By CHHIENG Pich,Director, DICONational Project Director, TDSPDirector, EIF-NIU

Progress Report on Trade SWAp, and EIF

1. The RGC Rectangular Strategy2. National Implementation Arrangements for AFT

A. National Development Policies and FrameworkB. Government-Donor Governance FrameworkC. Public-Private Dialogue

3. The Trade SWAp, our “Integrating” Framework4. Aid-for-Trade in action: programs and projects5. EIF impact over the years: main achievements

Promote of agriculture sector

Capacity building & HRD

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Good Governance

1. Improved productivity, diversification & commercialization

2. Promote livestock farming & aqua-3. Land reform, mines clearance & UXO4. Sustainable management of national

resources.

1. Strengthening private sector & promoting investment & business

2. Development of industry & SMEs3. Development of labor market4. Development of banking & financial

sector

1. Development of transport & urban infrastructure

2. Water resource & irrigation system management

3. Electricity power development4. ICT development

1. Strengthening & enhancing education, science & technology, &Technical training

2. Promotion of health & nutrition3. Development of social protection system4. Enhancing implementation population

policy & gender equity

1

2

3

4

Gender Decentralization & Deconcentration

Education

Fisheries

Food Security & Nutrition

Forestry

Agriculture & Water

Health

HIV/AIDSInfrastructure & Regional Integration

Land

Legal & Judiciary Reform

Mine Action

Partnership & Harmonization

Planning & Poverty Reduction

Private Sector Development

Public Administration

Reform

Public Financial Management

PSD-SC

SSC-PPI SSC-SME

Trade SWApImplementation Committee (IC)

3 Trade SWAp Pillars

Line Ministries & other Stakeholders

Government Donor Joint Technical Working Group

Trade SWAp Institutional Arrangements

Secretariat??Fund??

SSC-DCGSSC-TD-

TRI

Private Sector Development Steering Committee (PSD-SC)

3 Trade SWAp Pillars

DICO - NIUOrganization of

Trade SWAp

EIF Tier 1

EIF Tier 2

Line Ministries & other stakeholders

TDSP EIF

Private Sector Development Steering Committee, (PSD-SC)

Chairman:Deputy PM KEAT Chhon

Vice Chairman:Minister, Dr. AUN Pornmoniroth

Sub-Steering CommitteeOn Small and Medium

Enterprises, (SME-SSC)Chairman:

Sr. Minister CHAM PrasidhMinistry of Industry & Handicraft

Sub-Steering CommitteeOn Investment Climate

And Private ParticipationIn Infrastructure (PPI-SSC)

Chairman:Minister, Dr. AUN PornmonirothMinistry of Economics & Finance

Sub-Steering CommitteeOn Trade Development &

Trade-Related Investments, (SSC-TD-TRI)

Chairman:Sr. Minister SUN Chanthol

Ministry of Commerce

IC (Implementation Committee)

Sub-Steering CommitteeOn Development of Corporate

Governance (SSC-DCG)Chairman:

Secretary of State NGY TayiMinistry of Economy & Finance

• Raising measures and actions in order to effectively implement government policies and Rectangular Strategies III, private sector development in particular,

• Strengthen good governance in all sectors that related to business and private investment,

• Consultation with development partners, investors and businessmen in order to develop action plans and finding source of fund to support the implementation of these action plans effectively,

• Cooperation with other four sub-steering committees to develop a policy and raising solutions to solve any unrelated problems,

• Entitle to work on cross-cutting issues with other sector working group

• Streamline Import-Export Procedures for all relevant institutions,• Eliminate overlapping works from all relevant institutions in order to strengthen

the one place inspection effectively,• Strengthen National Single Window at the international border,• Raising necessary measures for enforcing the laws.

JICA

Trade SWApResource Mapping

• Fishery• Decentralization

DANIDA

• Capacity building• Communication• SWAp management• Decentralization

UNDP

• TBT/SPS• Decentralization• Trade facilitation• Capacity building

WORLD BANK

• SPS• Legal Reforms• Backward linkages• Policy research

ADB

• Product/service Dev• Organics• Tourism• Trade Promotion

GTZ

Pillar I

Reform & cross-cutting issues for Trade Development

Trade SWAp (Trade Sector Wide Approach)

Pillar II

Product Service Sector Export Development

Pillar III

Capacity Building

USAID EC AFD

Annual G-PSF

Government Working Group (G-WG)

