High-level Committee on Review of TCDC

12^th Session

3^rd Meeting (AM)

LACK OF FINANCING MAJOR OBSTACLE TO IMPROVED TECHNICAL COOPERATION

AMONG DEVELOPING COUNTRIES, HIGH-LEVEL COMMITTEE TOLD

A lack of financial resources was one of the major obstacles to the practical development of technical cooperation among developing countries (TCDC), the High-level Committee reviewing such cooperation was told this morning, as it met to continue its general discussion.

In that light, Mongolia’s representative said, triangular funding arrangements should be further developed through the contributions of developed countries and international organizations.  Despite the efforts of developing countries, TCDC had still not fully realized its true potential.  It should go beyond its traditional framework.  In addition, consideration should be given to using TCDC for promoting cooperation between the public and private sectors among different countries.

Burkina Faso’s representative said that in most developing countries, TCDC was ignored and not used in various development and planning programmes.  In addition, the experience of countries with successful TCDC programmes was not well known.  There were also numerous gaps in triangular arrangements.  At the same time, while the results were still limited, he was convinced that many development problems could only be solved through TCDC.

The representative of the United Republic of Tanzania pointed out that developing countries faced serious, new challenges resulting from the globalization process and declining resource flows.  In that context, TCDC and South-South cooperation offered the best hope for solving the development problems of developing countries. 

The representative of Indonesia also stressed the importance of revitalizing South-South cooperation to maximize the benefits of globalization and minimize its risks.  Such cooperation was an indispensable complement to North-South cooperation for development.  The implementation of the Buenos Aires Plan of Action as a key instrument for promoting TCDC had become more critical than ever.

India’s representative said that what mattered was not the simple acquisition of technology but a country’s capacity to adopt it locally.  Information technology, besides generating wealth, must be pro-people and pro-development.  India was committed to sharing its knowledge with its partners in the South, he said, noting that since 1964 it had provided over $2 billion worth of technical assistance to other developing countries.

Statements in the general discussion were also made by the representatives of Chile, Mexico, Lao People’s Democratic Republic, Turkey, Peru, Zambia, Dominican Republic, Costa Rica, Algeria, Brunei Darussalam, and Jamaica.

Representatives of the Organization of the Islamic Conference, the Food and Agriculture Organization (FAO) and the Islamic Development Bank also made statements.

Following the general discussion, speakers engaged in an interactive debate on TCDC.  At the conclusion of that debate, Safiatou Ba N’Daw, Director of the Special Unit for TCDC, addressed questions and comments from the floor.  Alounkeo Kittikhoun (Lao People’s Democratic Republic), Committee Chairman, also spoke.

The Committee will meet again this afternoon at 3 p.m. to continue its work.

Background

The High-level Committee on the Review of Technical Cooperation Among Developing Countries (TCDC) met this morning to continue its general discussion.  [For background on documents before the Committee see Press Release DEV/2334 of

29 May.]

Statements

MARIA EUGENIA GOMEZ (Chile) said that a forward-looking approach to TCDC should be adopted.  She reaffirmed Chile’s commitment to TCDC, which meant the exchange of know-how, capacities and experiences among developing countries, in order to support national development and foreign policy plans.  TCDC was an instrument for sharing institutional and technical advances that would address common challenges and allow a smoother entry for national economies into the global marketplace.

No country should be excluded from cooperation, she said.  Intensified science and technology exchanges should be sought, to integrate into a globalizing world countries that were in danger of being left behind.  She was concerned about the current level of participation in the session, as one of its objectives should be to ensure that all countries gained access to the many opportunities offered by TCDC. 

JORGE EDUARDO NAVARRETE (Mexico) said that his country had been a committed and interested participant in technical cooperation among developing countries.  While there had been progress over the past several decades, there had also been frustrations over failed projects.  A new stage of cooperation was needed in which the capacities of developing countries and their partners were better combined.  It was not a question of denying the intrinsic capacity of developing countries. It was about putting aside the false notion that cooperation among developing countries was an alternative to cooperation with developed countries and other players.

The national experience of Mexico in TCDC and development cooperation had shown the advantages of combining various elements, he said.  While bilateral links continued to be essential, Mexico was also adding regional and subregional elements to its development cooperation.  It was involved in global projects as well.  “The very fact that there was such low participation at the current meeting from the developed countries showed that we had not been successful in attracting their interest in our work”, he said.  He also highlighted the link between the discussions on TCDC and those on financing for development. 

