Multilateral Newsletter October 2017

1
Message from Mr Chandrajit Banerjee,
Director General, CII
T
he G20 deals with
a complex group of
countries constituting
the most advanced,
fast-evolving emerging
economies as well as developed
economies with their uncompromising
trade dynamics and demands. This
forum has been playing an extremely
constructive role to streamline
global efforts in order to restore
growth and build the resilience of
financial institutions and national
economies.
The G20 is now positioned towards
achieving a strong, shared and
sustainable global growth. India has
emerged as an important member of
the G20 by being able to contribute
and influence the
reshaping of the global
economic and financial
order.
The October edition
of the Newsletter
outlines the Indian priorities and the
road ahead for the G20; provides brief
information on the happenings at
the World Bank, Asian Development
Bank (ADB), International Finance
Corporation (IFC), World Trade
Organization (WTO), International
Trade Centre (ITC) and highlights
the key remarks made by the
Minister of State for External
A f f a i rs a t t h e 8 t h I B S A
Trilateral Ministerial Commission
Meeting.
iNSIDE
Focus Story
India and G20: The Road Ahead�� 2
World Bank
Europe and Central Asia Region Sees
Stronger Growth, Amidst Rise in
Migration�� 4
Reducing Risks in Developing
Countries is Key to Spur Investment
and Growth�� 5
aDB
ADB, India Sign $65.5 Million Loan
to Support Coastal Protection in
Karnataka�� 6
Strong Asian Intraregional Trade
and Investment Improve Economic
Resilience�� 7
Asian Development Bank, New
Development Bank Meet to Discuss
New Project Cofinancing�� 8
ADB Expands Clean Energy Project in
India with AIIB Cofinancing�� 9
iFC
IFC Helps Structure India’s First
Hybrid-Annuity PPP for Sewage
Treatment, Boosts National Clean
Ganga Mission�� 10
WTO
B20 lobbies for open and inclusive
trade at WTO Public Forum�� 11
ITC
Making trade work for small business
and the 99%�� 12
IBSA
Highlights of the opening remarks
by Gen. (Dr.) V K Singh (Retd.),
Minister of State for External Affairs
at 8th IBSA Trilateral Ministerial
Commission Meeting, Durban�� 13
October 2017, Volume 4, Issue 10

2
T
he G20 represents the world’s
most powerful economic club,
bringing together 20 most
developed and emerging economies in
the world, spread across five continents.
The forum has played extremely
constructive role to frame the world’s
efforts to restore growth and build the
resilience of financial institutions and
national economies.
India has an ambitious multi-pronged
agenda for the G20 summit that ranges
from deploying global surpluses for
infrastructure development, inclusive
development to energy efficiency,
Digitization and develop high-end
value manufacturing and global value
chains.
Considering India’s socio-economic
development and priorities of the ruling
government, given below are some of
the important areas that are of India’s
as well emerging world’s interests.
The continuing digital revolution that the
world is witnessing has powered dramatic
evolution of numerous technologies and
business models, sparking creative
disruptions to the way we live and work.
Two billion people today are connected
to the Internet, and this number is
growing by 200 million every year. The
global e-commerce industry generates $8
trillion each year.
This provides countless opportunities to
business as well as society. Efficient and
effective use of digital technologies has
become key to the competitiveness and
growth prospects of business today. As
digitization is inevitable, G20 can lead
discussions on the possible impacts of
Digitization on global trade, improve
digital infrastructures for G20 countries,
connecting underdeveloped countries
with the world digitally, harmonizing
policies, regulations, and standards,
F oc u s S tor y
India and G20: The Road Ahead
digitization of government processes,
etc.
Digitization
Fast digitization is bringing new
opportunities as well as challenges.
The G20 can help developing and
underdeveloped countries to deal with
the new regulatory and economic
challenges for governments, provide
the right access, protection and use
of personal data and fostering digital
trust, help design new disruptive
business models and complexity behind
technology, digital divide and its negative
socio-economic impact on business and
society, etc.
