Chapter 5: The obligation to mobilise resources in action: opportunities and challenges This chapter reviews the ways in which special procedures and treaty bodies have developed the obligation to mobilise resources in reference to three tangible issues: • austerity measures implemented by states, in particular after the 2007 to 2008 global financial and economic crisis; • the extraterritorial impact of certain policy measures; and • the insufficient regulation of the financial sector. 5.1 Austerity measures In recent years, treaty bodies and special procedures have discussed the issue of resource mobilisation mostly in reference to austerity measures that states have implemented since the onset of the 2007 to 2008 economic and financial crisis. Facing measures states took as a result of the crisis, human rights monitoring bodies have stressed that states cannot use the economic damage the crisis caused to justify actions or omissions that amount to violations of basic human rights obligations. They have made evident that states cannot claim that the financial crisis leaves them with no choice but to cut social benefits and services. Even during times of severe resource constraints – whether caused by a process of adjustment, economic recession or by other factors – when available resources are demonstrably inadequate, the obligation remains for states to demonstrate that every effort has been made to mobilise all resources at its disposal in an effort to satisfy, as a matter of priority, minimum essential levels of economic, social and cultural rights, and to protect society’s most disadvantaged and marginalised members or groups.286 It is evident from the work of the human rights monitoring bodies that these obligations are not dispensed with during times of crisis and recovery and, on the contrary, in these circumstances, states should ‘maximise means of harnessing resources specifically for the realisation of economic, social and cultural rights’.287 To this end, ‘States should identify additional sources of fiscal space to increase resources for social and economic recovery. From an array of options, States should particularly consider widening the tax base, improving the tax-collection efficiency and reprioritizing expenditures. Such reforms could help States achieve a more progressive, equitable and sustainable 286 See, eg, CESCR, General Comment No 3, para 12, No 12, para 28 and No 14, para 18; Statement on 16 May 2012. See also, E/C.12/ISL/CO/4 (2012); E/C.12/UKR/CO/6 (2014); E/C.12/PRT/CO/4 (2014); and A/HRC/25/50/add.1 (2014) and ‘Report of the Independent Expert on poverty, Magdalena Sepúlveda Carmona’ (on human rights-based approach to recovery) (2011) UN Doc A/HRC/17/34. 287 ‘Report of the Independent Expert on the question of human rights and extreme poverty, Magdalena Sepúlveda Carmona’ (on human rights-based approach to recovery) (2011) UN Doc A/HRC/17/34, para 80. 74 The Obligation to Mobilise Resources: Bridging Human Rights, Sustainable Development Goals, and Economic and Fiscal Policies   December 2017