DRAFT REPORT OF THE WORKING PARTY ON THE MEDIUM-TERM PLAN

GE.03-52574 TD United Nations Conference Trade Development Distr. LIMITED TD//WP/.111 17 September 2003 Original: ENGLISH TRADE AND DEVELOPMENT BOARD Working Party Medium-term Plan Programme Budget Forty- session Geneva, 15–19 September 2003 DRAFT REPORT OF THE WORKING PARTY ON THE MEDIUM-TERM PLAN AND THE PROGRAMME BUDGET Note delegations draft report provisional text circulated clearance delegations. Requests amendments statements individuals communicated Wednesday, 24 September 2003 : UNCTAD Editorial Section, Room ,8108, Fax . 907 0056, Tel. . 907 5656/1066. UNITED NATIONS TD//WP/.111 page 2 INTRODUCTORY STATEMENTS 1. Deputy Secretary-General UNCTAD expressed appreciation donors’ generous support UNCTAD' technical cooperation. Technical cooperation activities continued financed main sources: trust funds, UNDP UN programme budget. 2002, total expenditures sources amounted $21.8 million, 70 cent trust funds. expenditures contracted 6 cent 2001, downward trend UNDP' share total expenditures started 1990 continued 2002. projects financed tranche Development Account operational 2002, projects involving total amount $2.6 million proposed biennium 2004-2005. share country project expenditures increased 2002, regional projects dropped sharply. 2. Close cooperation agencies entities providing trade-related technical cooperation continued priority. regard UNCTAD contributed preparation UN Secretary-General’ report General Assembly clarify technical cooperation roles responsibilities entities United Nations. memorandum understanding UNCTAD WTO signed April 2003, result financial administrative agreement signed EU Commission United Nations, UNCTAD 10 organizations benefit increased funding. 3. implementation Integrated Framework, major challenge follow- Diagnostic Trade Integration Study (DTIS) action plans implementation concrete projects country level. Predictable sustainable funding priority areas DTIS actions plans required medium long term. evaluation Integrated Framework, , recommendations regard. JITAP, phase launched 2003 covering years. Programme extended countries. 4. regard future orientation technical cooperation, UNCTAD continue encourage formulation multi-donor, multi-beneficiary multi-year programmes. Stronger emphasis long-term capacity-building efforts, time short-term targeted assistance continue response . Modalities forms delivery continue seek involvement local entities. Support capacity building continued main objective UNCTAD' technical cooperation programmes. , interaction research analytical work technical assistance activities integrated view ensuring coherence thematic areas UNCTAD' expertise. 5. evaluation technical cooperation programmes effective tool member States provide substantive guidance programmes. features evaluation UNCTAD independence participatory approach. year' TD//WP/.111 page 3 evaluation technical cooperation programme trade, environment development put emphasis capacity building recommendations strengthen capacity-building aspects programme. 6. representative Thailand, speaking behalf Group 77 China, expressed concern decreasing level expenditures UNCTAD' technical cooperation African region LDCs. reaffirmed importance Group attached JITAP, excellent holistic technical cooperation programme agencies cooperated effective manner accordance expertise specificities. encouraged UNCTAD ensure regional interregional projects programmes benefited experience. called consultations donor countries, beneficiaries UNCTAD secretariat area trade policies negotiations post-Cancun period ensure UNCTAD' role area maintained. 7. issue coherence, pointed importance UNCTAD building vision coherence meant fulfilment goals mandates, account specific characteristics expertise. connection, Group welcomed note capacity development presented secretariat, focused enhancing local capacities formulation implementation home-grown trade development policies. Group emphasized ensure holistic approaches integrated aspects trade, investment development. 8. basic requirements technical cooperation strategy trade development: , objectives instruments matched development , , flexibility activities updated adjusted required evolving international economic environment. addition, predictable funding needed UNCTAD programmes, long-term programmes designed short-term fragmented resources. 9. Group 77 China appreciated effort secretariat constantly improve management technical cooperation benefit developing countries conducting evaluations. 10. representative Zimbabwe , speaking behalf African Group, region continued benefit UNCTAD' expertise technical cooperation thematic areas, expressed satisfaction expansion JITAP, proved effective operations implemented years. expressed concern reduced share Africa delivery UNCTAD' technical cooperation, hoped situation exceptional reversed 2003. 11. results technical cooperation stayed beneficiary country, embedded people institutions harmonized economy society. welcomed propositions note capacity development TD//WP/.111 page 4 integrated approach technical cooperation linking aspects trade, investment infrastructure. 12. guidelines presented draft technical cooperation strategy reflected current trends organization' technical cooperation activities. , introduce orientation emphasis effective ways means achieve sustainable results. 13. evaluation trade, environment development programme emphasis capacity development holistic approach. Group supported recommendations contained evaluation report. 14. representative Mexico, speaking behalf Latin American Caribbean Group, welcomed increase donors' contributions UNCTAD technical cooperation, increase operations Latin America Caribbean, represented 9.2% 2002 total. hoped figure signalled beginning positive trend. hand, drop resources devoted regional projects matter concern. 15. UNCTAD’ technical cooperation programmes benefit developing countries economies transition consistent thematic structure underlying secretariat’ work. , important account demand developing countries regions, view diversity development problems. 16. drew attention donor countries disseminate UNCTAD’ work Latin America Caribbean technical cooperation, context UNCTAD XI. region outstanding tradition research development polices, UNCTAD expertise holistic vision source effective support Governments, academia productive sectors. region significant human institutional capacity areas trade poverty, financing development, technology transfer investment, trade services, regionalism multilateralism, impact globalization. 17. Group note interest secretariat' note capacity development, ideas matched UNCTAD' philosophy. Technical cooperation aim building developing countries' capacity design implement policies light characteristics economies, UNCTAD operations respected philosophy. 