Transcript Document

Government-Private Sector Forum (G-PSF)
A Success Story
of the Royal Government of Cambodia
Sok Chenda
Minister attached to the Prime Minister, Prime Minister’s Office
Secretary General of the Council for the Development of Cambodia
Secretary General of the G-PSF
Global PPD Workshop
Vienna, Austria - April 29, 2009
1
Royal Government of Cambodia’s (RGC) mechanisms
for private sector consultation
Private Sector Consultation
Government
Private Sector Forum
Chair: Prime Minister
Coordination: DPM, Min. of Finance
General Secretary: Minister
attached to PM, Secretary General
of the Council for the Devt of
Cambodia
8 Sectoral Working Groups
Policy and strategy
Donor and G-PSF consultation
Steering Committee on Private Sector
Development (Chair: DPM, Minister of Finance)
Sub-steering
Committee on
Investment
Climate and PPI
(Chair: DPM, Min
Eco & Finances)
Sub-steering
Committee on
Trade Development
and Trade Related
Investment
(Minister of
Commerce)
Sub-steering
Committee on
SMEs
(Minister of
Industry, Mines,
Energy)
Established by sub-decree, these mechanisms are institutionalized
and demonstrate the commitment of the Royal Government of Cambodia (RGC)
To private sector development
2
Cambodia G-PSF in brief
Established in 1999
by the RGC
14 Forums held
Status of an enlarged
Cabinet meeting
+ 1000 issues raised (in
past 3 years), important
results in some sectors.
Strong coordination, with
regular meetings and
matrices that track issues
Structure in place. Working
groups co-chaired by m
Ministers and PS rep;
Chaired by the
Prime Minister
$100 mil savings for
the private sector
(sample of 11 reforms)
8 sectoral Working
Groups, cross cutting
collaboration
Large participation of the
private sector
Confidence, information btw
govt  PS, Gvt leadership
Democracy in action, demand
for accountability
G-PSF a highly successful reform platform
1. World Bank Investment Climate Assessment lists the G-PSF as one
of the key factors for the economic success of Cambodia
2. Royal Government of Cambodia uses the G-PSF to propose
measures to respond to the crisis – several consultations on-going
3. 2009 Memo from World Bank to RGC recommends using the
G-PSF for identification and monitoring of reforms
4. G-PSF is an integral apparatus of the RGC for private sector
consultation and engagement of development partners in technical
assistance.
5. Review of 31 PPDs worldwide shows G-PSF as among highest
performers.
4
Why have we been successful
1. Political willingness from the Royal Government of Cambodia, in
particular the Prime Minister
2. Cambodia is pro-private sector, we believe PS will achieve poverty
alleviation
3. Cambodia is an open economy
4. RGC understands that regulations are better drafted and better
implemented with PS participation
5. Private Sector willing to contribute constructively
6. G-PSF is an integral part of the government apparatus.
5
Development cycle of PPDs
Phase 1
Results
Trust
Education
Discovering what
works / What
doesn’t
Setting up
production
process
Phase 2
Phase 3
HIGH
IMPACT
RESULTS
Institutions
BMOs
Cambodia
More capacity
Exit
Ongoing brokering
Better production
Better products
More conflict
EARLY
RESULTS
Ownership without capacity
Time
1 to 3 years
1 to 3 years
6
IFC’s Role in Cambodia’s PPD (G-PSF)
To private sector
1 – Dialogue
management
& communication
2 – Capacity building
of associations and
chambers of com.
