WTO DG Okonjo-Iweala
Underscores Importance of Partnerships to Support LDCs
WTO
Director-General Ngozi Okonjo-Iweala emphasized the need
to mobilize partnerships to support least-developed countries (LDCs) through trade
at a high-level side event on 30 June 2025 at the 4th International Conference on
Financing for Development in Sevilla, Spain.
Co-organized
by Djibouti, Finland and the Executive Secretariat of the Enhanced Integrated Framework
(EIF), the event focused on strengthening international partnerships in support
of LDC trade and investment priorities. The vision for EIF Phase Three – the next
stage of this Aid for Trade programme exclusively dedicated to LDCs – was also presented.
Several countries announced new funding commitments to this new phase of the EIF.
Several
donors pledged new contributions to the EIF Trust Fund, providing strong momentum
for Phase Three, which is set to begin in October 2025. Sweden announced a contribution
of SEK 75 million (approx. CHF 6.3 million), Denmark DKK 20 million (approx. CHF
2.5 million), Norway NOK 12 million (approx. CHF 0.9 million), France EUR 300,000,
(approx. CHF 0.3 million) and Liechtenstein CHF 50,000, building on Finland's earlier
pledge of EUR 2.5 million (approx. CHF 2.3 million) and a GBP 400,000 (approx. CHF
0.4 million) contribution from the United Kingdom to EIF Phase Three. These pledges
will help ensure a solid start to the next phase of EIF support, which is designed
to deliver catalytic and transformative impact for LDCs through trade.
In
her opening remarks, DG Okonjo-Iweala highlighted the
growing gap between development needs and available resources, emphasizing the ongoing
relevance of the EIF in helping LDCs benefit from trade. She noted that the partnership
has "gone from strength to strength," supporting USD 1 billion in LDC
exports and enabling hundreds of thousands of small farmers and entrepreneurs to
improve their livelihoods.
She
also shared the story of Sittina Farate
Ibrahima from Comoros, whose biocosmetics business was developed with EIF support.
"Today, 80% of her products are exported to Europe. This is what Aid for Trade
to LDCs is all about.”
Looking
ahead, the Director-General welcomed the shared ambition behind EIF Phase Three
and its USD 200 million funding target. "`We hope we can count on all the partners
in bringing this vision to life, she said, noting that the event would serve as
"a springboard for a high-level launch of the next phase of the EIF partnership
at the 14th Ministerial Conference.”
The
event brought together ministers from Djibouti, Finland and Guinea, along with senior
representatives from other least-developed 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 other development partners. Discussions
focused on priorities for EIF Phase Three, which will run up to 2031.
"From
the perspective of the WTO LDC Group, EIF Phase Three comes at a critical time,”
said H.E. Ilyas Moussa Dawaleh, Minister of Economy and
Finance of Djibouti. "What we need is a mechanism that catalyses our efforts,
brings innovation to respond to our evolving trade and investment priorities, supports
stronger institutions, and helps unlock new partnerships. We see in the vision for
EIF Phase Three a foundation to move towards precisely that. For many of our countries,
including my own, the EIF has not only been a financial and technical partner. It
has also been a catalyst for inclusive economic transformation.”
"Finland
is a longstanding supporter of multilateral efforts to strengthen the trade capacities
of least-developed countries," said H.E. Ville Tavio, Minister for Foreign
Trade and Development of Finland. "We believe in the transformative power of
trade as, when matched with targeted support and strong local ownership, it can
unlock lasting development impact. The EIF has consistently proven to be a trusted
and effective partner for LDCs. As it enters a new phase, we see an opportunity
to deepen its reach and amplify its role in advancing inclusive and sustainable
growth. Finland is proud to contribute to this next chapter."
A
follow-up pledging and partnership event is scheduled for September 2025 on the
margins of the WTO Public Forum in Geneva.
EIF
Phase Three aims to mobilize at least USD 200 million to help LDCs strengthen trade
capacities, expand exports, and harness trade for inclusive, sustainable development.