Private Sector Working Group (PS-WG), Secretariat

Business Community, Provincial Chamber of Commerce

WG1

WG2

WG3

WG4

WG5

WG6

WG7

WG8

WG9

WG10

CCC

CDC

Co-Chair of WG

WG G-WG PS-WG Secretariat

1 Agri & Agro-industry HE OUK Rabun Oknha MONG Rithy CCC

2 Tourism HE THONG Khon Oknha HU Vandy CCC

3 Manufacturing, SME & Services

HE CHAM Prasidh Oknha KE Tang Por SME Federation

4 Banking & FinancialServices

HE CHEA Chanto Dr. IN Chany Cambodia Bank Association

5 Legislative, Taxation & Governance

HE OUN Porn Moniroth HE Brett Sciaroni International Trade Association

6 Infrastructure & Transport

HE TRANG Ivtek Oknha SO Ngoun Transport Association

7 Export Processing & Trade Facilitation

HE SUN Chanthol Oknha VAN Sou Ieng GMAC

8 Vocational Relation HE ITH Samheng Oknha NANG Sothy Employer Asso.

9 Paddy/Rice HE OUK Rabun Oknha LIM Bunheng CCC

10 Mine & Energy HE SUY Sem Oknha OUN Yuthy CCC

Government Private Sector Forum

Review of World Bank Group Support of Structured Public-Private Dialogue for Private and Financial Sector Development, April 2009

Brief background of Trade SWAp• Cambodia became an EIF member country in 1998• In Jul 2001, RGC presented a “Pro-Poor Trade Sector Strategy” during the Donor

Roundtable Meeting in Tokyo;• Tokyo meeting endorsed the preparation of the country’s first Diagnostic Trade

Integration Strategy (DTIS) under Integrated Framework (IF) program for LDCs;• The Study started in the second half of 2001. Cambodia was the first pilot

countries to complete DTIS under the IF and which was validated in Nov 2001;• Since 2006, MoC, UNDP and DPs prepared Cambodia Trade Integration Strategy

(CTIS);• Cambodia’s DTIS was subsequently updated and validated in December 2007.

This is first DTIS update. • RGC endorsed CTIS in Dec 2007;• MoC was restructured in Sep 2007; and DICO was established in Sep 18, 2007 by

MoC Prakas No. 213 MOC/SM2007• Trade SWAp was launched in 2008 to implement the objectives of CTIS 2007;• CTIS 2014-2018 was subsequently updated and officially launched on 18 Feb

2014. This is second DTIS update and Cambodia is the first country to do so.• MoC was restructured again on 19 Mar 2014 by Sub-degree No. 131. This new

structure aims at preparing for AEC 2015;

OFFICIAL DEVELOPMENTASSISTANCE (ODA)US$130Bn

GLOBAL AID FOR TRADERESOURCES: US$42Bn

AFT for CambodiaUS$300Millions

Cambodia carried out acountry diagnostic tradeintegration study (DTIS)in 2001

First update of DTIS in Dec 2007.

Second update of DTIS on 18 Feb 2014.

The 3rd Cambodia’s DTIS 2014-2018 was officially launched and presided over by SAMDECH PRIME MINISTER HUN SEN,

PEACE PALACE, 18 Feb 2014

Five Goals

Twenty strategic outcomes

Please check Trade SWAp Roadmaps on each indicators in the book!

1. Project Development Objectives (PDOs): TDSP will contribute to increase the Royal Government of Cambodia's efficiency in formulating and implementing effective trade policies.

2. Multi-Donor Trust Fund : EU, DANIDA & UNIDO3. Trust Fund Manager : World Bank4. Executing Agency : DICO/MoC5. Board approval date : 07 Jan 20096. Effective date : 09 Mar 20097. Duration : 5 years (until 31 Mar 2012)8. Original budget : US$12,350,0009. Additional budget : US$3,100,00010. First extension : 31 Jan 2014 (22 months)11. Second extension : 31 Mar 2015 (14 months)12. Third expected extension : 31 Aug 2016 (17 months)13. WB Implementation Support Mission : 27 Oct – 28 Nov 2014

No Identified Projects # of Projects

1. Total project under TDSP 27

2. Projects completed and closed 12

3. Ongoing projects 15

• Projects will be completed and closed by Mar 2015 Implementing Agency Capacity Enhancement Program (RSA) – to be closed in Feb 2015 Reviewing commercial laws (DNLC) – to be closed in Feb 2015 Support drafting E-commerce Law (DLAD) – to be closed in Feb 2015 Rules of Origin (DMUL) – to be closed in Mar 2015 MoC Core HR Function (DoP) – to be closed in Mar 2015 Strengthen Capacity of ISC (ISC-MIH) – to be closed in Mar 2015 Support to G-PSF (CCC) – to be closed in Mar 2015 Better Quality of Fish and Fishery Products (FiA-MAFF) – to be closed in Mar 2015

8

• Projects will be completed and closed by Aug 2016 ASYCUDA World System (GDCE-MEF), ICT Master Plan – Automation of Certificate of Origin (MoC), Automation of Business Registration (BRD), Automation of SPS Certificate (GDA-MAFF), Trade Training and Research Institute (TTRI-MoC), Drafts of Rice Standards – Certification Schemes for Rice (Accreditation System) (ISC-

MIH), Development of a stronger National system for IP generation, protection, administration

and enforcement (DIPR),

7

Project Objective: The project aims at strengthening the in-country arrangements of the Enhanced Integrated Framework in order to increase Cambodia’s ownership of trade-related technical assistance (TRTA) and maximizing the benefits that the country, in particular the private sector, can derive from the Enhanced Integrated Framework.

