1 Europe and CIS Jacek Cukrowski Jacek Cukrowski AfT Team Leader, AfT Team Leader, UNDP, Europe and the CIS UNDP, Europe and the CIS Bratislava Regional Centre Bratislava Regional Centre AID FOR TRADE FOR CENTRAL ASIA, AID FOR TRADE FOR CENTRAL ASIA, SOUTH CAUCASUS AND WESTERN CIS SOUTH CAUCASUS AND WESTERN CIS Promoting Trade Development and Poverty Reduction Promoting Trade Development and Poverty Reduction in Partnership with Finland´s Wider Europe Initiative in Partnership with Finland´s Wider Europe Initiative Baku, 2 December 2010 Ministerial Conference Aid-for-Trade Roadmap for SPECA Baku, Azerbaijan, 1-2 December 2010
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Europe and CIS
Jacek CukrowskiJacek CukrowskiAfT Team Leader, AfT Team Leader,
UNDP, Europe and the CISUNDP, Europe and the CIS
Bratislava Regional CentreBratislava Regional Centre
AID FOR TRADE FOR CENTRAL ASIA, AID FOR TRADE FOR CENTRAL ASIA, SOUTH CAUCASUS AND WESTERN CISSOUTH CAUCASUS AND WESTERN CIS
Promoting Trade Development and Poverty ReductionPromoting Trade Development and Poverty Reductionin Partnership with Finland´s Wider Europe Initiativein Partnership with Finland´s Wider Europe Initiative
Baku, 2 December 2010
Ministerial Conference Aid-for-Trade Roadmap for SPECABaku, Azerbaijan, 1-2 December 2010
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OutlineOutline
BackgroundBackground
Wider Europe: AfT in Central Asia, South Caucasus Wider Europe: AfT in Central Asia, South Caucasus and Western CIS and Western CIS
A frameworkA framework Project components Project components ImplementationImplementation
Long term partnership with Finland´s Long term partnership with Finland´s Wider Wider Europe Initiative Europe Initiative
Phase II of the regional projectPhase II of the regional project
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Background Background
UNDP’s human development UNDP’s human development agenda and tradeagenda and trade Millennium DeclarationMillennium Declaration
Millennium Development GoalsMillennium Development Goals
Human development Human development
Human development and tradeHuman development and trade
trade can be a powerful source of economic growthtrade can be a powerful source of economic growth
liberalizing trade does not ensure poverty reduction or human liberalizing trade does not ensure poverty reduction or human development, nor does it guarantee immediate economic growthdevelopment, nor does it guarantee immediate economic growth
the nature of resource allocation and social inclusion are the nature of resource allocation and social inclusion are important determinants of growth leading to poverty reduction important determinants of growth leading to poverty reduction and human developmentand human development
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Background Background
Finland’s development prioritiesFinland’s development priorities
The EU Strategy on Aid for Trade (2007)The EU Strategy on Aid for Trade (2007)
Finland’s Aid for Trade Action Plan (2008–2011)Finland’s Aid for Trade Action Plan (2008–2011)
The Wider Europe Initiative (2008)The Wider Europe Initiative (2008) a framework prepared for cooperation with former Soviet a framework prepared for cooperation with former Soviet
republicsrepublics
promote stability and well-being promote stability and well-being
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Wider Europe: Aid for Trade for Central Asia, South Caucasus and Western CISWider Europe: Aid for Trade for Central Asia, South Caucasus and Western CIS
Implementation frameworkImplementation framework
Time frameTime frame 18 months: August 2009-January 201118 months: August 2009-January 2011
BudgetBudget 1.6 million Euro1.6 million Euro
Implemented in 11 countriesImplemented in 11 countries New Independent States (without Russian New Independent States (without Russian
Federation)Federation)
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Wider Europe: Aid for Trade for Central Asia, South Caucasus and Western CISWider Europe: Aid for Trade for Central Asia, South Caucasus and Western CIS
Project componentsProject components Component IComponent I
AfT Road Map in Central Asia: Identification of National and AfT Road Map in Central Asia: Identification of National and Regional AfT PrioritiesRegional AfT Priorities
Aid for Trade Conference (Ministerial Meeting) for SPECA Aid for Trade Conference (Ministerial Meeting) for SPECA countries proposed by the Government of Azerbaijancountries proposed by the Government of Azerbaijan
Component IIComponent II AfT for Central Asia: Support to Economic Development along AfT for Central Asia: Support to Economic Development along
Component IIIComponent III AfT Needs Assessments in South Caucasus and Western CIS AfT Needs Assessments in South Caucasus and Western CIS
Armenia, Georgia, Belarus, Ukraine, MoldovaArmenia, Georgia, Belarus, Ukraine, Moldova
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Component II: Component II: AfT for Central Asia: Support to Economic Development along Trade CorridorsAfT for Central Asia: Support to Economic Development along Trade Corridors
ObjectivesObjectives
Help SME, farmers and associations of farmers to Help SME, farmers and associations of farmers to gain from the opportunities the new transport gain from the opportunities the new transport infrastructure will bring to the regions and local infrastructure will bring to the regions and local communities placed along transport corridors communities placed along transport corridors
Identify products with the biggest trade potential, Identify products with the biggest trade potential, improve the understanding of the markets, match improve the understanding of the markets, match potential trading partnerspotential trading partners
Improve the regions competitiveness, expanding Improve the regions competitiveness, expanding trade and alleviating povertytrade and alleviating poverty
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Component I: Component I: AfT Road Map in Central Asia: Identification of National andAfT Road Map in Central Asia: Identification of National and Regional AfT Priorities Regional AfT PrioritiesComponent III: Component III: AfT Needs Assessments in South Caucasus and Western CISAfT Needs Assessments in South Caucasus and Western CIS
ObjectivesObjectives
Identification of capacity gaps Identification of capacity gaps (institutional, human, etc.) and (institutional, human, etc.) and technical assistance needs technical assistance needs
Development of policy Development of policy recommendations and action matrix for recommendations and action matrix for potential donor assistancepotential donor assistance
Development of concrete project Development of concrete project proposals for AfT interventions proposals for AfT interventions
Methodology presented in regional Methodology presented in regional guide: guide: How to Conduct Trade Needs How to Conduct Trade Needs AssessmentAssessment
Focus: Focus: Impact of trade on human Impact of trade on human development, living standards and development, living standards and poverty reduction poverty reduction
Purpose: Purpose: Highlight capacity gaps and Highlight capacity gaps and propose actions and technical propose actions and technical assistance projects to overcome assistance projects to overcome weaknesses…weaknesses…
Role of UNDP: Role of UNDP: methodological methodological support, support, facilitation of facilitation of the processthe process
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Background for project Background for project development development
National AfT Needs National AfT Needs Assessments:Assessments:
- Azerbaijan- Azerbaijan
- Kazakhstan- Kazakhstan
- Kyrgyzstan- Kyrgyzstan
- Tajikistan- Tajikistan
- Turkmenistan- Turkmenistan
- Uzbekistan- Uzbekistan
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Long term partnership with Finland´s Wider Europe InitiativeLong term partnership with Finland´s Wider Europe Initiative AfT for Central Asia, South Caucasus AfT for Central Asia, South Caucasus and Western CIS:and Western CIS: Phase IIPhase II
Time frame: 36 months (2011-2013)Time frame: 36 months (2011-2013)
Geographical coverage Geographical coverage New Independent States (without Russian Federation)New Independent States (without Russian Federation)
Indicative budget: 4.6 million EuroIndicative budget: 4.6 million Euro
Current statusCurrent status project proposal submitted (September, 2010)project proposal submitted (September, 2010)
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AfT for Central Asia, South Caucasus and Western CIS: Phase IIAfT for Central Asia, South Caucasus and Western CIS: Phase II
Outputs of the projectOutputs of the project
Increased economic development along trade corridors Increased economic development along trade corridors linking the countries of Central Asia, South Caucasus and linking the countries of Central Asia, South Caucasus and Western CIS with key markets for their productsWestern CIS with key markets for their products (Component (Component I)I)
Increased use of trade opportunities through technical Increased use of trade opportunities through technical assistance assistance (Component II)(Component II)
Better understanding of informalities and enhanced Better understanding of informalities and enhanced capacities to overcome informal trade barriers faced by capacities to overcome informal trade barriers faced by small enterprises and micro businessessmall enterprises and micro businesses (Component III) (Component III)
Enhanced opportunities for small enterprises and micro-Enhanced opportunities for small enterprises and micro-businesses to benefit from trade businesses to benefit from trade (Component IV)(Component IV)
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AfT for Central Asia, South Caucasus and Western CIS: Phase IIAfT for Central Asia, South Caucasus and Western CIS: Phase II
Component IComponent I
Geographical coverage:Geographical coverage: selected areas in Armenia, selected areas in Armenia, Georgia, Kazakhstan, Kyrgyzstan, Tajikistan, UzbekistanGeorgia, Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan
Concept:Concept: B Build on experience gained during the uild on experience gained during the implementation of phase I in selected regions located implementation of phase I in selected regions located along the CAREC trade corridorsalong the CAREC trade corridors
OObjectivebjective:: support the development of trade related support the development of trade related capacities and help capacities and help SMESME in remote urban and rural areas, in remote urban and rural areas, as well as farmers and farmers’ associations to gain from as well as farmers and farmers’ associations to gain from the opportunities that expanded trade possibilities may the opportunities that expanded trade possibilities may bring to the regions and local communitiesbring to the regions and local communities
