United Nations
United Nations Development Programme and the Unied Nations Population Fund
 
DP/CCF/CMB/2
 
Distr: General
22 December 2000
Original: English
 
First regular session 2001
New York, 29 January-6 February 2001
Item 3 of the provisional agenda
Country cooperation framework and related matters
 
 
 
Second country cooperation framework for Cambodia (2001-2005)
 
I. Development situation from a sustainable human development perspective
 
 
  A.   Development goals and priorities.
 
 
1.  Since 1993, the Royal Government of Cambodia has made important strides
in re-establishing political and economic stability. The successful conduct
of  national  elections in July 1998 led to the installation of a coalition
government and the integration of the Khmer Rouge into the Royal Government
Armed  Forces. At last, Cambodia is at peace with a unified territory under
one  government.  The  country  regained its seat and representation at the
General  Assembly  and  in  1999 became a full member of the Association of
South  East  Asian  Nations  (ASEAN).  These  achievements  are  impressive
considering  the suffering that the country and its people have experienced
during the past quarter of a century.
 
2.  Reducing  poverty is the overarching development objective of the Royal
Government  of  Cambodia. At the national workshop, held on 18 May 2000, to
launch  the  preparation  of  the  second  socio-economic development plan,
2001-2005,   the   Prime   Minister   stated  that  the  Government's  main
poverty-reduction  strategy  is  geared  towards  achieving:  (a) long-term
sustainable  economic  growth;  (b) equitable distribution of the fruits of
economic  growth  among  all socio-economic groups, between urban and rural
areas  and  between  women  and  men; and (c) sustainable management of the
utilization of the environment and natural resources.
 
3. Following the restoration of political stability in 1998, the Government
adopted  a  reform programme, which forms part of the Government's Platform
for  the  Second  Term, 1998-2003, and endorsed by the National Assembly in
November    1998.   Accountability,   sustainability,   transparency,   and
participation  are  key  concepts  in  the  implementation  of the reforms.
Specifically,  over  the next three years, government priorities will be to
focus  on deepening the economic reforms by placing emphasis on fundamental
economic and political issues, to include: fiscal and revenue mobilization;
rationalization    of    expenditure;   administrative   reform;   military
demobilization; and improved forestry management. A draft governance action
plan  has  been  prepared  with  a  set  of  actions to be taken to enhance
governance   in   key  areas  such  as  the  judicial  and  legal  systems,
anti-corruption, and public finance.
 
4.  The international community has endorsed the strategy for state reforms
proposed  by  the  Government. The World Bank's Country Assistance Strategy
was  subsequently approved. Furthermore, relations were normalized with the
International  Monetary  Fund  (IMF),  which re-established its presence in
Phnom  Penh  in  October 1999. A three-year programme (1999-2002) totalling
$81.6 million was approved under the Poverty-Reduction and Growth Facility.
An  interim poverty reduction strategy has been presented to the World Bank
and  IMF boards by December 2000, and the country operation strategy of the
Asian Development Bank (AsDB) has been approved by the Bank Board.
 
5.  A new development cooperation partnership paradigm was presented to the
donor  community  at  the  Consultative Group meeting held in May 2000. The
Government  is  determined to strengthen its leadership role further in the
implementation  of the development agenda and to ensure that this agenda is
nationally  owned.  In  establishing  mutually beneficial partnerships, the
Government  intends  to  utilize the guidelines and criteria established by
the  Development  Assistance  Committee  of  the  Organisation for Economic
Cooperation  and Development (OECD/DAC), for donor agencies in implementing
partnership  and  capacity-development activities as well as the principles
for  strengthening development partnerships and simplifying and harmonizing
donor  procedures, which were agreed on by all donor agencies and countries
at the 1999 OECD/DAC Conference.
 
6.  The  areas  where  the United Nations system intends to concentrate its
efforts  during  the  next  programming  period have been identified by the
United Nations Country Team through the common country assessment (CCA) for
Cambodia.  This  document pinpoints critical concerns and challenges facing
the  country,  in  particular  in  the  areas addressed at the major United
Nations  global  conferences.  The  United  Nations  Development Assistance
Framework  (UNDAF)  for  Cambodia was finalized in June 2000 and covers the
period  2001-2005.  It  serves  as  a  frame  of reference for the specific
programmes  of  the  United  Nations  development  organizations working in
Cambodia   and   it   reflects   their  overall  objectives  and  areas  of
concentration.  It is to be noted that the programming periods of UNDP, the
United  Nations Population Fund (UNFPA), the United Nations Children's Fund
(UNICEF)  and the World Food Programme (WFP) are harmonized ? precisely for
the  period  2001-2005  ? and that, consequently, all their programmes will
start in 2001.
 
7.  The  second  country cooperation framework (CCF) is the result of close
consultations  with  the  Royal Government and the major United Nations and
donor partners.  It reflects the major recommendations of the review of the
first CCF, which was completed in November 1999. Its objectives are in line
with  the  socio-economic  development  requirements  as  expressed  by the
Government  at  the  Paris  Consultative Group Meeting (May 2000), with the
overall goals of the Government's upcoming socio-economic development plan,
and with the UNDAF objectives.
 
 
 
  B.   Current problems and challenges
 
 
8.  As  Cambodia  enters  the new millennium, it is faced with the greatest
challenge  of  creating  an  environment  of  good  governance  in order to
consolidate  peace,  justice and the national democratization process. More
specifically,  the  following  elements provide the underlying framework of
national   challenges:   promoting  participation  and  consensus-building,
promoting  transparent  and  accountable  public  institutions,  developing
capabilities,  creating  opportunities  and  reducing  social exclusion and
vulnerability.  The  following analysis is drawn largely from the Cambodian
socio-economic  surveys  of 1997 and 1998-1999, the CCA, the United Nations
system  consultative  group  paper  on  poverty  and human development, the
national  human  development  report, and other key poverty assessments and
profiles prepared by the Government and its development partners.
 
