achievements of trade swap, tdsp and eif and next steps · achievements of trade swap, tdsp and eif...

By CHHIENG Pich,Director, DICONational Project Director, TDSPDirector, EIF-NIU

Achievements of Trade SWAp, TDSP and EIF and Next Steps

1. Progress Update on Trade SWAp

2. Progress Update on TDSP

3. Progress Update on EIF

4. Post TDSP and EIF programs

At the global level:1. EIF Phase II was approved on May 21 and launched at the 5th Global

Review of AfT in Geneva from 30 Jun to 2 Jul 2015,2. EIF Pledging conference is scheduled to be held in Dec 2015 in Nairobi

during WTO 10th Ministerial Conference,3. Then trust fund will be replenished and post-Tier 1 proposals are

available,

At the country level: 1. CTIS 2014-2018 implementation was reviewed, as a result a list of the

top ten clusters for AfT was developed and subsequently approved by the SSC meeting and prioritized by MoC management,

2. Medium Term Plan had been developed and six concept notes have also been developed,

3. First Round of Donors Pledging Conference has been conducted,4. IFAD AIMS project has been prepared and will be implemented in early

2017

5. EIF Tier 1 and TDSP have been successfully completed,6. Post-EIF Tier 1 project (Sustainability support project) has got a green

light from EIF ES,7. Exit and Sustainability of DICO have been developed and passed by IC

and SSC meetings, 8. EU new Trade Program for Cambodia (under ASEAN Connectivity) has

been identified.

1. Project Development Objectives (PDOs): TDSP will contribute to increase the Royal Government of Cambodia's efficiency in formulating and implementing effective trade policies.

2. Multi-Donor Trust Fund : EU, DANIDA & UNIDO3. Trust Fund Manager : World Bank4. Executing Agency : DICO/MoC5. Board approval date : 07 Jan 20096. Effective date : 09 Mar 20097. Duration : 5 years (until 31 Mar 2012)8. Original budget : US$12,350,0009. Additional budget : US$3,100,00010. First extension : 31 Jan 2014 (22 months)11. Second extension : 31 Mar 2015 (14 months)12. Third extension : 14 Aug 2016 (17 months)13. EU-ROM & WB Implementation Support Mission: 22 Sep – 02 Oct 2015

14. Last WB Implementation Support Mission : 02-12 May 201615. Implementation Completion & Results Report Mission: 19-30 Sep 2016

TDSP Funds PositionAs of 31st March 2016

(Unaudited - Expressed in Percentage of the Total Grant Amount of US$ 15.450 million)

• We have $ 2,740,647 to spend in the next 5 months,

• We need to spend $ 548,130 each month till the end of TDSP including the grace period.

TDSP FundDisbursement by Year, As of 31st March 2016

(Expressed in Percentage of the Total Grant Amount of US$ 15.450 million)

4%

0.75 %

10.8%

17.8%

13.5%

NOTE: *. Cumulative Disbursement = USD 12,709,353**. Cumulative Disbursement as a Percentage of Total Grant = 82.3%

No Date Proposal IA Pillar Focus (P) Component focus (C) Budget

1 01 Jul 2010(18 months)

Rule of Origin: Operational Procedures & Training

D/MUL MoC

P1: Legal Reform C1-C: Other legal reforms & RGC WTO obligations

$303,046

2 14 Jul 2010 (4 months)

Information dissemination on Top Ten products from Cambodia 24 provinces

TPD MoC

P2: Various C1-A: Technical Barrier to Trade, Sanitary & Phyto-

Sanitary

$48,211

3 14 Jul 2010 (9 months)

Export training & SME training: Export training & coaching services

TPD MoC

P1: Trade Facilitation C1-B: Trade Facilitation $54,899

4 14 Jul 2010 (18 months)

Strengthening the capacity of Institute of Standard of Cambodia (ISC)

ISCMIME

P1: TBT, SPS, & Trade Facilitation

C1-A: TBT & SPS $384,264

5 26 Jul 2010(3 months)

Study on minimum wages & minimum wages negotiation in garment sector

CANFEBA P1: Legal Reform C1-C: Other legal reforms & RGC WTO obligations

$46,000

6 06 Aug 2010(18 months)

Capacity Building for the Dept of Trade & Statistics

DTSIMoC

P3: Strengthening key MoC Depts & key Moc functions

C3: Human & Institutional Capacity Building

$137,540

7 17 Sep 2010(12 months)

