b y Bader Al-Dafa Under Secretary-General Executive Secretary UNCTAD XII, Ghana, 23 April 2008 Promoting Aid-for-Trade In the ESCWA Region Promoting Aid-for-Trade In the ESCWA Region

WTO members (8): Bahrain, Egypt, Jordan, Kuwait, Oman, Qatar, Saudi Arabia & UAE Observer Status (3): Iraq, Lebanon & Yemen Non-WTO members (2): Palestine & Syria ESCWA consists of 13 Members

Main Features of the ESCWA Region Developing economies, despite huge oil revenues in some countries Modest institutional & infrastructural base Emerging private sector Dominance of the public sector, despite recent liberalization & privatization Major Indicators (%) ESCWA Share of World Total GDP Total Trade FDI Real GDP Growth Source: (1) Annual Review of Developments in Globalization and Regional Integration in the Arab Countries, ESCWA (2007) (2) Statistical Abstract of the ESCWA Region, ESCWA (2007)

Country DAC Category Growth Rate ( ) YemenLDC3.3 Oman UMIC 3.0 Lebanon4.0 Iraq LMIC - Palestine- Syria3.7 Egypt3.7 Jordan6.1 Saudi Arabia Graduated 4.2 Bahrain- Kuwait7.3 UAE8.2 Qatar- Source: World Development Indicators Database, World Bank (2007) The ESCWA Region as a Recipient GDP per capita ( )

ESCWA member countries received US$14.7 billion (14%) of the worlds total ODA in 2006 OECD ODA to ESCWA Region ODA distribution has been concentrated on social infrastructure rather than economic infrastructure & services & production Social-infra remains the priority for the region (water & sewage, education, health, housing, rural development)

Sectoral Distribution of Aid from the Arab Region (2006) Source: Unified Arab Economic Report, Arab Monetary Fund (2007) The ESCWA Region as a Donor ESCWA Region provided US$3.3 billion in 2006, which went to the region (62%), Asia (22%), Africa (15%) & Latin America (1%)

AFT Trade policy & negotiation skills constraints Infrastructure constraints Low competitiveness of exports Lack of adequate regional trade facilitation measures AFT to Address Supply-Side Constraints & Market Access Challenges

Procedural Requirements for Exporting & Importing by Selected Region Region Processing Time (Days) Document (Number) ExportImportExportImport ESCWA Latin America & Caribbean East Asia & Pacific OECD Source: World Bank Group (2007)

A Conducive Environment for AFT National governments need to… Improve Coordination Mechanism Identify Trade-related Priority Needs Commit to Mainstream Trade Develop Trade Strategies

Opportunities Furnished by the AFT Initiative for the ESCWA Region Alignment of AFT with priorities focusing on national strategies Increase in the amount of concessional aid Effective coordination among donors & harmonization of donor procedures Systemized review, monitoring & evaluation to enhance transparency & efficiency Enhanced integration into the multilateral trading system

1.AFT Global debate should be inclusive of all regions 2.Streamline AFT definition, scope and approach to be consistent with the objectives of South-South Cooperation and Paris Declaration on Aid Effectiveness 3.AFT delivery should be more demand-driven 4.Implement AFT Task Force Recommendations 5.Expand Enhanced Integrated Framework What needs to be done?

As all UN RCs, ESCWA is well positioned to assist in the implementation of the AFT initiative. 1.Promote & support future AFT debate (ensuring participation of the ESCWA Region) 2.Assist member countries and donors in surveying AFT priority needs in relevant areas What can ESCWA do?

3.Monitor & assess the impact & efficiency of tailored AFT funding on productive capacity & trade performance 4.Continue to provide target-oriented technical assistance for member countries 5.Encourage dialogue between member countries, donors and relevant regional organizations …What ESCWA can do?

Ensuring Integration of AFT in ESCWA - Capacity building for trade - Promote private-public partnerships - Strengthen the private sector - Promote South-South Cooperation Economic Development & Globalization Transport/ Maritime ICT Overall Strategy Cross-Cutting Issues Economic Analysis Financing For Development Environment Trade

وشكرا Merci THANK YOU