In response to the complexity of LDCs' trade-related problems, the Integrated Framework (IF) was inaugurated in October 1997 at the WTO High Level Meeting on Integrated Initiatives for Least-Developed Countries' Trade Development by six multilateral institutions (IMF, ITC, UNCTAD, UNDP, World Bank and the WTO), which, with their distinct competence, could complement each other to deliver greater development dividends to LDCs in the multilateral trading system. Drawing from its experiences in its first years, the IF was first restructured in 2000.

The IF has two objectives:

• to "mainstream" (integrate) trade into the national development plans such as the Poverty Reduction Strategy Papers (PRSPs) of least-developed countries;
  
• to assist in the co-ordinated delivery of trade-related technical assistance in response to needs identified by the LDC. The IF is built on the principles of country ownership and partnership.

Other key elements for the revamped IF are:

• improved governance structure with the establishment of the Integrated Framework Steering Committee (IFSC) (add 15th session of IFSC) and the expanded IF Working Group (IFWG) for better coordination amongst donors, beneficiary LDCs and the agencies;
  
• the establishment of the IF Trust Fund, which finances mainstreaming work, led by the World Bank but also follow-up activities from the studies;
  
• improved coordination of the delivery of trade-related technical assistance amongst bilateral and multilateral donors within a coherent policy framework.

By March 2008, 45 LDCs were at different stages of the IF process. 30 countries had validated their diagnostic studies and action matrices lists while another 15 were at different stages of the process. The status of beneficiary countries is indicated here.

The implementation of the Integrated Framework comprises three broad stages.

First, preparatory activities, which would typically include:

• an official request from the country to participate in the IF process;

• a technical review of the request;
• the establishment of the National IF steering committee; and, to the extent possible,
• the identification of a Donor Facilitator.

Second, once the request has been approved, the process moves on to its diagnostic phase, resulting in the elaboration of a Diagnostic Trade Integration Study (DTIS).

Finally, follow-up activities start with the translation of the diagnostic phase’s findings into the elaboration and validation of an action plan, which serves as the basis for trade-related technical assistance delivery.

Page last updated on 14 May 2008