KAMALESH SHARMA (India) said what mattered was not the simple acquisition of technology, but the capacity to adapt or adjust it to local conditions.  Information technology, besides generating wealth, must be pro-people and pro-development.  India's objective was to ensure that all had access to information technology by 2008, so that the benefits would spread even to the most remote parts of the country.  Specific measures being pursued included a mass campaign for information technology awareness, the establishment of information technology kiosks to provide Internet access for all and the promotion of information technology education in all schools and colleges.

India was committed to sharing its knowledge with its partners in the South, he said.  Since 1964, it had provided over $2 billion in technical assistance to other developing countries.  India’s strongest belief was in developing human capacities and skills towards self-reliance.  After giving an overview of the Indian Technical and Economic Cooperation Programme, he made a series of recommendations to ensure that the full potential of TCDC was realized.  Those included:  sustained efforts by the United Nations Development Programme (UNDP) to promote trilateral cooperation; multilateral financial institutions using TCDC for technical assistance programmes and consultancies; priority use of local resources by donor countries for development cooperation projects in developing countries; and promoting the sharing of expertise in high technology areas.

HIEN JUSTIN, Director of Coordination for Official Development Assistance of Burkina Faso, said that since the adoption of the Buenos Aires Plan of Action in 1978, TCDC had been an effective catalyst for South-South cooperation.  It could also play an important role in re-launching the economies of the South.  While certain factors had contributed to consolidating TCDC, there were also new difficulties.  In most developing countries, TCDC was ignored and not used in various development and planning programmes.  In addition, the experience of pivotal countries that had successful programmes was not well known.  There were also numerous gaps in triangular arrangements.  Certain third parties did not own up to all their commitments within such arrangements.

His country had engaged in TCDC in several areas, including agriculture, health and sport, he said.  It also had TCDC exchanges with a number of other African countries.  Although the results were still limited, he was convinced that many development problems could only be solved through TCDC.  He hoped that the current session would not only review progress but also develop a real framework for TCDC.  He would like the Committee to consider the more operational aspects of TCDC, such as the dissemination of information, the modalities for triangular arrangements and integration by the United Nations system of TCDC in its operational activities.

MUHAMMAD YUSSUF (United Republic of Tanzania) said developing countries faced serious and new challenges because of the globalization process and declining resource flows.  Given those developments, TCDC and South-South cooperation offered the best hope for solving the development problems of developing countries.  His country had undertaken several actions, including some innovative initiatives and approaches, since the adoption of the Buenos Aires Plan of Action and the New Directions Strategy.  Exchanges of training, study tours and experts had revealed the efficiency, cost-effectiveness and relevance of TCDC.

Networking arrangements and information flows should be strengthened, he said, to improve communications with and responses from participating countries.  In that regard, he noted the Special Unit for TCDC’s continued efforts in expanding South-South channels of communication through the new Internet-based platform -- the Web of Information for Development (WIDE).  He also supported, among other things, efforts to improve national focal point offices to facilitate integration of TCDC activities, as well as to promote awareness and report on TCDC dynamics.

BOUNTHEUANG MOUNLASY, Director General of the Department of International Economic Cooperation, State Planning Committee, Lao People’s Democratic Republic, said that despite remarkable progress made after the adoption of the Buenos Aires Action Plan, it was still very difficult to implement TCDC in countries whose budgets were severely constrained, particularly least developed countries and land-locked developing countries.  The donor agencies were too slow in their contributions to the TCDC Trust Fund.  Many developing countries were not strong enough and had not created an enabling environment conducive to TCDC.  In the age of globalization, developing countries, especially least developed countries and land-locked developing countries, had to face both opportunities and challenges. 

He suggested several points for the Committee’s consideration.  First, to foster and enhance TCDC, more resources must be mobilized from different sources, including the private sector and non-governmental organizations.  Second, political commitments in TCDC countries should be strong enough to create an enabling environment conducive to TCDC.  Finally, donor agencies should be open and flexible in their contributions to the TCDC Trust Fund.

NURI BIRTEK (Turkey) said he attached great importance to the attainment of all the goals set at the Millennium Summit, but especially to those related to development.  It was imperative that they be incorporated into TCDC priorities.  Turkey had a rich history of assisting other developing countries.  It had a TCDC project, a strong commitment to fostering TCDC, indigenous technical and institutional capacities in specialized areas, and a willingness to share experiences and technical know-how.