1. Donors : EIF Multi Donor Trust Fund, managed by UNOPS2. Implementing Entity : DICO/MOC (NIU)3. Board Approval : Date: September 29, 20094. Effective kick-off date : February 3, 20105. Duration : 5 years (until February 2, 2015)6. Original budget : US$1,293,9007. Additional budget (CTIS) : US$200,0008. Phase 1 no-cost extension : July 31, 2013 (6 months)9. Current end date : July 31, 201510.Last Supervision Missions : Feb 2014 for EIF ES and Jul 2014 for UNOPS11.Seeking for No Cost Extension : Dec 31, 2015

EIF Tier 2• CEDEP I: IFC: Milled Rice, ITC: High Value Silk, DICO: M&E,

• CEDEP II:o UNDP: Cassavao UNIDO: Fisherieso Shift 360: Academy of Culinary Arts of Cambodia (ACAC)o DICO: M&E

• CEDEP III: Light Manufacturing, Rubber, Agro-processing ,

On 12 Feb 2015, EIF ES informed all member countries that there is

no fund available for new Tier 2 proposals. Priority is given to Tier

1, DTIS, and DTIS update only.

• SWAp has been successfully established and integrated all AfTefforts under one window “Trade SWAp”,

• DTIS and Trade SWAp Roadmaps have been frequently conducted and validated by the Royal Government of Cambodia,

• DICO has been established and properly functioned for the solid purpose of managing AfT,

• MoC manages to implement CEDEP I and II,

Coordination in design and formulation project is quite a challenges,

Institutional Capacities (NIU and stakeholders) need to be built with a long term vision,

Synergy with other projects in the same sector is recommended, Private sector participation and engagement is key to success,

1. Findings: Cambodian products are of high and consistent quality, and should be targeted for a high-end niche markets,

2. Recommendations for stakeholders: A. For Government:

• Increased efforts in setting up the institutional framework,• Improve infrastructure (energy in setting up the appropriate, transport) and trade

facilitation through PPPs,• Increased coordination / regular meetings with PS and IAs on TRTA delivering,• Promote Cambodian brand image and products,

B. For Implementing Agencies:• Coordinate /combine with existing programmes for synergies,• IFC: Expand on Asian markets (China, Japan, Singapore),• ITC: Three options envisaged due to delay in the NSB setting up to expand the

exporters base to the whole silk sector [(i) set up NSB, (ii) more meetings with private sector, (iii) expand exporters base, more silk exporters].

C. For Private Sector:• Cooperate with stakeholders (G-PSF) and help identify the best approaches/

practices in policy formulation through proactive advocacy for strong institutional structures,

• Organize and structure themselves in order to defend Cambodian interests (syndicated bank loans, trade quotas, etc.)

EIF Global Platform is set for 17-19 Mar 2015 in Geneva.

Purpose of meeting is to:1. Endorse the EIF Action Plan for the period 2016-20212. Showcase achievements and best practices3. Encourage EIF donors to extend their financial support

MoC will participate and:1. Share experience as an IF country and success story2. Support EIF Programme extension3. Recommend improvements in several key areas (governance,

capacity building, regional dimension/integration)4. Propose support to other LDCs for experience sharing5. Panelist discussion on “Enhancing the EIF Partnership for effective

delivery, resource mobilization and sustainable results”.

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នាយកដ� នសហរ�តបត�ករអន�រជាត

ឣ‍សយដ‌� ន: ឡ�តេលខ ១៩-៦១ វ�ថរកសងពាណជ�កម� (១១៣េប), ភមទកថ‌� , សង‌� តទកថ‌� , ខណ�

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រ‌ជធានភ�េពញ ១២១០២

ទរសព�/ទរសារៈ ០២៣-៨៦៦-០៧៤

Email: chhiengpich@gmail.com

www.moc.gov.kh | www.moc.gov.kh/tradeswap

Ministry of CommerceDepartment of International Cooperation

Lot 19-61, MoC Road (113B)Phum Teuk Thla, Sangkat Teuk ThlaKhan Sen Sok, Phnom Penh 12102

Cambodia

Tel/Fax: 023-866-074

Email: chhiengpich@gmail.com

www.moc.gov.kh | www.moc.gov.kh/tradeswap