For India, Internet of things, increased
electronic connectivity and an increase
in the number of active users of online
services, has resulted in the creation of
a digital ecosystem, where goods and
services providers interact in a symbiotic
relationship with consumers online. The
digital ecosystem is allowing the creation
of opportunities that add novel social
and economic value. This emerging
digital ecosystem is also presenting new
challenges for government to formulate
policies that will shape the digital
ecosystem. Countries across the world
are aiding the creation of sustainable
digital ecosystems to support the growth
of their economies.
Digitization is very important for
India with such large population. The
government has launched ‘Digital India
mission’ to connect India digitally which
would be synchronized with the Ease of
Doing Business indicators for industry
so that a single window online platform
is created. The e-Biz digital platform is
already underway, and the government
has commenced the task of placing
forms and applications online.
Sustainability
The world needs to develop sustainable
consumption and production patterns
for the future generations. The global
community needs to address a range
of key issues including meeting the
current requirements, improving the
standards of living, achieving resource
efficiency, using renewable energy
sources, waste management, study the
life cycle perspectives of products and
services and the equity dimension.
In addition, according to an UNEP-
IRP Study, increasing efficiency in
resource management can lead to
global greenhouse gas emissions cut
by 74%, jobs creation and robust
economic growth. G20 can develop
Global Resource Efficiency Framework
to outline short, medium and long-term
action plans. Discussion at the G20 level
would sensitize the issue globally.
Resource Efficiency
Because there are diverse cultural,
societal, economic and politico-legal
frameworks co-existing globally, the
understanding and implementation
mechanisms on resource efficiency
among businesses and society are
wide-ranging. G20 can help develop
a common international framework
of understanding and implementation
to boost international cooperation in
Resource Efficiency.
Indian industry would have a few
concerns and observations - RE and
Trade Barriers: There are apprehensions
that strict regulation to enable
implementation of RE in some countries
will result in loss of competitiveness
due to less stringent measures in other
countries. Therefore, it is suggested that
there is a need for coordinated efforts by
member countries.

3
is considerably low. India has to do
vertical specialization in its product
basket and extend its expertise in high
value manufacturing.
The G20/B20 has been playing extremely
constructive role to streamline the
world’s efforts in order to restore growth
and build the resilience of financial
institutions and national economies.
With over six years of rigorous efforts to
recover from the crisis, the G20 is now
perfectly positioned towards achieving
a strong, shared and sustainable global
growth.
As industry has become the driving
force behind global growth, role of B20
has become all the more important. The
Confederation of Indian Industry (CII)
acknowledges this and its commitment
is reflected by CII’s strong delegation and
policy advocacy in each of the G20/B20
Presidencies.
F o c u s S t o r y
India, along with other emerging
economies, is concerned about the volatile
capital flows resulting from quantitative
easing of advanced economies, which
are affecting economies of emerging
countries and hence the burden should
be shared. Indian is also in favor
of defending the capital controls as
legitimate and acceptable defence
against speculative capital flows and
press for creating an effective framework
for the adjustment process.
India and developing countries need
to develop institutions to get large
stakeholders into the Value Chains
and enhancing capacities of standards
stakeholders. There is need for substantial
investments in this area.
In the most globalized world, there
should be multilateral institutions
should help emerging and third-world
countries to design and implement
‘Global Integration Strategy.’ G20 can
help and facilitate to develop integration
strategies that not only meets their
domestic geo-economic aspirations but
also be a voice for other countries with
similar developmental phase.
India can align its “Act East” policy,
“Connect Central Asia” policy, FTAs
with ASEAN, negotiation for RCEP
membership, a renewed focus on the
neighborhood policy, etc. with its much
broader Global Integration Strategy.
Other than these, India should also
develop product and market diversification
Strategies. The US and EU are India’s
main export markets. India needs to
diversify its export markets to other
regions. Indian exports are highly
concentrated on petroleum, gems
jewelry and other labour intensive
products and less on manufactured
items. India has to match its exports with
the composition of global trade.
India’s product basket for the global
market is very wide but value addition

4
W O R L D B A N K
E
conomic growth for the Europe
and Central Asia region will reach
2.2% in 2017, according to the
World Bank’s latest Regional Economic
Update, Migration and Mobility in
Europe and Central Asia. This represents
the strongest growth in the region since
2011, and is 0.3 percentage points
above the Bank’s previous forecast in
May 2017.