During 1999 to 2000, Turkey had provided a total of 3,700 man-months of training or consultant services and over 14,000 fellowships to developing country nationals in its technical cooperation with more than 50 developing countries, he said.  Topics had included such subjects as banking, science and technology, health and communications.  During that period, Turkey had signed 191 bilateral agreements with 71 developing countries, he noted. 

JOSE PABLO MORAN, Executive Secretary for International Technical Cooperation of Peru, said that Peru had participated actively in TCDC activities with the United Nations, the Organization of American States (OAS) and the Group of 15, among others, as well as with the Caribbean Community (CARICOM).  It also had horizontal agreements with about 20 countries in Latin America.  The national secretariat was in the process of being rebuilt, as Peru was intent on fulfilling its commitments and removing the distortions created over the past eight years.

In order to begin a new stage for TCDC, he continued, it was important for countries, as well as the Special Unit, to ensure that its work was well known and disseminated as soon as possible.  The information should be more fluid via the WIDE which should be updated regularly and contain TCDC success stories.  The Special Unit should also be the promoter of TCDC.  Regarding resources, he wanted to know what contributions had been received in the period 1999 to 2001 from the Trust Fund and the Perez Guerrero Fund.  Also, which projects had benefited from those funds?  Developing countries must realize the importance of the promotion and support of TCDC in their national policies.

Mr. SupraPto (Indonesia) said that, despite his country’s ongoing economic crisis, it had continued its specific TCDC programmes and projects.  A sample of those included the provision of training to participants from other developing countries and the dispatch of Indonesian experts to other countries.  In fact, over the past two years, the Indonesian Government had organized 28 short training programmes, with a total of 476 participants in attendance from abroad.  He also drew the Committee’s attention to the Non-Aligned Movement (NAM) Centre for South-South Technical Cooperation, which had been established by his Government and Brunei Darussalam in 1998.

He stressed the importance of revitalizing South-South cooperation to maximize the benefits of globalization and minimize its risks.  Such cooperation was an indispensable complement to North-South cooperation for development.  The implementation of the Buenos Aires Plan of Action as a key instrument for promoting TCDC had become more critical than ever.  He greatly appreciated the comprehensive reports of the UNDP Administrator.

ALBERT M. MUCHANGA, Deputy Permanent Secretary, Ministry of Foreign Affairs of Zambia, said that his country, in close cooperation with Malawi and Mozambique and within the framework of the Preparatory Assistance of the Programme for Innovative Cooperation among the South (PICAS), had utilized TCDC as a vital complementary instrument for promoting national and subregional cooperation and economic integration.  TCDC had been used in responding to the development challenges facing Zambia and its neighbours, in the wake of a rapidly changing and increasingly complex international environment, through the Zambia-Malawi-Mozambique Growth Triangle.  That collaborative initiative was aimed at increasing trade and investment in the bordering regions of the three countries. 

His Government greatly appreciated the key and consistent support received from the Special Unit since the growth triangle concept took off in 1999 at the request of the three governments, he said.  In view of the dynamics of globalization, with its risk of marginalizing much of Africa, he called on the Special Unit to continue support to the three countries and their respective private sectors to make the initiative a great success.  On a broader scale, increased international support to TCDC was needed. 

ALEJANDRO SANTOS (Dominican Republic) said the world was becoming a great market where knowledge and the capacity to produce wealth was the basis of competitiveness.  Many countries had realized that they needed to use their internal resources to realize development objectives.  Regional cooperation in TCDC was indispensable, as was horizontal cooperation -- a mechanism that could help strengthen regional diversity. 

One of the major obstacles to TCDC was the lack of funding, he said.  The public sector had been blamed for not apportioning enough money and new actors, such as the private sector, had been sought.  Economic cooperation for developing countries was particularly important.  TCDC in his country faced a scarcity of resources.  He gave an overview of his country’s efforts to deal with the problem, which included a study on scientific and technological inputs.  The Dominican Republic had signed agreements with many of the countries in the region, he noted.

