Jeske van Seters, ECDPM Aid for Trade Working Group Meeting Economic Community of West Africa States (ECOWAS) 9-11 October 2012, Abuja

1. Aid for Trade in ECOWAS
Lessons to learn from existing
regional Aid for Trade Strategies
Jeske van Seters
ECOWAS Aid for Trade Working Group meeting,
9 October 2012

2. Structure of the presentation
I. Aid for Trade Agenda & ECOWAS
II. Regional Aid for Trade Strategies

3. I. Aid for Trade Agenda & West Africa

4. What is Aid for Trade and Why
Does it Matter for ECOWAS?
• AfT has been defined globally (WTO) to refer
to 5 categories:
- Economic Infrastructure
- Building Productive Capacity
- Trade Development
- Trade Policy and Regulations
- Trade Related Adjustment
+ Other Trade Related Needs

5. Why does AfT matter...?
• Trade is an essential vehicle for improving
living standards and reducing poverty
• Donors are increasingly focused on
improving trade (DfID, World Bank, ADB)
and have committed to increasing AfT flows
• There is also more focus on regional trade
and integration
- AfT-related activities probably covers 50+
per cent of what the ECOWAS Commission
does

6. AfT commitments to ECOWAS countries
(millions of constant 2009 US$)
6000
5000
4000
3000
2000
1000
0
2002-05(avg) 2006 2007 2008 2009 2010

7. Average ECOWAS Country-level flows 2010
(millions US$)
900
800
700
600
500
400
300
200
100
0

8. AfT to ECOWAS by category
(avg 2006-09, thousands of 2009 constant US$)
Trade Policy & Regulation
and Trade-related
adjustment
4%
Building Productive
Capacity (incl trade
development)
49%
Economic Infrastructure
47%

9. AfT category ECOWAS examples
Trade policy and - Gap analysis of ECOWAS Trade Liberalization Scheme
regulations & trade (ETLS)
related adjustments - ECOWAS programmes on Standardization and
Quality control
Trade-related - Improved Road Transport Governance (IRTG)
infrastructure
initiative
- West African Power Pool (WAPP)
Building productive - Exports Promotion and Enterprise
capacity
Competitiveness for Trade (EXPECT)
- Regional/National Agricultural Investment
Programmes (ECOWAP)

10. II. Aid for Trade Strategies

11. AfT strategies – state of play
• A few regional AfT strategies exist so far
- e.g. COMESA, Indian Ocean Commission, Pacific
& UEMOA
• Development partners with AfT strategies are
more numerous
- E.g World Bank, EU, UK, Finland,
Netherlands,…
 some lessons to learn

12. Added value of regional AfT strategies
1. Guide how to use AfT in a strategic and
focussed way to resolve regional bottlenecks
E.g. objectives COMESA AfT strategy:
1. Coherent packages of inter-related investments,
instruments and regulatory measures which allow
the private sector to reduce the regional costs of
doing business
2. MS have access to mechanisms to address trade
and integration related adjustments

13. Added value of regional AfT strategies (cont)
2. Strengthen coordination & coherence
– between regional programmes (horizontal)
– Between regional and national levels (vertical)
3. Improve the effective and efficient
utilization of resources
4. Provide a basis for resource mobilisation

14. Lessons learned - successes
1. AfT strategy particularly helpful if provides
approach to AfT & clear objectives, not list of
projects
2. AfT strategy as short, accessible and focused
document
- E.g. COMESA AfT strategy = 2½ pages + results
matrix
3. AfT strategy addresses issues that can best
be addressed regionally
- E.g. regional corridors, regional value chains,…

15. Lessons learned – successes (cont)
4. Need for clarity about relationship between
various regional policies, strategies and plans
- AfT strategy contributes to inter-departmental
coordination
5. Communication is key
- internally: to ensure ownership, as responsibility for
implementation of AfT strategy lies with different
divisions/ministries
- externally: to mobilise development partners

16. Lessons learned – challenges
1. Move beyond accounting exercise
- EU AfT strategy monitoring focussed on AfT
flows
2. Mobilise sufficient funding and use (public
& private) innovative funding mechanisms
- delays in establishing COMESA Infrastructure
fund

17. Lessons learned – challenges (2)
4. Ensure sufficient human resources
- E.g. COMESA Aid for Trade Unit not given the
capacities to fulfill coordination mandate
5. Strengthen linkages between regional and
national level
- E.g. through national AfT committees (UEMOA)
6. Systematic M&E to facilitate adaptation and
improvements to AfT programmes
- possibly incorporated in broader M&E system

18. Characteristics of ECOWAS AfT Strategy
to be informed by lessons learned
• Objectives
• Focus
• Role of AfT strategy in relation to other
regional and national strategies, policies and
plans
• Choice of implementation & monitoring
mechanisms

19. Thank you!
Jeske van Seters
jvs@ecdpm.org

20. Resources
- Dalleau, M. and J. van Seters. 2011.
Operationalising the West African EPA
Development Programme Moving beyond the
paperwork. (ECDPM Discussion Paper 121)
http://www.ecdpm.org/dp121
- Lui, D., B. Byiers, and Jeske van Seters. 2012.
Rethinking Aid for Trade in the context of
innovative financing. (ECDPM Discussion Paper
127). http://www.ecdpm.org/dp127
- Seters, J. van, D. Afun-Ogidan, and F. Rampa. 2012.
Regional approaches to food security in Africa:
The CAADP and other relevant policies and
programmes in ECOWAS (Discussion Paper 128d).
http://www.ecdpm.org/dp128d
- Lui, D. and J. Van Seters. 2012. Review of the
COMESA Aid for Trade Strategy. (ECDPM
Discussion Paper 130). http://www.ecdpm.org/dp130