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The paper describes various models of Northeast Asian economic cooperation.
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Greater Tumen Initiative 1
Greater Tumen InitiativeA regional programme of cooperation in Northeast Asia
Dr. Nataliya Yacheistova
Director, Tumen Secretariat / UNDP
4th Annual Conference Northeast Asia Professors AssociationGreater Tumen Initiative and Local Economic Cooperation in NEA
17 -- 18 May 2010, Chuncheon, ROK
Greater Tumen Initiative 22
Regional Cooperation in Northeast Asia (NEA)
NEA region, including China, DPRK, Mongolia, ROK, Russia & Japan, possesses comprehensive economic power and enormous potential for investment and job opportunities
Regional trade and investments were growing rapidly in recent years, driven by easy access to cheap capital and high international consumer demand
Nevertheless, the development of NEA region remains bounded with many obstacles. It is the only region in the world without internal Free Trade
Agreements and it doesnt have any proper institutional platform for joint cooperation
To promote economic growth, closer regional cooperation in NEA is needed, which could be a unique opportunity for NEA countries to improve the business
environment and to secure sustainable economic development
Greater Tumen Initiative 3
Northeast Asias Share in world GDP
3
1980 1990 2000 2008 2010 2014Nominal GDP %Japan 9.1 13.4 14.5 8.1 8.6 7.8China 2.6 1.7 3.7 7.1 8.7 11.1S. Korea 0.6 1.2 1.7 1.5 1.4 1.6
Mongolia 0.0 0.0 0.0 0.0 0.0 0.0Russia Federation - 0.4 0.8 2.8 2.3 2.8China + S. Korea + Mongolia +Russia Federation - 3.3 6.2 11.4 12.4 15.5
Japan + China + S. Korea + Mongolia + Russia - 19.4 20.7 19.5 21.0 23.3
PPP GDP (%)Japan 7.9 9.1 7.6 6.3 5.9 5.4China 2.0 3.6 7.2 11.4 13.2 16.2S. Korea 0.8 1.4 1.8 1.9 1.9 2.0Mongolia 0.0 0.0 0.0 0.0 0.0 0.0Russia Federation 4.2 2.7 3.3 3.0 3.0China + S. Korea + Mongolia +Russia Federation - 9.2 11.7 16.6 18.1 21.2
Japan + China + S. Korea + Mongolia + Russia - 19.2 19.3 22.9 24.1 26.5
Source : IMF World Economic Outlook, October 2009, Database
Greater Tumen Initiative 44
Greater Tumen Initiative (GTI)
The Greater Tumen Initiative (GTI) is a unique intergovernmental cooperation mechanism in NEA, supported by UNDP, with a membership of four countries:
China, Republic of Korea, Mongolia and Russia. We sincerely hope that DPRK,
which withdrew from GTI since 5 Nov. 2009, will return to the cooperation
program in the near future
Present geographical scope of GTI is as follows Chinas Northeastern provinces: Liaoning, Jilin, Heilongjiang and Inner Mongolia Eastern ports of the Republic of Korea Eastern provinces (aimags) of Mongolia: Dornod, Khentii and Sukhbaatar
Primorsky Territory of the Russian Federation
Greater Tumen Initiative 55
Greater Tumen Initiative (GTI)
Since its creation in 1995, the GTI program has served as a catalyst in expanding policy dialogues and strengthening
fundaments for sustainable developments in the region through
joint activities and projects
The main goal of GTI is to promote economic cooperation in Northeast Asia, in particular the Greater Tumen Region, to
achieve greater growth and sustainable development for the
people and countries in the region
The decision-making institution of GTI is the Consulatative Commission, composed of government officials from each
member countries (one Vice Ministerial level official and three
other officials). The coordination of GTI activities is undertaken
by the Tumen Secretariat, following the decisions of the GTI
Consultative Commission (CC). The annual meetings of the
Commission provide a unique platform for intergovernmental
exchanges among the member countries
Greater Tumen Initiative 66
Progress Achieved
8th meeting of the GTI Consultative Commission(Sept. 2005 - Changchun, China)
The member governments agreed to extend the 1995 agreements for next 10 years, to transform Tumen River Area Development Programme (TRADP) to the Greater Tumen Initiative (GTI), to expand geographical coverage, to take the full ownership of GTI
with the continuous support of UNDP
The meeting adopted the GTI Strategic Action Plan 2006-2015, identifying five priority sectors for joint cooperation: transport, energy, tourism, investment and environment
Changchun Agreement adopted
9th meeting of the GTI Consultative Commission(Nov. 2007 - Vladivostok, Russia)
A shift to a more pragmatic cooperation approach focusing on real sectors of economy. A number of GTI projects were earmarked for joint realization
The GTI Energy Board, Tourism Board, Environment Board and Business Advisory Council (BAC) were created
Vladivostok Declaration adopted
Energy
Investments
Environment
Tourism
Transport
Priority
Sectors
Greater Tumen Initiative 77
10th meeting of the GTI Consultative Commission(March 2009 - Ulaanbaatar, Mongolia)
The Chinese Vice Minister of Commerce, Mr.Yi Xiaozhun was elected as the Chairperson of the Consultative Commission
The GTI Transport Board was established in order to develop a proper transport infrastructure and logistical network to support economic cooperation among GTI countries.
