GMS Regional Investment Framework

20-22 November 2014 MRC BDP 4th Regional Stakeholder Forum

What is the GMS RIF? • Operationalizes the new GMS

Strategic Framework (2012-2022)

• Translates strategic directions into a pipeline of investment and TA projects

• Prepared through a bottom-up approach, with extensive country consultations

• Based on sector assessments, supported by road maps and plans developed by GMS sector forums and working groups

GMS Strategic Framework 2012-2022 Increased economic growth, reduced poverty, and environmental sustainability across the GMS

Increased cross-border flows: investment, traffic, labor migration, with reduced human trafficking

Increased use of energy by all sectors and communities, particularly the Poor

Increased access to information and communications

Increased tourism with reduced negative impacts

Increased sustainable agricultural production

Increased conservation of nature

Economic corridors established All GMS countries connected to a GMS rail network

Enhanced labor migration management systems and social protection for migrant Workers

Increased generation of energy from indigenous, low carbon, and renewable Sources Increased connection of GMS country power systems and functioning of regional power market

Improved tele-communication linkages among GMS countries

Improved tourism infrastructure (pro-poor, pro-women, and environmentally friendly)

Science-based regional safety standards Operational Increased resilience of agriculture to climate change

Strengthened protected area networks

Regional Impacts

Sector Outcomes

Sector Outputs

RIF Sector Pipelines 2013-2022 Distribution of Investment Projects by Sector

Total of $51.3 billion

RIF Sector Pipelines (cont.) Distribution of TA Projects by Sector

Total of $222 million

RIF Implementation Plan 2014-2018

• Effective, manageable and realistic IP for achieving quick and concrete results

• IP consisting of high priority subregional projects that can attract the participation of development partners and private investors

• Complement IP with a sound M&E system • 92 high priority investment and technical assistance projects to

be implemented in 2014–2018

RIF Implementation Plan 2014-2018 Criteria for Prioritizing Projects

• Subregional development benefits and impacts– the project has strong subregional rationale and benefits, including improved connectivity and competitiveness, and/or strengthened approaches to health, education and environmental issues.

• Economic and social viability – the project is likely to be economically viable and, where relevant, financially viable, and/or likely to produce social benefits.

• Availability of financing– the project has identified financing sources, or has good potential for funding by ADB, development partners (DPs), and/or the private sector.

• Status of preparation– technical, social, and environmental impact assessments for the project have been initiated or completed.

• National priorities– the project is aligned with national development plan/economic development strategy and/or included as a priority project in the national investment plan/program.

RIF Implementation Plan 2014-2018 Investment Projects by Sector

Total of $30.04 billion

RIF Implementation Plan 2014-2018 TA Projects by Sector

Total of $60.25 million

Agriculture Pipeline 2014-22 Name of Project Country Coverage Cost Estimate

(US$ million) INVESTMENT PROJECTS 1 Climate Friendly Agri-Business Value Chains in the GMS All GMS Countries 250.0

2 Biosafety, Transboundary Diseases Control and Invasive Species Prevention in the GMS

All GMS Countries 200.0

3 Enhancing Regional Competitiveness on Food Safety, Quality and Market Access for Smallholders

All GMS Countries

200.0

4 Agri-Tourism Value Chains Development All GMS Countries 250.0

5 Enhancing Food Security by Building Resilient Food Production System in the GMS All GMS Countries 350.0 Subtotal (Investment Projects) 1,250.0

TECHNICAL ASSISTANCE PROJECTS

1 Climate Friendly Agri-Business Value Chains in the GMS All GMS Countries 2.5

2 Biosafety, Transboundary Diseases Control and Invasive Species Prevention in the GMS

All GMS Countries

2.5

3 Enhancing Competitiveness and Trade Facilitation of Agri-Food Products in the GMS All GMS Countries 2.5

4 Agri-Tourism Value Chain Development All GMS Countries 2.5

5 Enhancing Food Security by Building a Resilient Food Production System in the GMS All GMS Countries 2.5

6 Implementing the GMS CASP Phase II All GMS Countries 2.5

7 Strengthening Regional Weather-Based Risk Insurance in the GMS All GMS Countries 2.0

8 Enhancing Implementation of CASP Phase II (including the Development CASP Phase III)

All GMS Countries

8.0

Subtotal (TA Projects) 25.0

TOTAL 1,275.0 CASP = Core Agriculture Support Program; GMS = Greater Mekong Subregion; TA = Technical Assistance. Source: ADB and GMS countries’ estimates.

