Towards an Effective Partnership: Development aid to the NBC surrounding areas Sateh Chafic El-Arnaout, PhD Chief Technical Advisor Director of NBC Recovery and Reconstruction Cell Presidency of the Council of Ministers [email protected]Presidency of the Council of Ministers Recovery and Reconstruction Cell
26
Embed
Towards an Effective Partnership: Development aid to the NBC surrounding areas
Presidency of the Council of Ministers Recovery and Reconstruction Cell. Towards an Effective Partnership: Development aid to the NBC surrounding areas. Sateh Chafic El-Arnaout, PhD Chief Technical Advisor Director of NBC Recovery and Reconstruction Cell - PowerPoint PPT Presentation
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Towards an Effective Partnership:Development aid to the NBC surrounding areas
An influence area of 25 municipalities around the NBC was identified based on:
o impact of conflict;o economic linkages;o road network;o topography
4
Geographic EndowmentTrade Corridor: Located on current land and maritime and
future rail trade corridors to Iraq and Gulf countries
Energy Corridor: Located along land fuel supply line to the
future Beddawi oil refinery
Located along the future land gas supply line to the Deir Ammar power plant
5
Economic Endowment
1- Public Investments2- Domestic Direct Investments3- Labor4- Tripoli service sector5- Foreign Direct Investments
5
3
2
1
4
Tripoli
North Lebanon
Syria, Iraq & Arab Gulf
6
Beirut
Local economy that depends on commerce, agriculture and fishing
Important source of labor to regional economy in Tripoli and North Lebanon
Economic and Social Vulnerability
Economic :
Area heavily penalized due to direct and indirect losses from three major events: (i) closure of Syrian border and major access road during July 2006 war, (ii) 2007 NBC conflict and; (iii) 2008 conflicts in Tripoli
Area generates modest economic activities (lowest ratio of loans to and lowest per capita consumption in Lebanon)
Social: High poverty rate (38%) as well as high
illiteracy & school drop-out rates
Highest inter-governorate inequality in Lebanon (gap between rich and poor) & 2.3% of children are underweight
Poor quality of social spending (teaching quality and absence of vocational training)
7
Growth PillarsKnowledge Economy:
o Expected to benefit from proximity to higher education services (Lebanese University)
o Benefits from proximity to medical services in Tripoli
Traditional Services:o Commerceo Agricultureo Fishing
Manufacturing:o Expected to better integrate in
the regional economy and to benefit from Tripoli’s special economic zone
8
Tripoli Special Economic Zone
Agriculture
Tripoli’s Special Economic ZoneLaw enacted on September 5, 2008
Fiscal and Tax Incentives for companies registered within TSEZ:
Custom duty and VAT waived for goods destined to companies registered within TSEZ.
Income tax waived for companies registered within TSEZ.
Construction permit fee and property tax waived for companies registered within TSEZ.
Tax waiver for equity and bonds issued by companies registered within TSEZ.
9
Supply of Development Aid
10
Targeted sector allocation (US$57.0million)
11
Good Implementation Progress (US$57.0million)
12
Spatial allocation of development aid
13
Generous Donor Contribution
14
Balanced Allocation of Development Aid
15
Burden Sharing of Implementation
16
Project Impact
17
The Development Partnership
18
Going Forward
Projects to be aligned with the National Land Use Masterplan to be approved in December 2008
Projects to complement thearea’s Public Investment Program to be approved mid-January 2009
Projects to be sustainable and to have limited O&M fiscal burden on beneficiaries
19
20
NBC SURROUNDING MUNICIPALITIES
MUNICIPALITIES
SECTOR MINISTRIES
AFESD ESFD
CDR
KUWAIT FUND
GERMANYKFWGOV.
IMPLEMENTATION
NGOs
DIRECT FUNDS
INDIRECT FUNDS
ITALYUN
GROUP
ECHO
USAID
CHF RI
IBRD
MDTF
MOI
LRF
DIRECT IMPLEMENTATION
Implementation Issues
• Sub-sector overlap:o Local Economic Developmento Municipal Capacity Buildingo Microfinanceo Etc.
Varied methodological approaches
Absorptive capacity of municipalities & recipient’s fatigue
Sustainability of projects and fiscal burden on beneficiaries
Abortive efforts by donors in project preparation
21
Role of Recovery and Reconstruction Cell
Coordinates with Municipalities, Sector Ministries and CDR to identify demand
Coordinates on a regular basis with Gate Keepers” and provides quarterly updates on development aid on a GIS platform