REGIONAL INTEGRATION

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REGIONAL INTEGRATION

• Presentation by Mark D. Tomlinson

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REGIONAL INTEGRATION

• Context
• 47 countries with average GDP 4bn
• Combined GDP Belgium, 50 of Spain
• Small domestic markets generally high
  production costs challenging investment
  climates limited investment (Africa lt 2 global
  FDI)

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REGIONAL INTEGRATION

• Growth (2003, all NEPAD)
• 16 countries 3 pa
• 16 countries 3-5 pa
• 18 countries gt 5 pa
• Implies
• Per capita growth mostly 0-2
• Limited progress on poverty reduction
• Many MDGs look elusive
• Continuing vulnerability to shocks, conflict

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REGIONAL INTEGRATION

• The regional agenda is key
• to accelerate development in West
  Africa national strategies have proved
  insufficient.
• Dr. Mohammed Ibn
• Chambas, Executive Secretary,
  ECOWAS
• October 2004

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REGIONAL INTEGRATION

• If only West Africa was a single country. Then,
  perhaps, we would stand a chance.
• Bode Agusto
• Director, Budget
• Federal Ministry of Finance
• Nigeria, May 2004

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REGIONAL INTEGRATION

• Development objective
• Assist national clients and regional
  organizations to develop larger, more competitive
  and more successful economic spaces.
• Program objective
• Deliver additional development
• impact at the country level
• through regional solutions
• to development challenges
• and regional complements
• to national programs.

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REGIONAL INTEGRATION

• Three dimensions to competitiveness holding
  opportunities for additional impact through
  regional approaches
• Markets Trade policy
• Financial sector development
• Investment Climate
• Productivity Infrastructure
• Knowledge development
• Technology
• ICT
• People Basic needs
• Skills development
• Vulnerability

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REGIONAL INTEGRATION

• So whats new?
• Enhance alignment of regional work, strategically
  among sectors with country programs
• Broad ownership of regional programs integrate
  regional integration
• Develop more multi-country programs and projects
• Go faster
• Use and build upon regional knowledge base
  to do this.

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REGIONAL INTEGRATION

• Steps forward
• Draw upon sectors to propose knowledge-
• based strategic
• framework for integration in each sub-region.
• Regional teams discuss/agree priorities in
  joined-up programs with clear interfaces trade,
  infrastructure, investment climate, knowledge,
  human development.

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REGIONAL INTEGRATION

• Discuss /agree priorities with countries
  concerned, with CMUs.
• Less emphasis on formal regional PRSPsmore on
  practical opportunities for integration. Focus on
  areas where there is professional agreement on
  priority and political traction.

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REGIONAL INTEGRATION

• Strategy
• Dev.
• Impact.
• PRSP1 PRSP2 PRSP3 PRSP4
  RIAS
• More
• Dev.
• Impact
• Agreed strategic framework

CAS 4
CAS 1
CAS 2
CAS 3
Regional
Markets
CAS 2
Productivity
CAS 1
CAS 4
CAS 3
People
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REGIONAL INTEGRATION

• H.E. President Wade of Senegal
• NEPAD Stakeholders Forum
• October 2004

When I look at PRSPs, where do I find regional
integration? Its not there
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REGIONAL INTEGRATION

• Program at a glance
• Total 3.9m (approx. 3.2 of CMUs)
• 50 West, 20 East, 15 Central,
• 15 Southern
• Policy, ESW, TA West 50, East 10,
• Central 10, Southern 30.
• (FY05, 14 IDFs)
• Lending West 47, East 18, Central 23,
• Southern 12. (FY05 250-300m)
• Lending pipeline, planned ESW not yet
• strongly developed. Additional BB request FY05.

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REGIONAL INTEGRATION

• Operational issues
• Strategic engagement sub-regional frameworks
  drawing upon sector knowledge by CMUs.
• Application of resources in line
• with these frameworks
• Re-balance relationships with RECs.
• Build policy engagements through strengthened
  knowledge base.
• Support priority NEPAD investments. Scale-up,
  innovate.

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REGIONAL INTEGRATION

• Where we would like to be in 12 months
• Regional teams operate as CTs, around agreed
  strategic agenda.
• More extensive, policy and knowledge engagement,
  backed by solid ESW.
• Significant investment support (build up to 10
  AFR) for priority regional projects, innovations.
• Decentralization of responsibility. Fully
  staffed, additional field presence.

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Thank you!
Look forward to working (regionally) together