The Forum was attended by more than a hundred government officials, bankers, managers and investors from private and state-owned companies, as well as academics and researchers, from the Southern Mediterranean region and the Middle East.
The working sessions of this second regional conference addressed the linkages between good governance of public institutions that define the investment climate in the Southern Mediterranean region, and the response of the private sector to reforms. Beyond filling policy gaps, creating strong institutions that are less prone to arbitrary interventions and unequal treatment of investors is vital to the region to increase the credibility of reforms and improve the prospects for stronger private sector development.
The keynote address, by Egyptian Minister of Investment Mahmoud Mohieldin, dealt with the challenge of reforming the investment climate in the context of a global financial crisis. He argued that a clear path for investment climate reform is needed to maintain credibility with investors and ultimately to take advantage of global economic recovery when it comes.
Presentations, panel discussions, and working groups allowed participants to discuss the region's investment climate in the context of the financial crisis, to share regional and global experiences and best practice, and to discuss strategies for policy, regulatory, and institutional reforms to facilitate and broaden private sector access to finance.
Philippe De Fontaine Vive, Vice-President of the EIB, commented, "In these times of economic and financial turmoil, the ambitious objectives which we set out during the first Forum on investment climate in the Mediterranean region, have now become obligations to support employment and competitiveness."
Bruno DETHOMAS, Ambassador, head of the Delegation of the European Commission in Morocco, said, "The European Union has long ago committed through the Barcelona Process in the not so distant past and through the Neighbourhood Policy today, as well as through the Union for the Mediterranean, to support the business climate. This commitment translated among others into initiatives such as the support to the implementation of the Euro Mediterranean Corporate Charter, or the creation of regional programs such as "Invest in Med" whose objective is to encourage European investments in the region and laying solid bridges between the companies of the two banks of the Mediterranean. The improvement of the institutional and regulatory framework for the creation of a business climate conducive to domestic and foreign direct investments, bigger trade flows and business development is a prerequisite for a balanced and harmonious growth, with the ultimate goal being the human development and the reduction of poverty in the region."
Mats Karlsson, World Bank Country Director for the Maghreb, said, "Business and investment in the Southern Mediterranean and Middle East Region has an opportunity to grow despite the challenges presented by the financial crisis. For reforms to induce sustained high levels of private investment, Governments must entrust authority to credible, rule-bound institutions to implement policies. The World Bank and IFC, along with the other partners, are committed to sharing knowledge and expertise to accelerate reforms and create an enabling and conducive investment climate in the region".
This year's Forum follows the 1st Regional Forum on Investment Climate in the Middle East and North Africa (MENA) Region, held in November 2005. It draws on conclusions from the 7th Euro-Mediterranean Conference of Industry Ministers held in Nice on November 5-6, 2008.
The European Commission, the European Investment Bank, the World Bank, and IFC are natural development partners in the region, representing major financing and technical capacity and strong collaboration at program and sectoral level. In May 2004 the institutions signed a Memorandum of Understanding aimed at enhancing coordination in the Middle East and Southern Mediterranean region. The IFC joined in September 2007. A number of activities have been conducted under this agreement including the cofinancing of operations, regular coordination meetings to identify potential linkages between policy and investment initiatives, coordination at the country level and the organization of conferences, and workshops.