*{NGOs and business: a relationship in the making [http://www.weforum.org/site/knowledgenavigator.nsf/Content/NGOs%20and%20business%3A%20a%20relationship%20in%20the%20making?open&topic_id=300600000&theme_id=300]

            29.01.2000

            Annual Meeting 2000}

            When crowds of protestors seriously disrupted the Seattle trade talks, the potential power of non-governmental organizations was pushed to the forefront of international policy debate. Just how legitimate are NGOs and to whom are they accountable? Do they represent a recognizable segment of society or just their own interests? 

            Thilo Bode, International Executive Director of Greenpeace International, said he had no doubts that NGOs are a legitimate force in society. Their legitimacy stems from two fundamental rights: the freedom of expression and the right to assemble. The strength of NGOs is matched by the growing weakness of governments to respond to societal needs. The question of accountability is a non-issue, he said. Greenpeace International's finances are closely scrutinized by the relevant authorities and its staff are overseen by its board.

            For the Secretary-General of Amnesty International, Pierre Sané, questions about NGO accountability are welcome, provided they don't deflect from the real issues. For example, a recent article in The Economist magazine criticized NGOs, claiming they are not independent because they receive government funding, they are not accountable to anyone, and they feed on atrocities to raise funds. Sané rejected these arguments, adding that NGOs gain their legitimacy by having their causes embraced by society at large.

            But how relevant are NGOs to the business community? Nicholas F. Oppenheimer, Chairman of the De Beers Group of Companies, South Africa, had mixed views. While recognizing the symbiotic relationship between NGOs and the corporate world, Oppenheimer argued that NGOs can go too far in pressing their demands. He cited the recent campaign to boycott diamonds because of their financial impact on the Angola war as an example. Another corporation, also the target of NGO pressure, was the Monsanto Company in the USA. Its Senior Vice-President, Nick Rosa, believes that business has a cyclical reaction to NGOs. They are first ignored, then despised, then reluctantly listened to, before, finally, businesses listen actively to NGOs and heed their messages.

            Mike Moore, Director-General of the World Trade Organization, issued a stinging indictment of those NGOs in Seattle who demonstrated in order to stop the trade ministers from meeting. After all, he said, those trade ministers were representing elected governments and had a legitimate right to assemble. This comment prompted a provocative question from the floor: had the WTO not adopted a "Lee Kuan Yew" approach to democracy? Moore disputed allegations that the WTO is fundamentally closed and undemocratic, saying that the organization does want to work closer with NGOs. He also said that many lessons had been learned from the Seattle experience.

            All of the panellists agreed that the hundreds of demonstrators who gathered in Davos on Saturday have a legitimate right to protest as long as they remain within the law. But as Oppenheimer pointed out, NGOs need to learn to listen as much as they propound.

            There is no doubt that as corporate power continues to grow, the number of NGOs will also grow, providing a necessary counterweight to business interests. In a best-case scenario, questions of legitimacy and accountability will eventually be settled and more constructive partnerships between business and NGOs will develop.
                       *{Contributors:       Bode Thilo
                  Hutton William N.
                  Moore Mike
                  Oppenheimer Nicholas F.
                  Rosa Nick
                  Sané Pierre}