Latest news with #LandlockedDevelopingCountries
Fibre2Fashion
6 days ago
- Business
- Fibre2Fashion
LLDCs face steep trade losses amid global tariff surge: UNDP
Landlocked Developing Countries (LLDCs) are facing heightened risks from escalating global trade uncertainties and tariff hikes, with the United Nations Development Programme (UNDP) saying that these nations are being disproportionately impacted. For every one per cent increase in global tariff rates, LLDCs suffer an additional four per cent decline in trade volumes compared to non-LLDCs, compounding already significant income losses and structural disadvantages, according to 'An Economic Diversification Push for LLDCs: Achieving the Awaza Programme of Action,' a new policy paper. LLDCs, which rely heavily on neighbouring transit countries, face longer transit times and greater exposure to commodity price volatility. These challenges have left their GDP levels approximately 20 per cent lower than comparable coastal economies. With US tariff hikes now adding to the strain, without proactive measures, LLDCs risk being locked into cycles of economic stagnation and marginalisation, the policy paper released at the start of the Third UN International Conference on Landlocked Developing Countries (LLDC3), concluding today in Turkmenistan, cautions. 'A strategic push to diversify products and access new markets would allow LLDCs to navigate evolving trade dynamics. These include a mix of proactive and defensive strategies,' the paper said. The report presents two future scenarios. Under a business-as-usual trajectory, LLDCs will remain trapped in a narrow economic model, currently contributing just 1.3 per cent to global exports, 82 per cent of which are unprocessed primary commodities. Trade costs for LLDCs are on average 1.4 times higher than those of coastal developing countries, leaving them highly vulnerable to commodity price swings and external shocks. Alternatively, a strategic economic diversification scenario envisions LLDCs strengthening regional trade ties and expanding partnerships beyond the US. The shift is expected to increase engagement with the European Union and China, which has emerged as a critical player through its Belt and Road Initiative (BRI). The BRI continues to provide vital infrastructure and digital connectivity, offering LLDCs access to alternative global markets and greater opportunities for investment in value-added sectors. 'To overcome geographic and economic constraints, LLDCs must make deliberate policy choices. When governments adopt reforms that reduce reliance on traditional transit arrangements, LLDCs can systematically address their unique challenges, turning geographic adversity into opportunities for inclusive and sustainable growth', stated Ivana Zivkovic, UN assistant secretary-general and director of UNDP's Regional Bureau for Europe and the Commonwealth of Independent States. The UNDP's policy recommendations align with the Awaza Programme of Action (APoA), calling for bold reforms in regional integration, South-South cooperation, and investment in infrastructure and economic diversification. 'Global trade is rebalancing; traditional patterns are shifting as major players adjust their roles. Regardless of the final trade policy landscape, rebalancing presents a chance for LLDCs to secure a more favourable position if strategic policies are enacted,' the paper suggested. LLDCs face worsening trade risks amid tariff hikes, with UNDP cautioning of disproportionate impacts. A new policy paper urges economic diversification, regional trade, and stronger China-EU ties. Released at LLDC3 in Turkmenistan, it aligns with the Awaza Programme of Action, calling for reforms to turn geographic constraints into growth opportunities. Fibre2Fashion News Desk (HU)
Gulf Today
06-08-2025
- Business
- Gulf Today
UAE backs global initiatives toboost sustainable development
Suhail Bin Mohammed Faraj Al Mazrouei, Minister of Energy and Infrastructure (MoEI) and Special Envoy of the Minister of Foreign Affairs to Turkmenistan, led the UAE delegation participating in the Third United Nations Conference on Landlocked Developing Countries, which opened on August 5th in Awaza, Turkmenistan, and runs until 8th August. Al Mazrouei affirmed that the United Arab Emirates' participation in the conference is part of its established approach in supporting global development efforts. He emphasised that the UAE's involvement reflects its commitment to backing international initiatives aimed at promoting sustainable development, achieving regional economic integration, and providing advanced infrastructure that enables countries to overcome geographical challenges and bring prosperity to their peoples. He expressed hope that the conference would contribute to building effective partnerships, the exchange of expertise, and the opening of new horizons for investment and shared growth. The UN conference, which is held once every ten years, aims to highlight the development challenges faced by Landlocked Developing Countries (LLDCs), home to approximately 570 million people. It explores ways to enhance international