REVIEW OF PROGRESS IN THE IMPLEMENTATION OF THE PROGRAMME OF ACTION FOR THE LEAST DEVELOPED COUNTRIES FOR THE DECADE 2001-2010

The Trade and Development Board,

Having considered the Least Developed Countries Report 2004: Linking International Trade with Poverty Reduction in its annual review of the implementation of the Programme of Action for the LDCs for the Decade 2001-2010,

1. Notes with appreciation the efforts made by the UNCTAD secretariat in casting further light, through its research and policy analysis, on the complex relationship between trade and poverty reduction and in advancing understanding on the right mix of national and global policies required to put least developed countries on the path of sustained economic growth and development;
   
   
2. Recognizes the daunting challenges of development and poverty reduction faced by the LDCs, which require special national and international efforts in order to tackle the depth and persistence of underdevelopment and massive poverty; such efforts should be based on integrated policies and strategies aimed at making international trade a more effective engine of development and poverty reduction. This is particularly so for LDCs;
   
   
3. Notes with concern the lack of progress in LDCs towards achieving the international development goals, including those contained in the Millennium Declaration and the goals of the Programme of Action for the LDCs. Poverty in LDCs remains a mass phenomenon in spite of the extensive and deep process of trade liberalization and the economic reforms which have taken place in these countries, especially within the context of structural adjustment programmes, since the 1980s;
   
   
4. Stresses the urgent need for development strategies that respond to the development needs of the LDCs. Such strategies could include debt relief, enhanced official development assistance, enhanced investment flows, improved market access and a more conducive international trading regime, as well as a conducive domestic macroeconomic framework in order to make international trade work for poverty reduction in LDCs;
   
   
5. Emphasizes the absolute necessity for capacity building in LDCs, especially in the field of trade, and welcomes contributions from development partners to enhance their financial support to enable UNCTAD to step up, within its mandates, its contribution to the implementation of the revamped Integrated Framework for Trade-Related Technical Assistance (IF) in an increasing number of beneficiary countries;
   
   
6. Recommends that, in order to enable the Special Programme dealing with least developed countries, small island developing countries, and landlocked and transit developing countries to fully and effectively discharge the tasks assigned to it, due consideration should be given to the outcomes of UNCTAD XI in the allocation of resources for this Programme for the biennium 2006-2007.