Customs Valuation GDCEMEF


8 17 Sep 2010(12 months)

Awareness program on Customs in Cambodia

GDCEMEF


9 23 Sep 2010(14 months)

Development of a trade curriculum at the Royal School of Administration

RSAOCM

P3: Strengthening trade-related capacities of RSA


$123,650

10 28 Sep 2010(20 months)

Enhancing IP Teaching and Training DIPRMoC

P1: Legal Reform C1-C: Other legal reforms & RGC WTO obligations

$110,000

11 15 Oct 2010(24 months)

Support drafting E-Commerce Law LADMoC

P1: Legal Reforms and Cross-cutting Issues &

P3 : Strengthening Key MOC Depts & Key MOC Functions


$164,923

TDSP Summary of MoU – 1/3


12 29 Dec 2010(15 months)

Reviewing of Commercial Laws D/N&CMoC

P1: Legal Reforms and Cross Cutting Issues

C1 : Trade Policy Formulation and Implementation

$219,949

13 29 Dec 2010(18 months)

Strengthening MoC core DR functions through the DoP Institutional and

Individual Capacity

DoPMoC

P3: Capacity Development for Trade

C3: Strengthening institutional and human capacity

$234,540

14 30 Dec 2010(12 months)

Strengthening Institutional Risk Management Capacities in

CAMCONTROL General Directorate

CAMCONTROL

MoCP3: Capacity

Development for TradeC3: Strengthening institutional

and human capacity$150,386

15 30 Dec 2010(12 months)

Value Chain Information Unit TPDMoC


C3: Human and Institutional Capacity Building

$263,208

16 31 Dec 2010(12 months)

Phase 1: Raising awareness on the law on investment and its regulation and

investment promotion to the sub-committee on Provincial/Municipal

investment and private

CIBCDC


C3: Strengthening institutional and human capacity

$195,860

17 30 May 2011(14 Months)

Capacity Enhancement Program GDCEMEF

P1 & P3 C1-B: Trade Facilitation $613,105

18 09 Jun 2011(9 months)

ICT Master Plan Implementation GDITMoC

P1 & P3 C1-B: Trade Facilitation $2,608,876

19 11 Jul 2011(10 months)

Implementing Agency Capacity Enhancement Program

RSAOCM

P1 & P3 C1-B: Trade Facilitation $605,125

20 11 Jul 2011(8 months)

The development of completed drafts of national standards for rice and

strengthening the capacity of conformity assessment body-Phase I

ISCMIME

P1 C1-C: Policy Formulation and Implementation in the area of

SPS and TBT

$360,216



21 30 Sep 2011(6 months)

Better Quality and Safety of Fish and Fishery Products for Improving Fish

Trade Development in Cambodia

FiAMAFF

P2 C1-C: Policy Formulation and Implementation in the area of

SPS and TBT

$1,262,708

22 16 Aug 2012(15months)

Development of a stronger National system for IP generation, protection,

administration and enforcement.

DIPR/MoC P1 C1-C: Trade Policy Formulation $148,491

23 28 Sep 2012(15 months)

Support to G-PSF CCC P2 B. Trade Support Institution

C2. Increase transparency & user feedback mechanism on

trade-related processes.

$260,338

24 12 Jul 2012(18 months)

GDCE ASYCUDA World System Project GDCE P1 C1-B: Trade Facilitation $1,398,753

25 20 Jun 2014(11 months)

Streamlining and Automation of Business Registration

DBR P1 C1-B: Trade Facilitation $399,398

26 20 Jun 2014(11 months)

Automation of Phyto-Sanitary Certificates

GDA/MAFF P1 C1-B: Trade Facilitation $392,800

27 Jul 2014(11 months)

Trade Training & Research Institute(TTRI)

