 |
Table of Contents |
 |
|
|
Report of the Chairperson of the Senior Officials' Meeting to
the Ministerial Meeting
Excellencies, Distinguished Delegates, Ladies and Gentlemen:
It is a great honor and pleasure for me to present the highlights
of the Senior Officials Meeting (SOM) held last Monday, the 23th
of September 2002. The SOM was co-chaired by Madame Yuejiao Zhang,
Deputy Director General of the Mekong Department, Asian Development
Bank (ADB) and H.E. Sok Chenda Sophea, Secretary General of the
Council for the Development of Cambodia.
The Senior Officials were welcomed by H.E. Sok Chenda Sophea. He
noted that since the decision in the last Ministerial Meeting for
Cambodia to host the first ever GMS Summit in November this year,
the GMS Governments have been jointly preparing for the event. He
indicated that during the mid-term SOM held in Kunming last June,
efforts have been better framed towards defining the development
matrix and flagship projects. He noted the importance of the SOM
in finalizing the concerns for the Ministers' attention or endorsement
at this meeting, particularly regarding the Summit preparations.
In her opening remarks, Madame Zhang invited the SOM to take a
fresh perspective of sectoral developments and build on them to
pursue the strategic thrusts and flagship programs. She encouraged
a holistic thinking in discussing the scope of the initiatives and
priorities for the rest of the decade - recognizing where strategic
linkages exist that could generate maximum synergy. She highlighted
that the theme for the GMS Summit, " Making It Happen: Growth, Equity,
and Prosperity through Economic Prosperity in the GMS" connotes
the same principles of action, results and pragmatism that have
made the GMS Program successful over the past 10 years and that
will also carry us forward during the next decade.
The Senior Officials recognized the significance of the Eleventh
Ministerial Conference for the following reasons:
- it will pave
the way for the first-ever GMS Summit of Leaders to be held on
3 November 2002 in Phnom Penh by reviewing the recommendations
of the GMS Summit Task Force
- it will be
the first opportunity for the GMS Ministers to discuss the beginning
of a comprehensive blueprint for implementing a 10-year Strategic
Framework for the GMS endorsed at the last Ministerial Meeting
- it will lead
a major effort in mobilizing the support of relevant institutions
for the GMS Program's flagship initiatives with the convening
of the Meeting with Development Partners yesterday, 24 September.
In the meeting on Monday, 23 September 2002, the Senior Officials
reviewed the following:
- recommendations
of the GMS Summit Task Force
- progress of
sectoral working groups and forums
- the 10 flagship
programs
- preparations
for the Meeting with Development Partners
On behalf of the Senior Officials Meeting, I would like to request
the adoption of the records of discussions of all the meetings of
GMS Forums and Working Groups that have been held since the Tenth
Ministerial Meeting.
May I present the salient points agreed upon by the Senior Officials
on the review of the preparations for the GMS Summit.
Review of the Preparations for the GMS Summit
The Ministers may wish to note that Cambodia, as the host country,
confirmed specific items as part of the protocol arrangements for
the GMS Summit and provided clarifications on questions raised by
some delegates. Other necessary details, both on logistics and substantive
matters, have already been addressed through earlier communication
or will be dealt with among member countries as the weeks progress
leading up to the Summit. The SOM agreed to ensure an open communication
flow on this matter.
The Ministers may wish to further note that:
- the Draft Joint
Summit Declaration is based on discussions at the Second Task
Force and SOM in Kunming last 6-8 June 2002, and improvements
made hereto by ADB
- the Senior
Officials have examined and endorsed the Draft Joint Summit Declaration
as "Making it Happen: A Common Strategy on Cooperation for Growth,
Equity and Prosperity in the GMS" in time for the tenth anniversary
of the GMS program of Economic Cooperation
- the key elements
of the declaration include: (a) a preamble that acknowledges the
endowments of the region and underscores the importance of cooperation
in promoting sustainable development; (b) a recount of the major
achievements of the GMS Program with joint effort of member Governments,
the valuable support of the ADB and other development partners,
and an expression of confidence that the next decade will build
upon this success; (c) a vision of unity of purpose where countries
are equal partners in the joint pursuit of growth, equity and
prosperity; (d) commitment for actions in the next decade as embodied
in the 10-Year Strategic Framework for the GMS Program and the
ten flagship programs; and (e) concluding statement of joint resolve
to make the vision happen.
The Ministers are kindly requested to endorse the declaration as
presented.