The meeting agreed on the establishment of the Trade Facilitation Committee with the purposes of technical and procedural facilitation of regional trade among the GTI countries.
The meeting recognized that the promotion of the GTI Projects (approved at the 9th CC Meeting) has been effectively undertaken by the Tumen Secretariat and the governments have agreed on concrete steps for continuing promotion and branding.
Ulaanbaatar Declaration adopted
Progress Achieved
Greater Tumen Initiative 88
Organizational Structure of GTI
Business Advisory
Council (BAC)
Decision making - the GTI Consultative Commission
Coordinating - the Tumen Secretariat (based in Beijing) and National Coordinators
Institutional Structures - Transport Board, Tourism Board, Energy Board, Environmental Board and BAC
GTI Consultative Commission
(Ministerial level)
Tumen Secretariat
Transport
Board
Tourism
Board
Environmental
Board
Energy
Board
Chairperson
National Coordinators
China: Ministry of Commerce
ROK: Ministry of Strategy and Finance
Mongolia: Ministry of Finance
Russia: Ministry of Economic DevelopmentChair: Mr. James Zimmerman
Co Chair: Mr. Wang Junhao
Greater Tumen Initiative 99
GTI Projects
Transport
1 NEA Ferry Route Border Infrastructure Framework
2 Modernization of Zarubino Port
3 Mongolia-China Railway Construction
4 Resuming Hunchun - Makhalino railway
5China Road, Harbor Project in the border between
China and DPRK
Energy 6 Capacity Building on GTI Energy at regional level
Tourism 7 Capacity Building on GTI Tourism at regional level
Investment 8Training Program for Officials from GTI Member
countries
Environment
9
GTI Environmental Cooperation: Focusing on Trans-
boundary Environmental Impact Assessment (TEIA)
in GTR and Environmental Standardization in the
Northeast Asia
10 Feasibility Study on Tumen River Water Protection
Greater Tumen Initiative 1010
GTI Main Events in 2010
MONTH DATE EVENT VENUE
APRIL12 - 13 National Coordinators Meeting Beijing, China
19 - 20 4th BAC Meeting Changchun, China
MAY21-22 3rd GTI Tourism Board meeting Vladivostok, Russia
24 Workshop on Promoting GTI and NEA Cooperation Beijing, China
JUNE3 - tbc GTI Investment Workshop - BAC Manzhouli, China
24-25 1st Transport Board Meeting& Transport Workshop Pusan, ROK (tbc)
JULY
Beginning of July National Coordinators Meeting Beijing, China
26-27 (tbc) 1st Environmental Board Meeting Yanji, China (tbc)
23-31 2010 Tumen River Festival (hosted by Tumen City authorities) Tumen, China
AUGUST 31 (tbc) 5th BAC Meeting Changchun, China
SEPTEMBER
1 11th GTI Consultative Commission Meeting Changchun, China
1 Joint Meeting of BAC - CC Changchun, China
2 2010 NEA Economic Forum Changchun, China
2 1st GTI Local Development Forum Changchun, China
OCTOBER tbc 2nd GTI Energy Board Meeting Beijing, China
NOVEMBER tbc 1st GTI Trade Facilitation Committee Meeting tbc
Greater Tumen Initiative 11
Business Advisory Council (BAC)
GTI makes increasing efforts to fully involve the private sector into regional development. TheBusiness Advisory Council (BAC), established at the 9th meeting of the GTI Consultative
Commission, serves as a public private partnership platform for the active engagementbetween governments and the private sector, BAC helps directly improve the investment
climate in Northeast Asia by providing advice and feedback to policymakers, resulting in more
effective economic cooperation and greater opportunities for investors.
Members of the BAC have the opportunity to provide the investment climate in the region,seeking corresponding changes in economic policies. The unique mechanism of joint sessions
of the BAC and the Consultative Commission provides the opportunity for direct exchange
between business and government representatives.
11
What is BAC
Greater Tumen Initiative 12
Local Development Forum
At the 10th meeting of the Consultative Commission held in Ulaanbaatar, Mongolia (March 2009), the member countries agreed to hold the Local Development Forum (LDF) in conjunction with CC meetings on the annual basis.
The Forum will contribute to bring sustainable development and attention to the local areas, and it finally can help overcome local barriers and challenges of progression on active and demand-driven development.
