United Nations / / Nations Unies
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United Nations Office of the High Representative for the Least Developed Countries,
Landlocked Developing Countries and SmallIsland Developing States (UN-OHRLLS)

LDCs Trust Funds

and

Special Programmes

1

The WMO Programme and WMO Trust Fund for LDCs

The World Meteorological Organization (WMO) at its fourteenth Congress held in Geneva, Switzerland in May 2003 decided to establish a WMO Programme for the Least Developed Countries, taking into account the United Nations Programme of Action for LDCs for the Decade 2001-2010 adopted at the third United Nations Conference on the LDCs.

The long-term objective of the WMO Programme for the LDCs is to enhance the capacities and capabilities of the National Meteorological and Hydrological Services, so that they can contribute efficiently and in a timely manner to the social and economic development of the respective countries. The main areas to be addressed to ensure that NMHSs contribute efficiently to the implementation of national development plans and meet their international obligations included:

(a)Rehabilitation and strengthening of basic infrastructure and facilities of the NMHSs;

(b) Enhancing the human resource base through capacity building and training;

(c) Availability of adequate financial resources for the operations and maintenance of infrastructure and facilities; and Establishment of appropriate institutional frameworks.

The WMO Programme for the LDCs is based on initiatives already developed in the various WMO regions, in particular the strategy for the enhancement and improvement of the World Weather Watch basic systems in Africa, the strategic plan for the enhancement of NMSs in Asia, and the strategic action plan for the development of meteorology in the Pacific Region.

For the implementation of the Programme, a special WMO Trust Fund for the LDCs has been established. The Trust Fund will receive voluntary cash contributions from Members, bilateral and multilateral funding agencies, and other cooperating partners.

The Programme includes the establishment of strategic partnerships with regional/sub-regional organizations and economic groupings, public and private sectors, banks, UN agencies, multilateral organizations and bilateral arrangements.

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The LDC Fundof the Global Environment Facility (GEF)

In November 2001, the Conference of the Parties (COP) to the United Nations Framework Convention on Climate Change (UNFCCC), at its seventh session decided that the least developed countries (LDCs) should be assisted in preparing national adaptation programmes of action (NAPAs) to address urgent and immediate needs and concerns related to adaptation to the adverse effects of climate change. It also requested the Global Environment Facility to provide funding for preparing NAPAs, as the first activity under the LDC fund. The Global Environment Facility (GEF) helps developing countries fund projects and programs that protect the global environment. Established in 1991, GEF forges international cooperation and finances actions to address six critical threats to the global environment: biodiversity loss, climate change, and degradation of international waters, ozone depletion, land degradation, and persistent organic pollutants (POPs).

The Least Developed Countries Fund for Climate Change (LDCF) and the Special Climate Change Fund (SCCF) were established in 2001 by the GEF in accordance with the decisions of the United Nations Framework Convention on Climate Change (UNFCCC). The LDCF is designed to support projects addressing the urgent and immediate adaptation needs of the least developed countries (LDCs) as identified by their National Adaptation Plans of Action (NAPAs).The SCCFis designed to finance activities in four areas. For both these funds, adaptation to climate change isa top priority and the largest majority of the funds' resources are allocated to concrete adaptation projects.In establishing the funds, the Council agreed that the operations and administrative costs incurred in connection with managing both the LDCF and the SCCF are kept separate from the GEF Trust Fund.

The Conference of Parties (COP 7) has established an LDC Expert Group[1] (LEG) with the objective of advising on the preparation and implementation strategy for NAPAs. The mandate of the expert group includes advice and technical guidance to individual countries, upon request, for the preparation and the implementation strategy of NAPAs. If a country requests specific assistance from the LEG which is in accordance with LEG rules, expenditure to obtain such assistance (such as travel by a member or members of the LEG, or a workshop) may be met from the technical assistance budget, if necessary through reallocation of project funds in consultation with the IA concerned.

The GEF has allocated $4 billion in grants and leveraged an additional $12 billion in co-financing from other sources to support more than 1,000 projects in over 140 developing countries and countries with economies in transition.

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WTO Work Programme for LDCs

The mandate of the Sub-Committee on Least-Developed Countries (LDCs) is to look specifically at issues of particular importance to LDCs. Since the Doha Ministerial Conference in 2001, the Sub-Committee on LDCs focuses on the implementation of the WTO Work Programme for the LDCs.

The WTO Work Programme for LDCs focuses on the following systemic issues:

(a)Market Access for LDCs;

(b)Trade-Related Technical Assistance and CapacityBuilding Initiatives for LDCs;

(c)Providing, as appropriate, support to agencies assisting with the diversification of LDCs’ production and export base;

(d)Mainstreaming, as appropriate, into the WTO’s work the trade related elements of the LDC-III Programme of Action, as relevant to the WTO’s mandate;

(e)Participation of LDCs in the Multilateral Trading System;

(f)Accession of LDCs to the WTO; and,

(g)Follow-up to WTO Ministerial Decisions/Declarations.

