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Private sector 'not the answer to poverty'

By Philip Thornton, Economics Correspondent
Published: 01 September 2006

Rich countries must deliver more money directly to poor nations to avert a growing health and sanitation crisis spreading across the southern hemisphere, Oxfam will say today.

The global charity said investment in health care, water, sanitation and education must be delivered by governments rather than the private sector.

Belinda Calaguas, the head of policy at WaterAid, which produced the report jointly with Oxfam, added: "There are more than a billion people living without access to clean, safe water and 2.6 billion people have nowhere to go to the toilet. That leads to the inevitable spread of water-related diseases which claim the lives of 6,000 children every day."

The report condemned the World Bank for forcing privatisation or inappropriate private sector projects on developing countries, and criticised Western governments for signing up to the so-called Washington agenda.

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