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FSM Trade Policy Adopted by Congress

Palikir, Pohnpei (FSM Information Services): February 16, 2011 - The FSM Congress, during their Sixth Regular Session in January, adopted a resolution endorsing the National Trade Policy for the Federated States of Micronesia. This is a historic achievement giving the credence to a policy that will effectively support economic growth in the FSM.

The key objectives of the Trade Policy include: creating an environment which is conducive for investment and private sector development; addressing the supply-side constraints and non-tariff barriers; promoting import substitution and exports of value added goods and services; guiding the nation in trade negotiations and in implementing trade agreements; using the Trade Policy to secure Aid for Trade from FSM's trading partners and donors; and promoting export-led sustainable economic growth, with the ultimate objective of raising the standards of living in the FSM.

The Trade Policy was formulated by the National Trade Facilitation Committee (NTFC) with the technical and financial assistance of the Commonwealth Secretariat (Hub and Spokes Project) and Pacific Islands Forum Secretariat (PIFS). During the development of the policy, consultations were held with all stakeholders including NGO's and the private sector. To support the process, State Trade Facilitation Committees (STFC) were also established. Now that the Policy has received the full support of the nation, the work on the implementation phase will begin in earnest through the NTFC and STFC.

For further information, contact the Division of Trade and Investment in the FSM Department of Resources and Development.