PROGRAMME FOR COUNTRY PARTNERSHIP: Senegal How does the PCP-SEN operationalize ISID through partnerships? Key results after a year of implementation 14 April 2016

22 Results: Coordination and partnerships Key achievements and leveraging effect How does the PCP-SEN generate inclusiveness? How is the issue of sustainability addressed? 2016 deliverables: PCP-SEN implementation Partnerships and investment mobilization Summary

33 UNIDO as the main advisor on ISID to the Government of Senegal Government ownership and PCP visibility at the highest level  National Steering Committee composed of high-level officials from the President’s Office, the Prime Minister’s Office, Ministry of Industry, BOS and the private sector  Government annual funding secured: USD 1 million per year (total USD 4 million)  A change of mindset towards industrialization now at the centre of the Government’s development agenda Rationalization of financial resource allocation for industrial component of the Plan Senegal Emergent: Partner and Donor Working Group & mechanisms  Coordinate business and development partners interventions and investments for industrial component of the PSE and promote membership of new partners  Propose financing tools and mechanisms to mobilize additional funding and investment Results: Coordination and partnerships (1)

44 Pledging meetings and 1st Partner and Donor Roundtable in May 2016  Objective: Financing of PCP SEN through pledging – Result of partner engagement process  Mapping of partner interventions and financial gap analysis  Presentation of PCP-SEN technical assistance and investment project portfolio  Reinforce synergies between PCP-SEN components and partner interventions  PDWG operational and alignment with partner programmes 28 technical and financial partners mobilized  16 bilateral donors, 12 multilateral donors  New investment partners identified for Senegal:  Non-traditional donors: Belgium, Canada, Poland, Russian Federation, UK, USA  Multilateral donors: FAO, ITC, UNCDF, UNDP, UNECA All new UNIDO agreements with AfDB, China Development Bank, EIB and IDB include the PCP Technical and financial partners recognize UNIDO as a key actor for industrialization in Senegal Results: Coordination and partnerships (2)

55 Strong participation of national private sector  UNIDO organized PCP-SEN awareness workshops for the national private sector, which led to a change of mindset  Growing interest for private investment in the PSE and private funding to UNIDO TA Growing interest of the international private sector and foreign investors UNIDO implementation: synergies and better internal coordination  UNIDO to mainstream all its TC programmes in Senegal  Multidisciplinary PCP-SEN technical team established and joint missions organized to Senegal to leverage interest of partners, build team spirit, promote cost-efficiency interventions and rationalize use of resources Development of an impact-based M&E framework Results: Coordination and partnerships (3)

66 Pre-investment services and recommendations provided for integrated industrial parks (IIPs):  Master plan for the development of IIPs including:  Incentive regime for firms and investors  Benchmarking analysis of Senegal vis-à-vis its competitors  Cost-benefit model & economic and financial analyses transferred to Diamniadio IIP authorities  Review of legal, regulatory and institutional frameworks related to IIPs  Development and design of PPP management structure for Diamniadio and capacity-building of relevant national counterparts UNIDO interventions triggered:  Mobilization of USD 32 million of public financing for phase 1 of IIP development  Definition of the IIP concept and its positioning in comparison with other countries  Growing interest from partners such as China, AfDB, EIB and IDB  Four private sector FDI delegation visits to Senegal aiming to relocate to Diamiandio  1 st international private sector garments factory to start operations in 2016 Results: Key achievements and leveraging effect (1)

77 Industrial policy  Identification of three competitive labour-intensive sectors based on Senegal’s comparative advantage to achieve quick wins, using targeted investment promotion, incentives, and developing sustainable industrial infrastructure (GIFIUD)  Staff of relevant ministries and institutions trained on industrial strategy design and implementation Agro-poles: A comprehensive value chain analysis of the agro-industrial sector, followed by opportunity studies (collection of baseline data related to the development of agro-poles, including a business plan)  Concept of agro-poles defined (including composition, service provision and stakeholder involvement)  Close collaboration between UNIDO and all donors & non-traditional partners expected to participate in the governance of the agro-poles  Master plan for agro-poles developed and implementation to start as early as 2016  Partner interest triggered (e.g. IDB) Results: Key achievements and leveraging effect (2)

