Hanoi (VNA) – The Greater Mekong Subregion(GMS) leaders have reaffirmed their commitment to the advancement of GMSEconomic Cooperation Programme and continuing support for the principlesunderlying the GMS Framework and encourage all stakeholders to beginconsidering the way forward to address the gap between the success of the past25 years and full realization of a sustainable, integrated and prosperoussubregion.

They made the reaffirmation in a Joint Statement adoptedat the sixth GMS Summit held in Hanoi on March 31.

The following is the full text of the Joint Statement.

THE SIXTH GREATER MEKONG SUBREGION SUMMIT                                             

Hanoi, Vietnam
31 March 2018

JointSummit Declaration

Leveraging 25 Years of Cooperation for aSustainable, Integrated and Prosperous GMS

WE,the Heads of the Governments and delegations of the Kingdom of Cambodia, thePeople’s Republic of China, the Lao People’s Democratic Republic, the Republicof the Union of Myanmar, the Kingdom of Thailand, and the Socialist Republic ofViet Nam, on the occasion of the Sixth GMS Summit:

Acknowledging the successfulresults of the GMS Economic Cooperation Program as we celebrate its 25th Anniversary and embracing a new eraof development in the subregion;

Appreciating that success has beenachieved with strong ownership and commitment of GMS countries, featuringprinciples of consensus, mutual respect, equality, mutual consultation andcoordination, common contributions and shared benefits, and win-wincooperation;

Recognizing new opportunities and emerging challenges presentedby globalization and the importanceof relevant development initiatives, such as the United Nations 2030 Agenda forSustainable Development, the ASEAN Community, and the Belt and Road Initiative,which generate complementarity and synergy with the GMS Program and provide newplatforms for global, regional and subregional cooperation;

Noting that tasks remain to narrow development gaps within and among GMS countries, andto ensure everyone benefits from increased interconnectedness andinterdependence;

Recognizing that to effectivelysupport member countries, seize new development opportunities and meet emergingchallenges, the Strategic Framework guiding the GMS Program needs periodicrefinement;

Appreciating the proactive work ofour Ministers, senior officials, and other stakeholders in reviewing experienceunder the current Framework, and formulating an action plan and investmentpriorities for the next five years;

NOW THEREFORE REAFFIRM OUR COMMITMENT to the advancement ofGMS Economic Cooperation Program and continuing support for the principlesunderlying the GMS Framework ANDENCOURAGE all stakeholders to begin considering the way forward to addressthe gap between the success of the past 25 years and full realization of asustainable, integrated and prosperous subregion.

I. 25 Yearsof GMS Transformation and Program Achievements

1. Aswe celebrate the landmark occasion of the GMS at 25 years, it is appropriate toreflect on the subregion’s transformation that has yielded unprecedentedfavorable outcomes.

2. Fromhaving several least developed economies at the beginning, the GMS now has someof Asia’s and the world’s most vibrant middle income economies. Over a quartercentury the subregion’s annual economic growth has averaged 6.3% and per capitagrowth has been 5%. Intra-subregional trade has increased 90-fold. Our peoplehave a better quality of life and the subregion is headingtoward high-quality development.

3. Thepolicies, project investments and knowledge exchanges under the GMS Programhave contributed in practical ways to this transformation. Indicative of theProgram’s relevance is the USD 21 billion that has been mobilized to financethese GMS initiatives.

4. Connectivity, competitiveness and communityare the core building blocks of the Program. We appreciate the report onrecent outcomes, which confirms the appropriateness of focusing on three Cs fordelivering our pragmatic, action-oriented and results-focused Program.

5. Physical connectivity, emphasizingrehabilitation and construction of transport and energy infrastructure, has hadmany notable achievements, including new airports, 80 bridges, 10,000kilometers of roads, 500 kilometers of railways, 3,000 kilometers of powertransmission lines and distribution lines, and installation of 1570MW ofgeneration capacity. Since our last meeting in 2014, we note that connectivityhas proceeded at a brisk pace with broad scope, including completion of the GMSTransport Sector Strategy 2030.

6. Westrongly support the economic corridor approach, adopted in 1998, thattransforms transport networks into transnational economic corridors, linkingproduction, trade and infrastructure. Secondary and provincial roads extend thereach of the three flagship economic corridors, thereby contributing toinclusive development. The approach leverageslimited resources by focusing on locational advantages that maximize employmentand incomes along the corridors, and gives remote areas access to developmentopportunities.

7. Wewelcome the decision in 2016 to extend the corridor network as a response tothe subregion’s dynamism. Over the past threeyears the Economic Corridors Forumcontinued to serve as advocate, facilitator and coordinator, augmented by theGovernors’ Forum and Economic Corridors Week. We support these platforms forenhanced policy dialogue among local authorities and to help identifyproject-based cooperation in priority areas along corridors.