partnerships, encourage smart investments, facilitate free movement of transport, and establish more flexible and efficient trade corridors. The four-day conference will discuss the Awaza Programme of Action (APoA) for Landlocked Developing Countries (LLDCs) for the Decade 2024-2034, which was adopted by the United Nations General Assembly on 24th December 2024. In order to drive transformative growth, the PoA is built around five interlinked priority areas that together address the challenges LLDCs face and create opportunities for sustainable development: Structural Transformation and Science, Technology, and Innovation; Trade, Trade Facilitation, and Regional Integration; Transit, Transport, and Connectivity; Enhancing Adaptive Capacity, Strengthening Resilience, and Reducing Vulnerability and Implementation, Follow-Up, and Monitoring. On the sidelines of the conference, Al Mazrouei held a series of bilateral meetings with Rashid Meredov, Deputy Chairman of the Cabinet of Ministers and Minister for Foreign Affairs of Turkmenistan; and Abdulkadir Uraloğlu, Minister of Transport and Infrastructure of Türkiye. The meetings discussed ways to enhance cooperation in the fields of energy, infrastructure, and transportation, to serve mutual interests. Meanwhile in February, 2025, Suhail Bin Mohammed Al Mazrouei, Minister of Energy and Infrastructure and the Special Envoy of the Minister of Foreign Affairs to the Republic of Indonesia, led a high-level delegation on an official visit to Indonesia from January 29 to February 1. During the visit, the minister held meetings with senior Indonesian officials to explore ways of enhancing bilateral cooperation across various sectors, aiming to advance relations to a level that reflects the aspirations of the leadership of both friendly nations. Accompanying Al Mazrouei during the visit was Abdullah Salem Al Dhaheri, the UAE Ambassador to Indonesia and the non-resident Ambassador to the Democratic Republic of East Timor, and the Association of Southeast Asian Nations (ASEAN). At the beginning of the visit, Al Mazrouei was received by Prabowo Subianto, President of the Republic of Indonesia, at his residence in Jakarta. The meeting discussed mechanisms to further strengthen joint cooperation in various fields, as the UAE-Indonesian relations have evolved into a comprehensive strategic partnership across political, economic, investment, trade, and cultural sectors. For his part, the Indonesian President expressed his pleasure in welcoming the UAE delegation and emphasised Indonesia's interest in further developing relations with the UAE in areas that serve the mutual interests of both nations. It was agreed by both sides to continue cementing bilateral cooperation and accelerating the finalisation of bilateral agreements and joint ventures in preparation for their approval between the two countries. During the visit, Al Mazrouei and the accompanying delegation also met with several Indonesian ministers and officials, including Agus Harimurti, Coordinating Minister for Infrastructure and Regional Development; Sugiono, Minister of Foreign Affairs; Sri Mulyani, Minister of Finance; Hashim Djojohadikusumo, Head of the Housing Task Force; Rosan Roeslani Minister of Investment; and Ridha Wirakusumah, the Chief Executive Officer at Indonesia Investment Authority, in addition to other senior officials. These meetings discussed the progress of joint investment projects and initiatives, as well as additional opportunities in sectors of mutual interest. The UAE minister also chaired the third UAE-Indonesia roundtable meeting, while Sugiuno, the Minister of Foreign Affairs, chaired the Indonesian side. The meeting was organised by the UAE Embassy in Jakarta at the Raffles Hotel and was attended by ministers, deputy ministers, CEOs, and representatives from several Emirati and Indonesian companies, including Etihad Airways, Emirates Airlines, Abu Dhabi Ports, Tabreed, Masdar, Mubadala, Borouge, ADNOC, Edge, First Abu Dhabi Bank, Emirates Global Aluminium, IFFCO, Alef Education, and Elsewedy Electric. The discussions focused on investment and economic cooperation in priority sectors for both countries, including conventional and renewable energy, aviation, ports and logistics, infrastructure, mining, cooling technology, strategic industries, defense, food security, construction and housing, banking, and education. The participants also addressed challenges faced by UAE companies investing in Indonesia and explored solutions to facilitate the smooth implementation of joint projects and initiatives. At the conclusion of the visit, Al Mazrouei and the accompanying delegation met with Luhut Binsar Pandjaitan, Chairman of the National Economic Council of Indonesia; Airlangga Hartarto, Indonesia's Coordinating Minister for Economic Affairs; Zulkifli Hasan, Coordinating Minister for Food; and Energy and Mineral Resources Minister Bahlil Lahadalia; along with a number of other high-ranking officials. The meetings reaffirmed the UAE's commitment to strengthening economic and investment relations, particularly in the fields of food security, energy, transportation, and logistics. WAM