 
   Poverty
 
9.  With an estimated 36 per cent of the overall population and 40 per cent
of the rural population living below the poverty line and with a per capita
gross  domestic  product  of  about  $280, addressing poverty constitutes a
critical  challenge in Cambodia. Poverty in Cambodia has many determinants.
Major  among  them  are  the lack of opportunity for sustainable sources of
income,  the  lack  of access to productive assets such as land and the low
return  on  these assets because of the difficulty in accessing credit, the
depleted  rural  infrastructure,  etc.  Furthermore,  low purchasing power,
remoteness  and weather conditions have an adverse impact on food security.
The  very large number of mines and unexploded ordnance in Cambodia is also
a major hurdle to food security and the economic reintegration of returning
and landless populations.
 
10.    Cambodia's greatest loss was the depletion of human capital due to a
major  human  tragedy  and  the large-scale exodus of the educated citizens
during  the  years  of  the  Khmer Rouge. A recent study funded by UNDP and
carried  out  by  the  Ministry  of  Education,  Youth and Sport/the United
Nations Educational, Scientific and Cultural Organization (UNESCO) reported
that  functionally  literate  people make up only 37 per cent of Cambodia's
adult  population.  In  addition,  only  10  per  cent of the population is
engaged  in  skilled  occupation. These factors place severe limitations on
labour  productivity. It should be noted in this connection that, given the
total  fertility  rate  of 4.2 per woman and the fact that 40.8 per cent of
the population is below the age of 15, the demands on the employment market
are high, and employment opportunities are grossly insufficient. Poverty in
Cambodia  is  also  a  consequence  of  the  low access to and high cost of
quality   basic  services  such  as  education,  health  and  clean  water,
particularly for the poor themselves.
 
11.     More challenges are emerging as Cambodia moves upwards on the scale
of  economic  development.  The  lack  of  access  to  decision-making  has
prevented  the  poor  from  participating actively in community activities,
created  gaps  between  government  policies  and their implementation, and
resulted   in  conflicts  between  the  local  authorities  and  the  local
population (e.g., land disputes).
 
12.    With this legacy of suffering and devastation, the human development
index  (HDI)  for  Cambodia  is  understandably  one of the lowest in Asia:
according  to  the Human Development Report 1999, Cambodia ranks 137 of 174
countries. There are lacunae in the gender development index and the gender
empowerment measures. There is a huge gap between the rich and the poor and
36  per cent of the country's population, which totals 11.4 million people,
live  below  the  poverty  line. Rural households account for nearly 90 per
cent  of  the  country's  poor  but  urban population growth may lead to an
increase  in  the  number of urban poor. The high prevalence of HIV/AIDS in
Cambodia  poses  a major threat to development and predicted increases will
lead to a deterioration in the current human development situation.
 
13.     The  importance  of fighting against poverty is fully recognized by
the   Government.   The  goals  of  the  socio-economic  development  plan,
1996-2000,  were  the reduction and eventual eradication of poverty; speedy
poverty  alleviation  and  economic progress were the most important agenda
items  of  the 1998-2003 Royal Government platform issued in November 1998.
To   date,  however,  Cambodia  does  not  have  a  comprehensive  national
poverty-reduction  strategy.  Several  initiatives are under way to address
this  institutional  gap,  through  the preparation of the second five-year
socio-economic  development  plan, 2001-2005, the interim poverty reduction
strategy  paper  and the PRSP itself, all of which are expected to form the
Government's national poverty reduction strategy.
 
14.     To combat poverty and seek accelerated growth rate, Cambodia joined
the  ASEAN  Free  Trade  Area  (AFTA)  in  1999.  Accession  to  AFTA  is a
potentially  important step in the development of the country. It will open
new  markets  and  will  raise  the efficiency of firms by exposing them to
greater  competition.  It  is also a positive factor for attracting foreign
direct   investment   and   increasing  the  rate  of  acquisition  of  new
technologies and management skills. Cambodia has also started a negotiation
process for accession to the World Trade Organization (WTO). However, trade
is  not  a  panacea  and requires a deepening of domestic policy reforms in
order   to   ensure  pro-poor  growth.  Efforts  need  to  be  carried  out
simultaneously to create an enabling environment for enterprise development
and  to  strengthen the response of national firms to incentives offered by
the   multilateral   trading   system.  Without  building  the  appropriate
capacities  for policy formulation and implementation, there is a risk that
the  positive  impact  of the new trade regime will be neutralized and will
even contribute to increasing social inequalities.
 
 
   Governance, peace and justice
 
15.      The  process  of  transition  from  a  centralized  economy  to  a
market-based  economy  represents  an additional challenge for the country.
Since  1993,  Cambodia  has  enjoyed  sustained  economic  growth (with the
exception  of  1997-1998, following the Asian financial crisis and domestic
political  problems).  As part of its socio-economic development objective,
the  Government  is  committed to facilitating the emergence of the private
sector  as  the  key  engine  of growth and to promoting social development
through  the  provision  of  effective public services to all citizens. The
redefinition  of  the  role  of  government  and  non-state actors (private
sector,  civil  society,  etc.)  in  a market-oriented economy is therefore
central  to  Cambodia's  public administration reforms. The objective is to
foster  a  new  partnership  between  the  public sector and other national
players and to lay the foundation for active and effective participation in
all  spheres of public life (i.e., economic, political and administrative).
In  particular,  the Government plans to hold commune elections, which will
lead  to  the  establishment  of  commune  councils with authority to raise
revenue, receive funding and manage local development.
 
16.     The  absence  of  the  rule  of  law  and  a  very weak capacity to
administer justice contribute to a climate of impunity, corruption and lack
of respect of human rights. The Government recognizes the need to establish
the  rule  of  law  and  to  improve  public governance and promote a fully
participatory democracy within which human rights will be upheld.
 