NOEMY BARUCH, Director for International Cooperation of Costa Rica, said that her country had reaffirmed its TCDC undertakings, which was a useful instrument to promote real development.  She agreed with the comments made by other delegations concerning the lack of participation in the current meeting.  No country was so poor that it could not offer anything and no country so rich that it did not need anything.  Costa Rica hoped to make progress this year on TCDC projects with several Latin America countries. 

While she shared the recommendations made earlier by Peru, she wanted to stress some of her priority issues.  Those included strengthening the focal points, providing for the active participation of UNDP country representatives in the TCDC activities of countries, making available increased resources and increasing triangular arrangements.  She hoped that the WIDE would provide accurate information, which would optimize solidarity and cooperation among countries. 

BEN MIHIDI MOURAD (Algeria) welcomed the progress made in TCDC during

1999 to 2000, especially the new strategic orientation to help with globalization, as well as advances in triangular cooperation.  He appealed to donor countries to increase resources for TCDC, as the economic interest for all was clear.  He would take part in the interactive debate and stressed the importance of addressing the weak absorption-capacity for resources, particularly in least developed countries, which undermined development efforts.  He wished to hear from the Special Unit for TCDC what could be done to address that problem.

SERBINI ALI (Brunei Darussalam) said that often the most common challenges confronting countries arose from the effects of globalization on development.  His country realized the importance of promoting TCDC.  Over the years, it had engaged in several projects including English-language training.  Also, it was pleased to contribute, with the Government of Indonesia, to the establishment of the NAM Centre for South-South Cooperation.  It was also involved in several activities including implementing programmes for the sustainable development of NAM countries. 

Regionally, he continued, his country had made contributions to a number of projects within the Association of South-East Asian Nations (ASEAN).  Emphasizing human resources development, his country had co-chaired, with China, a regional forum on that issue last year.  It was imperative to work for solutions that genuinely reflected the changing world economic situation.  Developed countries had an important role to play in assisting developing countries, through the transfer of technology and resources.

J. ENKHSAIKHAN (Mongolia) said that in a globalizing world, TCDC was an effective way for developing countries to pursue sustainable economic growth and development.  He supported the proposal to use WIDE to document the special needs and problems of developing countries.  He appreciated the initiatives implemented within the framework of triangular cooperation.  The lack of financial resources was one of the major obstacles to the practical development of TCDC.  Thus, triangular funding arrangements should be further developed through the contributions of developed countries and international organizations. 

He commended the continued assistance of the Special Unit of TCDC in promoting transit transport cooperation between land-locked and transit developing countries.  He expressed his Government's appreciation to the Unit for extending valuable support in efforts to improve Mongolian transit through its immediate neighbors.  Despite the efforts of developing countries, TCDC had still not fully realized its true potential.  It should go beyond its traditional framework.  Consideration should also be given to promoting cooperation between public and private sectors among different countries through TCDC.

DIANE MARIE QUARLESS (Jamaica) joined those who had underscored the importance of TCDC as an integral element in a comprehensive development strategy for developing countries.  Collective experience had shown that developing countries had much to gain by sharing ideas and expertise, by enhancing information and technological know-how, by working together with common understanding and harnessing a common approach to confront increasingly complex development challenges.  She strongly supported continued efforts on the part of the organs and agencies of the United Nations system to more clearly define and integrate the TCDC modality into the delivery of services, and to strengthen the capacity of developing countries to more effectively combine that element in national development strategies. 

She welcomed the increased assistance from developed country partners through triangular cooperation, as well as the involvement of a wider range of partners in TCDC.  Their participation, however, should not detract from the need for continued commitment and support on the part of the donor community toward the financing of TCDC.  The continued decline in core resources remained a central concern and the need for greater commitment of financial support could not be overemphasized. 

SYED SHAHID HUSAIN, of the Organization of the Islamic Conference, said the Conference shared the view of the UNDP Administrator that during the period under review there had been progress made in advancing the New Directions Strategy.  It was especially gratified to see that, among the examples of active bilateral and triangular programmes, many were among Conference States. 

At the same time, he said, better coordination was required to optimize the benefits of the Strategy and the scope for triangular financing could be significantly enhanced by the formulation of programmes that were attractive to donors.  Those, and other factors highlighted in the report, pointed to the conclusion that, despite the reported progress, the need for both promotional and operational support to TCDC was far from over.