Environment Pipeline 2014-22 Name of Project Country Coverage Cost Estimate

(US$ million) INVESTMENT PROJECTS 1 Global Environment Fund Regional Biodiversity and Forestry Program All GMS Countries 20.0 2 Trans-Boundary, Biodiversity Landscape Management in Mekong Headwaters, Sino-

Vietnamese Limestone Mountains, and Tenasserim Mountains PRC, THA, VIE 60.0

3 Low-Carbon Forestry in GMS Economic Corridors LAO, MYA, THA 120.0 4 Enhancing Community Competitiveness and Resilience through Ecosystem-Based

Approaches CAM, LAO, VIE 100.0

5 Low-Carbon Freight Corridors LAO, VIE 60.0 Subtotal (Investment Projects) 360.0

TECHNICAL ASSISTANCE PROJECTS 1 Core Environment Program and Biodiversity Conservation Corridor Initiative Phase II –

Additional Funding All GMS Countries 7.6

2 Core Environment Program and Biodiversity Conservation Corridor Initiative Phase II – Supplemental

All GMS Countries 1.0

3 Core Environment Program and Biodiversity Conservation Initiative Phase III All GMS Countries 35.0 4 Low-Carbon Forestry in GMS Economic Corridors, Regional Project Preparatory TA LAO, MYA, THA 1.0 5 Enhancing Community Competitiveness and Resilience through Ecosystem-Based

Approaches CAM, LAO, VIE 1.0

6 Low Carbon Freight Corridors CAM, LAO, THA, VIE

1.0

7 Enhancing Rural Environmentally Sustainable City Partnerships in the GMS CAM, PRC, LAO, MYA, VIE

1.0

8 Establishing Environmentally Sustainable City Partnerships in the GMS All GMS Countries 1.0 Subtotal (TA Projects) 48.6

TOTAL 408.6 CAM = Cambodia; PRC = People’s Republic of China; GMS = Greater Mekong Subregion; LAO = Lao People’s Democratic Republic; MYA = Myanmar; TA = Technical Assistance; THA = Thailand; VIE = Viet Nam. Source: ADB and GMS countries’ estimates.

Priority Projects in Agriculture 2014-18 Name of Project Country

Coverage Cost Estimate (US$ million)

Investment Projects 1 Climate Friendly Agri-Business Value Chains

in the GMS All GMS countries

250.0

2 Enhancing Competitiveness and Trade Facilitation of Agri-Food Products in the GMS

All GMS countries

200.0

Subtotal (Investment Projects) 450.0 Technical Assistance Projects 1 PPTA for Climate-Friendly Agri-Business

Value Chains in the GMS All GMS countries

2.5

2 PPTA for Enhancing Competitiveness and Trade Facilitation of Agri-Food Products in the GMS

All GMS countries

2.5

Subtotal (TA Projects) 5.0 TOTAL 455.0

GMS = Greater Mekong Subregion; PPTA = Project Preparatory Technical Assistance TA = Technical Assistance. Source: ADB and GMS countries’ estimates.

Priority Projects in Environment 2014-18 Name of Project Country

Coverage Cost Estimate (US$ million)

Investment Projects 1 Global Environment Fund Regional

Biodiversity and Forestry Program All GMS countries

20.0

2 Low Carbon Freight Corridors LAO, VIE 60.0 Subtotal (Investment Projects) 80.0

Technical Assistance Projects 1 Core Environment Program and Biodiversity

Conservation Corridor Initiative II RETA – Additional Funding

All GMS countries

7.6

2 Low Carbon Freight Corridors CAM, LAO, THA, VIE

1.0

Subtotal (TA Projects) 8.6 TOTAL 88.6

CAM = Cambodia; GMS = Greater Mekong Subregion; LAO = Lao People’s Democratic Republic; PPTA = Project Preparatory Technical Assistance; RETA = Regional Technical Assistance; TA = Technical Assistance; THA = Thailand; VIE = Viet Nam. Source: ADB and GMS countries’ estimates.

RIF Challenges and Next Steps • Ensure required ownership and commitment from Sector

Forums, Working Groups & Task Forces • Secure financial and knowledge support from

Development Partners and the private sector • Capture implementation results via a robust monitoring

and evaluation program • Final draft of RIF IP and M&E System paper expected to

be endorsed by countries in November 2014 • RIF IP to be presented at 5th GMS Summit

Potential Areas for DP Involvement • Finance/co-finance investment and technical assistance

projects • Support policy dialogue, capacity building & knowledge

sharing • Assist in promoting private sector participation, where

applicable • Promote coordination among DPs as well as with GMS

Sector Forums, Working Groups and Task Forces