17.     Cambodia  is also witnessing the emergence of vibrant civil society
organizations  (CSOs) representing different segments of the population and
promoting their rights. However, after years of repression and of fear, the
social  fabric  is  still  weak  and mistrust still exists at all levels in
society.  The  Government recognizes that after decades of conflict, one of
its  main  challenges  is  to  rebuild national life and to consolidate the
achievements  of the process of national reconciliation, which has begun in
recent years.
 
 
   Environment
 
18.     Environmental  degradation  and  the  unsustainable exploitation of
natural  resources  continue  to  be  serious  concerns  in  Cambodia.  The
overriding  issue  is  how  to  achieve  sustainable utilization of natural
resources  in  an equitable manner for the benefit of the local communities
and  the  national economy while maintaining the integrity of the resources
and  the  conservation of local flora and fauna. A concerted and continuous
effort  from  the Government supported by development partners is needed to
obtain  a  sustainable  balance  between  development  and conservation. In
addition,  by  converting illegal environmental activities into legal ones,
the  Government  can  earn  legal  revenues  from  Cambodia's  rich natural
resources  in a sustainable fashion, which, in turn, will finance important
reform processes.
 
19.     In  early  1998,  the  Government  adopted the national environment
action  plan  (NEAP),  the stated goal of which is to improve environmental
management.   The   NEAP  states  that  the  common  problems  relating  to
environmental  management  are  inadequacy of environmental regulations and
the limited institutional capacity and/or political will to enforce them.
 
 
   Gender
 
20.    Cambodian women represent 53 per cent of the active labour force and
head  25  per cent of Cambodian households. However, women face constraints
in all areas of life.  They are seriously under-represented at the level of
national  decision-making,  representing  only  10  per cent of all elected
leaders  at  provincial and village levels. Of 25 ministers, only two women
hold  a ministerial portfolio and there are four women Secretaries of State
out  of  50;  of  the  122  members of the National Assembly, 10 are women.
Women  continue  to  face  substantial discrimination on the labour market,
earning  30  to  40 per cent less than men. Literacy rate for men is 40 per
cent  higher  than  for women; male school enrolment is 50 per cent greater
than  that  of  girls by age 15, and nearly three times as large by age 18;
maternal mortality is one of the highest in Asia.
 
21.    In recent years, the rapid increase in the number of sex workers and
trafficking  of women and children have become acute problems. Cross-border
trafficking  and  illegal migration from Cambodia to Thailand is widespread
although  no  statistics  are  available.  Conditions  of  poverty,  social
upheaval,  underdeveloped legal infrastructure and weak law enforcement are
all contributing to the rapid growth of the sex industry.
 
 
 
II.    Results and lessons of past cooperation
 
 
22.    As reflected in the findings of the mid-term review of the first CCF
(1997-2000),  UNDP  has facilitated Cambodia's transition towards stability
and the support provided through the Programme has been consistent with the
country's  development  objectives.  The first CCF focused on: (a) enabling
environment   for   sustainable   human   development  (SHD);  (b)  poverty
eradication   and  sustainable  livelihoods;  (c)  environment  (d)  gender
equality  and  the  advancement  of  women;  and  (e)  special  development
situations.
 
23.     The  CCF  country review report (2000) recommends that the focus of
the  second  CCF  be  on  (a) intervention at the national level to support
improved   governance   and   development   management,   including  public
administration    reform   and   aid   coordination   and   (b)   continued
capacity-building  for  participatory  development and poverty reduction at
the  local level.  The number of projects should be smaller and, as much as
feasible,  activities dealing with the same area of concentration should be
grouped  under  the  same  programme. The following paragraphs outline main
results and lessons of past cooperation.
 
 
 
   Enabling environment for sustainable human development.
 
 
24.     Policy  dialogue  and analysis. UNDP cooperation focused on raising
people's  awareness  and  creating  analytical  capacity with regard to SHD
issues.   These   interventions   have  been  instrumental  in  stimulating
discussion  and debate within the Government and between the Government and
civil  society  on  important  poverty-related  issues.  However, concerted
long-term  efforts  are  still  necessary  to  build  national capacity and
improve  the  Government's  leadership in the formulation and monitoring of
SHD  policies  and  strategies  in participation with civil society and the
private sector.
 
25.    Institutional capacity for elections. The importance of elections in
the  process of the reintegration of all peoples into Cambodian society and
their  empowerment to influence the decisions that affect their daily lives
can  hardly  be exaggerated. In this regard, as Cambodia progresses towards
more   decentralized  forms  of  government,  continued  support  to  legal
frameworks  for elections at communal council levels and definitions of the
role  of these decentralized entities would enable further strengthening of
the democratization process.
 
26.    Reform of legal structures, respect for human rights, and tolerance.
Cambodia's  recent history of political conflict and the destruction of its
judiciary  and legal institutions means that the respect for the primacy of
the rule of law is perhaps the primary challenge in the area of governance.
It is a difficult task and UNDP-financed efforts in this area have thus far
had mixed results. UNDP cooperation was intended to strengthen, inter alia,
the  capacities of the National Assembly and its Commission on Human Rights
but  met  with  less  success  owing  to  insufficient  commitment  on  the
counterpart  side.  Further,  it  was  found that to improve the quality of
legislation  in the National Assembly requires the development of a broader
understanding  and  discussion  of  policy formulation issues rather than a
focus on the techniques of legislative drafting.
 