Growth in Europe and Central Asia
comes on the back of stronger industrial
production and more exports in recent
months, lifting most countries in the
region out of recession. Unemployment
rates have dipped below pre-financial
crisis levels in several countries,
while labor participation rates have
simultaneously risen above their 2008
levels.
Despite these important gains, however,
the region still faces challenges that
are testing political and economic
cohesion. According to the report,
new technologies are impacting the
distribution of income and wealth, with
many workers struggling to adjust to
the new skills demand of the digital
economy. In addition, the number of
full-time, permanent jobs as a share
Europe and Central Asia Region Sees Stronger
Growth, Amidst Rise in Migration
of total employment has declined, as
flexible contracts become the dominant
employment arrangement for younger
workers. This rise in the share of
flexible contracts is increasing the
efficiency of firms and individuals, but
also creating new forms of inequality
and insecurity.
“Growth is returning to the region, which
is certainly good news,” says Hans
Timmer, World Bank Chief Economist
for Europe and Central Asia. “At the
same time, however, new technologies
that provide new growth opportunities
are bringing about more flexible labor
contracts and more uncertainty. This
has increased anxiety among people.
And recent concerns over the influx of
refugees can be seen as a manifestation
of that heightened anxiety.”
The Europe and Central Asia region
has experienced a sharp increase in
the numbers of refugees and asylum
seekers in recent years, from 3.7 million
in 2014 to 6.4 million in 2016. This
large influx has created new challenges
and heightened public concern over
migration. The report finds, however, that
refugees and asylum seekers account for
only a small share of total migrants in
countries across the region – with the
exception of Turkey, which was host to
3.1 million refugees in 2016.
Migration has played an important role in
meeting demands for labor, supporting
trade, and encouraging foreign direct
investment in countries across Europe
and Central Asia, says the report.
Migration also promotes the transfer of
knowledge between host countries and
countries of origin – increasing exposure
to flows of information that can create
economic benefits.
The report recommends that countries
in the region pursue policies that ensure
the successful integration of migrants
into society, in order to fully exploit
the benefits of migration. But policies
should not focus on migration challenges
in isolation. Rather, reforms should
help both migrants and non-migrants
alike cope with rapid technological
development and increased flexibility
in labor markets, thereby reducing
insecurity and sharing the benefits of
economic growth more broadly across
society.
Click here for more information

5
W O R L D B A N K
A
stable business environment,
effective regulations, and political
stability are among the key
drivers of foreign direct investment (FDI)
into developing countries, according to
a new survey released by the World
Bank Group.
The survey of 750 executives of
multinational corporations is part of
the Global Investment Competitiveness
Report 2017–2018, the first of a
biennial series exploring the drivers
of investment competitiveness in
developing countries. The report
finds that international investors
prioritize political stability, security,
macroeconomic conditions, and
conducive regulatory environment
when deciding where to make
investments that can spur growth
and create jobs.
Combining a survey of global investors
with analysis of investment policy
Reducing Risks in Developing Countries is Key to
Spur Investment and Growth
issues makes this report a powerful
contribution to our understanding of how
developing countries—including fragile
states—can de-risk their economies and
unlock FDI.
The report explores how FDI creates
growth opportunities for local firms,
assesses the power of tax holidays
and other fiscal incentives to attract
FDI, analyzes characteristics of FDI
originating in developing countries,
and examines the experience of foreign
investors in countries affected by conflict
and fragility. Combining first-hand
investor perspectives with extensive
research and data analysis, the report
highlights the importance of a conducive
and low-risk investment climate for
multinational as well as local companies.
It recommends specific reforms that
can help countries attract foreign
investment and maximize its benefits
for development.
“The Global Investment Competitiveness
Report goes beyond an examination of
broad trends in foreign investment. It
explores key drivers of FDI in depth,”
said IFC Chief Economist Ted H. Chu.
“It also offers practical and actionable
recommendations to help developing
countries ensure they get the most out
of international investment.”