Ministerial attention is requested on the following proposed indicative
list of topics for discussion by the GMS Leaders:
- Recognition
of GMS achievements over the past decade - reaffirm principles
of cooperation and highlight key interests on sustainable and
equitable regional cooperation
- Affirmation
of vision and commitment to cooperation in the next decade - articulate
broad vision of the GMS and its role in the region, discuss key
means of promoting closer cooperation, and identify critical milestones
- Building of
development partnerships - build partnerships and mobilize financing
for GMS activities, define critical role of ADB in promoting the
GMS program, and according high priority to national components
of flagship programs.
The Ministers are kindly requested to endorse the three proposed
list of topics for discussion by the GMS leaders, which are consistent
with the Draft Joint Summit Declaration. The SOM agreed that the
six Governments exercise their discretion on the specific topic
to be tackled by each leader, which is expected to be at a strategic
or visionary level. The SOM also agreed that while exercising flexibility,
leaders may wish to provide a short overview statement prior to
presenting a subject that could be discussed among them. As the
Summit Chair, Cambodia's Head of State will serve as the overall
coordinator of the Summit during this closed-door session.
Review of Progress in Priority Sectors and New Directions
Since the mid-term SOM in Kunming on June 2002, the Senior Officials
reviewed the progress of work in key sectors of cooperation, namely,
transport, energy, telecommunications, environment, tourism, human
resources development, trade, investment, and economic corridor
development. They also discussed new initiatives in agriculture.
Based on the elements included in the development matrix, the Senior
Officials also discussed new directions in each sector. The SOM
also identified priority projects that were highlighted for the
Meeting with Development Partners. I would like to highlight the
major points discussed as well as the items that require the attention
of the Eleventh Ministerial Conference.
Overview of Developments in Priority Sectors and the Flagship
Programs
The Ministers may wish to note:
- the key features
of the 10-year GMS Strategic Framework are its multisectoral/holistic
approach, cross-sector linkages, and importance of social and
environmental dimensions
- the development
matrix to operationalize the flagship programs is a work-in-progress
that will serve as a road map for the GMS program to be used as
a planning and information tool to generate direct investments
and financing, and to promote private sector participation;
- there are five
significant milestones of the program as follows: economic corridors,
power trade, telecoms backbone, strategic environment framework,
and human resource development
- the program
faces the challenges of resource mobilization, integrating national
and subregional development programs, building closer alliances
and partnerships, and broadening scope of participation.
In transport:
The Ministers may wish to note:
- the significant
developments in high-priority transport projects, and in the mitigation
of non-physical barriers to cross-border movement of goods and
people in the GMS
- the underlying
objective of future program for the GMS transport sector is to
have a highly efficient system allowing for goods and people to
circulate or transit the GMS without significant excessive cost/delay
- the expected
finalization of financing arrangements by the Governments of PRC
and Thailand, and ADB for the GMS: Northern Economic Corridor
Project (Boten-Honayxay) in the Lao PDR
- that the investment
requirements for core transport and other infrastructure developments
to develop the economic corridors are significant.
The Ministers are kindly requested to:
- endorse the
proposed future work in the GMS transport sector that will focus
on ensuring the timely and successful realization of the East-West,
North-South, and Southern Economic Corridors
- reaffirm the
commitment to expedite the implementation of the GMS cross-border
agreement and its annexes and protocols on a subregion wide basis;
including pilot-testing of single-stop customs facilitation measures.
In telecommunications:
The Ministers may wish to note that:
- the ADB-assisted
technical assistance on telecommunications sector policy formulation
and capacity building has been ongoing with the inception meeting
scheduled in November 2002
- the outcome
of the technical assistance will be used in the ensuing investment
project to develop phase I of the GMS telecommunications backbone
- the strategic
thrust of the telecommunications sector under the GMS program
is to expedite the development of backbone transmission lines
with a view to maximizing the development impact of these networks
under a secure and stable policy environment in partnership with
the private sector.
The SOM expressed appreciation to the Government of Thailand through
TOT Corporation Public Company Limited in organizing the Training
Programs provided to GMS telecoms personnel. The 3rd Training Program
was held during 29th July to 9th August 2002 by full financial support
of TOT Corporation Public Company Limited. The SOM noted Thailand's
invitation to the personnel of six GMS countries to attend the next
training program.
The Ministers are kindly requested to provide high-level commitment
and support to the proposed phase I backbone telecommunications
project involving Cambodia, Lao PDR and Viet Nam, as well as to
the preparation of technical issues studies and institutional strengthening
initiatives to ensure proper functioning of the networks and to
maximize benefits to be derived.
