KINGDOM OF CAMBODIA

NATION RELIGION KING

ROYAL GOVERNMENT OF CAMBODIA

THE CAMBODIA DEVELOPMENT COOPERATION FORUM

OBJECTIVES AND PROCEDURES

Cambodian Rehabilitation and Development Board
September 2006

This is the unofficial translation of the document that was approved by
Samdech Prime Minister on 28 September 2006

I.   INTRODUCTION

1.   Samdech Hun Sen, Prime Minister of the Royal Government of Cambodia, in his opening address at the Consultative Group (CG) Meeting held on 2 March 2006 in Phnom Penh, urged "all development partners to work closely with government ministries in order to upgrade government ownership to a higher level in the CG process".

2.      In order to pursue practical action to realize this vision, the Cambodian Rehabilitation and Development Board (CRDB) of the Council for the Development of Cambodia (CDC) undertook a review of the CG process, in consultation with some concerned Government ministries and agencies, and development partners, to explore options for restructuring the process. This was to enable and ensure that, in the context of strengthening partnership, RGC can assume greater ownership and leadership in the organisation and conduct of the periodic consultative mechanism. Such progress towards greater and enhanced RGC leadership role is fully consistent with, and advances the implementation of, the Rome and Paris Declarations.

II.    HISTORY AND EVOLUTION OF THE CONSULTATIVE MECHANISM

3.    Following the Paris Peace Accord in October 1991, the donor community convened the Ministerial Conference on the Rehabilitation and Reconstruction of Cambodia (MCRRC), under the co-chairmanship of Japan and UNDP, on 21-22 June 1992 in Tokyo. The meeting established the International Committee for the Rehabilitation of Cambodia (ICORC) that was to meet regularly for this purpose. After three ICORC meetings, the Consultative Group mechanism chaired by the World Bank was adopted from 1996 with alternate meetings held in Tokyo and Paris.

4.    Since 2002, CG meetings have been held in Phnom Penh, co-chaired by RGC and the World Bank. Since the adoption of the CG mechanism in 1996, eight CG meetings have been held, with the last three in Phnom Penh. CG is a periodic, overarching, high profile and media-attracting event attended by officials from capitals and headquarters of bilateral and multilateral development partners and agencies.

5.    Importance of the current CG format: CG meetings are widely viewed as an important and useful forum for high-level government-donor discussions regarding Cambodia's socio-economic development. Their value, in particular, is to be found in:

• Stock-taking and evaluation of Cambodia's overall progress and challenges in a broader context and with a long-term perspective.

• Analytical discussions on policy and reform and future challenges and needs generally based on background documents prepared by RGC and analytical and thematic papers prepared by development partners (on macro-economic performance by World Bank, and on progress and issues relating to sectoral/thematic areas by other relevant development partners) to arrive at a common understanding of the overall situation, challenges and future needs.

• Among other matters, reviewing progress made in regard to implementation of recommendations of the Paris Declaration based on the report prepared by RGC on aid effectiveness matters.

• Providing a high-level forum where policy statements of significance are made by development partner representatives. These bring to bear clear perspectives on Cambodia's socio-economic development from our
  partners, and provide an opportunity to discuss matters considered of overarching importance relating to Cambodia.

• Attendance by high level representatives from the capitals and headquarters of development partners, including emerging donors, with their field visits and discussions with other participants affording them an opportunity for a better and clearer understanding of progress on the ground. This is intended to provide a basis to make an assessment that will inform the provision of further support that is fully aligned with government development priorities.

• Providing a forum for RGC representatives to be exposed to, and to learn from, the wider development discourse, enabling them to relate their own sectoral work to this 'larger canvas'.

• Pledging of future aid by development partners as a demonstration of their appreciation of the progress that has been achieved, and commitment and trust in RGC's effort for the development of Cambodia and its people. Pledges also serve the purpose of informing the public in aid-providing countries and in the wider world of the international community's commitment to the people of Cambodia.

• Dissemination of the major points of discussion on such issues to a wider audience, through the media both in Cambodia and further afield.

• Not the least, a ceremonial event which by its nature attracts a high-level global profile, turning the media spotlight on to Cambodia.