27.    Promotion of an efficient civil service. Improving public sector and
strengthening  civil  service  capacity  are  key  elements  for Cambodia's
future.  UNDP support to national public administration reform did not lead
to  the  expected results. The reasons for this failure include the earlier
political instability, the lack of consensus on the scope and objectives of
the  reform at the political level and the fact that the project objectives
themselves  were  too ambitious, considering the absorptive capacity of the
Government  at the time. It is now fully recognized that the transformation
of  the  government  machinery  into  a  transparent  and  efficient public
administration  must  be  considered  in  a  longer-term  perspective.  The
Government  has  given  UNDP  the  leadership  among  donors to support the
implementation of a revised strategy for public administration reforms. The
prospects for future multi-bi cooperation in this area are promising.
 
 
 
   Poverty eradication and sustainable livelihoods
 
 
28.     Support  for  monitoring  of human poverty and income poverty. UNDP
focused  on  developing  the  capacity of the Government in the collection,
collation,  monitoring  and analysis of data on poverty. The publication of
key  statistical  and  analytical  documents on the evolution of poverty is
highly  valued by the Government, non-governmental organizations (NGOs) and
donors  as  it  allows  for  enhanced  policy dialogue, support to national
decision-making  processes  and effective comparison of poverty trends over
time.  However,  additional  efforts  are  required  to ensure that poverty
monitoring and analysis inputs are effectively integrated into the national
policy decision-making system, especially in the context of preparation for
the second five-year socio-economic development plan and the PRSP.
 
29.     Promotion of participation (including that of women) in development
planning  and  other decision-making processes, development of the capacity
of local authorities and support for increased allocation of public support
to  the sub-national and national levels. UNDP support to decentralized and
participatory  planning,  finance, and management of rural development (the
Cambodian  Resettlement  and  Reintegration  Programme  (CARERE))  has been
perceived  by  the  Government  as a potential model programme in promoting
decentralization and local governance. It has brought about social cohesion
and  socio-economic  progress  at  the  provincial  and  local levels while
generating  some  positive  policy-level  impact  in  the  wider context of
decentralization.   This  confirms  that  participatory  and  decentralized
development  does  contribute  to  local  progress  and  poverty reduction.
However,  the  policy impact at the national level depends on the extent of
the Government's institutional capacity-building. Another key lesson is the
importance  attached to adopt a pilot-based approach in testing alternative
development models.
 
30.     Promotion of access of the poor and women to microfinance services.
UNDP  support  to  the  Association  of  Cambodian  Local Economic Agencies
(ACLEDA)  is  a  success story in UNDP cooperation with Cambodia. ACLEDA is
now  by  far the largest provider of micro-credit and small business credit
in  Cambodia.  In particular, the systems and methodology for administering
cost-effective micro-credit are considered best practice for development.
 
31.     Support  self-organization  of the urban poor. UNDP work focused on
creating  an effective forum for dialogue between the Municipality of Phnom
Penh,  urban  poor  communities, and NGOs. Consolidation of this innovative
initiative  requires a comprehensive urban poverty reduction strategy, that
will strengthen the institutional framework for donor support.
 
 
 
   Environment
 
 
32.     UNDP focused its support on enhancing national awareness on climate
change  and  bio-diversity-related  issues  and  building  capacity for the
sustainable  management  of  forests.  Such  intervention  led to more open
policy  dialogue  and  expanded  public  awareness  on  matters of resource
conservation   and   sustainability.   The   key   lesson   is   to  foster
interministerial   collaboration   and   dialogue   to  ensure  the  proper
coordination  of  national  resource  management and increased awareness on
fundamental  environmental  concepts  such  as  the management of protected
areas, biodiversity and climate change.
 
 
 
   Gender equality and the advancement of women
 
 
33.     UNDP  has  been  an  active  player  and  advocate  in Cambodia for
gender-mainstreaming  both at the policy and grass-roots levels. Gender has
been  appropriately  treated  as a cross-cutting concern in practically all
UNDP  projects.  UNDP  has  provided  major  support to CARERE and projects
dealing  with  governance,  democracy and human rights, the urban poor, and
micro-credit,  as  well as HIV/AIDS-related activities. UNDP involvement in
supporting  gender-  mainstreaming,  whether at the policy level or through
grass-roots activities, has led to effective results. In this regard, it is
critical  to  pursue  efforts  aimed  at developing a national capacity for
gender-mainstreaming at all levels of the national development process.
 
 
 
   Special development situations
 
 
34.     UNDP  focused  its  support  through  technical cooperation for the
management of the Cambodian Mine Action Centre. The tasks remaining in land
clearance,  mine  awareness and related activities are enormous and must be
approached  by  everyone  concerned  in  a  long-term  time  frame. Further
technical  cooperation  will  be  needed  for  some  time  to come and UNDP
cooperation  should  be  appropriately  scheduled  to shift from the use of
long-term expatriate technical advisers to more focused advisory support in
selected  interventions  to  assist  Cambodian  managers  to  upgrade their
capacities and systems.
 
 
 
   Programme management
 
 
35.     The  systematic evaluation of programme activities has been carried
out  for all programmes and projects to draw lessons learned and to provide
strategic  direction  for  improvement.   Development  partners  have  been
encouraged and invited to participate in the Government and UNDP evaluation
and  formulation  exercises,  leading  to  positive  results  in  terms  of
partnerships  and  collaborative  arrangements  with United Nations partner
agencies  and  others  (e.g.,  AsDB  parallel  funding  for  the  "Building
together:  Gender  equity"  programme; financial support from Australia and
the United Kingdom to the "Forest-Crime Monitoring" trust fund; and support
from  the  Department for International Development (DFID) to the programme
of  support  to  the  Municipality  of  Phnom  Penh urban poverty-reduction
strategy).
 
36.     The  UNDP focus needs to be narrowed with a view to making the best
possible use of scarce resources and to make a real difference. Greater and
greater  emphasis  is  to  be placed on partnerships and, increasingly, the
country  office  is to play a catalytic, brokering role. Along the lines of
the  Administrator's  Business  Plans, UNDP will direct its assistance more
and  more  towards  policy  advocacy,  institution- strengthening and other
upstream   activities   such   as  knowledge  networking  and  support  for
empowerment.
 