“A business-friendly legal and
regulatory environment—along
with political stability, security, and
macroeconomic conditions—are key
factors for multinational companies
making investment decisions in
developing countries”
Anabel Gonzalez
Senior Director
World Bank Group’s Trade
Competitiveness Global Practice

6
T
he Asian Development Bank
(ADB) and the Government of
India have signed a $65.5 million
loan agreement to continue interventions
to check coastal erosion on the western
coast in Karnataka.
ADB, India Sign $65.5 Million Loan to Support
Coastal Protection in Karnataka
“Coastal area development is one of
the priority sectors for Government
of India. The program has introduced
innovative techniques for managing
coastal erosion that will ultimately
benefit local communities, and would
also help address concerns pertaining
to the climate change”
Sameer Kumar Khare
Joint Secretary (Multilateral
Institutions) Department of
Economic Affairs
Ministry of Finance
“The investment program has already
demonstrated the benefit of adoption
of softer options such as artificial
reefs, beach nourishments, and dune
management for coastal protection.
The project will consist of eight
coastal protection subprojects to
address the issues of medium to
severe coastal erosion resulting in
protection of about 54 kilometers of
coastline in Karnataka”
Kenichi Yokoyama
Country Director India
ADB
The second tranche loan from ADB’s
ordinary capital resources has a 20-
year term. The State of Karnataka,
acting through its Department of Public
Works, is responsible for implementation
of overall program, which is due for
completion by September 2020.
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and Management Investment Program.
The financing will be used to address
immediate coastal protection needs and
strengthen Karnataka’s Public Works,
Ports, and Inland Water Transport
Department.
Karnataka’s coast supports the state’s
major economic sectors, which include
fisheries, agriculture, tourism, ports, and
other major transport and communication
sectors. Coastal erosion in the state,
where the project is focused, poses a
high risk to human wellbeing, economic
development, and ecological integrity
through loss of land, infrastructure, and
business opportunities. Under increasing
threat from climate change impacts,
coastal protection and management
has evolved as a major challenge to
development. Effective and sustainable
management of the shoreline is thus
vital to sustainable economic and social
development of the coastal regions in
the state.
The loan is the second tranche of a
$250 million financing facility under
the Sustainable Coastal Protection

7
Strong Asian Intraregional Trade and Investment
Improve Economic Resilience
G
rowing trade and investment
linkages in Asia and the Pacific
help improve the region’s
economic resilience to uncertainties in
the global economic and trade policy
environment, according to a new Asian
Development Bank (ADB) report.
The Asian Economic Integration
Report 2017 (AEIR), ADB examines
recent regional integration trends and
introduces a new regional integration
index. The report also includes a special
chapter on how Asia can strengthen
financial resilience in an era of financial
interconnectedness.
Strong intraregional trade and investment
are acting as a buffer for the region
against uncertainties in global trade
and economic growth, according to
the report. In 2016, Asia’s intraregional
trade share―measured by value―rose to
57.3% in 2016, a record high, up from an
average of 55.9% from 2010 to 2015.
Foreign direct investment (FDI) within
Asia rose in absolute value to reach $272
billion in 2016, despite a 6% decline in
global FDI flows into the region. This
intraregional FDI increased as a share of
total FDI to the region from 48% in 2015
to 55% in 2016. Given the role intra-
Asian FDI plays in enhancing global
and regional value chain development,
this is expected to help strengthen the
region’s trade growth globally.
Asian economies have continued
expanding their global presence, with
FDI originating from Asia rising 11%
in 2016 to $482 billion, primarily
through investment in renewable energy,
and social integration. The index is
aimed at helping policymakers better
understand and measure the levers
for greater regional integration and
cooperation.
The report also features a special
chapter on how Asia can strengthen
financial resilience in an era of financial
interconnectedness. It highlights that 20
years after the Asian financial crisis,
Asia stands strong, with healthier
financial systems, stronger regulations,
and better regional financial cooperation
mechanisms.
