Mobilizing resources for sustainable industrial development UNIDO experience

2. Mobilizing resources for sustainable industrial development UNIDO experience Christophe Yvetot UNIDO Resource Mobilization Officer SADC EGM Johannesburg, 6-8 December 2006

3. UNIDO experience in mobilizing resources for industrial development • 40 years experience in mobilizing resources; • UNIDO ongoing TC programme (US$440 million ) is based on voluntary contributions from donors; • 171 Members States: stimulating dialogue between donors and developing countries; • UNIDO TC Programme: focusing activities on Member States needs.

4. UNIDO TC programmeStrategic long term vision 2005 • Priorities: • Poverty reduction through productive activities: addressing the cause of poverty, not only the symptoms. Private sector development for growth and employment; • Trade Capacity Building: addressing supply side constraints through quality programmes and through industrial restructuring and up-grading; • Energy and environment: developing energy efficiency, renewable energy sources and encouraging cleaner production • Geographical priority: Africa

5. European consensus on development 2005 • A common development framework for the EU (EC and 25 Member States) • Priorities: • Trade and regional integration; • Environment and sustainable management of natural resources; • Water and energy; • Rural development; • Social integration and employment; • Geographical priority: Africa

6. European development financing • Resources for Africa: • European Development Fund: €22,7 billion for 2008-2013 to support African, Caribbean and Pacific Countries (ACP); • Additional €2 billion for Trade Related Assistance. • Allocations of resources through negotiations in 2007: • Economic partnership Agreements (EPAs); • Indicative National/Regional Programmes.

7. UNIDO successful experiences Regional programmes in West Africa • 1st step: UEMOA Quality Programme 2001: €12 million for establishment of regional quality infrastructure (quality, standardization, metrology, certification) including 8 countries. Achieved in January 2006; • 2nd step: ECOWAS Quality Programme (€15 million), including 16 countries. Start first quarter of 2007; • 3rd step: UEMOA industrial restructuring and up-grading programme (€16 million France/AFD). Start first quarter of 2007; • 4th step: ECOWAS industrial restructuring and up-grading programme (under elaboration). Start January 2008.

8. UNIDO comparative advantage in mobilizing EU resources • Facilitated access to EC financial resources: signature of a Financial and Administrative Framework Agreement (FAFA) with EC in October 2003; • Technical expertise in formulation and implementation of regional industrial development programmes; • Standardized procedures for programme management and for financial and technical reporting; • A methodology: donor engagement at early stage. Programme should be a balance between country/region needs and donor priorities;

9. UNIDO comparative advantage in mobilizing EU resources • UNIDO is a technical facilitator: dialogue with EC as well as with countries/regional economic communities and ACP Group of States; • UNIDO can mobilize additional resources from EU 25 Member States and non-EU european countries (Switzerland, Norway); • UNIDO has already been invited to participate in EC regional task forces for programming EDF funds for regional programmes in West Africa and Central Africa.

10. Mobilizing resources for SADCindustrial development • Possible concrete follow-up to SADC EGM: • joint SADC/UNIDO/EC elaboration of an industrial development regional programme (priorities to be identified): first semester of 2007; • joint country/UNIDO/EC elaboration of an industrial development national programme (priorities to be identified): first semester of 2007; • Funds sources: 9th EDF reallocations, 10th EDF regional resources for regional integration and competitiveness, additional resources for trade related assistance

11. Specific resource mobilization activities at regional level • Suggested activities and schedule: • Official request for a regional programme to be sent by SADC to EC Delegation in Gaborone (for example a regional industrial restructuring and up-grading programme) with UNIDO as executing agency: January 2007; • SADC and UNIDO to coordinate approaches and meet with EC Delegation in Gaborone: last week of January 2007; • If SADC and EC agree on the principle of such a programme: • Joint SADC/UNIDO/EC programme formulation and subsequent implementation.

12. Specific resource mobilization activities at national level • Suggested activities and schedule: • Official request for a national programme to be sent by countries to respective EC Delegation (for example a national industrial restructuring and up-grading programme) with UNIDO as executing agency: January 2007; • Countries and UNIDO to coordinate approaches and meet with respective Delegation : first quarter of 2007; • If countries and EC agree on the principle of such a programme: • Joint country/UNIDO/EC formulation and implementation of the programme: first semester of 2007;

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27. UNIDO and SADCTowards effective resource mobilization • Clear identification of industrial development programmes • Donor engagement at early stage • Should lead to effective resource mobilization

28. Thank you very much • for your attention