Organisation of Islamic Cooperation
The Collective Voice of The Muslim World
Date: 15/05/2010
Dushanbe, Republic of Tajikistan 14 May 2010 Bismillahi Arrahmani Arrahim In the Name of God, Most Compassionate, Most Merciful Mr. Chairman, Distinguished Participants Assalamu Aleykum Wa Rahmatullahi Wa Barakatuh. Let me first and foremost express my profound gratitude to the Government of the Republic of Tajikistan for hosting this important Forum. I must also commend the Tajikistani Chamber of Commerce, the Islamic Chamber of Commerce and Industry (ICCI) and the Islamic Development Bank (IDB) for their respective contributions to the organization of this Second OIC Business Forum and13th Private Sector Meeting. This Forum is being held a few days ahead of the 37th OIC Council of Foreign Ministers in Dushanbe, Tajikistan and its conclusions would provide an essential background for the decisions that would be taken by the OIC policy-makers, who are scheduled to attend this CFM session. Since the convening of the First OIC Business Forum and 12th Private Sector Meeting in Kampala, Republic of Uganda, in June 2008, on the sidelines of the 35th Session of the OIC Council of Foreign Ministers, there is a growing consensus on the need to hold such business meetings more regularly and preferably on the margins of the annual meeting of Foreign Ministers. This gathering of entrepreneurs, traders and industrialists from Islamic Countries represents the necessary bridge, which must exist between theory and practice; and between policy-makers and entrepreneurs. Without doubt, the proceedings of this Forum will go a long way in boosting mutually rewarding cooperation and corporate relations among the business people in OIC countries. The theme of this year’s Forum is related to the importance of an expanded Intra-OIC trade and investment in fostering economic growth and development in our Member States. This is with particular reference to the huge potentials for investment existing in the Tajikistani economy and indeed the entire economies of Central Asia. This theme is closely related to the agenda of 37th Islamic Council of Foreign Ministers, which will hold a brainstorming session on the ample opportunities for the development of intra-OIC cooperation in Central Asia at large. You would recall that the OIC Ten Year Programme of Action has placed due emphasis on the expansion of intra-OIC trade to 20% in 2015 from an earlier ratio of 14.5% in 2004. The Programme also seeks to promote the role of the Private Sector in generating the desired investment and technological capacity-building necessary to fast-track economic development in OIC Member States. The objectives of this policy direction are to achieve poverty alleviation and employment generation. It is also borne out of the understanding that trade remains the most credible way of creating wealth, generating economic growth and increasing welfare for the masses of any nation. The approved mechanism for achieving this objective of increased trade is represented in the twin strategies of trade promotion and trade facilitation among OIC Member States. The inclusive role of the Private Sector is by building partnerships across the Islamic corporate world so as to promote foreign direct investment and joint venture activities. Within the context of encouraging free movement of goods and services across OIC boundaries and the right of establishing businesses in Muslim countries, I am glad to announce that the Protocol on the OIC Preferential Tariff Scheme for TPS-OIC (PRETAS) has entered into force on 5th February 2010. This tariff and para-tariff preferences would facilitate access to wider range of products in a expanded OIC market, increase competitiveness of commodities produced in OIC countries and boost welfare and improved livelihood for the people living in OIC Member States. The benefit of trade promotion is inherent in these constant efforts at increasing the holding of business meetings and networking sessions, such as the one which is taking place here today. There are other trade promotion activities in the form of trade and specialized fairs, particularly in the tourism and construction sectors. In the same vein, the facilitation of trade and the involvement of the Private Sector have received considerable boost, judging from the myriad of activities by the Islamic Development Bank and its dedicated trade facilitation departments. The quantum of approvals and financial releases under the International Islamic Trade Financing Corporation (ITFC), the Islamic Corporation for Private Sector Development (ICD), and the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) is indicative of the desire of the OIC and its economic institutions to mainstream the role of the Private Sector and encourage the promotion of entrepreneurial culture in OIC countries. Distinguished Participants It is widely acknowledged that the Private Sector has always remained a veritable engine of economic growth and increased welfare of the people. There is a resurgence of economic liberalism, free enterprise and market economy in a rapidly globalizing world. Given this state of events, the Private Sector is considered as capable of giving expression to the aspirations of our peoples to overcome the phenomena of poverty, deprivation and economic backwardness which have remained the bane of our developmental efforts over time. The various programmes and projects, which are being executed under the Ten Year Programme of Action, provide ample opportunities for forging enduring partnerships among the various Private Sector establishments in the Muslim world. This approach also falls within the framework of an enduring South-South cooperation. It is by these actions that we would strengthen the productive base of our economies and therefore overcome the dire consequences of the global food, energy and financial crises. The task is now to shift our current focus to transforming our rich natural endowments and potentials into actual development in the real sector. Statistics show that OIC countries exports 40% of world raw materials and has two thirds of world’s proven oil reserves, with 100 multinational companies having an asset value of over $200 billion. This impressive record can produce the required level of economic growth necessary for better livelihood and welfare for the people in OIC Member States. In the Central Asian countries, and indeed all member countries of the OIC, there are abundant opportunities for mutually-rewarding exchanges. The significant cotton and aluminum deposits in Tajikistan, coupled with its vast energy potentials are vital sectors for foreign investment and beneficial partnerships. The Private Sector, through your dedicated efforts must act very expeditiously so as to bring about a modern industrial economy in OIC Member States with sufficient value-addition to generate sustainable development. In doing this, we have to encourage in-flow of investments into our countries, while pursuing your respective advocacy roles of fostering public-private partnerships for the development of our potential economic capacities. The Private Sector must act to unlock the capacities of our peoples, encourage projects that would enhance employment generation and develop the technological know-how of workers in Small and Medium Scale Enterprises. The role of the Private Sector is considerable. It must take the lead in promoting people-to-people approach to economic development. This is more rewarding and will surely address the current dysfunctions in the economic development strategies of the developing world. Such inclusive activities would complement the regulatory role of Government and its ability to drive the economy through laying down appropriate policies for mutually rewarding public-private enterprise. The required community-driven approach is relevant for the empowerment of the womenfolk and the youthful populations of our countries. This deliberate measure would scale up the low level of productivity and reduce unemployment in our countries. It will address the short-term weakness, whereby the benefits of trade exchanges do not trickle down to the lower rung of the society. It is in this regard that I salute the foresight and resilience of the leadership of the Islamic Chamber of Commerce for the holding of the Fifth Businesswomen Forum, which was held in Cairo, Egypt, on 22-24 April 2010. I wish to urge this forum to adopt far-reaching recommendations that would widen and deepen partnerships among the various stakeholders in the business sectors of the OIC Member States. In conclusion, while commending the genuine contributions made by all the participants at this forum, let me reiterate the General Secretariat’s unremitting desire to continue to identify with your efforts at creating virile Private Sector synergies within the OIC business community. I wish you every success in your deliberations. Wassalamu Alaikum wa-Rrahamatullahi wa-Barakatuh.