T h e r e p o r t o f f e r s s e v e r a l
recommendations for countries in the
region to strengthen their resilience to
future crises, including maintaining sound
macroeconomic fundamentals; further
strengthening national regulatory and
supervisory frameworks and institutional
capacities; further developing local
currency bond markets; strengthening
regional regulatory cooperation,
including resolution mechanisms for
interconnected regional banks; and
reviewing and strengthening existing
financial safety nets against potential
contagion and spillover effects.
“Asia and the Pacific is leading a
recovery in world trade that is helping
the region to maintain strong growth
momentum amid global economic
and trade policy uncertainty”
Yasuyuki Sawada
ADB’s Chief Economist
a db
natural resources, semiconductors, and
information technology.
The 2017 AEIR introduces a new
composite index, the Asia-Pacific
Regional Cooperation and Integration
Index. The index measures regional
integration across six components,
including trade and investment,
money and finance, regional value
chains, infrastructure and connectivity,
movement of people, and institutional

8
A
sian Development Bank (ADB)
Vice-President Wencai Zhang
met with New Development
Bank (NDB) Vice President and Chief
Operations Officer Xian Zhu on the
sidelines of the World Bank-International
Monetary Fund Annual Meetings
to discuss progress on projects for
cooperation.
The two institutions have been
working to identify their first projects
for cofinancing. Preparatory work is
underway on two potential projects
in India—the Mumbai Metro Railway
Project in Maharashtra and Indore Metro
Railway Project in Madhya Pradesh.
Project appraisals have recently begun
for both projects, for which ADB and
NDB teams are working to complete due
diligence, finalize costs, and determine
Asian Development Bank, New Development Bank
Meet to Discuss New Project Cofinancing
through inclusive economic growth,
environmentally sustainable growth,
and regional integration. Established
in 1966, ADB is celebrating 50 years of
development partnership in the region. It
is owned by 67 members—48 from the
region. In 2016, ADB assistance totaled
$31.7 billion, including $14 billion in
cofinancing.
NDB is a new multilateral development
bank based in Shanghai. It was setup in
2015 by five BRICS countries focusing
on infrastructure and sustainable
development. In the first year of
operations, NDB provided infrastructure
financing of $1.5 billion to member
countries.
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cofinancing arrangements.
“ADB and NDB are making good progress
as we look to expand cooperation and
leverage each other’s financing to
maximize development benefits in our
member countries,” Mr. Zhang said.
A memorandum of understanding
on cooperation was signed by ADB
President Takehiko Nakao and NDB
President K.V. Kamath in Manila in July
2016. Through cofinancing and joint
knowledge work, the two institutions
will work together in areas such as
renewable energy, energy efficiency,
clean transportation, sustainable water
management, and sewage treatment.
ADB, based in Manila, is dedicated to
reducing poverty in Asia and the Pacific

9
a db
ADB Expands Clean Energy Project in India with
AIIB Cofinancing
T
he Asian Development Bank
(ADB) has agreed to finance
additional power transmission
network components with cofinancing
from the Asian Infrastructure Investment
Bank (AIIB) that will connect with an
ADB-financed Green Energy Corridor
and Grid Strengthening Project in
India.
In support of the Indian government’s
Green Energy Corridor initiative, ADB’s
Board of Directors approved in December
2015 two loans to build and upgrade
inter-regional grid systems between
the western and southern regions, and
high voltage transmission lines and
substations in the northern region. The
system will mainly deliver solar and wind
energy to wider locations in India. The
ADB financing for this comprised a $500
million government-backed loan and a
further $500 million in non-sovereign
lending to India’s national transmission
company, Power Grid Corporation of
India Limited (POWERGRID).
To increase energy delivery to more
provinces in India, the project will now
be expanded to include 400 kilovolt
transmission components in Tamil
Nadu to connect at Pugalur with the
long-distance grid systems financed
by ADB. ADB will provide $50 million
from savings from the earlier loans
while AIIB’s Board of Directors yesterday
approved cofinancing of $100 million
Since 2016, ADB has cofinanced four
projects with AIIB, beginning with the
M4 expressway development in Pakistan
approved in June 2016 for which ADB
and AIIB are each providing $100
million. Second is a project to improve
natural gas production and transmission
in Bangladesh, financed by $167 million
from ADB approved in November 2006
and $60 million from AIIB. The third is
a project to build a bypass road skirting
the port city of Batumi, Georgia’s second
largest city, financed by $114 million
from ADB approved in March 2017
with the same amount coming from
AIIB. In these three cofinanced projects,
ADB administers wholly or partially the
assistance provided by AIIB. For the
India transmission project, ADB and
AIIB will administer each of their loans
in parallel, and collaborate on the basis
of the cofinancing arrangement.