8. Connectivity software is an essentialcomplement to physical infrastructure. Since the previous Summit in 2014, weare pleased that all members have ratified the GMS Cross Border TransportFacilitation Agreement (CBTA), and its Annexes and Protocols, and agreed on theMOU for “Early Harvest” implementation of CBTA, allowing subregional movementof commercial vehicles and containers to begin. We welcome establishment in2015 of a fullsingle stop inspection at the Lao Bao-Dansavanh border between Viet Nam and LaoPDR. We appreciate contributions from the Greater Mekong RailwayAssociation and GMS Freight Transport Association for advancing cross-borderflows and supporting development of the logistics service industry.

9. Weare similarly encouraged by developments in power exchange to facilitate expansion from the current bilateral cross-borderconnections to multi-country networks through refinements in trading principlesand systems, which will contribute to establishing an integrated regional powermarket.

10. We notethat GMS competitiveness hascontinuously improved through measures that facilitate seamless cross-bordermovement of people, goods and services and through integration of markets,production and value chains. This is reflected in the subregion’s growing trade withthe rest of the world and increasing FDI inflows to the subregion.

11. At thesector level, the Core Agriculture Support Programs has strengthened regionalcooperation, increased capacity in agri-food quality management, promotedadoption of gender-responsive and climate friendly agriculture. The agriculturecompetitiveness has also benefited from the Program to increase the subregion’sproducers’ access to international agricultural value chains and promote environment-friendlyagricultural practices. We note this, will benefit smallholderfarmers, rural women, and small and medium enterprises, thereby addressingpoverty, reaching marginalized groups and increasing the reach of inclusivedevelopment. In tourism, successful campaigns to market GMS as a singledestination have helped more than double tourist arrivals from 26 million in2008 to 60 million in 2016.

12. Innovation, new technologiesand digital transformation are critical new sources of growth. We commend the establishmentof the GMS Cross-border e-Commerce CooperationPlatform in 2016 and its progress report, including its alliance with private businesses. This facilitatesgrowth of e-commerce for higher efficiency, better connectivity andtransformation of micro, small and medium enterprises.

13. To addresschallenges of increasing urbanization, the GMS Urban Development StrategicFramework 2015-2022 has been operationalized through urban development planningand management projects for several towns along the economic corridors, as wellas through the development of special economic zones, including at borderareas.

14. We are gratified that the Program hashelped build a GMS community with ashared future through projects and programs addressing common social andenvironmental concerns. Human resource development projects have improvedcountry capacities to respond to disease outbreaks and contain the spread ofcommunicable diseases; supported mutual recognition of skills andqualifications to strengthen the GMS labor force; and facilitated safecross-border labor migration. The flagship Phnom Penh Plan for DevelopmentManagement strengthened the capacity of over 2,500 GMS government officials andcompetencies of our research institutions to support the subregion’sdevelopment agenda. We welcome the contribution made by GMSmembers through various training and capacity building programs. Environmental cooperation has achieved success under the GMS Core EnvironmentProgram and the Biodiversity Conservation Corridors Initiative, in response to critical risks of environmental degradation and climatechange and towards green and sustainable development.

15. The Program’s success relies on strong, deep and broad partnerships,primarily at government-to-government level, and also benefits frompartnerships among other stakeholders including private sector, localadministrations and communities, academia and media. We acknowledge financialand knowledge support from bilateral and multilateral development partners,including ADB which also supports the Program as Secretariat. The privatesector is increasingly important in a partnership that began formally with theGMS Business Forum (now Council) in 2000, and expanded with the Mekong BusinessInitiative, the Freight Transport Association, forums for agriculture andtourism, the e-Commerce Platform and the recent Finance Sector and TradeFinance Conference. We appreciate that thousands of individual farmers andbusinesses are partners in, and empowered by, the GMS Program.

II. The WayForward

16. The Program has been delivered under twostrategic frameworks, most recently for 2012-2022. A mid-term review of thecurrent framework in 2017 confirmed the continuing relevance of its coreprinciples, but recognized the needfor fine tuning to better respond to the needs of member countries in achanging development landscape. Thus, the HaNoi Action Plan (HAP) 2018–2022 was developed to provide necessary adjustment and sharpen the focus toensure maximum effectiveness of the GMS Economic Cooperation Program’s. To support the HAP, Regional Investment Framework 2022 was formulated, identifying apipeline of 227 projects with an indicative cost of USD 66 billion.

17. We commend our Ministers, developmentpartners and other stakeholders for preparing these documents. We hereby adoptand give full support to the HAP and RIF, which will guide the GMS Program inthe medium term. The RIF is a “living pipeline” of projects that will bereviewed and updated regularly to adapt to changing conditions and priorities.

18. We commend the dedicated work ofofficials, the private sector and other stakeholders for preparing sectorstudies, strategies and action plans that have been presented to us. Theyprovide essential guidance for the GMS Program development. We especially noterecently completed strategies for tourism (2016-2025), safe and enviro-friendlyagro-based value chains (2018-2022), environment (2018-2022) and transport(2018-2030). We are committed to further fostering cooperation in health, urban development,hardware and software connectivity and economic corridors, and doubling related capacity building efforts.

