aid for trade and beyond development perspectives
DESCRIPTION
San Bilal, ECDPM Workshop: Trade and Investment for Development European Parliament, Policy Department and Committee on International Trade 29 March 2012, BrusselsTRANSCRIPT
Aid for trade and beyond
Development Perspectives
Dr San Bilal
• Important role played by trade in development
• Trade can lead to different growth trajectories
• Importance of adjustment policies and domestic agenda/reforms
• Need aid for trade-related: (1) policies and regulation (2) adjustments (3) building productive capacity (4) infrastructures
• Aid effectiveness principles
Aid for Trade logic
Page 2
Increasing Aid for Trade…
Page 3
With increasing focus on poor countries…
Page 4
And Africa and Asia…
Page 5
Over 1/3 of overall AfT provided by the EU
Page 6
• Better targeted AfT
• On LDCs (only 22% of EU AfT in 2009) and ‘countries most in need’
• Improving complementatory between AfT and broader development policies
• Targeting small and rural operators
• Improving AfT at regional level
• Better support HRs, labour rights and social protection, sustainable development
• Enhanced effectiveness, cooperation within EU and with emerging players
EC Trade, Growth and Development Communication
Page 7
• Increasing attention to regional level
• International and regional banks key role (WB, AfDB, ADB)
• Bilateral donors: the EU (France, Germany, UK); the US; Japan…
Regional dimension of AfT (= 18% of tot AfT in 2009)
Page 8
• National – regional nexus
• Coordination and complementarity
• Implementation issues
• Ownership and prioritisation
• Capacity constraints
• Donors coordination
• Focus on policies and infrastructure / TF
• Multiplication of regional programmes + EPAs
Regional challenges
Page 9
• Bridging sectors:
e.g. AfT with Agriculture and rural development / food security
• Involvement / ownership from private sector
• Access to finance
• Multiplication of fora: national, regional, continental, international and by sector
Sectoral challenges
Page 10
Eg. Productive capacity
Page 11
• Go beyond aid: private capital
• Leverage aid to mutiple pool of resources
• New sources and instruments:
blending (grants and loans), private-public partnership
FDI, portfolio investment, capital markets, private equity, sovereign funds
• Domestic resources mobilisation
• Emerging players
v Capacity challenge !!!
Innovative sources of financing
Page 12
AfT and other official flows (OOF)
Page 13
• Effectiveness & monitoring: show results and learn lessons (e.g. OECD/WTO)
• Involve private sector: leverage & impact
• Connect to emerging players: South-South Cooperation
• Address broader policy objectives & ensure bridging/coherence: - industrial policy, policy space, - sustainability, inclusiveness and equity = build synergy and complementary
• Strenghten ownership and coordination
• …
Way forward
Page 14