The Sub-Committee on LDCs also establishes an item on its agenda entitled: Follow up to ministerial decisions and declarations where members will be invited to report on measures taken in fulfillment of these Decisions and Declarations. They should put all due emphasis on the priority areas for LDCs in WTO negotiations throughout its work and report on technical assistance in support of LDCs.

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The Integrated Framework (IF) for Trade-Related Technical Assistance to LDCs

The Integrated Framework for Trade-Related Technical Assistance (IF) is a multi-agency, multi-donor programme that assists the least developed countries to expand their participation in the global economy whereby enhancing their economic growth and poverty reduction strategies.The IF programme was first mandated by the WTO Singapore Ministerial Conference in December 1996. The participating agencies are IMF, ITC, UNCTAD, UNDP, World Bank and the WTO. The IF has these objectives:

  • To "mainstream" (integrate) trade into the national development plans such as the Poverty Reduction Strategy Papers (PRSPs) of LDCs.
  • To assist in the co-ordinated delivery of trade-related technical assistance in response to needs identified by the LDC. The IF is built on the principles of country ownership and partnership.
  • Improved governance structure with the establishment of the Integrated Framework Steering Committee (IFSC) (add 15th session of IFSC) and the expanded IF Working Group (IFWG) for better coordination amongst donors, beneficiary LDCs and the agencies.
  • The establishment of the IF Trust Fund, which finances mainstreaming work, led by the World Bank but also follow-up activities from the studies;
  • Improved coordination of the delivery of trade-related technical assistance amongst bilateral and multilateral donors within a coherent policy framework.

The IF is increasingly receiving support from both the trade and development communities, such as at the Third UN Conference on LDCs (LDC-III), the G-8 Summits in 2001 and 2005. The support for the IF is also reflected in the form of increased contributions to the IF Trust Fund. The Integrated Framework Trust Fund (IFTF) was established under the financial rules and regulations of the UNDP for the receipt, administration and disbursement of funds and for mobilizing additional resources needed to enhance the programme activities of the Integrated Framework.Since its creation in February 2001, the IFTF has served as a central point for the deposit of contributions to the IF.

Revamped in 2000, the IF is now in the process of being enhanced. At the IF management bodies' meetings at the WTO, in Geneva, on 5 July 2006, IF Agencies and WTO Members adopted the “recommendations” for an Enhanced Integrated Framework. Ministers at the Hong Kong Ministerial Conference had welcomed the agreement to improve the implementation of the IF in three specific areas:

  • increased, additional, predictable financial resources to implement Action Matrices;
  • strengthened in-country capacities to manage, implement and monitor the IF process;
  • Enhanced IF governance.

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International Telecommunication Union (ITU) Programme

The Programme for Least Developed Countries (LDCs), SmallIslandDevelopingStates and Emergency Telecommunications are a highly focused initiative of ITU that is administered by the Telecommunication Development Bureau. Its primary objective is to bridge the digital divide between the rest of the world and the world's 49 poorest countries. In its effort to bridge the digital divide, the Programme focuses on reforming the telecommunication sector of these countries so as to introduce new structures, which are more conducive to faster and sustained telecommunication development, with well-managed and modern networks. It also seeks to increase the penetration of telecommunication services so as to achieve universal access to those services.

The world’s poorest nations can obtain practical assistance in areas of urgent need through the Union’s special Programme for Least Developed Countries (LDCs). These activities include assistance in establishing national regulatory authorities, and help in formulating effective strategies for universal access and rural telecommunications.

The ITU also works in partnership with organizations in target countries to improve human resources management and development, one of the most crucial areas still to be addressed in efforts to bridge the Digital Divide.

Nowadays some examples of ITU's projects in the Least Developed Countries are the following: the rural connectivity in Samoa, enhancing government services for Rwanda, to build an Information and Communication Technology Training Centre in Liberia, Projects that help Bhutan to gain access to ICT in schools, Projects that help Afghanistan to restore its Telecommunication and Broadcasting Infrastructures, building human resources for the Information society, enhance the Digital Postal Divide in Bhutan and a Project to connecting health care in Senegal which makes possible distance consultation and the exchange of medical information.

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UNIDO Programme in support of LDCs

UNIDO’s approach in supporting LDCs is primarily based on the conceptualization of Integrated Programmes capable of addressing the requirements of industrial development in a holistic perspective. UNIDO is convinced that without enhancing the role of industry, a sustainable path of economic development will not be achieved. It is industry more than any other productive sector that drives the economicgrowth process, provides a breeding ground for entrepreneurship, fosterstechnological dynamism and associated productivity growth, creates skilled jobs,and through inter-sectoral linkages, establishes the foundation for bothagriculture and services to expand. Prices of manufactured exports are both lessvolatile and less susceptible to long-term deterioration than those of primarygoods providing the potential for sustainable export growth and integration intothe global economy. Unless competitive production is built up, unless supply-sidecapacities are created, the LDCs will be unable to benefit from liberalizedtrade flows and will fail to integrate into the global economy.