19. While the HAP and RIF willsupport the Program in the medium term, longer term regional and globaldevelopments will alter the landscape, creating new opportunities andchallenges and requiring new policies. GMS development will face increasinglyrapid change and emerging trends such as increasing impacts of climate changeand environmental degradation; an aging demographic profile; cross-bordermigration creating issues of social protection, especially for unskilled labor;disruptive technologies of the fourth industrial revolution that are radicallytransforming social and economic systems; socio-economic pressures created byincreasing urbanization and establishment of border economic processing zones;and development gaps within and among members countries.  

20. A regional approach, onthe basis of consultation, joint efforts and shared benefits, is appropriatefor addressing these developments. We therefore task our Ministers and seniorofficials, and encourage other stakeholders, to begin considering the natureof our journey and future directions beyond the 2022 horizon of the currentstrategic framework and how theframework can be strengthened and reconfigured to remain flexible, responsiveand relevant.

21. We reaffirm our commitmentto sustainable development of the GMS through full implementation of the UN2030 Agenda for Sustainable Development, in pursuing innovative,coordinated, green, inclusive and open development for everyone, and achievinga balance over its three dimensions of economic, social and environmentaldevelopment. We also stress theimportance of full implementation of the ParisAgreement on Climate Change at regional and national levels. As our countries are linked by land andriver, we are committed to strengthening our cooperation in sustainable use and integrated management ofnatural resources, including land, water resources and forest, through transboundarycooperation and collective efforts, in achieving subregion’s food, water andenergy security.

22. Werecognize that globalization brings significant benefits to ourcountries and the subregion. We are committed to harnessing its positiveeffects, strengthening it, making it more open, inclusive balanced and sustainable,and ensuring that benefits are enjoyed by all. We are determined to devote more attention to vulnerable groups and towork hard on targeted poverty alleviation so that no one is left behind.Relatedly, we are committed to buildingopen economies for our individual countries and for the subregion by deepeningeconomic integration, boosting trade and investment liberalization andfacilitation, and supporting multilateral trading systems and opposing allforms of protectionism . We encourage greater cooperation among membercountries in undertaking trade promotion activities, accelerating thedevelopment of economic corridors and cross-border trade infrastructure, and improvingtrade management capacity. We encourage implementation of China-ASEAN FreeTrade Area and earlyconclusion of the Regional Comprehensive Economic Partnership (RCEP).

23. We are aware that strengthenedconnectivity generates new sources ofgrowth and fosters a competitive edge. We commit to take concrete actions toimprove infrastructure, policy, trade, financial and people-to-peopleconnectivity among the GMS countries. At the same time, we recognize the significantchallenges in generating the required financing, narrowing the financinggap of infrastructure investment, fostering a long-term, diversified andsustainable financing system, enhancing financial infrastructure connectivityand encouraging development financial institutions to play active roles. We are encouraged by the interest expressed in investing in GMS projects byexisting partners, including ADB, and new development financing institutionsand funds, such as the Asian Infrastructure Investment Bank and the ASEANInfrastructure Fund. We note the intention to expand public private partnerships and otherfinancing modalities in the subregion.

24. A sustainable GMS willbe regionally integrated and globally connected. We recognize the crucialdevelopment role of regional cooperation and integration and support theprinciples of open regionalism. Thus, we will seek to tap synergies andcomplementarities between the GMS program and other global and regionalinitiatives, including the ASEAN Community, the Belt and Road Initiative, theMekong-Lancang Cooperation mechanism, the Cambodia-Lao PDR-Myanmar-Viet NamCooperation, and the Ayeyawady-Chao Phraya-Mekong Economic Cooperation Strategyand other regional cooperation frameworks. These provide additional impetus forour own efforts for GMS development to build a sustainable, integrated andprosperous sub-region, and the GMS Program will work cooperatively with them. Wesupport the concrete steps being taken towards the full realization of theASEAN Community and the outcomes of the Belt and Road Forum for InternationalCooperation that enhance regional connectivity.

III. Conclusion

25. Over the past 25 years our joint undertakings and the tangible results havenurtured the strong sense of community with a shared future for GMS countries. Thecoherent approach of the GMS Strategic Framework and Program has yielded a richtapestry of transformation.

26. We believe our approach to the wayforward is realistic. We are optimistic about our subregion’s future and itscapacity to adapt and meet challenges. We see a brighter future featuring high-quality and sustainable development, enhanced policycoordination, deeper economic integration, greater regional connectivity,closer trade links and financial cooperation, consolidated people to peoplebonds, and closer links with the rest of the world. We will take concreteactions to achievethis vision and full realization of the GMS 3 Cs.

27. To further underwrite our shared futurewithin the GMS we commit to strengthening our partnerships, based on mutualrespect, trust, inclusiveness, and win-win cooperation. The GMS Program willcontinue to be an essential platform for enhanced connectivity, competitivenessand community and advancement toward a sustainable, integrated and prosperousGMS.

We agree to meet again at the Seventh GMS Summit to be held in Cambodiain 2021.

Endorsed in Hanoi, Vietnam on 31 March 2018.-VNA