“We are pleased that this first AIIB
cofinanced project in India will bring
clean energy to more people and help
the country achieve its ambitious
renewable energy targets”
Priyantha Wijayatunga
Director of ADB’s Energy Division
in its South Asia Department
for this component, which has a total
cost of $303.5 million. POWERGRID
will finance the remainder.

10
I
ndia’s National Mission for Clean
Ganga, and the state governments
of Uttarakhand and Uttar Pradesh,
signed the first two agreements with
private sector companies to build
sewage treatment plants in Haridwar
and Varanasi.
IFC Helps Structure India’s First Hybrid-Annuity
PPP for Sewage Treatment, Boosts National Clean
Ganga Mission
“These projects are the country’s first
two hybrid annuity projects for the
development of sewage infrastructure.
They will ensure that untreated
sewage from these cities does not
flow into the Ganga, giving a boost
to our flagship Namami Gange
program”
U.P. Singh
Director General
National Mission for Clean Ganga
“Hybrid annuities are widely used
globally to make payments for large-
scale infrastructure projects. Adopting
these in the sewage sector for flagship
Namami Gange program for the first
time will help deepen private sector
engagement in this vital space. In
partnership with the state and central
government, we are introducing a
bankable model that can be used
to roll out similar PPP projects in
more than 100 cities in the Ganges
basin”
Mengistu Alemayehu
IFC’s Director for South Asia
improving the water quality in the
Ganga basin.
As the lead transaction advisor, IFC
helped design the hybrid annuity
structure, balancing public and market
risks and creating a competitive bidding
process. The market response was
unprecedented with Varanasi receiving
eight bids and Haridwar, six bids.
I F C
project cost linked to construction
milestones. The remaining 60 percent
is paid over 15 years as annuities to
the private concessionaire along with
operation and maintenance expense.
This makes the project more viable for
the concessionaire.
In Haridwar, HNB Engineers Private Ltd.
won the contract to construct, operate,
and maintain a sewage treatment plants
with an aggregate capacity of 82 million
liters per day (MLD). In Varanasi, a
consortium led by Essel Infra Projects
Ltd will develop a 50 MLD sewage
treatment plant. The construction period
for these projects is around 2 years and
the operation and maintenance period
15 years.
Over three-quarters of the sewage
generated in the towns and cities
flows untreated into the 2,525-km long
Ganga river, which is a water source
for 400 million people, or 43 percent
of India’s population. About 3036 MLD
sewage is generated from 118 towns
in 11 states. Only 50 percent of this
is treated. Successful implementation
of this program will help millions by
IFC and DevCo, a multi-donor facility
affiliated with the Private Infrastructure
Development Group, helped structure
this first public private partnership for
sewage treatment using hybrid-annuity
payment model.
Under the hybrid-annuity model, the
government pays 40 percent of the

11
goals, e.g. on decent work standards and
environmental protection. The answers
to the question regarding the necessary
next steps were more diverse, ranging
from more capacity building in least
developed countries to facilitate the
participation in trade to more assertive
action via bilateral agreements to enforce
international labour and environmental
commitments. In a working session
organized by the World Economic Forum
on the legitimacy of global trade and
the question “What works, and what
needs work”, Stormy-Annika Mildner
acted as one of the “discussion leaders.”
The discussion leaders managed the
debate among groups of the audience
and later on presented the key findings
for the discussion in the plenary. The
unique structure of the working session
activated the whole audience and lead
to a very productive debate.
Most participants agreed that more
international trade and, especially, more
international trade rules are needed
despite increasing critic regarding free
trade initiatives and globalization by
politicians and civil forces in many WTO
member countries. However, the greatest
task would be on national level in order
to make trade work for everyone and help
people to adjust to the changes caused
by the globalization.
