Rethinking The Role of National Development Banks

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Ad Hoc Expert Group Meeting (New York, 1-2
December 2005)
Rethinking The Role of National Development Banks
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(No Transcript)
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Ad Hoc Expert Group Meeting

• Description
• Will address issues contained in the Monterrey
  Consensus
• See Background Document, p.5
• Purpose
• Enhance the role of National Development Banks
  (NDBs) in promoting economic and social
  development. 

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Ad Hoc Expert Group Meeting

• Desired Outcome
• Advance on research project for
  Multi-stakeholder consultations on Rethinking
  the Role of National Development Banks themes,
  organization
• Ultimately produce document on Enhancing the
  role of National Development Banks to serve as
  input to the General Assembly
• Partners and Participants Governments, Aid
  Agencies and selected National Development Banks,
  the World Bank, Regional and Sub-Regional
  Development Banks, institutions that gather
  together National Development Banks, Regional
  Commissions of the U.N., the Private Sector and
  Civil Society.

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Overview
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Definitions

• Many definitions for NDBs since 1945
• An institution to promote and finance enterprise
  in the private sector (Diamond, 1957),
• A financial intermediary supplying long-term
  funds to bankable economic development projects
  and providing related services (Kane, 1975)
• Institutions public or private which have as
  one of their principal functions the making of
  medium or long term industrial projects (Boskey,
  1959).
• Financial institutions primarily concerned with
  offering long-term capital finance to projects
  generating positive externalities and hence
  underfinanced by private creditors (Panizza
  2004).

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National Development Banking Pyramid
Actions (Five As) Appraise Accompany Attract Assi
st Alleviate
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The Five As of National Development Banking
See Background Document p.16
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Possible Areas of Focus
Impact on Growth / Feasibility
Possible themes
Specific issues
Long term Financing Capital Market
Development Promotion of Public Private
Projects SME Support Technical Assistance Risk
mitigation Countercyclical financing
Horizontal
Governance Organization and management Training
and Expertise Best practices
Vertical
Common or Particular Strategies Cooperative
Processes
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Overview
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Today
Sessions II to VI Analysis
Presentations by Experts
Generate discussion
Identify key issues to be addressed by future
consultations
Session VII Next Steps
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Broad Sequencing (Example)
January 2006
January 2007
September 2007
December 2005
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2
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Group Meeting
Consultations
Output and Follow-up
Sustainability
Group Meeting
Consultations
Output and Follow-up
Sustainability

• Narrow down themes for issues of long term
  financing, private sector resources, capacity
  building
• Identify some of the priority questions to
  address
• Seek partners from relevant institutions and
  establish communication and partnership
• Suggest required research and solicit papers by
  academics and practitioners

Substantive Tasks

• Plan research projects suggested consultations
  for 2006, according to selected themes or to
  regional preferences
• Advance on possible funding and on
  organizational support to establish a provisional
  agenda

Logistics
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www.un.org/esa/ndb.htm