II.    RGC'S VISION FOR A CAMBODIA DEVELOPMENT COOPERATION FORUM (CDCF)

6.     Since the 2002 CG meeting, which was held for the first time in Phnom Penh, CG meetings have been co-chaired by RGC and the World Bank. The RGC, in consultation with all development partners and especially with the World Bank, sets the agenda and sends out invitations for the CG meeting to the embassies and incountry development cooperation offices. The World Bank, through its headquarters, also sends out information about the meetings to its Board.

7.     Specifically during the last CG meeting held on 2-3 March 2006, the process of preparation and formulation of Joint Monitoring Indicators (JMIs) that were to be submitted to the CG meeting, was led by RGC in discussion with development partners through the TWGs and GDCC. Experience increasingly gained from the CG process, as well as through leading the GDCC, has provided RGC with the confidence and the ability to carry on the CG work by itself in the future.

8.     In many ways, the CG's evolution has mirrored the increased national ownership and leadership in evidence elsewhere in the national development and reform agenda. This is true in particular in the case of the NSDP, which will inform the agenda of future annual consultations. It is therefore natural that, at this stage of the evolutionary process, the structure and management of dialogue reflects this enhanced ownership and partnership that is embodied in the NSDP.

9.    On this basis, the RGC believes that, by moving to assume greater responsibility for the consultative process, this will lead to a further strengthening of RGC's ownership and leadership, while retaining the fundamental characteristics of partnership that underpin RGC's relations with its development partners. There is a consensus among most development partners that a mechanism such as the CG should continue as a high level forum to discuss overarching matters in a collective manner under full RGC ownership and leadership, and this current RGC proposal is designed to bring substance to this collective vision.

10.   From the Ministerial Conference on the Rehabilitation and Reconstruction of Cambodia in 1992 to the last CG meeting in 2006, the evolution of such meetings, including selection of meeting venues, agendas to be discussed, and decisions on leadership of the meeting, has provided an enabling environment and a unique opportunity for RGC to gradually move towards assuming greater ownership and leadership of the process. In particular the last three CG meetings that were held in Phnom Penh enabled the partnership between RGC and development partners to be strengthened in the context of increasing RGC leadership of development processes.

11.    Encouraged by these enabling in-country developments, and informed by the experience that other partner countries, especially those in the region, have had with their aid mobilization and consultation mechanism, RGC has decided to transform the current CG meeting into the Cambodia Development Cooperation Forum (CDCF) starting from 2007. In the context of the NSDP, which was finalised in early 2006, the CDCF will provide government, donors and civil society with an opportunity for dialogue on public policy processes and the associated government financing framework in the same effective manner as CG meetings.

12.    Given its importance, the CDCF meeting should focus its attention on key strategic policy issues or on broad areas where faster and critical progress is necessary or where additional actions are needed. It is necessary that effective use is made at the CG meetings of the valuable time of the many high level participants. This relates in particular to the discussion of Joint Monitoring Indicators (JMIs), which were mostly derived from the action plans of TWGs and agreed upon in the CG meeting. Deliberation on such indicators should no longer occupy the time of the CDCF meetings since this can now be more efficiently done in the Government Donors Coordination Committee (GDCC) meetings where RGC and all development partners are represented and the opportunity for detailed discussion can be facilitated more effectively. Once the set of the JMIs is deliberated and agreed upon by the GDCC, it may be submitted for endorsement by the CDCF meeting. While it is emphasised that the GDCC provides an appropriate opportunity for deliberation on the JMIs, provision can however be made, on an exceptional basis, for CDCF discussion of JMIs that are felt to be either of critical importance or cannot otherwise be agreed at GDCC level. This approach is consistent with Samdech Prime Minister Hun Sen's suggestion at the opening of the 2006 CG Meeting.

13.   The CDCF represents a new phase in the chain of evolution of the participatory mechanisms for Cambodia's development, evolving from the Ministerial Conference for the Rehabilitation and Reconstruction of Cambodia (MCRRC), through the International Committee on Reconstruction of Cambodia (ICORC) and the Consultative Group (CG) meetings into the CDCF in 2007. In the medium to long term period, the CDCF will ultimately move towards the Cambodia Development Forum (CDF), which will serve as a consultation mechanism for RGC, development partners and a broader range of participants to facilitate dialogue and consultation on matters related to both public and private sector development. The concept of a partnership for development will therefore adopt an increasingly broad perspective as key national constituencies are invited to participate in dialogue at the highest level.

