Logo of Phnom Penh Post newspaper Phnom Penh Post - ADB urges implementation of cross-border transport pact

ADB urges implementation of cross-border transport pact

ADB urges implementation of cross-border transport pact

As growing trade and investment linkages in Asia and the Pacific have helped to improve the region’s overall resilience to global economic and trade policy uncertainties, countries in the Greater Mekong Subregion (GMS) need to make swifter progress in streamlining trade through multilateral agreements that cut red tape, according to a new report.

According to the Asian Development Bank’s (ADB) Asian Economic Integration Report 2017 (AEIR) released yesterday, for the GMS region – an area that includes Cambodia, Laos, Vietnam, Thailand, Myanmar and Yunnan province in southern China – the greatest obstacle to increasing trade is the lack of implementation of the Cross-Border Transport Facilitation Agreement (CBTA).

“As regional transport networks expand, tourism grows, and agricultural and industrial trade integrates across the region, the greatest challenge will be implementing the GMS CBTA fully,” the report said, adding that it hoped that a CBTA would be implemented by 2019.

On transport facilitation, trade measures will also need to accelerate in areas like sanitary and phytosanitary systems to support intra-GMS trade in agriculture, food and forest products, the report added.

While hard infrastructure has remained a main stumbling block for the region, the ADB noted that the $19.1 billion in bilateral and multilateral investment made as of the end of 2016 has reaped some benefits for the GMS region.

However, the report noted that there is still a $6.4 billion near-term financing gap for infrastructure spending.

“Greater participation and investments from the private sector – in the form of public private partnerships – can help close the gap,” the report said. “This will require the GMS governments to strengthen PPP policy frameworks, bidding, and risk allocation to attract private sector investment.”

MOST VIEWED

  • New US bill ‘is a violation of Cambodian independence’

    After a US congressmen introduced bipartisan legislation that will enact sanctions on Cambodian officials responsible for “undermining democracy” in the Kingdom, government officials and the ruling Cambodian People’s Party on Sunday said they regarded the potential action as the “violation of independence and sovereignty

  • Long way to go before Cambodia gets a ‘smart city’

    Phnom Penh, Siem Reap and Battambang will struggle to attain smart city status without adopting far reaching master plans, according to officials tasked with implementing the program. The brainchild of the Association of Southeast Asian Nations (Asean), the smart city program seeks to link up

  • Japan bank buys major stake in ANZ Royal Bank

    Japan's largest bank acquired more than half of ANZ’s shares in Cambodia on Thursday, according to a statement from Kith Meng’s Royal Group. Japan's JTrust Bank, announced that they had acquired a 55% of stake in ANZ Royal Bank. According to a Royal Group

  • Ministry’s plan for net sparks fears

    The government has ordered all domestic and international internet traffic in the Kingdom to pass through a Data Management Centre (DMC) that has been newly created by the state-owned Telecom Cambodia, in a move some have claimed is an attempt to censor government critics. Spokesman