 
 
III.   Objectives, programme areas and expected results
 
 
37.     For the past decade, Cambodia has enjoyed sustained economic growth
and at last the country is at peace.  For this situation to be consolidated
and  sustained,  the  country  will  need to forge a shared national vision
through  consensus-building  and  social  cohesion  around  key development
priorities.  To  this  end,  people-centred  development processes and good
governance for poverty reduction are the major challenges identified by the
United   Nations  system  in  Cambodia.  The  UNDAF  indicates  that  these
challenges  could be best addressed under the following mutually supportive
areas  of  concentration:  (a)  governance,  peace and justice; (b) poverty
eradication;  (c)  human  development;  and  (d)  sustainable management of
natural  resources.  Other cross-cutting areas include human rights, gender
equality  and  women's  empowerment,  minority groups, children and youths'
rights,    participation   and   democracy,   regional   cooperation,   and
reintegration of demobilized soldiers.
 
38.    In line with overall objectives of the United Nations system for the
period, the objective of the second CCF (2001-2005) is to focus on creating
a  pro-poor environment conducive to openness, transparency, accountability
and  participation  in the national development process both at the central
and  local  levels, with a view to achieving the shared goal of sustainable
poverty  reduction.   This  objective  is  fully  in  line  with  both  the
objectives  of the Government's second five-year socio-economic development
plan.  It  is  also  fully  in line with the Secretary-General's agenda for
development,  which aims at halving, by 2015, the proportion of the world's
poor,  and  with the global focus of UNDP to providing upstream support and
advising Governments on policies and institutions to meet their development
challenges.
 
39.     UNDP  will  focus its interventions in the following three areas of
concentration: (a) strengthening governing institutions (national and local
level);  (b) reduction and monitoring of poverty; (c) management of natural
resources.   Gender   will  be  a  cross-cutting  theme  in  all  areas  of
concentration.  Systematic  monitoring  and analysis of poverty and welfare
indicators  and  trends  in the context of the national development process
will  be  at  the  core  of  UNDP policy and institutional development work
during  the  second  CCF. Governance enhancement and systematic support for
open   and  participatory  processes  of  policy-making,  priority-setting,
resource  allocation  and  the  monitoring of implementation will be at the
heart  of  all  development interventions. The three areas of concentration
under  the  CCF will provide the main sources of knowledge-building on UNDP
technical cooperation in Cambodia.
 
40.     The  strategy  underlying  the second country cooperation framework
will include in particular the following principles:
 
   (a)  Priority  will  be  given to programmes and projects likely to have
multiple  effects  and  a  significant  impact on the kinds of policies and
institutions  that  will  help  most  to  eradicate  poverty, ensure gender
justice, and strengthen human rights;
 
   (b)  Programmes and projects will be policy-driven, promote the piloting
of innovative ideas and  produce strategic policy analyses and options;
 
   (c)  Every  effort  will  be  made  to  have a clear, two-way connection
between  the  policy  advice  given  at  the  central level and field-level
activity;
 
   (d)  Capacity-building  will  continue  to  be  a  key  element  of  all
interventions  supported by UNDP in order to enhance national ownership and
leadership  of  the  development  process. In this regard, special emphasis
will   be   given   on   nationally   driven  execution  of  all  technical
interventions;
 
   (e)  Special  attention  will be given to strategic partnership-building
for  the  enhanced impact of development interventions and the mobilization
of critically needed complementary technical cooperation resources;
 
   (f)  All  UNDP interventions in Cambodia will be results-oriented with a
view  to  promoting  effective  knowledge-building,  knowledge-sharing  and
access to best practices.
 
A detailed review of each area of concentration is given below.
 
 
 
  A.   Strengthening governing institutions
 
 
41.     To support the efforts of the Government to promote good governance
and  create  an  environment  for peace, justice and development, UNDP will
concentrate  its efforts in the following four programme areas and expected
results:
 
 
  1.   Promoting efficiency, effectiveness and accountability in the public
  administration (central and provincial levels) to address effectively the
  challenges of national transformation, respond better to the population's
  needs and deliver services more efficiently.
 
42.    The expected results in this programme area are:
 
   (a)  Strengthened  capacity  of the Council of Administrative Reforms to
plan, implement, monitor and coordinate public administration reforms;
 
   (b)  Effective  dissemination  of  information and mechanisms for policy
consultation,  including  central  and  local  policy  networks,  to  reach
national consensus on public reform priorities and advise the Government on
policy  options,  including  gender representation and participation in the
public sector.
 
   (c)   Adoption   of   the   necessary  laws  and  regulatory  texts  for
decentralization  and deconcentration by the relevant authorities, based on
lessons  learned  under  CARERE and the national programme on decentralized
government (SEILA);
 
   (d)  Establishment of a legislative and regulatory framework for commune
council elections and commune administration;
 
   (e)  Improved  central  and  local  policy dialogue and connectivity for
informed  national  policy  and  legislative  reforms in support of lessons
learned from local successes;
 
   (f)  Enhanced  fiscal  deconcentration and budget processes based on the
budget  priorities  and plans of provinces and districts (pilot initiative:
health sector);
 
   (g)  Improved  capacity  of local institutions to meet poverty-reduction
and  gender  justice  needs  through effective mobilization, allocation and
management  of resources;
 
   (h)  Enhanced  capacity  of  the  rural  and  urban  communities  in the
monitoring and  implementation of local development projects;
 
   (i)  Increased  participation  of urban and rural communities (including
women  organizations,  civil  society  organizations  (CSOs), NGOs, and the
private  sector)  in  local  authority decision-making processes and in the
planning and budgeting of priority development interventions.
 