M
ore than 1,500 trade experts
from the private sector as well
as officials met in Geneva
for this year’s WTO Public Forum. B20
Argentina Chairman Daniel Funes de
Rioja, B20 Germany Sherpa Stormy-
Annika Mildner, and ICC Secretary
General John Danilovich used this
opportunity to discuss with WTO
Director General Roberto Azevêdo the
future of the trade and the multilateral
trade regime. All agreed to continue the
close cooperation between business and
the WTO and the so called Business
Focus Groups in order to feed in the
business expertise into the WTO
process. The WTO Director General
confirmed that the recommendation of
the Business Focus Groups and B20
Germany, e.g. on e-commerce, SME’s as
well as trade in services and investment
facilitation, contributed positively to the
debate among members in the run-up to
the 11th Ministerial Conference (MC11)
in December 2017 in Buenos Aires. At
the side-lines of MC11, on 12 December
in Buenos Aires, a Business Forum will
be organized.
At a working session of the WTO
Public Forum titled “Open and Inclusive
Trade – a Progressive Trade Agenda
for the benefit of all” jointly organized
by B20 Germany and Argentina, the
G20 and its impact on global trade
stood at the heart of the discussions.
B20 lobbies for open and inclusive trade at WTO
Public Forum
Ambassador Walter Hugo Werner,
Head, WTO Unit, Permanent Mission
of Germany in Geneva, emphasised that
the G20 leaders were able to agree on a
joint outcome on trade and investment
at the G20 Summit in Hamburg –a great
success, having in mind the opposing
views of participants in the preparation
phase. Shunko Rojas, Undersecretary of
Foreign Trade, Ministry of Production,
Argentine Republic, presented his ideas
regarding the Argentinian presidency,
among them a new focus on agriculture
and food and education and labour. The
business representatives on the panel,
Daniel Funes de Rioja, John Danilovich,
and Stormy-Annika Mildner, underlined
their commitment to the G20 process.
They also recalled the business
recommendations to maintain and
develop the multilateral trading system
according to the needs of modern
business.
Also at the WTO Public Forum,
Stormy-Annika Mildner, in her role
as Chair of the WTO Working Group
of BusinessEurope, moderated the
working session of this European
umbrella organization on “Can the WTO
promote sustainability and trade? –
looking beyond the Doha Development
Agenda.” All participants in the very
lively debate agreed that trade as well
as the WTO can and should play a
positive role in promoting sustainability
W TO

12
T
he17th
WorldExportDevelopment
Forum (WEDF) was opened by
Hungarian President János Áder,
Minister of Foreign Affairs and Trade
Péter Szijjártó and Arancha González,
Executive Director of the International
Trade Centre. More than 600 delegates
from 60 countries are attending the event
in Budapest, Hungary.
Hosted by the International Trade Centre
(ITC) and Hungary’s Ministry of Foreign
Affairs and Trade, participants will be
exploring how trade can be a driver of
inclusive growth and job creation under
the theme ‘Trade – a Force for Good:
Include, Innovate, Integrate’.
Pointing to the need to make trade
more sustainable, President Áder said:
‘Instead of using only the interest on
the natural capital available to us, we
are running down the capital itself. We
are accumulating debts against nature,
debts that will have to be paid in the
long run.
ITC and the Government of Hungary
attach significant importance to the role
of small and medium-sized enterprises
(SMEs) in contributing to trade-led
growth and job creation. In Hungary,
as in most other economies, SMEs
form the backbone of the economy,
Making trade work for small business and the 99%
More than 600 delegates meet in Hungarian capital to explore inclusive trade
and do business
Ms. González added: ‘Trade is not an end
in itself. Trade is simply a tool – though
an important tool – for the productivity
of businesses, the competitiveness of
national economies, and for growth,
value addition, and job creation. Giving
up this tool, by closing markets, would
diminish growth and opportunities for
future generations.
‘The real question is not trade: yes or
no? It is not about whether to trade. It
is about how to make trade work for
the 99%. It is about how to make trade
work for environmental sustainability,
for gender equality, and for the United
Nations Sustainable Development
Goals.’
