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Industrial policy: UNIDO approach and lessons from global implementation

Industrial policy: UNIDO approach and lessons from global implementation. Michele Clara Research, Statistics and Industrial Policy Branch 6 May 2014. A renaissance from what?.

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Industrial policy: UNIDO approach and lessons from global implementation

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  1. Industrial policy: UNIDO approach and lessons from global implementation Michele Clara Research, Statistics and Industrial Policy Branch 6 May 2014

  2. A renaissance from what? • “There was a time when industrial policies ... were bad words not to be spoken either in public or in private by respectable people” argued Joseph Stiglitz • … but surely not here at UNIDO … • At the core of the 1975 Lima Declaration … • … and still central in the one approved at the UNIDO General Conference in Lima in December 2013 • Growth through structural change, and in particular industrialization, a legitimate aspiration in almost all developing countries and a key political objective • Key question to UNIDO has never been “if” but “how”

  3. Industrial Policy at UNIDO • Improvements in quality of policies and of implementation capacities as KPI for most of UNIDO activities in P&B document • Evidence-based, stakeholders driven, M&E friendly • Internal division of labour between design of industrialization strategies/specific policies and support to their implementation • Emphasis on synergy on the basis of shared diagnostic tools

  4. Strategic Industrial Policy Advice • Focus on diagnostics of industrial performance and on industrial strategy-setting • Based on quantitative evidence (linkage with statistics and research) and benchmarking • No pre-set position on prioritization of any specific policy instrument (de-linked from TC mandate) • Scope for multi-disciplinarity among instruments (honest broker function) • Integrated focus on advice + capacity building + facilitation of policy processes

  5. The approach in one slide Capacity Development Process Facilitation Strategic Advice Industrial Diagnosis Industrial Governance Mechanisms (Inter-ministerial coordination, PPP, institutional strengthening) Trainings, seminars, workshops Information & Knowledge (statistics and research) Industrial Strategy Design Industrial Policy Making dialogue Industrial Policy Design Implementation and Evaluation

  6. Emerging Issues • Development cooperation lagging behind • IFIs and most traditional donors still very resistant to support IP (despite Paris Agenda and Busan commitments) … • … both at the country and at the sub-regional level • Regional industrial policies are a rapidly emerging trend • Especially in Africa, as a platform to build upon a shared consensus (politically a low-hanging fruit) • Many unresolved issues related to subsidiarity, coordination of measures and distribution of costs/benefits • Significant capacity gaps at country level in policy design, implementation and monitoring could be best addressed at the regional level

  7. Thank you

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