Agenda | List of participants | Summary report
Under the co-chairmanship of Chile, Kazakhstan, Korea, Liberia and Peru, twenty-two delegations from Africa, Asia, Europe, and Latin America, as well as representatives from the African Development Bank, the African Union Commission, the Commonwealth Secretariat, the European Union, the UN Conference on Trade and Development, the UN Economic Commission for Africa, the UN Economic Commission for Latin America and the World Bank convened at the OECD on 29-30 June for the Fourth Plenary Meeting of the Policy Dialogue on Natural Resource-based Development. Twenty-seven multinational mining, oil & gas companies, industry associations and civil society organisations also joined the multi-stakeholder consultation on 29 June. H.E. Mrs. Fatima Haram Acyl, Commissioner for Trade and Industry, African Union Commission, delivered a keynote address on "Using natural resources for shared value creation in Africa".
Work Stream 1 - Shared value creation and local development
- Participants praised the Multi-Stakeholder Drafting Committee co-chaired by Liberia and Norway for producing the advanced draft of the Operational Framework on Public-Private Collaboration for Resource-based Shared Value Creation. Participants expressed appreciation for the openness, transparency and inclusiveness of the multi-stakeholder drafting process, providing the opportunity for all voices to be heard, listened to and carefully considered. Participants welcomed the Framework as a robust and practical tool for integrated policy making and for forging collaborative solutions in order for extractives to effectively contribute to the implementation of the Post-2015 development agenda.
- Participants discussed concrete options for overcoming structural barriers to resource-based development and urged to pilot the Framework to translate the operational guidance into practice. It was agreed that the Operational Framework will serve as a diagnostic tool to carry out more in-depth country or regional analysis in partnership with relevant partner organisations, in particular to support the domestication process of the African Mining Vision and inform the development of Country Mining Visions.
Work Stream 2 – Stabilisation funds and revenue spending
- Participants strongly welcomed the key lessons drawn from the cross-country comparative analysis on the performance of stabilisation funds and public investment options, and highlighted the trade-offs related to the management of resource revenues. While fully recognising the importance of getting the stabilisation function right, participants called for further analysis with respect to the reputational risk associated with low or negative returns on sovereign bonds, which dominate the typical investment portfolio of stabilisation funds. They also encouraged exploring further alternative means to stabilising revenue flows.
- Participants noted the lack of a space where natural resource funds can exchange experience and learn from each other on how to support developing countries to achieve their development objectives. It was agreed to fill this gap, by bringing together and review the experience of other major natural resource funds, leveraging the partnership with the African Union Commission and coordinating with the International Sovereign Wealth Fund Forum.
Work Stream 3 – Getting better deals
- Participants welcomed the G7 CONNEX Initiative on Strengthening Assistance for Complex Contract Negotiations as a useful means to reduce asymmetry of power and information between governments and investors. Participants discussed the opportunity to create a Negotiation Support Forum to share knowledge on how to achieve mutually beneficial deals and balance risks and returns across governments, investors and society at large. Participants agreed on the merit to take this idea forward as part of the Policy Dialogue’s Work Stream 3.
- Participants also welcomed the methodology for the verification of the prices of copper, gold and iron ore in transactions between related parties. Complementary approaches developed by Partner countries were also illustrated. In one case, the functional analysis performed to verify prices for minerals for which a public reference does not exist resulted in improved revenue collection through a more accurate evaluation of the functions, assets and risks associated with the transaction.
Work Stream 4 – Detecting corruption risks in extractives
- Participants welcomed the Typology study as the first systematic mapping tool of corruption risks along the value chain of extractives, also covering emerging risk areas so far overlooked. The Typology is intended to serve as a tool to increase awareness and improve understanding around evolving corruption patterns and help identify loopholes that increase exposure to corruption risk. Participants emphasised that this practical analysis will provide an excellent basis for stakeholders to join up forces to develop solutions to counter adaptive strategies and inform better policy making.
- Participants endorsed the proposal to complement the Typology with mitigation measures and incentives to prevent and mitigate corruption risks.
18-19 Dec 2013: Inaugural Meeting | 3-4 June 2014: Second Meeting | 17-18 Nov 2014: Third Meeting | 29-30 June 2015: Fourth Meeting | 2-3-4 December 2015: Fifth Meeting | 22-23 June 2016: Sixth Meeting | 30 Nov-1 Dec 2016 : Seventh Meeting | 15-16 June 2017 : Eighth Meeting | 31 Jan – 1 Feb 2018 : Ninth Meeting