The LDF will mainly involve officials from local authorities from GTI member countries. Other participants will be consisted by officials from central governments of GTI member countries, public and private sectors, academics and non-governmental organizations. The total number of participants is expected to be about 70 persons.
The Local Development Forum will be held on 2 September 2010, at Changchun China.
Greater Tumen Initiative 13
Local Development Forum
The LDF will be designed to share and exchange dialogues on sustainable development with many
different public and private sectors; local and national governments, the representatives of academics,
media and non-governmental organizations
The Forum is also intended to tailor to suit the different needs of a particular area and focus on the each
local area, so that the local areas can build up the economic and social capacity to improve its economic
future and the quality of life.
In particular, it will contribute to stress the importance of the local level approach. The forum will
contribute to seek for balancing national development with local one, and for demonstrating effective local
solutions to economic development.
Objective
Greater Tumen Initiative 14
Organizational Framework for GTI Events in
September in Changchun
Date 31 August 2010
(Tuesday)
1 Sep 2010
(Wednesday)
2 Sep 2010
(Thursday)
Morning 10:00 12:00 Preparatory meeting
for National
Coordinators (tbc)
9:30 -12:00
11th CC meeting
9:00 - 9:30 (tbc)
Opening Ceremony of 6th Northeast Asia
Expo
9:30 -10:00 (tbc)
Visit of exhibition of the 6th Northeast
Asia Expo
10:30- 12:00 (tbc)
High-level Forum on Northeast Asia
Economic & Trade (organized by
Chinese Government)
Afternoon 14:00 15: 30 BAC Executive
Committee Meeting
(tbc)
16:00 18:00 BAC meeting (tbc)
14:00 15:45 continuation of 11th CC meeting
16:00 17:15 joint session of 11th CC and BAC meeting
17:15 17:45 finalizing 11th CC meeting
19:30 21:00 dinner reception, hosted by Chinese
government (tbc)
14:00 16:00 Northeast Asia Economic Forum
-Session 1: Investment and Trade
-Session 2: Tourism
16:30-17:30
Local Development Forum
Greater Tumen Initiative 15
GTI National Coordinators Meeting
The GTI National Coordinators Meeting was successfully heldon April 12 13, 2010 in Beijing, China. Governmentrepresentatives from the Peoples Republic of China, Mongolia,the Republic of Korea and the Russian Federation,
representatives from UNDP, Tumen Secretariat and the Legal
Advisor participated this meeting. The meeting was chaired by
Ms. Nataliya Yacheistova, Director of the GTI Secretariat.
The Agenda of the meeting included the issues of GTI legaltransition, current activities, preparation of 11th CC meeting etc.
All participants actively participated in the discussion,
considering the proposals drawn by the Tumen Secretariat and
reaching a number of agreements on the pending issues. The
participants agreed on the further promotion of private-public
dialogue through GTI BAC.
The meeting between BAC Chair Mr. James Zimmerman andGTI National Coordinators was held afterwards.
15
Greater Tumen Initiative 1616
Models of Asia Regional Cooperation
ASEAN + 3
C
A
R
E
C
China,
Mongolia(+ Central Asia)
Potential NACO
China
Russia
Mongolia
ROK
DPRK
Japan
A
P
E
C
ASEAN (+ China,
ROK, Japan)
Six Party Talks GTI
Shanghai Cooperation
Organization
China, ROK,
Russia, Japan (+ other Asia
Pacific countries)
DPRK, ROK, China,
Japan, Russia, (+USA)
China, Russia,
Mongolia, ROK
China, Russia,
(+Kazakhstan, Kyrgyzstan,
Tajikistan, Uzbekistan)
UNESCAP
G
M
S
China( + Cambodia, Vietnam, Lao
People's Democratic
Republic Thailand, Myanmar)
DPRK, ROK, China,
Japan, Russia, Mongolia ( + 47 other countries)
Greater Tumen Initiative 1717
Challenges and Perspectives
Legal identity - GTI is transforming from the UNDP-supported program to an independent international organization, based on the decision of GTI countries and
UNDP
Funding - GTI is funded by the member countries through the GTI Common Fund, but a strong support from international and regional financial institutions is needed
Leadership & Partnership - the support of UNDP on GTI will remain a critical factor of its successful development. At the same time, the GTI member countries will play
the leading role in regional cooperation. Moreover, it would be of great use to discuss
regional cooperation in NEA at a higher political level
Strengthening regional cooperation - to cooperate closely with main partners in organizing and holding NEA forums and to make them more effective
How to better institutionalize the GTI multilateral cooperation in NEA?
Greater Tumen Initiative 18
Thank you!
Dr. Nataliya Yacheistova
Director of Tumen Secretariat / UNDP
Beijing, China
E-mail: [email protected]
Website: www.tumenprogram.org