UNIDO promotes sustainable industrial development. The aim is to connect marginalized countries andcommunities to the process of globalization. The key objective is to strengthen the industrial fabric, in order tobuild systemic capacities. This requires assistance in gradually moving smallenterprises from the informal to the formal sector of the economy, in supportingthe upgrading of micro enterprises, and in creating a pool of growthorientedsmall and medium industries capable of serving local markets andproducing inputs for export-oriented industries.

Another objective is to support towards improving the performance of agro-related industrial sectors which, in conjunction with ruralentrepreneurship programmes, can help both to reduce poverty among largeparts of the population, adding value to exportable products, and to diversify the processing of natural resources. Assistance in strengtheningcapacities of investment promotion bodies and efforts to attract foreigninvestment to the manufacturing sector in LDCs complement this.

Recently, in the context of the multilateral trading system, the issue of technicalbarriers to trade and new standards related to health, food safety andconsumer protection has assumed added importance. Structured informationabout these standards is badly needed in LDCs. UNIDO has this Special Programme that supports developingcountries in a whole range of issues relating to quality control, metrology,standardization, accreditation systems and conformity assessments. ThisProgramme calls for close cooperation with UNCTAD and ITC and should beseen in conjunction with UNIDO’s functional and sector-specific programmes toenhance the competitiveness of small and medium enterprises. Together, theycan provide comprehensive support packages that address the key constraints toLDCs effective access to global markets.

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UNCTAD LDC Trust Fund

The Trust Fund will facilitate the start-up of new activities in the four main areas of the UNCTAD: globalization and development, international trade in goods and services, and commodity issues; investment, enterprise development and technology; services infrastructure for development and trade efficiency. An important objective of the Fund would be to seek contributions from as many countries and institutions as possible.

Some of the goals are: Support for implementing macro-economic reforms, particularly in the areas of trade policy and trade diversification, and financial and fiscal sector reforms, including for the mobilization of public and private resources for development of LDCs. The focus will be on improved trade and investment supporting services, including in such areas as enterprise development, enhancing the role of women in the development process, trade efficiency, and technology;Promoting participation of the private sector in development.

The Trust Fund will also provide an umbrella for different types of contributions from interested countries. For example, developing countries could make contributions in kind, by providing experts for work in LDCs, by facilitating training of LDC nationals in relevant institutions and by promoting the exchange of successful development experiences. Triangular cooperation is another area, covering cooperation between the beneficiary LDC and a developing country financed by a donor country. Such contributions will be allocated by the Secretary-General of UNCTAD to support the above-mentioned activities on the basis of either request by LDCs (individually and collectively) or pursuant to relevant decisions of UNCTAD IX and of the Trade and Development Board regarding expanded technical cooperation for LDCs.

UNCTAD Trust Fund for LDCs keeps growing. Two new contributions totaling nearly U$400,000 will be made to the UNCTAD Trust Fund for Least Developed Countries (LDCs) before the end of 2007: 1 million Finnish marks (about US$186,000) by Finland and IR137, 000 (about US$200,000) by Ireland.With the contributions by Finland and Ireland, finance pledged so far, and commitments in the pipeline, now amount to US$3,300,000, about 70% of the initial target of US$5 million.

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World Intellectual Property Organization (WIPO) Programme for LDCs

WIPO works to assist all nations, particularly developing and least developed countries, to use the intellectual property (IP) system to promote economic, social and cultural development. The program focuses on assisting Least Developed Countries’ governments to put in place policies for using the intellectual property system to their best advantage by developing and strengthening the creative potential and inventive capacity of their people. Formulates and promotes development assistance activities and projects commensurate with the needs and priorities set by individual Least Developed Countries, carrying out studies, research and other activities and provide advisory services to governments. It also develops and executes programs of technical cooperation activities with other WIPO sectors, departments and offices of the United Nations and specialized agencies and other intergovernmental organizations. WIPO’s main functions are the following:

  • Intellectual property officials from the LDCs received training in awareness building and human resources development;
  • LDCs received assistance in building-up or upgrading intellectual property offices with adequate institutional infrastructure and resources, qualified staff, modern management techniques and access to information technology support systems;
  • Advisory missions were sent on request to the intellectual property offices of most LDCs, including those who are not members of WIPO, to give advice on modernizing management systems and streamlining administrative procedures;
  • WIPO has organized study tours for officials from many LDCs to offices in industrialized countries to study various aspects of modernization;
  • LDCs were beneficiaries of WIPO assistance on legislation in the areas of industrial property, copyright and neighboring rights and geographical indications;
  • Advice and assistance were given in connection with the setting-up or strengthening of collective management societies in the LDCs;
  • Advice were given on a clear and balanced view of intellectual property that enables the LDCs to assess the conformity of their existing national legislation vis-à-vis the provisions of international agreements and build national intellectual property organizations and institutions;
  • WIPO assists LDCs in the establishment of Intellectual Property Advisory Services and InformationCenter

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United Nations Capital Development Fund (UNCDF)

The United Nations Capital Development Fund (UNCDF) offers a unique combination of investmentcapital in two areas, capacity building and technical advisoryservices to promote microfinance and localdevelopment in the Least Developed Countries: