DG Okonjo-Iweala underscores importance of partnerships to support LDCs

Co-organized by Djibouti, Finland and the Executive Secretariat of the Enhanced Integrated Framework (EIF), the event focused on strengthening international partnerships in support of LDC trade and investment priorities. The vision for EIF Phase Three – the next stage of this Aid for Trade programme exclusively dedicated to LDCs – was also presented. Several countries announced new funding commitments to this new phase of the EIF.

Several donors pledged new contributions to the EIF Trust Fund, providing strong momentum for Phase Three, which is set to begin in October 2025. Sweden announced a contribution of SEK 75 million (approx. CHF 6.3 million), Denmark DKK 20 million (approx. CHF 2.5 million), Norway NOK 12 million (approx. CHF 0.9 million), France EUR 300,000, (approx. CHF 0.3 million) and Liechtenstein CHF 50,000, building on Finland's earlier pledge of EUR 2.5 million (approx. CHF 2.3 million) and a GBP 400,000 (approx. CHF 0.4 million) contribution from the United Kingdom to EIF Phase Three. These pledges will help ensure a solid start to the next phase of EIF support, which is designed to deliver catalytic and transformative impact for LDCs through trade.

In her opening remarks, DG Okonjo-Iweala highlighted the growing gap between development needs and available resources, emphasizing the ongoing relevance of the EIF in helping LDCs benefit from trade. She noted that the partnership has "gone from strength to strength," supporting USD 1 billion in LDC exports and enabling hundreds of thousands of small farmers and entrepreneurs to improve their livelihoods.

She also shared the story of Sittina Farate Ibrahima from Comoros, whose biocosmetics business was developed with EIF support. "Today, 80% of her products are exported to Europe. This is what Aid for Trade to LDCs is all about.”

Looking ahead, the Director-General welcomed the shared ambition behind EIF Phase Three and its USD 200 million funding target. "`We hope we can count on all the partners in bringing this vision to life, she said, noting that the event would serve as "a springboard for a high-level launch of the next phase of the EIF partnership at the 14th Ministerial Conference.”

The event brought together ministers from Djibouti, Finland and Guinea, along with senior representatives from other least-developed and donor countries, including Sweden, Denmark, France, Germany, Norway, Liechtenstein and the United Arab Emirates. UNCTAD Secretary-General Rebeca Grynspan delivered closing remarks, alongside representatives from other international organizations and other development partners. Discussions focused on priorities for EIF Phase Three, which will run up to 2031.

"From the perspective of the WTO LDC Group, EIF Phase Three comes at a critical time,” said H.E. Ilyas Moussa Dawaleh, Minister of Economy and Finance of Djibouti. "What we need is a mechanism that catalyses our efforts, brings innovation to respond to our evolving trade and investment priorities, supports stronger institutions, and helps unlock new partnerships. We see in the vision for EIF Phase Three a foundation to move towards precisely that. For many of our countries, including my own, the EIF has not only been a financial and technical partner. It has also been a catalyst for inclusive economic transformation.”

"Finland is a longstanding supporter of multilateral efforts to strengthen the trade capacities of least-developed countries," said H.E. Ville Tavio, Minister for Foreign Trade and Development of Finland. "We believe in the transformative power of trade as, when matched with targeted support and strong local ownership, it can unlock lasting development impact. The EIF has consistently proven to be a trusted and effective partner for LDCs. As it enters a new phase, we see an opportunity to deepen its reach and amplify its role in advancing inclusive and sustainable growth. Finland is proud to contribute to this next chapter."

A follow-up pledging and partnership event is scheduled for September 2025 on the margins of the WTO Public Forum in Geneva.

EIF Phase Three aims to mobilize at least USD 200 million to help LDCs strengthen trade capacities, expand exports, and harness trade for inclusive, sustainable development.

More information on the EIF and its work is available here.