Djibouti: Challenges and trade priorities of LDCs

Minister Warsama Dirieh Mohamed of Djibouti and the Coordinator of the LDC Group

What are some of the challenges LDCs have been grappling with?

LDCs are home to 14 per cent of the global population, yet they account for just 1.3 per cent of global GDP and around 1 per cent of global exports. As we emerge from health crises, food crises, mounting international and regional tensions, LDCs seek to intensify their efforts to trade more, to graduate from the LDC category and to achieve sustainable development.

In this context, we need to find ways to further strengthen multilateral cooperation, including by supporting LDCs' greater integration into global trade. This commitment is reflected in the United Nations' Doha Programme of Action for LDCs for the decade 2022–2031, which has trade as a core pillar for achieving sustainable development.

What are some of the emerging LDC trade priorities?

I believe we need to make the best of what science, technology and innovation have to offer. Prior to my current role, I was the Minister of Health during the COVID-19 pandemic. What it taught us is that access to the Internet is vital for keeping communication channels open and maintaining business continuity. In Djibouti, for example, we need a high-speed and good-quality Internet connection available throughout the country. We also need to find new trade opportunities for LDCs at the global and regional levels. And we need more support to achieve structural transformation, to fight against climate change and to strengthen resilience to crises.

What types of partnerships are needed to help LDCs adjust to the evolving trading conditions?

First, we need to mobilize international partnerships for ensuring graduation from the LDC category. The MC13 Ministerial Decision on LDC Graduation is a step in the right direction. Second, we need to keep the momentum with an LDC-focused Aid for Trade programme. On behalf of the LDC Group, I would like to thank the Enhanced Integrated Framework for its efforts in supporting LDCs and strengthening their capacity to trade over the years and wish to see a third phase of the programme. We must double down on these efforts, especially for informed participation in trade negotiations in the coming years.

And any future trade support to LDCs should have greater focus on digital trade and productive capacity strengthening. Third, we continue to need support to fully implement the WTO's Trade Facilitation Agreement. So, we must work together to bring LDC trade development to new heights, to promote inclusive trade and to create a prosperous future for all.