18. representative India, speaking behalf Asian Group China, technical cooperation main pillars organization, expressed satisfaction region’ increased share UNCTAD technical cooperation activities. , main thrust technical cooperation policies area trade development transfer ideas generated developed countries implementation legal obligations deriving international commitments. , project design dominated short-term operations, short training TD//WP/.111 page 5 activities, strong links national context. proliferation small projects ensure proper development local capacities. Group confident debates generated UNCTAD XI provide inputs fed future UNCTAD technical cooperation. invited development partners continue support UNCTAD’ work ensure technical cooperation activities matched beneficiary countries. 19. representative Benin, speaking beha lf developed countries, commended secretariat’ work contributing effective increased participation developed countries international trade enhancement human institutional capacities. work carried context implementation recommendations Brussels Programme Action, global meetings. , multifaceted developing countries deve loped countries, lot remained attain targets set. called donor community intensify financial support activities favour developed countries. 20. decline level technical cooperation expenditures favour developed countries matter concern, connection stressed rapid finalization UNCTAD technical cooperation strategy, draft current session Working Party. view Group, strategy account real beneficiaries ensure full involvement formulation, implementation impact evaluation programmes projects; extension countries capacity development programmes initiated partnership institutions partner countries, Integrated Framework, JITAP TrainForTrade programme; enhancement local initiatives, creation mechanism exchange practices. UNCTAD major role play contributing capacity development developed countries areas globalization development, international trade goods services, commodities issues, investment, technology enterprise development, services infrastructure development trade efficiency. Finally group reiterated position importance yearly publication Developed Countries Report. 21. representative Ethiopia thanked development partners contribution UNCTAD trust funds, major source financing UNCTAD’ technical cooperation activities. Contributions trust funds , , subject yearly fluctuations, fluctuations turn affect delivery. Multi-year pledges UNCTAD’ technical cooperation ensure steady delivery years. commitment expressed developing countries’ development partners global development conferences rease level support developing countries translated action providing increased predictable resources technical cooperation activities. question provision experts, delegation encouraged national expatriate expertise. 22. expressed concern reduced share Africa developed countries technical cooperation activities UNCTAD. African region, TD//WP/.111 page 6 accounted majority developed countries, trapped vicious cycle development problems. developed countries encountering supply constraints productive sectors, economic infrastructure, human institutional capacities. encouraging note , future technical cooperation activities, UNCTAD continue focus vulnerable group countries. 23. representative Japan evaluation trade, environment development technical assistance programme included constructive criticisms comments aimed making programme efficient. stressed UNCTAD continue play important role area, focus LDCs, find ways optimize secretariat’ comparative advantage strengthen cooperative links organizations. 24. representative Italy, speaking behalf European Union acceding countries, noted number positive aspects secretariat’ documentation, regard commitment continue strengthen interrelationship research analytical work operational activities. welcomed point intra-divisional interdivisional interface order emphasize links aspects trade, investment related development policies, assurance modalities instruments technical assistance delivery. welcomed importance cooperation international organizations ownership technical cooperation programmes beneficiary countries. 25. expressed concern great variety initiatives projects, tended lack vision strategy. regard, noted , 2002 increase financial contributions bilateral donors, share expenditures Africa LDCs declined. European Union frequently stressed importance UNCTAD activities favour Africa. stressed funds donor countries predictability considered independently elaboration vision strategy allowed larger longer-term commitments. Finally, UNCTAD 10 pre-selected strategic partners European Union, important UNCTAD envisaged increased cooperation European Commission. 26. representative Switzerland commended secretariat' efforts improve presentation documentation, respect objectives future actions. noted interest increase financial resources bilateral donors initiative United Nations system increase coherence technical cooperation activities. regard noted field presence important delivering technical cooperation, issue project follow- ownership needed discussed . stressed increase efforts dissemination evaluation results. emphasized importance long-term goals technical cooperation projects strengthen cooperation local partners. TD//WP/.111 page 7 27. order give secretariat divisions adequate resources, administrative costs 13 cent charged project trust funds allocated Divisions implementing projects. respect capacity-development, expressed concern global approach technical cooperation lead scattered efforts impact. question needed discussed UNCTAD XI. expressed view small projects ran higher risk weak impact. Activities related training individuals demonstrated limits, integrated longer- term initiatives favouring institutional capacity development. 28. representative United States America expressed satisfaction continuing emphasis capacity building activities fostered greater productive capacity trade efficiency. encouraged strengthening assessment mechanisms effective follow- ensure capacity building remained targeted, flexible relevant, hoped proposed holistic approach UNCTAD technical cooperation operational. Expressing concern reduced share Africa developed countries UNCTAD' technical cooperation expenditures, called reversal situation. 29. millennium development goals negotiated, endorsed Member States United Nations. product annex report United Nations Secretary-General. outcome meeting worded appropriately. TD//WP/.111 page 8 Chapter II ORGANIZATIONAL MATTERS . Election officers (Agenda item 1) 30. 158th (opening) plenary meeting, 15 September, Working Party elected . José Antonio Fernandez Estevez (Cuba) Chairperson . Robert Fairweather (United Kingdom) Vice-Chairperson-cum-Rapporteur. . Adoption agenda organization work (Agenda item 2) 31. 158th meeting, Working Party adopted provisional agenda (TD//WP/166). agenda : 1. Election officers 2. Adoption agenda organization work 3. Review technical cooperation activities UNCTAD financing 4. Evaluation technical cooperation activities: -depth evaluation technical assistance programme trade, environment development 5. Progress report implementation phase UNCTAD’ web site 6. Provisional agenda forty- session Working Party 7. business 8. Adoption report Working Party Trade Development Board