14.    Under the CDCF, RGC will assume full ownership and leadership of this new mechanism through a consultative process that will further strengthen mutual accountability as the foundation of an authentic partnership with development partners. Accordingly, the Senior Minister, Minister of Economy and Finance and First Vice Chairman of the CDC, will be the Chairman of the first CDCF in 2007.

IV. PROCEDURES TO GOVERN THE CDCF

15.    The World Bank has traditionally been the organiser and Chair of the CG meetings for many countries. As Chair and then co-Chair for the past eight CG meetings for Cambodia, the World Bank has helped Cambodia evolve its own role in the process. This support from the World Bank has been important and has provided RGC with an opportunity to gain experiences in setting its vision as articulated in paragraphs 10-12. Based on this positive evolution, the RGC, with its sufficient experience and capacity, is now in a position to assume complete ownership and leadership of the new consultation mechanism. RGC is fully committed and determined to continue to maintain the substance and enhance the quality and credibility of the process. The RGC therefore appreciates and acknowledges the role that the World Bank has played and looks forward to continuing to work closely with all development cooperation partners in moving forward the development and reform process in Cambodia.

16. RGC proposes that the CDCF will proceed as follows:

• The first CDCF, which will be chaired by RGC, shall be held in 2007.

• The Cambodian Rehabilitation and Development Board shall be the designated coordinating agency of the RGC to play the lead role in all aspects of preparation and organisation of the CDCF.

• As per consensus expressed at the consultation meeting held on 23 August 2006, the World Bank will function as the Lead Donor Facilitator (LDF) to dialogue with RGC before, during and after the CDCF.

• RGC will finalise the date, agenda, format, procedures and participants of each CDCF in consultation and agreement with development partners through the LDF.

• The LDF shall provide advisory support to the secretariat (CRDB) for the conduct of the CDCF meeting.

• All development partners could provide logistical and financial support to the secretariat of the CDCF for the preparation and organization of the CDCF.

• RGC will continue to provide background documents for consideration at the CDCF. These will include: The Annual Progress Report on NSDP implementation; Public Investment Programme; Annual Development Cooperation Report; An update on progress in Development Cooperation Effectiveness; JMIs Progress Report; Specific Reform programmes; etc.

• Development partners would continue to provide background documents containing their independent analysis and assessment of progress and challenges in Cambodia, such as: the analytical macro-economic assessment by the World Bank; sectoral/thematic assessment by other relevant development partners or NGOs) to arrive at a common understanding of the overall situation, future needs and challenges.

• At the opening ceremony of the CDCF, the LDF shall be accorded a seat on the dais along with Government Senior Officials. The Chair shall invite the LDF to address the CDCF after the welcoming remarks of the Chair and before the keynote address of Samdech Prime Minister that will guide the discussion of the meeting. The address of the LDF to be prepared in consultation with other development partners shall reflect an assessment by the development partners on the overall progress made by RGC in the implementation of reform programs during the year and the challenges ahead.

• After the opening session, the LDF would assume a similar role to that of other participants.

• The development partners could, as now, agree upon any one of them to be the lead discussant for relevant agenda items. Other development partners will present their own views as hitherto.

• CRDB, working with the LDF, will prepare and circulate pledge sheets in advance of the CDCF and will collect the completed forms before the CDCF. During the pledging session of the CDCF, the pledge sheets will be updated and finalized based on formal announcement by development partners. These total pledge amounts will be announced by the Chair at the end of the CDCF.

• CRDB will prepare a Press Release in consultation and agreement with development partners through the LDF and will circulate it among participants before the closing session.

• The Chair of the CDCF shall summarise the discussions at the meeting at the closing session, and the LDF will be invited to occupy a seat on the dais and to provide observations or remarks based on the discussion in the sessions before the closing remarks by the Chair.

• The LDF and representatives of other development partners will be invited to join the press conference organised by CRDB and to be addressed by the Chair at the end of the Forum.

Annexes:

1. Role and Functions of LDF

2. Linkages among CDCF, GDCC and TWGs

3. Chronology of Aid-Mobilisation Meetings for Cambodia

Annex - 1

Role and Functions of Lead Donor Facilitator (LDF)
for Cambodia Development Cooperation Forum (CDCF)

It has been agreed that the World Bank will function as the Lead Donor Facilitator (LDF) for the Cambodia Development Cooperation Forum (CDCF) process. The functions of LDF are briefly outlined in paragraph 16 of the note and are elaborated below as they relate to CDCF.

