MOIC participated in the EIF side event discussing about the Harnessing the Power of Aid for Trade in Asia Pacific LDCs
01st September 2021. Ministry of Industry and Commerce (MOIC), Lao PDR, was invited to a virtual meeting of the EIF (Enhancing Integration Framework) side event to discuss the topic of “Harness the Power of Aid for Trade (AfT) in Asia Pacific LDCs (Least Developed Countries). The objective of the meeting is to focus on demonstrating how selected countries have optimized AfT resources to build trade capacity and infrastructure needed to promote sustainable and inclusive economic development and helped them contribute towards the Sustainable Development Goals.
The representative of the Lao MOIC is Mr. Phouvieng Phongsa, the Director-General of the Department of Planning and Cooperation, where implementing the ECL project supported by the EIF.
Mr. Phouvieng Phongsa presented creating an institutional environment conducive to mobilization of resources and AfT coordination. He expressed his appreciation on behalf of the Lao government on the unique support of EIF, which emphasize the importance of the country ownership and developing country’s needs, especially strengthening the institutional capacity, systems and local expertise to lead and manage the national development process and to ensure the effectiveness of the assistance program.
Mr. Phouveng Phongsa raised several examples of the progress after the Lao government joining the EIF program that “from 2008, we have fully embedded the Integrated Framework (IF) steering committee into the single program executive committee, the IF secretariat has been merged with Trade and Private Sector Working Group under the Round Table Process, and National Implementation Unit (NIU) is fully integrated with the Department of Planning and Cooperation as separate division”.
He added that: Another significant example of the support is the production of Diagnostic Trade Integration Study (DTIS) 2012, which is the first time that is accomplished ‘in-house’ by the government. Currently, we are working on the DTIS Update 2020, which is expected to complete by 2021. The DTIS leads to the establishment of the in-country multi-donor trust fund, which is still operational today. The clearly defined roadmap and strategy has strong buy in form domestic stakeholders, especially private sector and development partners. This should complement with policy dialogue mechanism for the priory setting. In the case of Laos, our Ministry is co-chairing trade and private sector working group meeting as part of the Round Table Process”.
Apart from his contribution, in the meeting, H.E. Mr. Loknath Sharma, Minister of Economic Affairs, Royal Government of Bhutan, provided his remark on building e-Infrastructure for Trade and Service and leverage digital technologies to reduce trade costs in commodities export. H.E. Mrs. Terek Kamrang, Secretary of State, Ministry of Commerce, Royal Government of Cambodia, presented catalyzing AfT funding for export expansion and diversification of cash crops. At the same time, H.E. Mrs. Mere Falemaka, Ambassador, Permanent Representative, Permanent Delegation of the Pacific Islands Forum in Geneva, provide her speech on leveraging AfT resources to support trade development and structural transformation in the Pacific.
Enhanced Integrated Framework (EIF) is an Aid for Trade partnership in action for the Least Developed Countries (LDCs). Operational since 2009, the EIF is a multi-donor program that supports the LDCs to become more active players in the global trading system by helping them tackle supply-side constraints in trade. Currently, the EIF program in Laos funds the Project on Promotion of Export Competitiveness and Sustainability Support to Public-Private Dialogue in Northern Lao PDR (ECL).
