Sponsored by USAID’s Bureau for Development, Democracy, and Innovation (DDI), the Trade and Competitiveness Activity (TCA) provided demand-driven technical support to USAID Missions, USAID/Washington, and other USG operating units to design, implement, and evaluate a broad range of activities related to trade and investment, private sector development, poverty reduction, and regulatory reform. As a subcontractor to Resonance, SEGURA conducted research and contributes to the design of projects in the areas of domestic resource mobilization (DRM) and trade facilitation.
Research on Domestic Resource Mobilization and Customs Reform
To serve USAID/DDI’s goal of promoting customs reform as a means of improving border tax compliance, SEGURA conducted research on the link between DRM and customs enforcement. SEGURA organized a roundtable bringing together customs experts from the International Monetary Fund, the World Customs Organization, and other relevant stakeholders to gather insights from the broader development community. SEGURA then drafted a 9-page white paper explaining why host country governments should consider integrating customs expertise into DRM activities. The white paper highlighted dynamic risk management, Authorized Economic Operator and Trusted Trader programs, baseline customs assessments, and post-clearance audits as mechanisms for USAID/DDI to assist host country governments in the future. SEGURA recently completed a practical toolkit for USAID Missions focused on the interrelationship between DRM and customs, and how to effectively design programming and work with government stakeholders in these areas.
DRM Project Design
At the request of USAID/Paraguay and USAID/Ghana, USAID engaged SEGURA to produce technical reviews of each country’s customs revenue management and trade facilitation systems to inform the development of future DRM projects. SEGURA performed in-country deep dives consisting of data reviews and one-on-one interviews with USAID Mission staff and relevant public and private stakeholders. For USAID/Paraguay, SEGURA prepared a 6-page report recommending the Mission to reduce customs inefficiencies by providing technical assistance to Paraguay’s recently launched Authorized Economic Operator (AEO) program and facilitating data matching between Paraguay’s customs and domestic tax departments. For USAID/Ghana, SEGURA produced recommendations for the design of a $4.8 million project to improve customs revenue collection through risk management and capacity-building for customs agencies.
Trade Facilitation Papers
SEGURA produced two papers to augment knowledge of international trade facilitation agreements and practices in developing countries.
The first was a practical reference guide for developing-country customs authorities and relevant ministries on international border agency cooperation. The guide, which was presented at the World Trade Organization’s 2021 Aid-for-Trade Stocktaking Event, reviewed current cooperation practices, such as data exchange platforms, coordinated border facilities, AEO programs, and the mutual recognition of standards and certifications. It also outlined seven steps for policy stakeholders to implement international border agency cooperation plans.
The second paper discussed the impacts of the World Trade Organization’s Trade Facilitation Agreement (TFA) on micro, small, and medium enterprises (MSMEs). In it, SEGURA highlighted how various TFA provisions improve the ease of doing business for MSMEs by increasing transparency, reducing complexity, and minimizing costs. USAID distributed the paper to customs authorities and relevant ministries in developing countries to share with their respective business communities.
Border Communities Papers and Blog Post
Motivated by USAID’s experiences working in border regions, USAID/DDI tasked SEGURA to undertake an analysis of the effects of trade facilitation on communities located in or near border areas in developing countries. This research produced two deliverables: a literature review summarizing academic research and donor-funded project implementation focused on such border communities, and an analytical paper with actionable recommendations for USAID to incorporate border communities in project design. SEGURA published a blog post and held a webinar on USAID’s Marketlinks platform to disseminate the principal conclusions of the research.
Client:
Resonance Global | USAID Bureau for Development, Democracy, and Innovation (DDI)
Years:
2018-2021
Location:
Global
Technical Areas:
Competitiveness;
Trade & Investment;
Monitoring, Evaluation, and Learning
