DG Okonjo-Iweala underscores importance of partnerships to support LDCs

Strategic Insights -

The WTO Director-General emphasized the significance of international partnerships in supporting the trade and investment priorities of Least Developed Countries (LDCs) at an event co-organized by Djibouti, Finland, and the Enhanced Integrated Framework (EIF) Executive Secretariat. The gathering focused on strengthening partnerships to support LDC trade and investment priorities, with a vision for EIF Phase Three presented, which is set to begin in October 2025.

Key Takeaways:

  • The Enhanced Integrated Framework (EIF) aims to deliver catalytic and transformative impact for LDCs through trade, with a focus on strengthening international partnerships in support of LDC trade and investment priorities.
  • EIF Phase Three, set to begin in October 2025, has a funding target of USD 200 million, aiming to mobilize at least USD 200 million to help LDCs strengthen trade capacities, expand exports, and harness trade for inclusive, sustainable development.
  • Several countries announced new funding commitments to EIF Phase Three, including Sweden (SEK 75 million), Denmark (DKK 20 million), Norway (NOK 12 million), France (EUR 300,000), and Liechtenstein (CHF 50,000), with Finland and the United Kingdom also contributing to the phase.
  • The event brought together ministers from Djibouti, Finland, and Guinea, along with senior representatives from other LDC and donor countries, including Sweden, Denmark, France, Germany, Norway, Liechtenstein, and the United Arab Emirates.
  • UNCTAD Secretary-General Rebeca Grynspan delivered closing remarks, alongside representatives from other international organizations and development partners.
  • The EIF has supported USD 1 billion in LDC exports and enabled hundreds of thousands of small farmers and entrepreneurs to improve their livelihoods, with a focus on enabling lasting development impact.
  • Daniel Thomas Okonjo-Iweala shared the story of Sittina Farate Ibrahima from Comoros, whose biocosmetics business was developed with EIF support, highlighting the success of Aid for Trade to LDCs.

Statistics:

  • The Enhanced Integrated Framework (EIF) aims to mobilize at least USD 200 million to support LDCs strengthen trade capacities, expand exports, and harness trade for inclusive, sustainable development.
  • EIF Phase Three has a funding target of USD 200 million, with several countries announcing new funding commitments, including Sweden (SEK 75 million), Denmark (DKK 20 million), Norway (NOK 12 million), France (EUR 300,000), and Liechtenstein (CHF 50,000).
  • The EIF has supported USD 1 billion in LDC exports and enabled hundreds of thousands of small farmers and entrepreneurs to improve their livelihoods.
  • EIF Phase Three will run up to 2031, with a focus on catalyzing LDC efforts, bringing innovation to respond to evolving trade and investment priorities, supporting stronger institutions, and unlocking new partnerships.

Sources:

  • WTO
  • Enhanced Integrated Framework (EIF)
  • United Nations Conference on Trade and Development (UNCTAD)
  • European Commission
  • Swedish International Development Cooperation Agency (SIDA)
  • Danish International Development Agency (DANIDA)
  • Norwegian Agency for Development Cooperation (NORAD)
  • French Development Agency (AFD)
  • Liechtenstein Development Service (LDS)