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Support to economic development along trade corridors linking Support to economic development along trade corridors linking countries of Central Asia, South Caucasus and Western CIS with countries of Central Asia, South Caucasus and Western CIS with
key markets for their productskey markets for their products
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AfT for Central Asia, South Caucasus and Western CIS: Phase IIAfT for Central Asia, South Caucasus and Western CIS: Phase II
Component IIComponent II
Geographical coverage:Geographical coverage: Belarus, Moldova, Ukraine, Belarus, Moldova, Ukraine, TurkmenistanTurkmenistan
Concept:Concept: Implement country tailored interventions to build Implement country tailored interventions to build trade support capacities, optimize institutions, and support trade support capacities, optimize institutions, and support exporters exporters
OObjectivebjective:: FFacilitate international trade on the national acilitate international trade on the national and local level by supporting the development of strategic and local level by supporting the development of strategic documents to develop trade, optimizing the institutional documents to develop trade, optimizing the institutional framework, and providing technical assistance to framework, and providing technical assistance to exportersexporters
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Trade development: Technical assistance for a better use of Trade development: Technical assistance for a better use of trade opportunitiestrade opportunities
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AfT for Central Asia, South Caucasus and Western CIS: Phase IIAfT for Central Asia, South Caucasus and Western CIS: Phase II
Component IIIComponent III
Geographical coverage:Geographical coverage: Azerbaijan, Georgia, Kyrgyzstan, Azerbaijan, Georgia, Kyrgyzstan, Moldova, regional activities Moldova, regional activities
Concept:Concept: Facilitate knowledge exchange and support Facilitate knowledge exchange and support regional debate on selected issues related to international regional debate on selected issues related to international trade trade
OObjectivebjective:: AArticulate national and sub-regional AfT issues rticulate national and sub-regional AfT issues with special reference to the challenges faced by with special reference to the challenges faced by SME SME operating in local areas, shadow economic activities and operating in local areas, shadow economic activities and informal cross border trade, gender inequality and informal cross border trade, gender inequality and environment environment
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Understanding informalities and overcoming Understanding informalities and overcoming informal trade informal trade barriers faced by small enterprises and micro businesses, barriers faced by small enterprises and micro businesses,
especially women entrepreneursespecially women entrepreneurs
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AfT for Central Asia, South Caucasus and Western CIS: Phase IIAfT for Central Asia, South Caucasus and Western CIS: Phase II
Concept:Concept: Facilitate exchange of the best practices, Facilitate exchange of the best practices, knowledge, spread of new technologies, and explore new knowledge, spread of new technologies, and explore new trade channelstrade channels fair tradefair trade
OObjectivebjective:: CCreatreatee opportunities for micro-businesses to opportunities for micro-businesses to gain from international trade and improve knowledge gain from international trade and improve knowledge regarding the application of new technologies, and tools regarding the application of new technologies, and tools for better market accessfor better market access
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Creating opportunities for small enterprises and micro-Creating opportunities for small enterprises and micro-businesses to benefit from tradebusinesses to benefit from trade
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AfT for Central Asia, South Caucasus and Western CIS: Phase IIAfT for Central Asia, South Caucasus and Western CIS: Phase II
Management arrangementsManagement arrangements
UNDP Bratislava Regional Centre for Europe UNDP Bratislava Regional Centre for Europe and the CISand the CIS UNDP project implementation procedures UNDP project implementation procedures Quality assuranceQuality assurance Financial managementFinancial management Consolidated reportingConsolidated reporting
Country presenceCountry presence Support for UNDP offices in all the countries of the Support for UNDP offices in all the countries of the
regionregion Project components on national and local levelProject components on national and local level
Synergies and coordinated regional activities Synergies and coordinated regional activities
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Thank you…Thank you…
United Nations Development Programme,United Nations Development Programme,
Europe and the Commonwealth of Independent States,Europe and the Commonwealth of Independent States,
Bratislava Regional CentreBratislava Regional Centre