A-    Preparation leading up to the CDCF:

1. Prepare and send out information about the CDCF to the World Bank Board.

2. Facilitate and communicate the agreement of development partners to CRDB in matters relating to date, agenda, format, procedures and participants of the CDCF.

3. Organize and host the Heads of Delegation dinner the day before the CDCF, attended by high level RGC and donor/Embassy/NGO representatives (optional).

4. Informed by the agenda, and in consultation with CRDB, prepare analytical reports, such as the macro-economic assessment.

5. Coordinate with development partners who wish to produce analytical reports related to sector or thematic issues including NGO papers.

6. Discuss with development partners and inform CRDB about the nomination of the lead donor discussant for relevant agenda items.

7. Coordinate presentations of development partners and circulation of their draft presentations and statements.

8. Assist and agree the format of the draft pledge sheet prepared by CRDB. CRDB will circulate the agreed pledge draft sheet in advance of the CDCF and will collect the completed forms to tally the total of pledges, update and finalize the pledge during the CDCF to be announced by the Chair at the end of the CDCF.

B- During the CDCF:

1. Prepare in consultation with development partners an address covering progress and challenges since last CG meeting and deliver its at the opening of the CDCF.

2. Assist the Chair in conducting the meeting as may be required by emerging circumstances at the meeting.

3. Take detailed notes for the Report of Proceedings.

4. Work with and assist CRDB in consolidating the pledge sheet during the pledging session and then assist in finalizing it.

5. Work with and assist CRDB in preparation of RGC Chair’s summary of the discussions and agreements to be presented at the concluding session of the CDCF.

6. Work with and assist CRDB to prepare a Press Release which would be circulated for comments by participants before the closing session.

7. Deliver observations or remarks based on the discussion in the sessions before the closing remarks by the Chair.

8. Assist in the collection of all RGC, donor and NGO statements and other documents for the Report of the Proceedings.

9. Work with and assist CRDB in organizing and facilitating the Press Conference to be chaired by the Chair of CDCF.

C- After the CDCF meeting:

1. Work with CRDB to ensure that the pledge sheet and all statements are final and accurate.

2. Prepare the “Report of Proceedings” for its Board which includes all presentations made at the CG meeting, summary of all discussions, Pledge sheet, Press Release, list of participants, agenda, etc. NOTE: CRDB also will produce and circulate, as now, a “compendium” of all documents and will also place it on its website.

3. Upload all public documents on the World Bank website.

ROLE AND RESPONSIBILITY OF RGC'S COORDINATING AGENCY AND LEAD DONOR FACILITATOR
FOR THE CAMBODIA DEVELOPMENT COOPERATION FORUM (CDCF)

Annex - 2

TWG-GDCC-CDCF: LINKAGES

1.    TWGs and GDCC as regular mechanisms for in-country coordination, review and monitoring to ensure optimal and effective utilisation of all external assistance and RGC funds to achieve desired impact for meeting overall goals and targets specified in NSDP. Briefly,

1. TWGs: As the title clearly suggests, they are "technical" and operational forums to discuss, agree upon and pursue clearly defined and measurable targets at the sector level, contributing in turn to those at national level.

2. GDCC:

• It is a high-level RGC-DP forum in the country for dialogue and information sharing on policies, reform programs and specific activities covering cross-cutting issues.

• It is also a forum for discussion matters of key concern and importance related to the socio-economic development of Cambodia.

• Meeting not more than three times a year, it will also serve as a forum to develop and agree on a set Joint Monitoring Indicators (JMIs), before submission for endorsement by the annual Cambodia Development Cooperation Forum and follow up progress made.

2.    CDCF’s role will continue in substance what was achieved by CG so far. It is an important and overarching forum for a higher level (than GDCC) governmentdonor discussions regarding Cambodia's socio-economic development from a more broad, deep and longer range perspective, both past and the future. It will meet at more spaced out and periodic intervals. In addition to matters of overarching importance to Cambodia for its socio-economic development it will also consider progress in aid effectiveness on the basis of a special paper prepared by CRDB. CDCF will indicate major and critical areas where GDCC has to more closely monitor progress by developing suitable JMIs. It is also a forum for aid-mobilisation through pledging of future aid by development partners.

Annex 3

Chronology of Aid-Mobilisation Meetings

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