TTRI/MoC P3: Capacity development for trade

C3: Strengthening institutional & human capacity

$500,000

28 Jun 2015(14 months)

Support to the Arbitration Council and Dispute Resolution in Cambodia

ACF P2 B. Trade Support Institution

C2. Contribute to export competitiveness and private

sector development

$135,055

29 Jun 2015(14 months)

Strengthening the Operational Capacity of the National Commercial Arbitration

Center

NCAC P3: Capacity development for trade

C3: Strengthening institutional & human capacity

$99,640

TOTAL $11,365,981


1. Project Implementation Rating remains at Satisfactory level, second

highest in the World Bank Rating System,

2. DICO capacity to run two programs simultaneously is openly recognized

by WB and EIF,

3. TDSP has been chosen as a good example for implementing Disclosure element

in Good Governance Framework,

4. For the results of individual project, please refer to IRF report and annual

report,

5. WB-IMS and EU ROM reports

World Bank Rating on TDSP Towards Achieving the PDO

2010

2011, 2012, 2013, 2014

2015Satisfactory

Moderately Satisfactory

Moderately Unsatisfactory

Unsatisfactory

Highly Satisfactory

World Bank Rating on TDSP’s Overall Implementation Progress

2010

2011, 2012, 2013, 2014,

2015Satisfactory

Moderately Satisfactory

Moderately Unsatisfactory

Unsatisfactory

Highly Satisfactory

Recommendations of the WB ISM

Recommendations: Ensuring Continued Donor Coordination in the Trade Sector. The

TDSP was conceived with the objective of reducing transaction costs by bringing a number of donors into a single coordinated program of work. Managing a large program as TDSP and attempting to find synergies and opportunities to reduce transaction costs will continue to be a key area of focus.

Building the Capacity Across TDSP. Significant experience has been gained by the NIU of TDSP through the course of program implementation. However, key gaps remain within DICO itself, as well as IAs. Continued efforts will be needed to build capacity in core project management, finance, procurement, and monitoring and evaluation skills.

Involvement of Wider Audience in the Development of Trade Strategies and Policies. Extensive and on-going consultation with the private sector, civil society and affected groups should be a key part of the trade strategy and policy development process.

Conclusions of the WB ISM

PDOs. The Project Team notes good satisfactory progress has taken place since the last review mission. PDOs have been achieved in several areas, but the project can capitalize on strong reform momentum, and implementation of automation processes, to consolidate results and enhance impact.

Performance. The Program Development Objectives (PDOs) has been upgraded to Satisfactory, while Implementation Progress maintained its rating to Satisfactory.

Strategic Focus. A key outcome of this mission is the endorsement of a Results-based Action Plan (RBAP) that will be used to guide and monitor all ongoing and future activities under the TDSP. The RBAP will shift the program away from a programmatic approach, towards more rigorous project implementation, in which the activities agreed at the outset will be executed over the life of the project.

Focus on Sustainability. The Project Team recommends that good practices could be scaled up and adequately mainstreamed in programs and activities. Particular attention should be paid to the sustainability of DICO’s core activities.

Trade Development Support ProgramEU-ROM Mission

New ROM Methodology1) New ROM Handbook released in Feb. 2015

2) Strengthen project management functions

3) Logical framework approach

4) Three phases: (a)Desk review phase (1 day); (b) Field phase (7 days); (c) Reporting Phase ( 2 days)

5) Four criteria (i.e. relevance, efficiency, effectiveness, sustainability) + EU visibility

6) Grade by traffic lights: Green – good/very good; Yellow – with problems; Red – with serious deficiencies

Preliminary Findings: Relevance

• Highly relevant to the needs/priorities of RGC particularly to the CITS and Roadmap

• Trade SWAp approach – linking trade with poverty reduction – the ownership is high

• TBT/SPS, TF, legal reforms/WTO compliance and human and institutional capacity building are of high relevance and crucial importance.

• TDSP is also relevant and consistent with the country strategies of EU and WB in Cambodia.

• TDSP continues to be highly relevant after six years to respond to fast changes of the country.

• Grade on Relevance: GREEN

Preliminary Findings: Efficiency

• Got delayed in the implementation and extended three times – no possibility for more extension

• Slow disbursement of project funds – risking for not use of allocated funds at the end of project

• Many factors contributed to the situation: (1) DICO and IAs are in a steep learning curve; (2) complicated procurement/financial rules (3) no financial incentives for IAs any more; (4) commitment & capacity constraints of some IAs

• Progress made and further efforts required

• Implementation mechanism is sound – WB provided the TA but also PM capacity building