IFC
Coordination
Bureau
3 – Provincial
dialogues
(with other DPs)
4 – Technical assistance
analysis, research
Component 1 : IFC phasing out secretariat role
Component 2: Temporary intervention
Component 3 : Responsibilities of other DPs
Component 4: IFC intends to continue to support
Current structure of the G-PSF dialogue (Private sector)
G–PSF
Bi-annual
meetings
Law, Tax, and Export Process
Governance
and Trade
Working Group Facilit. W G
International
Finance
Corporation
Banking and
Tourism
Fin. Services
Working
Working Group Group
Manuf and
SMEs Working
Group
Agriculture
and AgroIndustries WG
Energy and
Industrial
Infrastructure Relations
W Group
W Group
Private Sector Working
Groups / G-PSF
Secretariat
Business Community
8
Independent Entity under the Chamber of Commerce
G –PSF Bi-Annual
Meeting
CHAMBER OF COMMERCE
G-PSF – AN INDEPENDENT ENTITY OF THE
CHAMBER OF COMMERCE
Light secretariat to liaise the WGs
Law, Tax, Gov
Working
Group
Export Proces.
and Trade
Fac. WG
Banking & Fin.
Services WG
Tourism
Working
Group
Manuf and
SMEs Working
Group
Agriculture
and AgroIndustries WG
Energy and
Infrastructure
W Group
Industrial
Relations
W Group
KEY ASSOCIATIONS provide administrative
support to working groups
International
Business Club
GMAC,
handicraft
assn…
Association of
Banks in
Cambodia
Business Associations
(regional, large small,)
CATA, CHA,
airlines
PPSMIA, SMI,
CEPMEC, etc
Business Community
Provincial dialogues
under Chambers of
Commerce
Federation of
Ricemillers,
agric. assn
CAMTA,
CAMFFA, ICTCAM
Business community in Phnom Penh
CAMFEBA
Challenges in institutionalization
PSF by-laws regulate only the private sector
- The Royal Government of Cambodia has strong ownership of the
process, G-PSF is an RGC mechanism
Government better prepared than the PS
- Quality of RGC participants very high;
- The PS has limited capacity to raise and research strategic issues;
BMOs are weak
- The sustainability of BMOs is not assured, even the stronger associations
may fail with the economic crisis (fewer members, less revenue from
services)
- Several small BMOs - not capable of serving as secretariat to a WG
- Even with 2-year capacity building, no assurance of BMO sustainability
- Can BMO play the role of a neutral, honest broker and ensure outreach ?
Quality of issues raised
- Quality of issues raised varies with the WG
- Limitations on the types of research that development partners can
provide (IFC, USAID)
- Quality sometimes not up to RGC expectations
10
Thank you!
SOK Chenda
Minister attached to the Prime Minister
Secretary General of the Council
for the Development of Cambodia
Government Palace
Phnom Penh, Kingdom of Cambodia
11
Extra slides
12
Proposed PSF by-laws
1. The PSF is an independent entity under the Cambodian Chamber of
Commerce
2. G-PSF works and operates like a business association
3. G-PSF has an executive committee with a president, vicepresident(s) and an annual general meeting of members
4. Sectoral associations have the right to vote in election of co-chairs
5. G-PSF governing structure has a small-scale secretariat supported
by several business associations.
13
Role of the PSF Secretariat
1. 3 staff run the liaison office / are the contact points: executive
director, program assistant-translator, staff analyst
2. PSF represents the 8 working groups vis-à-vis government
3. Liaises with business associations supporting the 8 working groups
to coordinate, compile, disseminate and analyze data
4. Interfaces with CDC for the organization of the Forum
5. Communications
•
Newsletter
•
Website
14
Role of BMOs supporting the Working Group
1. Full support of their respective Working Groups and Co-chairs in the
organization
•
Contact management, ensure outreach
•
Organize meetings, take minutes of meetings
•
Update the matrices of issues
2. Liase with the PSF central secretariat in aggregating reports for the
whole Forum
3. Work with PSF central secretariat to organize the Forum
4. Organize election of co-chairs with G-PSF central secretariat
•
So far: 3 business associations have agreed in principle to serve a
WG : GMAC (Export Processing and Trade Facilitation WG),
Camfeba (Industrial Relations WG) and IBC (Law, Tax and
Governance WG)
15