Least Developed Countries

Coordination Unit (LDCCU) Office of the Executive Secretary

UNESCAP

Workshop for National Focal Points on the Implementation of BPOA for LDCs, New York, 17-21 May 2004

OHRLLS

Presentation on Role & Activities of Regional Organizations

& Commissions in the Implementation of BPOA for LDCs

Prepared by: Aynul HasanChief, LDC Coordination Unit

FORMAT REASONS FOR VULNERABLE

ECONOMIES

ROLE OF REGIONAL COMMISSIONS IN BPOA

WORK PROGRAMME & ACTIVITIES OF UNESCAP FOR LDCs

REASONS FOR VULNERABLE ECONOMIES (LDCs, LLDCs & SIDS)

If left alone can all countries, particularly the vulnerable ones (LDCs, LLDCs, SIDS) be able to converge towards similar per capita income?

LUCAS’ GROWTH MODEL (JEP;2000)

LUCAS MADE SOME “PROPHETIC PROGNOSTICATIONS”

•DUE TO TECHNOLOGICAL DIFFUSION ALL ECONOMIES WILL JOIN INDUSTRIAL REVOLUTION

•INCOME GROWTH WILL CONVERGE

•INCOME INEQUALITY BETWEEN NATIONS WILL DISAPPEAR

“If you are reading this (article) in the year 2100 ... I ask you: Who else told you what the macroeconomics of your country would look like, in advance, with such accuracy and economy?”

LUCAS' INCOME PATHS FOR A SELECTED HYPOTHETICAL ECONOMIES (1800-2000)

-

5,000

10,000

15,000

20,000

25,000

30,000

35,000

Year 1850 1900 1950 2000

Country A Country B Country C Country D

Country A Growth Rate = 2.0%Country B Growth Rate = 4.5%

Country C Growth Rate = 7.0%Country D Growth Rate = 9.5%

LUCAS’ GROWTH MODEL

-WE HOPE LUCAS’ OPTIMISTIC FORECAST BECOMES REALITY SOONER THAN LATER BUT THE EMPIRICAL EVIDENCE IS JUST THE OPPOSITE

-PER CAPITA INCOME GAP HAS DIVERGED FROM 19 TIMES IN 1985 TO 24 TIMES IN 2000 (WORLD DEVELOPMENT INDICATORS, 2003)

-MODERN ECONOMIC GROWTH IS NOT RANDOMLY DISTRIBUTED AMONG THE POOR COUNTRIES.

ADDITIONAL VULNARABILITIES OF SIDS

0.20

32.71

12.21

14.33

0

5

10

15

20

25

30

35

Pacific LDCs Asian LDCs Africa LDCs World LDCs

Average Population of Various LDC Groupings (in millions)

$1,099

$569

$342

$456

0

200

400

600

800

1,000

1,200

Pacific LDCs Asian LDCs Africa LDCs W orld LDCs

Per Capita Gross National Income of Various LDC Groupings (in US$)

64.9

45.1

34.9

39.6

0

10

20

30

40

50

60

70

Pacific LDCs Asian LDCs Africa LDCs W orld LDCs

Human Asset Index (HAI) of Various LDC Groupings

53.4

39.5

48.3 47.4

0

10

20

30

40

50

60

Pacific LDCs Asian LDCs Africa LDCs World LDCs

Economic Vulnerability Index (EVI) of Various LDC Groupings

Criteria used in determining the least developed country status: A comparison

Resources Mobilization in the Implementation of POA for LDCs for the decade 2001-2010

•Key Issues• Due to low PCGDP and relative high PCC the saving rates are very low in LDCs• Brussels POA 2001-2010 calls for LDCs

7 % GDP growth and Investments rates of 25% of GDP

LUCAS’ GROWTH MODEL

- STRUCTURAL IMPEDIMENTS SUCH AS:-LAND MASS-SIZE OF THE POPULATION-NATURAL RESOURCES-HUMAN CAPITAL ASSETS-GEOGRAPHIC LOCATION-ENVIRONMENT

Role of Regional Commissions in the implementation of BPOA

NEED FOR REGIONAL REVIEWS

Country level Review & Monitoring

Global

Big Country (Bangladesh)

Small Country (Tuvalu)

Regional Reviews

Role of Regional Commissions in BPOA

Mandates in BPOA

““The relevant UN regional economic commissions should continue to ensure that the needs & problems of the LDCs are addressed as part of their ongoing work … Attention should be given to any need for strengthening capacities of the regional commissions in undertaking subregional & regional follow-up activities.” (para 107)

Role of Regional Commissions in BPOA

Mandates in BPOA

“…regional economic commissions should undertake, in close coordination with global-level and country-level follow-up process… periodic subregional and regional monitoring and review of progress in the implementation of BPOA. They should offer an opportunity for LDCs… to exchange experiences and seek solutions to common development problems …” (BPOA, para 105)”

