Economic affairs officer at the UN Technology Bank for Least Developed Countries said initiative will support nations in their economic diversification journeys Federica Irene Falomi said economic diversification presents a significant challenge that must be prioritized, underscoring technology plays a vital role RIYADH: Global organizations need to back the design and implementation of industrial policies within less developed countries to help them combat capacity constraints, according to an official. During the second day of the Multilateral Industrial Policy Forum, taking place in Riyadh from Oct. 23 to 24, Federica Irene Falomi, the Economic Affairs Officer at the UN Technology Bank for Least Developed Countries, said that this initiative will support nations in their economic diversification journeys. This aligns with the entity’s mission to bolster national and regional technological efforts, strengthen partnerships across sectors, and assist countries in identifying and utilizing appropriate technologies to transform their economies and enhance livelihoods. “In the case of this specific group of countries, I think the role of international organizations to support the design and implementation of industrial policies is particularly critical, as they often have severely constrained capacity,” Falomi stated. She said that “industrial production varies across this group of countries, but most of them have quite undiversified economies, often relying on agricultural production and mining when present.” Falomi highlighted that economic diversification presents a significant challenge that must be prioritized, underscoring that technology plays a vital role in this process. She revealed that one way the UN Technology Bank supports these nations in designing and implementing industrial policies for economic transformation is through conducting technology needs reviews. “These are assessments that help least developed countries identify specific technological gaps and opportunities in key sectors for their economies like agriculture, manufacturing, as well as, of course, energy,” she explained. “We particularly work with governments to prioritize the technologies they need the most and identify the industries that can be nurtured through targeted policies and investment promotions,” Falomi added. “The technology needs assessment can provide governments with their foundation to design innovation-oriented policies and to build, of course, needed industrial capacities and particularly attract private investment, especially foreign direct investment, which is essential for technological upgrading,” the economic affairs officer concluded. Also participating in the panel discussion titled “Actionable Solutions to Transform Economies for Sustainable Development: The Production Transformation Policy Reviews” was Intan Hamdan-Livramento, an economist in the Department of Economics and Data Analytics at the World Intellectual Property Organization. She highlighted two countries that have successfully developed their agricultural sectors through innovative initiatives and strategic policy interventions. “So, Brazil in the mid-19 before the mid-1970s was an agriculture net importer. Now it is one of the largest agricultural exporters. In fact, in terms of ethanol, they are a competitive leader in this space, competing against the US and other major markets. Kenya is one of those countries that has been able to build on its local innovative capabilities and now is participating in building its own capabilities regarding new genetic techniques,” Hamdan-Livramento said. “Both of these countries, what we notice is that the policies that were implemented, that became successful, took into consideration the innovation ecosystem: the governments, the universities, and the private sector,” she added. Coordinated by the Ministry of Industry and Mineral Resources in partnership with the UN Industrial Development Organization under the slogan “Industrial Policies for a Sustainable Future,” the two-day forum aims to support the development of the global industrial sector by formulating effective and innovative policies that keep pace with current global challenges and trends. The event is the first of its kind to be held outside the headquarters of UNIDO in Vienna.