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Mr. Craig Steffensen Country Director ADB Thailand Resident Mission

Towards Enhancing Regional Connectivity: Expanding, Widening, and Deepening Economic Corridors in the GMS. Mr. Craig Steffensen Country Director ADB Thailand Resident Mission. Outline. New GMS Strategic Framework 2012-2022 GMS Corridors Trade and Transport Facilitation (TTF) in GMS

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Mr. Craig Steffensen Country Director ADB Thailand Resident Mission

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  1. Towards Enhancing Regional Connectivity: Expanding, Widening, and Deepening Economic Corridors in the GMS Mr. Craig Steffensen Country Director ADB Thailand Resident Mission

  2. Outline • New GMS Strategic Framework 2012-2022 • GMS Corridors • Trade and Transport Facilitation (TTF) in GMS • Overlap of GMS and Thailand strategies

  3. New GMS SF 2012-2022 • 4th GMS Summit, Myanmar, 2011 • Anchored on corridor development – widening and deepening • Multisector approach • Software emphasis (including TTF) • Knowledge intensive

  4. Roads • Telecommunications • Power Transmission Line Infrastructure Development in GMS (1992)

  5. Roads • Telecommunications • Power Transmission Line Infrastructure Development in GMS (2010)

  6. Roads • Telecommunications • Power Transmission Line Infrastructure Development in GMS (2015‒2020)

  7. Trade in GMS: Exports 2001-2009 (USD bn)

  8. GMS5 trade: Growing regional focus(Share in total GMS5 exports) Source: UNCOMTRADE and authors’ estimates. Note: All growth rates are average annual growth rates during 2000-09

  9. GMS and TTF: Overview • About $15 billion invested in GMS since 1992; from ADB, member countries and Development Partners (1/3 each) • Transport major sector, about 70% of total investments • Early and high-level (Summits, Ministerial) recognition of need to complement increased physical connectivity by improved TTF to develop economic corridors • Initial emphasis on the Cross-Border Transport Agreement (CBTA) • Action Plan for TTF endorsed by the 16th GMS Ministerial Conference in 2010

  10. ADB Partnerships for TTF • Formulation, negotiation and initial implementation of the CBTA supported through series of TAs • Action Plan for TTF developed and endorsed by the 16th GMS Ministerial in Ha Noi in 2010; implementation supported by ongoing AusAID RETA for $6 million • $25 million Government of Japan initiative for trade facilitation in Asia (focus: custom modernization); • Implementation being piloted in SE Asia; first project approved May 2012 and a second (for Myanmar) in Oct 2012

  11. Recent Outcomes and Activities (1) • Progress in CBTA ratification: Myanmar 15 annexes and protocols; Thailand 14. Remaining in process • Establishment of GMS Freight Forwarders and Transporters Association (FRETA), a private-sector platform for TTF • Greater recognition of need to align with ASEAN agreements on TTF • De-emphasis on transit (GMS Customs Transit System) leading to separation of trade facilitation from transport issues

  12. Recent Outcomes and Activities (2) • Extension of the EWEC to GMS capitals (Bangkok, Ha Noi and Vientiane) and deep sea ports (LaemChabang and HaiPhong); • Exchange of traffic rightsAranyaprathet-Poipet (14 June 2012); • Agreement on scheduled passenger transport service between Bangkok and Phnom Penh (by 1 August 2012); • Protocol for PRC-Viet Nam Bilateral Road Transport Agreement; • Signed on 31 May 2012 and implementation in Q4 2012 • Trucks and buses will be able to operate on the Kunming‒Hekou‒Lao Cai‒Ha Noi‒HaiPhong, and Ha Noi‒ Friendship Gate‒Nanning-Shengzhen route

  13. Overlap of GMS and Thailand Strategies • 11th National Economic and Social Development Plan Strat 4: Restructuring of the economy towards quality growth and sustainability Strat 5: Creation of regional connectivity for social and economic stability • Strategies for Reconstruction and Future Development Strat3: Spatial Development for New Economic Areas Strat 4: Infrastructure Development of 2012‒2020

  14. Thank you!

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