WEDF 2017 threw a spotlight on issues
shaping global trade and business, from
new regional trade routes such as China’s
Belt and Road Initiative to the links
between innovation and competitiveness.
Participants will also explore how to
best leverage the opportunities presented
by more environment-friendly business
models and focus on women’s economic
empowerment through ITC’s Shetrades
initiative..
I T C
representing over 90% of all businesses
and contributing to over two-thirds of
employment. Enabling more SMEs to
connect to international markets would
ensure that the gains from trade are
more broadly distributed across the
workforce.
Arancha González, Executive Director
of the International Trade Centre, said:
‘Trade is a central part of a country’s
growth and economic strategy. Open
regional and global markets allow
businesses to import ideas and capital,
and export increasingly sophisticated
goods and services. Hungary is a case
in point: integration into European
value chains has been a big part of
this country’s economic transformation
since 1989.’
Hungary’s Minister of Foreign Affairs
and Trade Péter Szijjártó said: ‘This is
the first ever World Export Development
Forum held in a Central European
country. This is a clear proof that
Central Europe is on its way to become
the growth engine of Europe and the
European Union. WEDF, ITC and
Hungary have the same strategy when
it comes to support for SMEs. Our
goal is to radically increase the role
and the weight of SMEs in our export
activities.’

13
I
BSA Foreign Ministers had a fruitful
meeting last month in New York,
where discussions were held on
wide range of issues like democracy,
pluralism, multiculturalism, social-
inclusion, rule-based international
order, multilateralism, UN reforms, 2030
agenda etc.
Earlier, a fruitful exchange in Beijing on
the margins of BRICS Foreign Ministers’
meeting. The fruitful and productive
exchanges will lay the groundwork for
IBSA events and a successful Summit
in India in 2018.
IBSA Dialogue Forum brings us together
under common principles of tolerance,
multiculturalism and shared views on
critical global issues, such as climate
change, international trade, technology
transfer, UN Reforms and fight against
international terrorism.
IBSA Forum is a unique platform
for consultation, coordination and
cooperation among the three democratic
Highlights of the opening remarks by
Gen. (Dr.) V K Singh (Retd.), Minister of State for
External Affairs at 8th IBSA Trilateral Ministerial
Commission Meeting, Durban
I B SA
traditions from Asia, Africa, and Latin
America. Though the geographical
distances separate our three countries,
there is much convergence in our world
views on sustainable development, clean
and healthy living, multilateral trading
system, Doha Development Agenda,
disarmament and non-proliferation.
The IBSA Forum has expanded
and enriched our engagements in a
meaningful way. The range of exchanges
and the institutional framework for
that IBSA Forum has fashioned in
a rather short time is worth our
commendations.
Since its inception, IBSA has organised
five Summits, seven Trilateral
Commission Meetings, and a number
of other Ministerial and Senior Official
level meetings and a large number of
meetings of Joint Working Groups and
People-to-People Forums. Through these
interactions, cooperation among the
IBSA member countries has expanded
substantially.
IBSA Fund has been a shining example
of IBSA Cooperation. It has generated
immense goodwill and solidarity with
partners from developing world.
IBSA Forum has successfully promoted
the goals and objectives for which it was
created. There remains much scope for
consolidating it further. I am confident
that IBSA trilateral framework will
succeed in realizing this potential.
The IBSA fellowship programme
launched by India this year will help
translate into meaningful policy inputs
to carry IBSA process forward.
To commemorate IBSA’s fifteenth
Anniversary next year in a fitting manner
with the organisation of substantive and
focused events. Emphasis is being laid
on building upon IBSA’s core strengths
of democracy, South-South Cooperation,
SMEs, UN Reforms, SDGs, pluralism,
multilaterism etc.
Copyright © 2017 by Confederation of Indian Industry (CII), All rights reserved.
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Published by Confederation of Indian Industry (CII), The Mantosh Sondhi Centre; 23, Institutional Area, Lodi Road, New Delhi-110003 (INDIA)
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Multilateral Newsletter October 2017

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Multilateral Newsletter October 2017