UNESCAP Institutional FrameworkLDC Coordination Unit

Executive Secretary

Deputy Executive Secretary

LDC Coordination Unit/MDG Centre

UNIS

Programme of Work Programme Support

Poverty and Development UNESCAP Pacific Operations CentreStatisticsTrade and InvestmentTransport and TourismEnvironment and Sustainable DevelopmentInfo., Com. and Space TechnologyEmerging Social Issues

Programme ManagementAdministrative Services

UNESCAPWORK PROGRAMME

Thematic Work Programme

Poverty Reduction

Emerging SocialIssues

Managing Globalization

Poverty and DevelopmentUNESCAP Pacific Operations Centre

Statistics

Trade & InvestmentTransport & TourismEnvironment & Sustainable DevelopmentInfo., Com. and Space Technology

Emerging Social Issues

UNESCAPConference Structure &

Legislative BodiesCOMMISSION

Legislative Bodies

Committees &Sub-Committees

Special Body for LDCs & LLDCs (meet every 2nd Year- 2003)Special Body for SIDS (meet every 2nd Year- 2004)

PovertyGlobalizationEmerging Social Issues

UNESCAPLegislative Bodies

Special Body for LDCs & LLDCs

Special Body 2001

Special Body 2003

Adopted the Regional Action Plan for the 3rd LDC BPOA

Adopted the Regional Action Plan for the Almaty Programme of Action

Least Developed (LDCs) and Landlocked Developing Countries (LLDCs)

Afghanistan, Bangladesh, Bhutan,Cambodia, Kiribati, Lao PDR,

Maldives, Myanmar, Nepal, Samoa, Solomon Islands, Tuvalu, Timor Leste and Vanuatu

Afghanistan, Armenia,

Azerbaijan, Bhutan,

Kazakhstan, Kyrgyzstan,

Lao PDR, Mongolia,

Nepal, Tajikistan,

Turkmenistan,

Uzbekistan

14 Asia-Pacific

50 worldwideLDCs

30 worldwide

12 Asia-Pacific

LLDCs

•4 LDCs are alsoLLDCs

•5 LDCs are alsoPICs

UNESCAP’s FRAMEWORK OFIMPLEMENTATION OF BPOA

Implementation Freamework(Resolution…

Regional Review & Monitoring

Exchange of Views &

Knowledge

CapacityBuilding

Timor-LesteCambodiaMyanmar

Advisory Services Training Workshops (WTO, ICT, Poverty reduction, statistics

Needs Assessment

Annual Economic SurveysBiennial Regional MDG ReportsPeriodic LDC Series, Development Papers

EGM on Challenges facing LDCs (Sep 2003)Regular Working Group Meeting

FUTURE REGIONAL LEVEL LDC ACTIVITIES

1. LDC PANEL DISCUSSION AT THE 60th COMMISSION, Shanghai, April 2004 (jointly organized by UNESCAP & OHRLLS)

“Achieving the MDGs in the LDCs through Regional Development Cooperation”

Key Conclusions Establish a MDG Fund for the LDCs

Establish a facility at ESCAP to carry out feasibility studies in the LDCs for possible foreign direct investment

Establish a human resources development bank for common use by the LDCs

by commitment (percentage)

Commitment 115

Commitment 314Commitment 4

30

Commitment 515

Commitment 613

Commitment 29

Commitment 74

Activities implemented in line with theProgramme of Action for the LDCs

by countries (percentage)

Maldives5%

Myanmar13% Kiribati

2%

Cambodia17%

Bhutan5%

Bangladesh14%Samoa

5%

Nepal14%

Lao People's Democratic

Republic16%

Afghanistan0%

Vanuatu5%

Solomon Islands2%

Tuvalu2%

Activities implemented in line with Programme of Action for the LDCs

FUTURE REGIONAL LEVEL LDC ACTIVITIES

1. SIDE EVENT DURING THE SUB COMMITTEE ON POVERTY REDUCTION,

Bangkok, 29 June 2004

“Implementing partnerships for development in LDCs of Asia and the Pacific”

2. SIDE EVENT DURING THE SUB COMMITTEE ON TRADE & INVESTMENT, Bangkok,

October 2004

“Asia-Pacific LDC Position on Doha Development Agenda”

FUTURE REGIONAL LEVEL LDC ACTIVITIES

3. SPECIAL BODY FOR LDCs AND LLDCsBangkok, 29 April 2005

Mid-term review of BPOA for Asia-Pacific LDCs

Asia-Pacific LDC Position on Doha Development Agenda

Possible recommendations

•Establish clear communication channels with member countries.

•Ensure that needs of countries are taken into account in the preparation of work programme and projects.

•Assess the level of our technical assistance and advise countries of its availability.

•Allocate appropriate financial and staff resources to activities in these countries.

•Provide support for technical and economic cooperation among developing countries.

•Ensure that the cost of implementing activities does not affect delivery of activities to selected countries.

LDCCU NEEDS YOUR COOPERATION & SUPPORT TO

WORK FOR LDCs

UNESCAP

THANK YOU