, Education Reserve Bank of Australia, p. 6
<https://www.rba.gov.au/education/resources/explainers/what-is-monetary-policy.html> [accessed 9 September
2022].
3
Reserve Bank of Australia.
costs of their health and education if they received a temporary basic income.4 Moreover, this
action also assists the individuals in protecting their jobs and assisting the local business, and this
program also uses digital media in recording the needs of those people.5 Indeed, this action
surely helps poorer societies to survive during inflation, especially after the worldwide
pandemic.

BLOC POSITION

Newly Emerging Economies Countries

Indonesia
Inflation in Indonesia is higher than in other ASEAN countries. Inflation in ASEAN nations
ranged from 3% to 5% between 2005-2014. Inflation in ASEAN nations ranged from 3% to 5%
between 2005 and 2014.6 At the same time, Indonesia's average annual inflation rate was 8.5%.7
The importation of fuel oil by Indonesia is one of the causes. Fuel price increases will result in
higher transportation expenses as well as other charges. In order to manage inflation, Indonesia
implements a monetary policy, called price stabilization.8

South Africa

4
George Gray Molina and Eduardo Ortiz-Juarez, TEMPORARY BASIC INCOME : Protecting Poor and Vulnerable
People in Developing Countries (New York, 2020).
5
United Nation Developemt Programme, ‘UNDP Calls for Temporary Basic Income to Help World’s Poorest
Women Cope with Effects of COVID-19 Pandemic’, UNDP News Centre, 2021
<https://www.undp.org/press-releases/undp-calls-temporary-basic-income-help-worlds-poorest-women-cope-effects
-covid-19-pandemic> [accessed 9 September 2022].
6
Rudy Susanto and Indah Pangesti, ‘PENGARUH INFLASI DAN PERTUMBUHAN EKONOMI
TERHADAP TINGKAT KEMISKINAN DI INDONESIA’, Journal of Applied Business and Economics
(JABE), 7.2 (2021), 271–78 <https://doi.org/10.30998/JABE.V7I2.7653>.
7
Susanto and Pangesti.
8
Farah Fauziyah, Lingkar Studi, and Ekonomi Syariah, ‘KEBIJAKAN MONETER DALAM MENGATASI
INFLASI DI INDONESIA’, Signifikan, 4.1 (2015), 83–94.
South Africa continues to have a variety of difficulties as a result of continuous and rising
inflation rates, which remain a major macroeconomic issue for the nation. Since the start of
inflation targeting in 2000, South Africa's inflation rate has generally been around 6%.9 South
Africa's food supply is also impacted by inflation.10 Based on early 2022 data, the food inflation
rate still still stood in the same rate since last year.11 The cost of food has been growing, albeit
sporadically, which really affects the poorer household.

Low-Income Countries
Zimbabwe
Deep recession and high inflation have plagued Zimbabwe for the all of this decade. An
extended period of economic deterioration and rising state debt preceded Zimbabwe's economic
collapse and the ensuing hyperinflation.12 Inflation in zimbabwe is hardly history worst.
Numerous of issue that caused by inflation has emerged (cholera and dysentery ravaged the city,
blackout throughout the country).13 Due to this problem, half of Zimbabwe's 13.5 million people
live in food poverty, and 3.5 million children suffer from chronic hunger.14