Partnerships  will  be  formed in the Government and with the Donor Working
Group  on  Public  Administration Reform, as well as with the German Agency
for Technical Cooperation (GTZ), the Ministry of Development Cooperation of
the  Netherlands,  the Swedish Agency for International Development (SIDA),
the  Department for International Development (DFID) of the United Kingdom,
the European Union, the World Bank, the International Fund for Agricultural
Development  (IFAD),  the  United Nations Capital Development Fund (UNCDF),
the  United  Nations  International  Drug Control Programme (UNDCP) and the
World Food Programme.
 
 
  2.   Strengthening institutional capacity of parliamentary structures,
  systems and processes (National Assembly and Senate)
 
43.    The expected results in this programme area are:
 
   (a) Increased effectiveness of parliament to perform its legislative and
oversight functions as a contribution to the strengthening of the country's
democratization  process,  the  promotion  of  the  rule of the law and the
protection  of vulnerable groups.  In particular, increased capacity of the
Senate   and   the  National  Assembly  to  understand  and  discuss  draft
legislation;  set  policy priorities, allocate scarce resources and monitor
policy implementation, including informed budgetary processes in the health
sector (pilot initiative);
 
   (b)  Increased  participation  of  civil  society,  especially women and
disadvantaged  groups,  in  the  law-making  process  and monitoring of the
implementation  of  laws,  especially  in  matters  of human rights and the
rights of women.
 
Partnerships  will  be  formed  with  the  Government and with the Canadian
International Development Agency (CIDA), the Ministry of Foreign Affairs of
France,  Asian parliaments, the Inter-Parliamentary Union (IPU), the Office
of  the  United Nations High Commissioner for Human Rights (UNHCHR) and the
United Nations Educational, Scientific and Cultural Organization (UNESCO).
 
 
  3.   Enhancing administration of, and access to, justice.
 
44.    The expected results in this programme area are:
 
   Increased capacity of the judiciary and the courts to act independently,
uphold  the  rule  of  the  law and ensure gender justice (judicial mentors
initiative).
 
Partnerships  will  be  formed  with  the Government, CIDA, the Ministry of
Foreign  Affairs  of France, the Ministry of Development Cooperation of the
Netherlands,  the  Norwegian  Agency for International Development (NORAD),
AsDB, the World Bank and UNHCHR.
 
 
  4.   Strengthen the Government's capacity for effective and efficient aid
  coordination and management
 
45.    The expected results in this programme area are:
 
   (a)  Enhanced role for the Government in the formulation, implementation
and monitoring of policy papers and public investment programmes;
 
   (b)  A strengthened partnership framework for the effective coordination
and  management  of  external  assistance,  including common modalities and
procedures for programme execution and information sharing.
 
Partnerships  will  be  formed  with  the  Government  and  with  the donor
community. UNDP will act as facilitator.
 
 
 
  B.   Poverty reduction and monitoring
 
 
46.     The success of the national poverty-reduction strategies (including
the  second  five-year  socio-economic  development  plan  and the PRSP) is
predicated   on  an  efficient  and  participatory  poverty-monitoring  and
analysis  system  and enhanced access to information and knowledge. In this
regard,  and  in  order  to  support  the Government's objective to promote
growth  with equitable redistribution, UNDP will concentrate its efforts in
the following three programme areas and expected results.
 
 
  1.   Promoting pro-poor and gender-sensitive national and sectoral
  policies and strategies
 
47.    The expected results in this programme area are:
 
   (a)  Enhanced  capacities  of  the  Government to conduct socio-economic
household  surveys  and other data-collecting exercises, thereby supporting
the  compilation  of  comprehensive  and  gender-disaggregated  poverty and
welfare data and contributing to targeted pro-poor programming;
 
   (b)  Strengthened  capacities of the Government to monitor the evolution
of  the  socio-economic  situation and assess the effectiveness of national
poverty  reduction  policies and strategies (including the second five-year
socio-economic  development  plan  and the PRSP) as well as government- and
donor-funded anti-poverty interventions;
 
   (c)  A  strengthened  national/provincial capability to learn, research,
analyse, plan, and evaluate multisectoral and multidimensional responses to
the  HIV/AIDS  epidemic  in  order  to understand and respond better to the
development implications of the HIV/AIDS epidemic;
 
   (d)  National  and  sectoral  poverty-reduction policies and strategies,
including  the  HIV/AIDS  strategy, are developed and implemented through a
participatory process, giving priority attention to the poor and vulnerable
groups, including women;
 
   (e)  Acceptance  and  use  of survey and participatory methodologies for
planning, implementing and monitoring anti-poverty policies and programmes;
 
Partnerships  will  be  formed with the Government and with DFID, AsDB, the
World Bank and non-governmental organizations (NGOs).
 
   (f)  Trade-related  matters  are  mainstreamed  in  the second five-year
socio-economic  development  plan  and  the  PRSP  and  pro-poor  trade and
investment  policy  reforms  and programmes are formulated and implemented,
making  sure  that the country and the poor benefit from the integration in
the  global  economy;  (This  programme  intervention  will  be  part  of a
multilateral  effort,  the Integrated Framework for Trade-Related Technical
Assistance to Least Developed Countries.)
 
Partnerships  will be formed with the Government and with the International
Monetary  Fund  (IMF),  the  International  Trade  Centre (ITC), the United
Nations  Conference  on  Trade  and  Development  (UNCTAD), the World Trade
Organization (WTO) and the World Bank.
 
   (g)  A  comprehensive  mine  action  plan  developed and integrated into
Cambodia's  overall  national  socio-economic planning, and formulated with
community participation in the identification of mine-clearance priorities.
 
Partnerships  will  be formed with the Government and the Australian Agency
for  International  Development  (AusAID),  EU,  DFID,  the  Department for
International Development Cooperation of Finland (FINNIDA), the Ministry of
Foreign  Affairs  of  France, the Japanese International Cooperation Agency
(JICA),  the United States Agency for International Development (USAID) and
the European Union).
 