• Grade on Efficiency: YELLOW

Preliminary Findings: Effectiveness

• Some remarkable achievements made

o Automation of Customs through ASYCUDA (from 11 to 54 checkpoints) – reducing costs and corruption –Cambodia jumped 46 places in LPI since 2010 – a star

o Automation of business registration, certificates of origin, trademark registration, SPS certificates, etc -leading to more efficiency and avoid corruption

o Institutional capacity building (DICO, many MOC departments -TTRI, TPD, in-line ministries (customs, standards) and the private sector (CCC, CEO briefing)

o Many strategic studies carried out (CTIS, Roadmap, action plans , sectoral and thematic topics)

o TA in legal reforms – Sub-Decree on NTMs; on IPR legislative and regulatory framework; E-Commerce Law

o Information dissemination (trade portal, automation, education and training, etc)

o More…

Preliminary Findings: Effectiveness

• Some rooms for improvement:

o Some IAs don’t necessarily have full commitments to the project and also have capacity constraints – thus the results are uneven.

o Some may need a systematic approach – for example, the fisheries – an entire food safety system is needed for the sector in order to address the root cause.

o Heavily rely on consultants to deliver the outputs –raising the issue about the real institutional capacity –some target IAs have a few committed staff but the entire institutional capacity is still weak.

o Many outputs produced – some led to outcomes (TF and automation) – some still hard to lead to outcomes, for example, difficult to tell how some trainings have improved work performance/efficiency, etc

• Grade on Effectiveness: GREEN/YELLOW

Preliminary Findings: Sustainability

• High ownership and commitments of the senior leadership lead to sustainability of the project.

• Many TDSP activities have the built-in sustainability (automation, ToT, training modules, etc.)

• Institutional capacity building also leads to possible sustainability – however, still new and some are weak

• Financial sustainability – without the continuation of donors, most actions cannot sustain and some institutions cannot even survive – aid dependent.

• As a LDC, Cambodia will rely on the development assistance for a while in order to sustain its effort in Trade SWAp – Thus, EU and WB are encouraged to continue their trade-related assistance

• Grade on Sustainability: YELLOW

Preliminary Findings: EU Visibility & Cross-Cutting Issues

• DICO and WB have complied with the EU visibility provisions through the TDSP implementation.

• However, EU has become less visible through a trust fund – This is a reality.

• Not fully integrated three cross-cutting issues in the design and implementation of TDSP, although there are some linkages to those issues

o Gender equality – sex-disaggregated data scattered and not analyzed;

o Environment – some activities will have environmental linkages (fisheries, TBT/SPS, etc.)

o Governance – strong as the automation will have positive impact on anti-corruption efforts – the project follows the rules and procedures , thus improved the transparency and accountability

Conclusions and Recommendations

• Main Conclusions:

o TDSP is well on its way to achieve the overall objectives of the project.

o It is unlikely that the project will fully utilize the allocated funds at the end of the project – perhaps €1 million will remain unspent.

o TDSP has made many achievements which put Cambodia as the front runner of ASEAN and LDCs.

o Further trade reforms & capacity building are required – Cambodia could have a demonstration effect for ASEAN Member States and other LDCs.

o Will be a good investment for EU, WB and other interested donors to continue their efforts in order to ensure the sustainability of TDSP.


• Key Recommendations:

o DICO and WB need to make joint efforts to speed up the implementation and maximize the use of the funds

o DICO may accelerate the process of procurement and financial payments – if necessary, short-term consultants may be hired to assist DICO.

o IAs could be consulted in the procurement process in order to select the right goods and services and also to speed up the process

o DICO and WB should monitor the project to ensure the outputs will be transformed into expected outcomes

o Try to integrate the cross-cutting issues into the project, for DICO and IAs should start to collect and analyze the

sex-disaggregated data

o DICO, WB and IAs should strengthen their communication and consultation mechanisms.


• Key Recommendations:

o EU, WB and other donors should continue investing in Cambodia in this strategic trade sector

o In addition to trade policy and regulations, future trade projects should address the productive capacity, particularly the agriculture and SMEs

o Private sector participation should be strongly encouraged in future trade projects

o Future trade projects could be closely linked with ASEAN/CLMV regional trade programs – ARISE+

o Approach unconventional donors for their interests (for example, Canada, China)

o Promote Cambodia’s leadership role in ASEAN and WTO/LDC group on trade matters

EIF Tier 1 EIF Tier 2

1. Title: Strengthening Institutional Mechanisms for Formulating, Implementing, Managing and Monitoring Cambodia’s Trade Integration Strategy.

