15 countries pledge $ 90 million for LDC’s Enhanced Integrated Framework (EIF)

The support was confirmed at a Pledging Conference in Nairobi on 14 December, held on the eve of the WTO’s Ministerial Conference. Phase Two of the EIF will begin on 1 January 2016.

At the Conference, representatives of Australia, Denmark, Estonia, the European Union, Finland, France, Germany, Korea, Luxembourg, Norway, Saudi Arabia, Sweden, Switzerland and the United Kingdom reaffirmed their strong support for this Aid-for-Trade programme. The Netherlands pledged EUR 400,000 and joined the EIF as a new donor. A number of donors which confirmed their pledges also announced that further contributions would be made during the course of Phase Two of the EIF.

The Conference was co-chaired by Australia’s Minister for Trade and Investment, Andrew Robb, and  Norway’s State Secretary at the Ministry of Foreign Affairs,  Morten Høglund.

In his opening speech, Director-General Roberto Azevêdo said: “There is no doubt — the EIF has delivered for the LDCs. The importance of the EIF in promoting inclusive and sustainable economic growth has been recognized by the global development community. Research shows that every dollar invested in Aid for Trade — of which the EIF is part — results in about 20 dollars of exports for LDCs. This is very significant. It shows the value of these initiatives, especially for the poorest countries.”

Kenya’s Cabinet Secretary for Foreign Affairs and International Trade and Chair of the WTO’s Tenth Ministerial Conference, Amina Mohamed, said: “Out of the 51 EIF countries, 35 are in Africa. Building up African LDCs is in the interest of all of Africa. All five of Kenya’s neighbouring countries are LDCs and they all benefit from the support of the EIF. Kenya benefits from having neighbours with stronger economies and reduced poverty. In Phase Two of the EIF, the stronger focus on regional aspects of trade will offer a great opportunity for countries like Kenya to contribute to stronger regional trade ties with its LDC neighbours.”

Announcing the pledges, Minister Robb said: “This is a very solid basis for Phase Two but further donations will be required to cover the duration of Phase One. I was pleased to hear that many donors, such as Australia, with budget constraints have committed to further contributions in the future.”

EIF Executive Director, Ratnakar Adhikari, said: “We are encouraged by the result of the Pledging Conference and we thank all our donors for their renewed commitment and support: the amount pledged today will allow Phase Two of the EIF to start in two weeks and enable the EIF to continue delivering support to the 51 poorest countries of the world to fight poverty and achieve their development aspirations through trade.”

The EIF is supported by a multi-donor trust fund, and provides financial and technical support to build trade capacity in 48 LDCs and three recently graduated countries. The EIF is a unique partnership among donors, LDCs and international agencies (IMF, ITC, UNCTAD, UNDP, UNIDO, UNWTO, World Bank, and WTO).