In energy:
The Ministers may wish to note that:
- the Draft Final
Report of the Regional Indicative Master Plan on Power Interconnection
in the GMS has been reviewed, and one of the extended cooperation
scenarios would be recommended in the Final Report, albeit reservations
from Cambodia and Lao PDR
- the Intergovernmental
Agreement on Regional Power Trade in the GMS (IGA), which will
be signed by the six GMS Governments at the GMS Summit, provided
for the creation of a high regulatory body, the Regional Power
Trade Coordination Committee, to actively coordinate the implementation
of regional power interconnection and trade arrangements.
The Ministers are kindly requested to:
- endorse the
initialing of the IGA during this 11th Ministerial Conference
to be formally signed at the GMS Summit meeting
- facilitate
the ratification process following signing of the IGA so that
the IGA could enter into force as soon as possible
- support the
preparation of the Regional Power Trade Operating Agreement to
commence on 2003/2004 following the IGA signing and discussion
on the structure of future power market in the GMS among GMS members.
The SOM expressed appreciation to ADB for the planned review of
the benefits from shared power transmission lines in relation to
market structure, and possible benefits-sharing mechanisms.
In agriculture:
The Ministers may wish to note that:
- ADB is implementing
a small-scale technical assistance for conduct of study on subregional
issues in the agriculture sector in the GMS.
- the Inception
Workshop for this TA was held in July 2002 in Vientiane, Lao PDR
to define the goal/ objectives, scope of work and priority areas
of the Working Group on Agriculture (WGA).
- the goal of
the WGA is to identify and realize opportunities and a framework
for increased cooperation among GMS countries in agriculture.
- its scope of
work includes, among others, to develop a broad vision of accelerating
agriculture/ agribusiness development, to provide forum for promoting
public-private partnership, and to study and promote linkages
in production, processing and marketing.
- Priority areas
include HRD, environment for increased investment and trade, and
market access, among others.
- Preparatory
activities for the second meeting of the WGA involve the nomination
of WGA coordinator, and preparation of proposals for the WGA draft
work program, among others.
The SOM noted the suggestion from some delegates to conduct a demand-supply
study in order to identify areas of cooperation in relation to agricultural
product quality improvements, a joint research and development of
pre-post harvest technology. The SOM also expressed appreciation
to ADB for its commitment to assist in addressing drug-related problems
in the GMS as part of ADB's rural development strategy, and efforts
are being made to collaborate with the United Nations Drug Control
Programme. The SOM welcomed the offer of PRC to co-sponsor a forum
on GMS agriculture investment and cooperation.
In environment:
The Ministers may wish to take note that:
- the Strategic
Environment Framework (SEF) Phase I was completed in July 2002
that will provide a platform for guiding investment decisions
in the transport, water resources and environment sectors
- the Subregional
Environmental Monitoring and Information System (SEMIS) Phase
II would be completed by the end of 2002 that would undertake
pilot demonstration projects using data collected, produced or
manipulated for integrated social, economic and environmental
planning
- a follow up
phase of the SEF was reviewed and endorsed by the Working Group
on the Environment, for which ADB's technical assistance is being
formulated.
The Ministers may wish to reaffirm their commitment to the priority
areas for environment as provided for in the development matrix
and flagship program, specifically the Strategic Environment Framework
and Flood Control and Water Resource Management.
The SOM noted ADB's involvement in two initiatives not directly
related to the GMS program but are important aspects of environmental
management. These include biodiversity conservation and flood mitigation,
activities where ADB has been working with other development partners.
The SOM acknowledged Thailand's proposal to coordinate the establishment
of a GMS Regional and National Council on Sustainable Development
in each GMS country to support the program on national performance
assessment and global issues, including protocols that have been
ratified, and subregional strategic environment framework in the
GMS. ADB noted that this initiative needs further discussions and
careful study.
In tourism:
The Ministers may wish to note that:
- initiatives
under the Destination Marketing Program have been undertaken by
AMTA on behalf of the tourism working group
- the subregion
is being promoted as a single tourist destination through the
Mekong Tourism Forum
- the key issues
in promoting the subregion as a single tourist destination include
the need to strengthen AMTA, and the need to implement a composite
GMS tourism marketing strategy
- the ADB technical
assistane for the Mekong/Lancang River Tourism Infrastructure
Development was completed in August 2002, which assisted the Governments
of Cambodia, Lao PDR and Viet Nam; this TA prepared the Mekong
Tourism Development Project, for which ADB loan financing amounting
to about US$35 million is programmed for 2002
- the tourism
working group is considering the issue of a GMS visa and appropriate
consultations are ongoing with concerned agencies and tourism
ministries.
