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GMS Summit
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 SUMMIT LEADERS (left to right) ADB President Tadao Chino, Prime Minister Boun-Nhang Vorachith of the Lao PDR, Premier of the State Council Zhu Rongji of the PRC, Prime Minister Samdech Hun Sen of Cambodia, Prime Minister Phan Van Khai of Viet Nam, Prime Minister Thaksin Shinawatra of Thailand, and Chairman of the State Peace and Development Council, Senior General Than Shwe of Myanmar. |
Leaders of the six countries along the Mekong River concluded a historic Summit by issuing a Joint Declaration to reaffirm their commitment to subregional economic cooperation and a shared vision of equal partnership in the pursuit of economic growth and greater prosperity.
The first-ever Greater Mekong Subregion (GMS) Summit, held on 3 November 2002 in Phnom Penh, Cambodia, concluded with the six leaders pledging to work more closely together to reduce poverty and promote greater subregional integration among the GMS countries. The GMS comprises Cambodia, People's Republic of China (PRC) (Yunnan Province), Lao People's Democratic Republic (Lao PDR), Myanmar, Thailand, and Viet Nam.
The GMS Summit, held to commemorate the 10th anniversary of the GMS Economic Cooperation Program (GMS Program), highlighted the significant progress made so far. "Our most important achievement has been the growing trust and confidence among our countries, which has provided a favorable environment for trade and investment, economic growth, and social well-being," stated the Joint Declaration.
The leaders at the Summit were Prime Minister Samdech Hun Sen of Cambodia, who chaired the Summit; Premier of the State Council Zhu Rongji of the PRC; Prime Minister Boun-Nhang Vorachith of the Lao PDR; Chairman of the State Peace and Development Council, Senior General Than Shwe of Myanmar; Prime Minister Thaksin Shinawatra of Thailand; and Prime Minister Phan Van Khai of Viet Nam. Also attending was Asian Development Bank (ADB) President Tadao Chino, who gave a presentation on the GMS Program's achievements and challenges.
The GMS Program was established in 1992 to promote economic cooperation within the subregion, which is home to 250 million people and covers 2.3 million square kilometers. So far, the GMS Program has financed projects totaling $2 billion in areas such as transportation, energy, telecommunications, human resource development, tourism, environment, and trade and investment. It has also addressed environment and social issues such as HIV/AIDS and drug trafficking through technical assistance grants. ADB has provided financing of $772 million for 10 major projects that will integrate the subregion.
In late 2001, the six member countries agreed to a 10-Year GMS Strategic Framework that would take the GMS Program into its second decade. The 11 flagship programs, each of which is a set of integrated projects that will physically and commercially link the GMS countries, are a key component of the Framework.
The flagship programs are organized under a Development Matrix, which is to be used as a key indicative planning tool to ensure consistency between programs and projects. Several projects, including critical portions of transport corridors that will link Kunming with Bangkok, and Bangkok with Ho Chi Minh City via Phnom Penh, are at advanced stages of implementation, as are tourism projects in Cambodia, Lao PDR, and Viet Nam that will help make the GMS a single destination for tourists.
The leaders recognized the challenges of managing the subregion's natural environment, saying they would take responsibility and leadership for the sustainable management of national and shared resources. That view was shared by President Chino. "Sound management of the environment is a prerequisite for, and not a constraint to, sustainable economic development," he said. Mr. Chino pledged to broaden ADB's support for the GMS Program, which was started in 1992 with ADB's technical and financial assistance. In a technical and progress report delivered at the Summit, he said, "The Summit allows all of us to reaffirm our commitment to our shared vision of creating a prosperous and equitable subregion in the countries that share the Mekong River."
He added that by the end of this decade, the GMS countries will be "even more closely connected," and predicted that the subregion's role as a strategic bridge between East and Southeast Asia, as well as between South and East Asia, will become increasingly important.
President Chino outlined the challenges facing GMS countries in their move toward subregional integration. These include improving the management of the subregion's natural environment, mobilizing financial resources, developing the subregion's human resource potential, and adapting to changes in the global and regional economic environment.
"To prepare for these challenges, we must continue to break down barriers by harmonizing legal and institutional arrangements in the subregion. Policies and institutional structures that support macroeconomic stability, sound financial systems, and competitive markets need to be strengthened," President Chino said. He announced that in recognition of the importance of human resource development to the GMS, ADB had recently approved a technical assistance grant of $800,000 for the GMS-Phnom Penh Plan for Development Management. Under this plan, officials from the six GMS countries will attend short-term courses on strategic planning, project management, and other skills central to development management and good governance.
Looking ahead, the summit leaders underscored their strong commitment to developing human resources; protecting the environment and cooperating on the use of common natural resources; completing road links in the subregion to strengthen productivity and competitiveness, and transform transport corridors into economic corridors; enhancing transport linkages through full implementation of an agreement to facilitate the cross-border movement of people and goods; accelerating development of energy and telecommunications infrastructure linking the subregion; creating a favorable trade and investment climate; and promoting tourism.
"All these investments and efforts will, within the foreseeable future, transform the subregional economy into a broad, rapidly growing market reaching 300 million people who enjoy the benefits of prosperity and peace," said Cambodian Prime Minister Hun Sen in his keynote address. He also called for GMS countries to ratify the Kyoto Protocol, expand reforestation programs, and exercise careful management of the Mekong River. He asked development partners-including the private sector-to mobilize further to achieve "an oasis of cooperation and prosperity."
In other discussions, Premier Zhu Rongji outlined several principles that should guide future cooperation, including mutual respect and benefits, and on an equal footing. The leaders of the Lao PDR and Myanmar cited the potential for cooperation on hydroelectric power.
The leaders recognized the important role of tourism. Prime Minister Hun Sen discussed the possibility of a GMS visa, while Prime Minister Thaksin noted that Chiang Mai could serve as an aviation hub for the GMS.
All leaders welcomed the GMS-Phnom Penh Plan for Development Management. Prime Minister Phan Van Khai noted the need to create subregional training centers for forestry, fisheries, and agriculture. They also agreed that future summits be held once every 3 years, in the alphabetical order of the member countries.
Given the challenges and opportunities facing the subregion, summit leaders said it was important to build effective partnerships with bilateral and multilateral development agencies, nongovernment organizations, private sector, and civil society.
Prime Minister Hun Sen concluded the Summit discussion by noting the following major points.
GMS countries must share resources and work together to ensure sustainable growth.
The historic Summit concluded with a Joint Declaration and the signing of two agreements that will further integrate the subregion. All six GMS countries signed the Inter-Governmental Agreement on Power Trade, while the PRC became the fifth GMS country to join the Agreement for the Facilitation of Cross-Border Transport of Goods and People.
The Joint Declaration of the GMS Summit highlights the importance of subregional economic cooperation and a shared vision of development. It enunciates a vision of a subregion that is competitive in a globalized world, more integrated, harmonious, and prosperous.
The summit leaders "strongly endorsed" the 10-Year Strategic Framework and the 11 Flagship Programs that are "the key means through which closer economic cooperation and prosperity will be achieved."
The leaders also expressed their appreciation of ADB for being a catalyst and core supporter of the GMS Program. "We call on ADB to continue and broaden its coordinating and supporting role to the GMS." The leaders conveyed their resolve to strengthen cooperation and committed to promoting growth, equity, and prosperity in the Greater Mekong Subregion.
The next Summit will be held in the PRC in 2005.
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