2. PDO: is aimed at strengthening the in-country arrangements for EIF in order to increase Cambodia’s ownership of TRTA and maximizing the benefits that the country, in particular the private sector, can derive from the EIF.

3. Multi-Donor Trust Fund: 23 donors4. Trust Fund Manager: UNOPS5. Executing Agency: DICO/MoC6. Starting date: Feb 20107. Closing date: Jul 2015 8. Government in-kind fund:

US$200,7009. EIF Fund: US$1,493,90010. Total budget: US$1,694,60011. No Cost Extension (NCE): until Mar

201612. Last Joint-Supervision Mission 04-

08 May 2015 (EIF ES and UNOPS)

1. Title: Cambodia Export Diversification and Expansion Program (CEDEP). 2. Multi-Donor Trust Fund: 23 donors3. Trust Fund Manager: UNOPS4. Executing Agency: DICO/MoC5. PDO CEDEP I: to strengthen and diversify export supply capacity in

Milled Rice, High-Value Silk sectors and enhance the capacity of DICO/MoC to monitor and evaluate substantive progress of Cambodia’s Trade Sector Wide Approach (Trade SWAp).

6. Implementing Agency for CEDEP I• Milled Rice by IFC• High-Value Silk by ITC• M&E function by DICO/MoC• Starting date: 25 Oct 2012• Closing date: 25 Oct 2015

7. PDO CEDEP II: to strengthen and diversify export supply capacity in cassava, marine fishery products, academy of culinary arts of Cambodiaand enhance the capacity of DICO/MoC to monitor and evaluate substantive progress of Cambodia’s Trade Sector Wide Approach (Trade SWAp).

8. Implementing Agency for CEDEP II• Cassava by UNDP• Marine Fisheries by UNIDO• ACAC (Academy of Culinary Arts of Cambodia) by Shift360• M&E function by DICO/MoC• Starting date: 11 Aug 2014• Closing date: 11 Aug 2017

1. Post TDSP1. EU Regional fund to support ASEAN Connectivity

• Type of fund : grant (EU)• Budget : 5 million euro • Timeline : early 2018

2. IFAD• Type of fund : loan (IFAD, RGC, & Private Sector)• Budget : $85 million• Timeline : mid 2017

2. Post EIF Teir 11. Sustainability Support Project

• Type of fund : grant• Budget : $300,000??• Timeline : mid 2017

Timetable for SSC-TD-TRI Meeting in 2016

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

SSC Thu 25

SSC Mon 30

SSC Wed 31

SSC Tue 29

Timetable for IC Meeting in 2016

ICMon 11

IC Thu 11

IC Tue 15

IC Thu 21

IC Wed 11

IC Tue 14

IC Tue 12

IC Thu 11

IC Tue 13

IC Wed 12

IC Thu 10

IC Tue 13

Timetable for DICO and IAs Meeting in 2016

Mod 07 Tue 05 Wed 04

Timetable for D/ICO and Line Ministries Meeting in 2016 (Under EIF)

Wed 06 Tue 10 Mon 05 Thu 08

ក្រសួងពាណិជ្ជរម្មនាយរដ្ឋា នសហក្រតិបតតិការអនតរជាតិ

អាស័យដ្ឋា ន: ឡូត៌លេខ ១៩-៦១ វថីិក្រសួងពាណិជ្ជរម្ម (១១៣លេ), ភូមិ្ទឹរថ្លា , សង្កា ត់ទឹរថ្លា , ខ័ណស ែសនសខខ,

រាជ្ធានីភនំលេញ ១២១០២ទូរស័េទ/ទូរសារៈ ០២៣-៨៦៦-០៧៤Email: [email protected]

www.moc.gov.kh | www.moc.gov.kh/tradeswap

Ministry of CommerceDepartment of International Cooperation

Lot 19-61, MoC Road (113B)Phum Teuk Thla, Sangkat Teuk ThlaKhan Sen Sok, Phnom Penh 12102

Cambodia

Tel/Fax: 023-866-074

Email: [email protected]

www.moc.gov.kh | www.moc.gov.kh/tradeswap

http://www.moc.gov.kh/

http://www.moc.gov.kh/tradeswap

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achievements of trade swap, tdsp and eif and next steps · achievements of trade swap, tdsp and eif...

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