The Ministers are kindly requested to endorse the inclusion of
Tourism Development as the 11th flagship program for the 10-Year
Strategic Framework, components of which include promoting GMS as
a single destination, developing tourism-related public infrastructure,
encouraging private sector participation, promoting pro-poor community-based
sustainable tourism, facilitating travel within GMS, and capacity
building.
The SOM noted some important discussion points for the Ministers'
attention:
- The proposed
establishment of national tourism boards involving the participation
of private sector does not conflict with the role of the public
sector in the overall supervision of the tourism sector especially
because of its responsibility for legal and regulatory matters
- ADB has also
broadened the definition of tourism infrastructure development
to include restoration, conservation, and reconstruction activities
at tourism or ecotourism sites
- the six GMS
countries would explore the idea of introducing a "GMS visa" to
facilitate the movement of tourists to and within the subregion.
In human resource development:
The Ministers may wish to note that the following projects have
been completed since the Tenth Ministerial Conference:
- Study on Health
and Education Needs of Ethnic Minorities in the GMS
- Preventing
HIV/AIDs Among Mobile Populations in the GMS
- Small-scale
technical assistance for Drug Eradication in the GMS.
The Ministers may wish to further note that:
- a partnership
agreement is being signed with WHO for the Rollback Malaria Initiative
in the GMS, and the project is scheduled to start in October 2002
- a project on
Community Action for Preventing HIV/AIDS was approved for funding
by the Japan Fund for Poverty Reduction through ADB that aims
to support behavior change communication activities at the community
level; the project was built onto the existing health projects
in Cambodia, Lao PDR and Viet Nam
- an HRD framework
in relation to the GMS Strategic Framework was agreed by the HRD
working group to be used as a basis for prioritizing projects
for inclusion in the GMS Framework's flagship program on HRD entitled
"Developing Human Resources and Skills Competencies".
The Ministers may wish to request the GMS countries to support:
- the regional
vision and mission for the different sectors as presented by the
HRD working group: education- facilitating opportunities for sharing
of educational experiences, best practices, innovations across
the subregion; labor - transferring knowledge and experience for
improving skills and competencies of the labor force in the subregion,
and health - improving control of communicable diseases and access
to quality services in remote areas and vulnerable groups, thus
enabling an improved overall health status in the GMS
- the high priority
projects in education for the next five years include the GMS
Phnom Penh Plan for Development Management; health and education
needs of ethnic minorities in the GMS; ICT for Continuing and
Distance Education in the GMS; and decentralized educational management
- the high priority
projects in health for the next five years include health and
education needs of ethnic minorities in the GMS; ICT and HIV/AIDS
preventive education in the cross-border areas of GMS regional
communicable disease surveillance system; and
- the high priority
projects in labor for the next five years include the capacity
building for skills exchanges and accreditation for GMS labor
markets.
The SOM noted the comment of Thailand on the importance of the
human resource development in the GMS. In this regard, the SOM appreciated
Thailand's proposal to GMS member countries to make use of the well
established GMS Academic and Research Network (GMSARN), which is
located at the Asian Institute of Technology. The network consists
of universities and academic institutions in all GMS member countries.
Its initiative is geared towards building self-reliance among GMS
countries by developing a strong service-oriented development projects
to all GMS sectors.
In trade:
The Ministers may wish to note that:
- the component
on pilot-testing of single-stop customs inspection is well underway
and could provide useful inputs to the first stage of negotiations
for the Annexes (in particular Annex 4) and Protocols of the Framework
Agreement for the Facilitation on Cross-Border Movement of Goods
and Peoples in the GMS
- six pilot-sites
have already been identified and endorsed. These are in the border
crossings between Mukdahan (Thailand) and Savannakhet (Lao PDR);
Lao Bao (Viet Nam) and Denh Savanh (Lao PDR), Poipet (Cambodia)
and Aranyaprathet (Thailand)
- an operations
manual for the border sites will be prepared to guide the implementation
of the pilot-testing. A workshop in November 2002 will be organized
to specify modalities for joint control at the borders and discuss
the draft of an operations manual
- the process
of implementing single-window inspection will be initiated to
enhance the gains from single-stop inspection, consistent with
the priorities in customs cooperation set by the Working Group
on Trade Facilitation. The single window concept will be discussed
in the November workshop and cooperation in harmonized procedures
among various ministries will be further discussed in the first
quarter of 2003
- an ADB-assisted
regional technical assistance is assisting the pilot-testing of
single stop inspection procedures, and a second phase technical
assistance will be processed for the region-wide application of
single-stop customs inspection. The PRC also sponsored a training
workshop in 2002 during which GMS customs officials further discussed
the pilot test
- An Action Plan
is proposed by PRC to be formulated, which will focus on facilitation,
information-sharing, and capacity building, to achieve the mutual
advancement and sound interaction between GMS economic cooperation
and the establishment of China-ASEAN Free Trade Area,
The Ministers are kindly requested to endorse two more sites along
the border at Bavet (Cambodia) and Moc Bai (Viet Nam), for pilot-testing
single-stop customs inspection.
