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Economic Cooperation Across the Mekong SubRegion

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Water resources Mekong Water Resources Assistance Strategy ... Mekong River: Opportunities and Challenges. Tremendous opportunities for each country ... – PowerPoint PPT presentation

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Title: Economic Cooperation Across the Mekong SubRegion


1
Economic CooperationAcross the Mekong Sub-Region
  • An Overview

2
Regional Context
  • Significant economic potential
  • strong economic growth and overall poverty
    reduction
  • strong export performance
  • enhanced cooperation can maximize development
    benefits
  • Significant challenges
  • uneven poverty reduction
  • uneven progress on social indicators
  • complexity of issues
  • need for strengthened institutions,
    infrastructure, policies, programs

3
Regional Cooperation Programs
  • GMS regional cooperation program
  • - Launched with support of ADB in 1992
  • Mekong River Commission
  • - Created in 1995
  • ACMECS
  • - Initiated by Thailand in 2003
  • Fora / Organizations with broader mandates
  • - ASEAN UN Organizations- UNDP, UNESCAP MDBs -
    ADB, World Bank
  • Bilaterals
  • - Japan, China, Thailand, and many others

4
World Bank Involvement in Regional Cooperation
  • GMS regional cooperation program
  • Working with ADB to support GMS programs
  • Energy sector Power Trade
  • Water resources Mekong Water Resources
    Assistance Strategy
  • GMS Transport and Trade Logistics Programs
  • Labor Migration Issues
  • MRC
  • Water Utilization Program
  • Policy and Institutional Capacity Development

5
Overview of Opportunities and Challenges
  • Better management of natural resources
  • Integrated system for power production and trade
  • Better physical linkages to underpin strong
    growth, cooperation, and connectivity
  • Expanding regional trade
  • Better framework for the flow of and development
    of human resources
  • Strengthened regional institutions

6
Mekong River Opportunities and Challenges
  • Tremendous opportunities for each country
  • Future development in hydropower, agriculture,
    flood mitigation, and navigation
  • Among the least developed major river basins in
    the world
  • Challenges to successful development of this
    vital regional resource
  • Environmental, economic, political, and social
    risks to each of the countries if they pursue
    development without cooperation

7
Building On Experiencethe lessons learned by
the World Bank
  • Strong analytical work is key
  • Building ownership, commitment and capacity
    through consultative approaches
  • Comprehensive, multidimensional and integrated
    approach to priority issues
  • Sustained and harmonized donor support for
    regional efforts
  • Involvement of stakeholders beyond government
  • Technical support and support for investments
  • Appropriate institutional arrangements
    coordinated regional programs consistency with
    country programs

8
Proposed World Bank Cooperation Strategy (I)
  • Objectives
  • Support win-win solutions across countries for
    higher economic growth and faster poverty
    reduction
  • Sustainable management of regional resources.
  • Selectivity
  • Clear principles and explicit rationale for the
    division of labor among partners
  • Country demand driven
  • Building on broader regional work
  • Focus on results.

9
Proposed World Bank Cooperation Strategy (II)
  • Approach
  • Expanded and strengthened partnership on regional
    initiatives in GMS regional cooperation program
  • Collaboration and advice on the MRC Strategy
  • Support in areas of comparative advantage
  • Close cooperation with other donors.
  • Instruments and Resources
  • Regional and Country Grants and Credits Analytic
    Work and Policy Advice
  • Successful experience of regional work in Africa
    and Eastern Europe

10
Proposed Regional Work Program
  • Support the development and implementation of a
    Mekong Water Resources Partnership Program
  • Continue to work on regional power trade
  • Facilitate increased transport and trade
  • Work on human resource issues - especially labor
    migration

11
Mekong Water Resource Management
  • WB involvement and experience
  • Water Utilization Program (WUP)
  • Mekong Water Resource Assistance Strategy (MWRAS)
  • WB proposed work program
  • The MWRAS transitioning into a World Bank-ADB
    Joint Mekong Water Resources Partnership Program
    (MWARP) and including other partners
  • Priority Action and Dialogue Framework 2006-2010
  • Integrated approach to planning and
    implementation across countries and sectors
  • Regional Integrated Water Resource Management
    Project

12
Power Trade
  • WB involvement and experience
  • Establishing of GMS Expert Group on Power Trade
    and Interconnection
  • Facilitating the GMS Intergovernmental Agreement
    (IGA) on Power Trade, Regional Power Trade
    Coordinating Committee (RPTCC)
  • WB proposed work program
  • GMS Power Trade and Market Development Project
  • Draft GMS Power Trade Strategy Note
  • Close partnership with donors, particularly ADB

13
Trade and Transport Facilitation
  • WB involvement and experience
  • GMS Transportation Forum GMS Trade Facilitation
    Working Group GMS Investment Working Group
    (jointly with ADB)
  • Analytical work, engaging stakeholders, building
    consensus
  • WB proposed work program
  • Work with GMS and ACMECS Business Councils, Thai
    Chamber of Commerce on TTF, capacity building and
    investment issues
  • Potential IFC role to catalyze private investment
  • Sub- regional TTF projects

14
Labor Migration
  • WB involvement and experience
  • Labor market issues area of WB comparative
    advantage
  • Labor Migration Program Phase I launched in
    June 2005, to deepen knowledge on migration
    within and between Thailand, Myanmar, and
    Cambodia
  • WB proposed work program
  • Aims to improve knowledge of migration issues in
    GMS
  • Raise awareness of migration issues and
    significance for poverty reduction at policy
    making level
  • Strengthen capacity of governments to implement
    sound systems to regulate labor migration

15
Other Areas for Potential Bank Support
  • Environment and Forestry Sectors
  • management of forest resources
  • establishing linkages between cross-border
    national protected areas through trans-boundary
    corridors
  • improving enforcement and monitoring against
    poaching and illegal logging
  • harmonizing cross-border custom practices to
    control timber and wildlife trade
  • Health
  • - HIV/AIDS, avian flu, SARS cross border
    implications
  • Capacity Building

16
Managing Risks
  • Misunderstanding the complexity of the issues -
    not accurately diagnosing the opportunities and
    challenges
  • Not balancing the interests of all countries in
    fair manner
  • Weak authority and capacity of regional
    institutions and arrangements
  • Civil society, NGOs raise concerns about regional
    support
  • Lack of adequate donor coordination
  • Inadequate internal World Bank coordination

17
Feedback/Questions/Comments
  • Is there a shared understanding of the
    opportunities and challenges of Mekong
    Sub-regional cooperation?
  • Are the proposed priorities for World Bank
    support the right ones? Are there other areas
    that should be receiving more World Bank support?
  • How can the World Bank better partner with
    concerned governments and with other donors and
    stakeholders on Mekong sub-regional issues?
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