UNITED NATIONS (APP) - Pakistan Friday called for the early restructuring of the international financial system so that it served the needs of developing countries and prevented financial and economic emergencies. I would like to emphasise that solutions for global problems demand open, inclusive and transparent processes, Senate Chairman Farooq H Naek said while intervening in the Annual Parliamentary Hearing at the UN Headquarters in New York. He also urged the UN General Assembly to establish a body to examine the issue of external debt of developing countries as well as mechanisms that took into account the multiple dimensions of debt sustainability in order to help these countries. A global, comprehensive and durable solution to the external debt problems of all developing countries is required in order to free their meagre resources for socio-economic development, the Pakistan chief delegate told the hearing. Jointly organised by the UN and the Inter-Parliamentary Union (IPU), the Annual Parliamentary Hearing provides a forum for interactive discussions between the members of parliament and high-ranking UN officials, representatives of member states and experts drawn from think-tanks and civil society organisations. The main theme of the 2010 Hearing is 'Towards Economic Recovery: Rethinking Development, Retooling Global Governance. Naek called for assigning the United Nations a central role in the process to redesign the international financial system on the basis of the following principles: (1) The new architecture should be UN inclusive to ensure global participation and legitimacy; (2) The right to have a voice and representation should be built around and driven by the imperatives of need and equity; and (3) It should be based on a carefully crafted balance between the role of government, markets and civil society. We should ensure that the reformed international financial system sustains economic growth and supports sustainable development as well as equably serve the needs of member states, particularly developing countries, Naek stressed. It should support developing countries to achieve internationally agreed development goals, including the Millennium Development Goals. Furthermore, the reformed system should better enable it to respond to and prevent financial and economic emergencies. Any reform process would remain incomplete if the transparency of risk-rating mechanisms was not enhanced, he added. It is important that all efforts aimed at strengthening financial regulation and standards should take into account domestic circumstances and capacity of local financial markets in developing countries. Volatile capital flows, however, cause severe difficulties, particularly to developing countries, Naek said. We are, therefore, of the view that capital flows cannot be entirely and exclusively at the mercy of market forces and that there are times situations when a state has to intervene. In another intervention during the course of hearing, Naek said Pakistan supported a truly effective and representative framework for addressing global economic challenges. He also called for initiating a dialogue at the United Nations towards inclusive, accountable and transparent international economic decision-making. Pakistan supports the establishment of a Global Economic Coordination Council to address areas of concern in the functioning of the global economic system, reforming the governance, accountability and transparency in the Bretton Woods Institutions and other non-representative institutions, he added.