9
Oatlhotse Madito and Nicholas M. Odhiambo, ‘The Main Determinants of Inflation in South Africa: An Empirical
Investigation’, Organizations and Markets in Emerging Economies, 9.2 (2018), 212–32
<https://doi.org/10.15388/omee.2018.10.00011>.
10
Jannie Rossouw, ‘Rising Food Prices Hit Poor People the Hardest: A Close Look at Inflation in South Africa’, The
Conversation, 2022
<https://theconversation.com/rising-food-prices-hit-poor-people-the-hardest-a-close-look-at-inflation-in-south-africa
-184465> [accessed 10 September 2022].
11
Statista, ‘Inflation Rate of Food and Non-Alcoholic Beverages in South Africa from January 2019 to April 2022’,
Economy&Politics, 2022 <https://www.statista.com/statistics/1309721/south-africa-monthly-inflation-rate-food/>
[accessed 10 September 2022].
12
Michael Wines, ‘How Bad Is Inflation in Zimbabwe?’, The New York Times (New York, May 2006), p. 4
<http://www.nytimes.com/2006/05/02/world/africa/02...> [accessed 9 September 2022].
13
Anthony Tapiwa Mazikana, ‘The Effects of Inflation on Preparation of Financial Statements of the Retail Sector in
Zimbabwe: A Case Study of OK Zimbabwe Limited (2018–2019)’, SSRN Electronic Journal, 2020, 62
<https://doi.org/10.2139/SSRN.3660417>.
14
International Finance, ‘Zimbabwe’s Inflation Control Plan: Gold Coins for Everyone? -’, International Finance
Business Desk, 2022 <https://internationalfinance.com/zimbabwes-inflation-control-plan-gold-coins-everyone/>
[accessed 9 September 2022].
Qarmas
1. What is the most effective way for the government to accommodate the underprivileged
populations, and how does it make sure the accommodating process is successful?
2. How can UNDP be made the best possible tool as the international agencies to combat
the unfair allocation of aid to underprivileged communities?
3. Has the Central Bank been efficient in reducing inflation leves?
4. Is it possible to have an effective anti-inflation policy in a situation where mild
socio-economic policies are pursued?
5. What measures would you apply to fight against hyperinflation, so that they affect the
most vulnerable population as little as possible.
Bibliography

Anthony Tapiwa Mazikana, ‘The Effects of Inflation on Preparation of Financial Statements of

the Retail Sector in Zimbabwe: A Case Study of OK Zimbabwe Limited (2018–2019)’,
SSRN Electronic Journal, 2020, 62 <https://doi.org/10.2139/SSRN.3660417>.

Farah Fauziyah, Lingkar Studi, and Ekonomi Syariah, ‘KEBIJAKAN MONETER DALAM
MENGATASI INFLASI DI INDONESIA’, Signifikan, 4.1 (2015), 83–94.

George Gray Molina and Eduardo Ortiz-Juarez, TEMPORARY BASIC INCOME : Protecting
Poor and Vulnerable People in Developing Countries (New York, 2020).

International Finance, ‘Zimbabwe’s Inflation Control Plan: Gold Coins for Everyone? -’,
International Finance Business Desk, 2022
<https://internationalfinance.com/zimbabwes-inflation-control-plan-gold-coins-everyone/>
[accessed 9 September 2022].

International Monetay Fund, Monetary Policy, and Central Banking in Asia, Communications
Department (Washington DC, 2017) <https://doi.org/10.4324/9781315543222-22>.

Jannie Rossouw, ‘Rising Food Prices Hit Poor People the Hardest: A Close Look at Inflation in
South Africa’, The Conversation, 2022
<https://theconversation.com/rising-food-prices-hit-poor-people-the-hardest-a-close-look-a
t-inflation-in-south-africa-184465> [accessed 10 September 2022].

Michael Wines, ‘How Bad Is Inflation in Zimbabwe?’, The New York Times (New York, May
2006), p. 4 <http://www.nytimes.com/2006/05/02/world/africa/02...> [accessed 9
September 2022].
Oatlhotse Madito and Nicholas M. Odhiambo, ‘The Main Determinants of Inflation in South
Africa: An Empirical Investigation’, Organizations and Markets in Emerging Economies,
9.2 (2018), 212–32 <https://doi.org/10.15388/omee.2018.10.00011>.

Reserve Bank of Australia, ‘What Is Monetary Policy?’, Education Reserve Bank of Australia, p.
6 <https://www.rba.gov.au/education/resources/explainers/what-is-monetary-policy.html>
[accessed 9 September 2022].

Rudy Susanto and Indah Pangesti, ‘PENGARUH INFLASI DAN PERTUMBUHAN EKONOMI
TERHADAP TINGKAT KEMISKINAN DI INDONESIA’, Journal of Applied Business
and Economics (JABE), 7.2 (2021), 271–78 <https://doi.org/10.30998/JABE.V7I2.7653>.

