INTRODUCTION OF DEVELOPMENT TRIANGLE

In recent years, given the mobility of international capital and labour, geographical borders between countries have become increasingly "softer" with respect to production and exchange of goods. An increasing number of countries are attempting to exploit the flow of goods, labour and capital by utilising the complementary factors of production in their neighbouring countries. As a result, many economic sub-regions have been established in Asia. New forms of multilateral economic cooperation have emerged, and development triangle (or growth triangle) is one of these.

A development triangle will generate economic growth through increasing the efficiency of utilising economic potentialities like labour, natural resources, capital, and technology that are distributed irrespective of national borders. Efforts are made to increase the flow of goods, labour and capital among countries to develop and expand production. The driving force behind the creation of a development triangle is the recognition that greater benefits can be obtained through sub-regional cooperation than would be possible through independent action.Development triangles enable states to overcome deficiencies in labour, technology, resources, land, and infrastructure by an easier access to the required inputs available within the sub-region.

Development triangles are also significant in consolidating peace and security in the region and help maintain internal security of the countries involved thanks to the economic benefits that they bring about.

Expanded economic exchange resulting from across-border trade activities would enhance mutual cultural understanding of the countries involved and hence the improvement of border security.As the standard of living and quality of life of the citizens involved in the development triangle improve, they will create favourable conditions for better education, improved health services and a stronger social safety net.

In addition, development triangles also contribute to strengthening cooperation and balancing such policies as customs, tariff as well as banking and finance, thus facilitating cross-border flows of goods, capital and labour. To bring a development triangle into operation, such cooperation is not confined to national level, but also develop intensively into more formalised relationship among local governments.

Apart from benefits brought to individual countries, development triangles also push up regional economic cooperation.

Development triangles tend to consist of sub-national units that are located on the periphery of a country and, in many cases, are among the least developed territories of the country. At present, a number of development triangles have been established and put into operation in South East Asia. Typical examples are the Indonesia – Malaysia – Singapore Development Triangle, Indonesia – Malaysia – Thailand Development Triangle and Brunei – Indonesia – Malaysia – Philippines Development Territory, etc. In addition, the idea of establishing the “Emerald Triangle” in the border area of the three countries of Cambodia, Laos and Thailand has been mentioned by their respective leaders and initial pre-feasibility studies on this triangle have been conducted.

At the Meeting of the three Prime Ministers of Cambodia, Laos and Vietnam, all sides agreed that the consolidation and strengthening of solidarity, cooperation and mutual assistance between the three countries in the spirit of traditional fraternity, neighbourliness and friendship constitute a greatly significant factor for the stability and development of each country under the present circumstances.During this meeting, the idea of establishing a development triangle in the border area of the three countries, consisting of some provinces in the North East of Cambodia, South of Laos and the Central Highlands of Vietnam, was put forward.

At the second Meeting of the three Prime Ministers in Ho Chi Minh City on the 25 –26^th of January 2002, the determination to establish the Development Triangle in the border area of the three countries was confirmed and regarded as one of the primary priority tasks in the development cooperation among the three countries. All sides agreed to assign the Vietnamese side to take the lead in the formulation of a Socio-economic Development Master Plan for the Cambodia - Laos - Vietnam Border Area (also called the Cambodia - Laos - Vietnam Development Triangle or the Development Triangle in short).

The Cambodia - Laos - Vietnam Development Triangle covers the territory of the following provinces: Mondulkiri, Rattanakiri and Stung Treng (Cambodia); Attapeu, Saravan and Se Kong (Laos); and Dak Lak, Dak Nong, Gia Lai and Kon Tum (Vietnam). These are the provinces that are located in the border area of the three countries and that share many similarities in terms of natural, economic and social conditions. The development level of the provinces in the Development Triangle is generally low compared to the average national level of their respective countries. The intellectual level of the people in the Triangle is low. The share of agriculture in GDP remains high. Compared to other development triangles, the provinces in this triangle almost share borderlines in pair and important pairs of border checkpoints have been established, constituting a favourable condition for development cooperation among the provinces while their development level remains low. Unlike a number of other development triangles (territories) in the region, the Cambodia - Laos - Vietnam Development Triangle has no growth pole or centre (like Singapore) and therefore, it has to find its own way to develop. Member countries may include other provinces at a later stage.

Source: clv-triangle.vn

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