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Trade MainstreamingThe contribution of the Enhanced IF

Luisa E. BernalUNDP Trade and Human Development UnitGeneva

1Presentation outlineWhy trade mainstreaming?What is trade mainstreaming?Leading a mainstreaming processConcluding remarks

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Number of people on different income levels by region, in 19703

4I. Why trade mainstreaming?To effectively leverage the potential of trade for poverty reduction. Trade reform in isolation will not yield the expected results.Broader development framework provides the anchor to decide on the design and sequence of particular trade reforms and complementary policies.

5II. What is trade mainstreaming? Articulating trade-related priorities in the strategies to reduce poverty and attain the MDGs.Translating policy statements into operational objectives and action plans.Linking strategies to resources.Following through implementation.Monitoring and evaluating results.

6Development planning cycle Situation analysis/diagnosticAllocating resourcesDefining an action plan (including capacity needs)Implementation and monitoring programmes Managing and using evaluationSetting the vision/Strategic goals/ prioritiesBroad consultative process

Mainstreaming at three levels:PolicyInstitutional framework and processesDialogue with development partners

How can the EIF contribute to trade mainstreaming?

III. Leading a mainstreaming processIII. Policy level (1)Human Development - enlarging peoples choices:Productivity: ability to participate in the growth processEquity: access to opportunities; reduction of inequalities and disparitiesEmpowerment: ability to shape processes and events that affect ones life Sustainability: preservation of developmental achievementsStrategies for promoting inclusive growthVehicles for trade mainstreaming

9III. Policy level (2)DTIS/updates provide the analytical underpinnings for trade mainstreamingIn-depth analysis of main constraints to effective integration Country owned and country specific/high standardsAction Matrix identifies priorities for actionPriorities validated through broad dialogue including development partners

10III. Institutional framework (1)Broad on-going consultative processes Advocacy/dissemination of analytical findings and trade-related informationLong-term sustainabilityEIF support to intergovernmental coordination on trade/ Aid for tradeLinks with finance, development planning, aid coordination and other line ministriesNational implementation unitEIF support to NIA broad group of stakeholdersPrivate sector, business community, women councils, civil society, development partnersNational steering committee

III. Institutional framework (2)Addressing capacity gapsBuild and sustain capacity to mainstreamFunding is available to address human resources and institutional support needsDTIS and Action matrix identify priority TRTAsAvailable support from EIF partners to prepare actionable plansComplementary funding for project development and implementation

III. Dialogue with development partnersMainstreaming is joint responsibilityAligning development assistance to NDP/DTISSend consistent messages (NDP/DTIS basis of dialogue) Raise trade-related priorities in dialogues with donorsEnhanced role for the donor facilitator in countryM&E focuses partnership on results/mutual accountability

IV. Concluding remarks (1)Trade figures more prominently in PRSPs (UNDP 2008).Trade mainstreaming requires strong leadership and advocacy.It is a continuous process; not a one-off exercise. Broad national ownership and sustainability depend on effective engagement of stakeholders.

IV. Concluding remarks (2)The EIF architecture and funding structure is better suited to support trade mainstreaming by LDCs.Trade mainstreaming joint responsibility.The wider AfT agenda has raised awareness.The CEB Cluster on Trade and Productive Capacity advocates and mainstreams trade in UNDAFs.

Resources:

http://www.undp.org/poverty/focus_trade_and_investment_publications.shtml

THANK YOU!

Contact details:luisa.bernal@undp.org