88 Agro-poles and rural development  Local governance structures for agro-poles management  Linkages between large-scale companies and rural SMEs  Enhanced capacities of women and youth trough skills training and rural entrepreneurship SME regional industrial mining hub in Kedougou  Creation of industrial activities in remote areas/decentralization  Local SMEs linked with international supply chains of mining companies  Attracting international private sector and foreign investors Focus on small and medium-sized industries  Local SME development, taking into account existing enterprises and access to finance Local cluster development programme & youth and women entrepreneurship and employment  Clustering of local private sector in agro-poles, industrial parks and industrial mining hub Supplier development with FDI/UNIDO’s SPX and investment monitoring programmes Results: How does the PCP-SEN generate inclusiveness?

99 All PCP-SEN vertical interventions are supported by environment and energy cross-cutting components  Resource efficiency and cleaner production assessment  Energy efficiency and resource efficiency technologies and services  Greening of targeted value chains Sustainable Cities Programme in Senegal  Partnership with GEF, WB and GoS  Objective: Senegal as a green cities model for West Africa Integrated approach: pilot on sustainability and resilience for food security in Senegal  Partnerships with IFAD and GoS  Objective: Increased sustainability and resilience of agricultural value chains for enhanced food security GEF integrated project on e-waste management Engagement with Climate Technology Centre and Network (CTCN) and Partnership for Action on Green Economy (PAGE ) Results: How is the issue of sustainability addressed?

10 Integrated industrial parks  Finalization of incentive package and legal framework for Diamniadio  Establishment of a private-public dialogue platform  Planning and preliminary studies for establishment of additional IIPs  Training on cost-benefit analysis, eventually to be applied to additional IIPs  Technical assistance for the creation of mixed-economy  Investment promotion strategy developed Competitive and integrated agro-poles  Finalization and validation of feasibility studies by GoS and technical and financial partners  Investment promotion strategy developed  Establishment of the first agro-pole Industrial mining hub  Technical support to local SMEs through sub-contracting and upgrading  Investment promotion strategy developed 2016 deliverables: PCP-SEN implementation (1)

11 Implementation of South-South and triangular industrial cooperation component (rice production and processing project)  Objective: Support the GoS in achieving rice self-sufficiency by 2018  Joint mission with CAD Fund to discuss investment opportunities in rice value chain Implementation of innovation, science and technology component  Launch of the Industrial Development Report (April 2016)  Survey of Senegal’s national system of innovation and national firm-level innovation study & productivity analysis  Establishment of a national innovation and productivity observatory Continued implementation of cross-cutting components  RE and EE technologies and services  Resource efficient and cleaner production services, and greening of value chains  Quality certification services 2016 deliverables: PCP-SEN implementation (2)

12 Funds and partnership mobilization strategy – Phase 2  TA implementation budget for Phase 1: USD 3 million  PCP project portfolio (TA, investment) development for partnerships  PSE Partnership and Donor Working Group pledging rounds  PCP international road shows in Asia, Europe and US  PSE investment promotion initiatives ISID Regional Investment Forum 2016 in Dakar, Senegal 1.Present tangible results of PCP-SEN and PCP-ETH and share experiences and lessons learned with West African countries regarding PCP implementation 2.Promote the PCPs as operational country programmes for investment promotion and partnership mobilization 3.Promote PCP investment projects to international and regional key actors (private companies, investors, DFIs, funds, etc.) Implementation of ISID investment monitoring programme  Consolidate UNIDO investor survey with ISID data through survey implementation, establish investment monitoring platform, and capacity-building of IPA and relevant institutions 2016 deliverables: Partnerships and investment mobilization

Thank you! 14 April 2016 Tidiane BOYE Team Leader PCP-SEN