Statista, ‘Inflation Rate of Food and Non-Alcoholic Beverages in South Africa from January
2019 to April 2022’, Economy&Politics, 2022
<https://www.statista.com/statistics/1309721/south-africa-monthly-inflation-rate-food/>
[accessed 10 September 2022].

United Nations Development Programme, ‘UNDP Calls for Temporary Basic Income to Help
World’s Poorest Women Cope with Effects of COVID-19 Pandemic’, UNDP News Centre,
2021
<https://www.undp.org/press-releases/undp-calls-temporary-basic-income-help-worlds-poo
rest-women-cope-effects-covid-19-pandemic> [accessed 9 September 2022].

FOR FURTHER RESEARCH:

What is considered to be valid evidence in the Model United Nations? Evidence or proof that is
acceptable from sources

1. News Sources:

a. REUTERS – Any Reuters article which clearly makes mention of the factor is in contradiction
of the fact being stated by a delegate in council. http://www.reuters.com/

b. State-operated News Agencies – These reports can be used in the support of or against the
State that owns the News Agency. These reports, if credible or substantial enough, can be
used in support of or against any Country as such but in that situation, they can be denied
by any other country in the council. Some examples are,

i. RIA Novosti (Russia) http://en.rian.ru/

ii. IRNA (Iran) http://www.irna.ir/ENIndex.htm

iii. BBC (United Kingdom) http://www.bbc.co.uk/

iv. Xinhua News Agency and CCTV (P.R. China) http://cctvnews.cntv.cn/

2. Government Reports: These reports can be used in a similar way as the State Operated News
Agencies reports and can, in all circumstances, be denied by another country.

a. Government Websites like the State Department of the United States of America
(http://www.state.gov/index.htm ) or the Ministry of Defence of the Russian Federation (
http://www.eng.mil.ru/en/index.htm )

b. Ministry of Foreign Affairs of various nations like India (http://www.mea.gov.in/), People’s

Republic of China (http://www.fmprc.gov.cn/eng/ ), France
 (http://www.diplomatie.gouv.fr/en/ ), Russian Federation
(http://www.mid.ru/brp_4.nsf/main_eng )

c. Permanent Representatives to the United Nations Reports

http://www.un.org/en/members/ (Click on any country to get the website of the Office of its
Permanent Representative)

d. Multilateral Organisations like the NATO

(http://www.nato.int/cps/en/natolive/index.htm ), ASEAN (http://www.aseansec.org/ ), OPEC

(http://www.opec.org/opec_web/en/ ), etc.

3. UN Reports: All UN Reports are considered credible information or evidence for the
Executive Board of the Security Council.

a. UN Bodies: Like the SC (http://www.un.org/Docs/sc/ ), GA (http://www.un.org/en/ga/ ), HRC

(http://www.ohchr.org/EN/HRBodies/HRC/Pages/HRCIndex.aspx ) etc.

b. UN Affiliated bodies like the International Atomic Energy Agency 5 (http://www.iaea.org/),

World Bank (http://www.worldbank.org/ ), International Monetary Fund
(http://www.imf.org/external/index.htm , International Committee of the Red Cross
(http://www.icrc.org/eng/index.jsp ), etc.

c. Treaty Based Bodies like the Antarctic Treaty System (http://www.ats.aq/e/ats.htm ), the
International Criminal Court (http://www.icccpi.int/Menus/ICC )
Closing Remarks:

This study guide has highlighted and synthesized global information on the issue. The Executive
Board members recommend the delegates to let this handbook just be a guide for the summary of
the agenda/the baseline for the research. In the committee, the delegates should be presented with
their stance on the motion and give a different perspective all together.

We are expecting everyone to be well researched about the agenda and well aware about the
stance of the country you are representing. In regards to Rules of Procedures, any questions are
always welcomed!

Everyone in the committee is there to learn something new in the process, hence feel free to
make mistakes as a well known person said, ‘Mistakes have the power to turn you into
something better than you were before’.

Looking forward to seeing new, innovative solutions to the grave problem at hand. Wishing all
the delegates best of luck and excited to see what each one of you offers in the debate.

To end it,

“If we are not willing to change and keep up with innovation, someone else will”.