In investment:
The Ministers may wish to note that:
- Cooperation
in investment will focus on SMEs to develop private sector competitiveness
in the GMS and promote investment linkages along economic corridors.
- The GMS BF
has adopted two specific strategies to promote its viability and
sustainability, namely:
- promotion
of GMS products in regional and international trade fairs
(short-term)
- development
of a sector-specific one-stop information on FDI regulations,
and cross-border investment opportunities for dissemination
to foreign investors (long-term).
- With continuing
assistance from ADB and ESCAP, several measures are being developed
to help the GMS BF serve the needs of its members, among them
SME toolkits (a collection of learning materials), industry skills
seminar, business opportunities alert system, regional trade fairs,
one-stop information on GMS-Based enterprises, and linkages with
foreign investors. GMS-BF Secretariat was established in Vientiane
to coordinate GMS-BF activities,
- The SOM noted
some points on trade and investment as follows:
- Thailand requested
ADB, and probably ESCAP, to assist in the development of a trade
and investment database to include trade and investment statistics,
trade and investment laws and regulations, tariff and non-tariff
barrier measures, among others. This is part of a technical assistance
being provided by ADB and action will be taken to ensure its implementation.
- ADB will strengthen
collaboration with other agencies such as ESCAP and ASEAN Secretariat
to pursue initiatives in this sector;
- The GMS Working
Group on Investment has not been meeting for some time and ADB
was requested to convene a meeting at the soonest possible time.
- With regard
to private sector development, Thailand requested that ADB strengthen
the GMS Business Forum Secretariat to serve as the mechanism in
implementing the plans to create an enabling environment for the
private sector in the GMS and to facilitate communication.
- Thailand offered
to organize a workshop in coordination with AMTA and ADB on trade
and investment.
Other GMS Initiative
GMS Phnom Penh Plan for Development Management
The Ministers may wish to note that:
- the HRD working
group recognized the need for a critical mass of highly competent
and qualified middle and senior level management and technical
staff in the public sector to spearhead socio-economic development
in each country
- ADB has prepared
a technical assistance project to finance the training of selected
development managers in the areas of planning, management, implementation,
and evaluation of plans, programs and other activities.
The Ministers are kindly requested to endorse the Plan. For this
purpose, ADB's technical assistance is planned with the following
components:
- The aim of
the technical assistance is to develop a core of development managers
with the capacity to operate as change agents through training
programs in middle and senior level executive management, conducted
in premier educational institutions in the subregion.
- The focus on
the training program is on all aspects of development such as
policy analysis and implementation, annual and five-year planning,
program and project management (complete cycle), organizational
structure, systems and procedures, procurement, relations with
executive/ legislative, participatory development approaches,
good governance, and others.
- The target
trainees would be from Division Heads to Directors General or
equivalent. Initially, 150 eligible candidates would be selected.
- Short-term
courses would range from 6 weeks to 3 months.
- ADB would be
the executing agency for the TA, guided by a Project Steering
Committee that would oversee the program and establish policy
guidelines, among others.
- The implementation
period would be for 18 months, with comprehensive progress review
at end of year 1.
- Further support
from ADB and other donors would depend on the take up of the Program
and value addition to first batch of trainees.
The endorsement of the Ministers is also requested on the steps
agreed upon by the Senior Officials to carry the initiative forward.
The SOM noted that an existing ADB-financed technical assistance
that provides capacity building initiative for the national secretariats
of the GMS complements the idea of the Phnom Penh Plan to provide
opportunities for Governments to acquire new skills or strengthen
competencies.
Report on ADB-NGO Meetings
The report on ADB-NGO Consultation Meetings held in Phnom Penh
in August 2002 was circulated but was not discussed.
|
Regions and Countries 
Top of page
Back