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GSSC (GREAT SULU SULAWESI CORRIDOR) ECONOMIC CORRIDOR

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Presentation on theme: "GSSC (GREAT SULU SULAWESI CORRIDOR) ECONOMIC CORRIDOR"— Presentation transcript:

1 GSSC (GREAT SULU SULAWESI CORRIDOR) ECONOMIC CORRIDOR
Mr. Batara – Indonesia Ms. Ruzana Abdul Razak – Malaysia Ms. Maharlika Alonto – Philippines Ms. Maria Felicidad Guerrero – Philippines

2 SWOT ANALYSIS OF GSSC ECONOMIC CORRIDORS
Comparative Advantages/ Natural Key Assets (Strengths) Economic and Development Potential (Opportunities) Implementation Bottlenecks (Weaknesses) Potential Threats, e.g. social, environmental (Threats) Strong traditional links Participation in regional trade Underdeveloped infrastructure Security Rich natural resources Enhanced connectivity Low private sector participation Impact of climate change Large number of labor force Value-adding to raw materials Low quality of labor Illegal economic activities

3 GSSC ECONOMIC CORRIDOR KEY STAKEHOLDERS
Interest in the Economic Corridor Role in the Economic Corridors Resources they bring to the Economic Corridor 1 Local Government To increase the economic growth Create conducive environment to increase investments Policy formulation Financial assistance 2 Entrepreneurs To maximize profits Provide trading and job opportunities Trading skills Financial capital 3 Logistic providers To increase efficiency and mobility of people and commodities Establish trade and transport facilities Networking Technology 4 Academic institutions To add value to the economic resources Improve human capital Technical skills through incubators 5 Local Communities To increase their welfare and income Participation in EC as labor and consumer base Human capital Educations and skills training

4 Model of GSSC: Maritime Corridor
(P. Srivastava: Framework for Corridor Development) An economic corridor may be seen as having three complementary components. First is the trade and transport corridor itself, where roads and ports are an integral component, especially in the context of logistics performance, second are the industrial production clusters that produce goods and services, and finally are the urban centers that function as major markets and as a source of labor, technology, knowledge, and innovation Most relevant stages for GSSC (in ECD): Transport (waterways, efficiency) Transport and Trade Facilitation (flow of goods and people) Logistics (warehousing, storage investments)

5 GSSC Type and Characteristics
No Type Characteristics 1 Geographic Scope Regional 2 Sector Multi-sectoral 3 Institutional Dimensions Government - led 4 Beneficiaries Local Government Logistics providers Entrepreneurs Academic institutions Local communities 5 Transport Corridor Multimodal, but mainly seaport

6 GSSC DEVELOPMENT APPROACH
FOCAL Sectors Connectivity Pillar: Transport Trade and Investment Facilitation Food Basket Pillar: Agribusiness Environment Pillar: Environment

7 Framework for EC: Direction and Delivery
Goals and vision are clear and aligned Not participatory because it is a top-down approach Leadership and alignment of the goals and vision of concerned stakeholders Yes, it is agreed but only at the top level Strategy identified and targeting of sectors/industries, products or firms There is none for the GSSC, but only a roadmap for the whole BIMP-EAGA Corridor Development Matrix IMPLEMENTATION

8 Framework for EC: Direction and Delivery
Each member country allocated public funds to implement projects in the corridor, eg, ports Risks like delayed implementation and poor monitoring are addressed by putting up an effective monitoring and evaluation system Finance and Risk Management The soft and hard infrastructure interventions are already existing and in place, i.e. hard infrastructure are the Bitung Port (Indonesia), Zamboanga SEC and San Vicente TEZ (Philippines), Sabah Port (Malaysia) Soft interventions include CIQS facilities in all countries Soft and hard corridor interventions The institutional arrangement for GSSC is not yet established. Because the approach for delivery is top- down not participatory. Delivery and Implementation Mechanism

9 Drivers of EC (Lessons learned from the field visits)
The importance of having a Champion Identify a focal person/leader/ agency for the GSSC who can move activities in the GSSC Sharing of resources and responsibilities Resources need not only be taken from public funds but enablers can be enjoined One-on-one consultation with decision-makers before an official engagement The Champion can engage decision-makers into a one-on-one dialogue before an official undertaking

10 Recommended Strategy and Actions
Establish an institutional mechanism for GSCC Prepare a GSSC roadmap that identify priority projects Re-evaluate priority projects in GSSC to include feasibilities of economic activities particularly port-to-port Recommend a coordinated CIQS between countries Strengthen public awareness on BIMP-EAGA activities

11 Thank You


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