 
  2.   Enhancing access to, and effective utilization of, information and
  knowledge for enhanced impact of poverty-reduction efforts
 
48.    The expected results in this programme area are:
 
   (a)  A  national  and  multisectoral  assessment of the potential needs,
practical   solutions,   partnership   options   and  potential  impact  of
information  and  communication  technologies  on  the national development
process;
 
   (b)  Increased  national  capacity  to  access and process trade-related
information,  and  effectively engage in multilateral trade negotiations in
coordination with other subregional groupings, especially in the context of
pro-poor and equitable trade.
 
Partnerships will be formed with the Government Civil Society Organizations
(CSOs), NGOs and the private sector.
 
 
  3.   Promoting improvements in the livelihoods of the poor.
 
49.    The expected results in this programme area are:
 
   (a)  Greater  access for the poor and other vulnerable groups, including
women,   in   rural   and  urban  areas  to  sustainable  income-generating
opportunities, employment and productive assets (including land);
 
   (b)   Strengthened  national  capacity  for  disaster  preparedness  and
contingency planning (natural and man-made disasters).
 
Partnerships  will  be  formed with the Government and DFID, AsDB, the Food
and  Agriculture Organization of the United Nations (FAO), IFAD, the United
Nations  Centre  for  Human  Settlements  (UNCHS), the World Food Programme
(WFP) and NGOs.
 
 
 
  C.   Management of natural resources.
 
 
50.     Environmental degradation and unsustainable exploitation of natural
resources  continue  to  be serious concerns in Cambodia. UNDP support will
concentrate on the following three programme areas and expected results.
 
 
  1.   Promoting national policy, legal and regulatory framework for
  environmentally sustainable development.
 
51.    The expected results in this programme area are:
 
   Legal  framework  reformed  to  strengthen  provincial  and  local-level
capacity to ensure more equitable access to natural resources (forestry and
fisheries)  and better integration of natural-resources management in local
development    planning.    (Emphasis   on   links   with   other   ongoing
decentralization initiatives such as CARERE/SEILA).
 
Partnerships  will  be  formed  with  the  Government  and  with the Danish
International  Development  Agency  (DANIDA),  DFID,  AsDB, FAO, The Global
Environment  Facility  (GEF),  the Mekong River Commission (MRC), the World
Bank and NGOs.
 
 
  2.   Strengthening the monitoring and assessment of environmental
  sustainability.
 
52.    The expected results in this programme area are:
 
   Improved  national  capacity  for  proper  monitoring  and  reporting of
illegal  logging  and wildlife activities, in concession and non-concession
forestlands, as well as in national parks and protected areas.
 
Partnerships  will  be  formed  with  the Government and with DANIDA, DFID,
AsDB, the World Bank, Global Witness; FAO and NGOs.
 
 
  3.   Enhancing national capacity for participation in global conventions,
  regulatory regimes and funding mechanisms for environmentally sustainable
  development.
 
53.    The expected results in this programme area are:
 
   Improved national capacity to fulfil commitments to global environmental
conventions (national strategy and action plans, national communication for
biodiversity  and  climate  change)  and  nomination  for  a  natural world
heritage site (Cardamom mountains).
 
Partnerships  will  be  formed with the Government and with AsDB, FAO, GEF,
MRC and UNESCO.
 
 
 
  D.   Gender
 
 
54.    The Platform for Action (PFA) adopted by the Fourth World Conference
on  Women  in  1995 and reconfirmed at the recent Beijing + 5 Conference in
New   York,   indicates   clearly   the  need  for  the  establishment  and
strengthening  of  a  national  machinery for the advancement of women. The
Government,  which  is a signatory of the PFA, has recently reconfirmed its
commitment in this regard. UNDP has assisted the Government to achieve this
goal  by  providing  support for the preparation of the Government's policy
strategy  on  the  advancement  of  women. During the second CCF, UNDP will
concentrate  on  promoting  gender equality as a cross-cutting issue in the
decision-making  process at all levels (central, provincial, and district).
In  addition,  UNDP  will  concentrate  on the following programme area and
expected results.
 
 
   Strengthening advocacy, networking and partnerships for gender equality
 
55.    The expected results in this programme area are:
 
   (a)  A  strengthened  advocacy  capacity  of the Ministry of Women's and
Veterans' Affairs;
 
   (b)  A  strengthened  gender-mainstreaming  capacity at both central and
provincial levels.
 
Partnerships  will be formed with the Government and with GTZ, the Ministry
of  Development  Cooperation  of  the  Netherlands, AsDB, the International
Organization for Migration (IOM), UNFPA, and the United Nations Development
Fund for Women (UNIFEM).
 
 
 
IV.    Management arrangements
 
 
  A.   Programme management
 
 
56.     In conjunction with the new partnership paradigm of the Government,
UNDP will focus all its efforts on strengthening the Government's ownership
of  the  development  agenda  and  leadership  of  the development process.
Specifically,  UNDP will provide technical cooperation to the Government in
strengthening   national   capacity   for  the  enhanced  coordination  and
management of external assistance. In addition, most UNDP-funded programmes
will  be  nationally executed and the responsibility for management will be
shifted   more   and   more  to  national  institutions  and/or  Government
counterpart  units  on  the  basis of capacity assessments. For all ongoing
agency-executed  projects, an exit strategy will be developed to facilitate
the  gradual  transfer  of  programme/project management to the national or
Government institutions.
 