FREDRICK H. WEIBGEN, Senior Liaison Officer, Food and Agriculture Organization (FAO), informed the delegates about a programme that the FAO had initiated some three years ago –- the South-South Cooperation initiative.  Launched within the framework of the FAO Special Programme for Food Security, the programme opened opportunities for developing countries to share experiences and expertise in agriculture and rural development.  Under the initiative, more advanced developing countries committed to providing technical assistance to other developing countries by assigning experts and technicians -- so far some 2,100 of them -- to work within rural communities.  Field experts and technicians in the recipient countries collaborated directly with crop producers, animal breeders and fishermen to increase their productivity and improve the community’s access to food. 

Continuing, he said that the South-South Cooperation initiative targeted developing countries with a special focus on African countries.  Under the

21 agreements signed so far, 19 host countries were in Africa, while most of the countries providing South-South cooperation assistance were Asian countries, including China, Viet Nam, India, Bangladesh and Pakistan. 

MOHAMMAD SIDDIK, of the Islamic Development Bank, said the Bank’s technical cooperation unit had been started in 1983 and covered the 53 members of the Bank.  The unit’s programme provided on the job training, recruitment of experts and organization of seminars and workshops to promote cooperation and development.

He noted that the Bank had entered into working relationships with the UNDP, the United Nations Population Fund (UNFPA), the World Bank, among other United Nations actors.  He stressed the importance of promoting exchanges in the fields of science and technology and noted that many developing countries faced obstacles in accessing written materials in that field.  TCDC had a role to play in overcoming that constraint.  The Bank would be pleased to receive the UNDP Administrator and the Chief of the Special Unit to discuss further efforts, he added.

Interactive Discussion

A representative noted that TCDC was a valuable concept and instrument for the South.  He commended the inputs made by countries like Japan and Norway to the triangular arrangements.  He stated that the Trust Fund ought to be “beefed up” and commended those developing countries that had forgiven the debts owed by fellow developing countries.  It would be useful if South-South cooperation could go further, to tap the knowledge found in the South.  Those best practices could promote development in the countries of the South.  Partnerships were also important, not only between developed and developing countries and between developing countries themselves, but also between the private and public sectors.

Globalization, said another representative, had brought the benefits of modernization to developing countries.  It also had negative effects, which must be compensated for by the developed countries and by major companies that promoted globalization.  One way to ensure such compensation was to promote the processes aimed at more effective cooperation between the developed and developing countries.

One representative, whose country had launched its technical assistance programme in the 1980s, stated that its programmes were formulated based on the belief that the development of a country depended on the quality of its human resources.  To date, more than 90 countries had benefited from his country’s programme.  To bring about greater South-South cooperation, his country had also

participated in the establishment of a data exchange center, which contributed to the promotion of investment, trade and technology transfer through the exchange and dissemination of information.   

The representative of an African subregional organization was pleased that TCDC was achieving its objectives.  She expressed her discomfort, however, at the lack of participation from those countries that should have benefited most from TCDC, namely African least developed countries.  What was the Special Unit doing about that?  Also, on the participation of regional economic groups, she said they had an increased role in building the capacities of their member countries.  In reading the reports prepared by UNDP, she noted the efforts made to involve the private sector and non-governmental organizations in TCDC.  There was little mention, however, of regional organizations.  She wanted to know what plans, if any, the Unit had to work with those organizations.

What role was the Bureau going to play during the period from the end of the current session and the beginning of the next session, asked one representative.

The CHAIRMAN, ALOUNKEO KITTIKHOUN (Lao People's Democratic Republic) replied that he had been consulting with the Secretariat, especially the Special Unit, on how to promote TCDC activities.  The present Bureau would continue to be as dynamic as it had been and would continue to be so until the Committee’s thirteenth session.  “I will not let the Secretariat rest”, he said.

Safiatou Ba N’Daw, Director of the Special Unit for TCDC, addressed questions and comments from the floor.  The Unit would consider the suggestions made during the general discussion and would consult with the countries concerned to see how to best act on proposals.  There were some 135 TCDC focal points;  support would be needed from the Unit’s different partners to be able to strengthen them. 

A representative of the Organization of the Islamic Conference suggested that improved coordination on TCDC be undertaken with intergovernmental organizations.

Ms. Ba N’Daw acknowledged that suggestion and said it would be taken up.  Responding to a comment made by the representative of Algeria, she said that the Special Unit did not have excess resources.

* *** *