GMS ministers set to adopt regional investment framework
GMS ministers set to adopt regional investment framework
Ministers from six Greater Mekong Sub-region (GMS) member countries are set to adopt the regional investment framework (RIF) today in Vientiane in a move to speed up economic cooperation among the member states.
Senior officials from Cambodia, Laos, Myanmar, Thailand, Vietnam, and China met yesterday in Vientiane to discus preparations for the 19th GMS ministerial conference.
The RIF, which aims to implement the 10-year GMS strategic framework from 2012-2022, comprises more than 200 projects amounting to more than US$50 billion, according to the GMS national coordinator for Laos, Ms Monemany Nhoybouakong.
However, with the investment funds required to carry out the RIF being massive, the GMS' main partner the Asian Development Bank (ADB) and other partners are unlikely able to provide sufficient financial support.
“There is a need to seek finance from various sources,” Ms Monemany told local media.
The senior officials stressed the need to encourage the private sector to invest in the framework through the PPP or ‘public private partnership' concept.
To achieve this, the meeting recognised the importance of prioritising projects to be promoted for private sector investment, including to private investors from outside the GMS.
Ms Monemany, who presided over yesterday's meeting, admitted that more work needs to be done to promote greater involvement by the private sector.
She added that the GMS countries are currently discussing the prioritisation of projects to be carried for the first five years of the framework.
While the GMS has seen considerable progress in physical connectivity over the past years, the meeting touched upon the need to develop software connectivity to facilitate trade and transportation.
The outcomes of yesterday's meeting will be presented to the respective GMS ministers for consideration and recommendations including discussions on where to source the finances to carry out the RIF.
The GMS ministers are expected to adopt the RIF that covers 10 priority areas and also a joint statement that reviews the achievements made over the past year since the last ministerial meeting held in China last year.
The ministers are also expected to sign a memorandum of understanding on the establishment of the GMS Rail Association in a move to promote and develop rail connectivity.
GMS member states agreed to establish the Regional Power Connection Centre with Laos, Thailand and China all proposing that the centre be built in their respective countries.
“Selection of a country where the centre will be located was also scheduled to be discussed by the ministers today,” Ms Monemany said.
The ministerial meeting will touch upon the progress of preparations for the GMS summit scheduled to take place late next year.
Director of the Regional Cooperation and Operations Coordination Division, Southeast Asia Department of the ABD Mr James P. Lynch will present the ministerial meeting with the outcome of the development partners' meeting.
Outcomes of the GMS business forum will also be reported to the ministers with businesses expected to propose that the governments create conditions conducive for them to participate in the GMS frameworks.
vientiane times