57.     Furthermore,  the Government has indicated that there appears to be
some  momentum  in creating a road map for more collaborative partnerships,
whether  these  become  adaptations  of the sector-wide appraisal programme
(SWAP)  or  other  types of approaches. UNDP acknowledges the importance of
greater   integration  of  development  interventions.  However,  practical
solutions  are  still  to  be  identified  owing  to the very nature of the
challenges of adopting the SWAP or other similar approaches. UNDP therefore
intends  to  make  every  effort  to  ensure  the  integration  of  all its
activities  into  a  large  framework of support to the particular area. In
addition, joint or parallel programmes will be undertaken with other United
Nations organizations, in accordance with UNDAF.
 
 
 
  B.   Linkages with intercountry programmes
 
 
58.     The  linkages  between intercountry programmes and country projects
will  be  further promoted, focusing geographically on ASEAN and the Mekong
subregion  and  thematically  on  cross-border issues. In particular, links
will be established with selected subregional programmes offering potential
for  complementary  support  to national efforts in such areas as: capacity
development  and institutional strengthening of parliament and promotion of
human  rights-related  matters  (e.g.,  the  regional governance programme,
known  as  PARAGON),  better  management of common natural resources (e.g.,
Mekong  River  Commission), foster political dialogue (e.g., with ASEAN and
the  Mekong  River  Commission), impact on disaster mitigation (e.g. Mekong
River  Commission), trafficking of women and children, Integrated Framework
and  globalization  (e.g.  ASEAN),  HIV/AIDS  (e.g.,  RBAP) and gender. The
exchange  of  experiences  and good practices through networking will be an
essential element in the pursuit of such intercountry programmes.
 
 
 
  C.   Resource mobilization strategy and targets.
 
 
59.     The country office will adopt a more systemic approach in assessing
the  scope,  the  nature  and  content  of overall resource requirements in
support  of  its  priority  functions of United Nations support, policy and
institutional  development  work and administrative support services as set
forth  in  the  CCF.  In  particular,  the  resource  mobilization strategy
acknowledges  the  centrality of accessing more policy knowledge and skills
to  achieve  the  core  objectives of the CCF. In this regard, the resource
mobilization  strategy  will  need  to go beyond financial contributions to
include in-kind contributions in order to maximize opportunities to achieve
set CCF objectives.
 
60.     More specifically, the resource mobilization strategy will build on
a  critical functional review of the UNDP country office unit for effective
implementation  of  the  CCF  and a subsequent cost-effective and efficient
reallocation  of  all  available  human  resources  (both regular and other
resources)  through  the use of the resource strategy table (RST) tool. New
and  innovative  ways  will  need to be designed in order to expand the RST
beyond   human   resources  to  include  other  resources  (e.g.  knowledge
networks).  The  functional  review  exercise  will  provide  the  basis to
identify  capacity  gaps,  design  relevant capacity profiles and engage in
effective and informed resource mobilization (both financial and in-kind).
 
61.     In  addition, the country office resource mobilization efforts will
rely  on the comparative advantages of UNDP, the achievements and successes
of past UNDP technical cooperation in Cambodia as outlined in the first CCF
country  review (2000), and the organization's intention to focus on policy
and  institutional  development  interventions that carry the potential for
multiple development effects.
 
62.     The  resource  mobilization  targets  are  estimates  of  the total
financial resources, both regular and other resources, that are expected to
be available to support the programme areas and other related activities of
the  CCF.  In-kind contributions will be estimated at a later stage, based,
among other things, on the functional reviews noted above.
 
[End]
 
 
 
Annex
 
Resource mobilization target table for Cambodia (2001-2005)
 
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |                            |              |  |                                
|
       |                            | Amount       |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | Source                     | (In          |  | Comments                       
|
       |                            | thousands of |  |                                
|
       |                            | United       |  |                                
|
       |                            |              |  |                                
|
       |                            | States       |  |                                
|
       |                            | dollars)     |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |                            |              |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | UNDP regular resources     |              |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | Estimated carry-over       | 4 599        |  | Includes carry-over of 
TRAC 1, |
       |                            |              |  | TRAC 2 and the earlier 
AOS     |
       |                            |              |  | allocations.                   
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | TRAC 1.1.1                 | 13 640       |  | Assigned immediately to        
|
       |                            |              |  | country.                       
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | TRAC 1.1.2                 |    0 to 66.7 |  | This range of 
percentages is   |
       |                            |  per cent of |  | presented for initial 
planning |
       |                            |   TRAC 1.1.1 |  | purposes only. The 
actual      |
       |                            |              |  | assignment will depend 
on the  |
       |                            |              |  | availability of 
high-quality   |
       |                            |              |  | programmes. Any 
increase in    |
       |                            |              |  | the range of 
percentages would |
       |                            |              |  | also be subject to             
|
       |                            |              |  | availability of 
resources.     |
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | TRAC 1.1.3                 | 240          |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | SPPD/STS                   | 682          |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |                            |              |  |                                
|
       |   Subtotal                 | 19 161a      |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |                            |              |  |                                
|
       | UNDP other resources       |              |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |                            |              |  |                                
|
       | Government cost-sharing    | -            |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | Third party cost-sharing   | 7 500        |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       | Funds, trust funds and     | 18 800       |  |                                
|
       | other, of which            |              |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |   GEF                      | 1 000        |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |   Capacity 21              | 800          |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |   CMAC Trust Fund          | 13 000       |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |   Elections Trust Fund     | 4 000        |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |                            |              |  |                                
|
       |   Subtotal                 | 26 300       |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
       |                            |              |  |                                
|
       |                            |              |  |                                
|
       |   Grand total              | 45 461       |  |                                
|
       |                            |              |  |                                
|
       
|----------------------------+--------------+--+--------------------------------|
 
 
 
         a Not inclusive of TRAC 1.1.2, which is allocated regionally for
         subsequent country application.
 
       Abbreviations: AOS = administrative and operational services; TRAC
         = target for resource assignment from the core; CMAC = Cambodia
         Mine Action Centre; GEF = Global Environment Facility; SPPD =
         support for policy and programme development; STS = support for
         technical services.[End]