BIAC Archives

OECD Chief Economist Discusses Global Economic Trends at USCIB

Published on April 14, 2016
Mann
Catherine Mann

Dr. Catherine Mann, chief economist and head of the Economics Department at the OECD came to USCIB on April 13 for wide-ranging discussion with members and staff.  Mann, one of the most senior U.S. citizens in the OECD secretariat, has extensive experience in Washington from her earlier positions at the Federal Reserve, the President’s Council of Economic Advisors, and at the Peterson Institute for International Economics.

Her presentation covered global trends in economic growth, productivity, and trade and investment, identifying some challenging issues ahead, and interesting work underway at the OECD in those areas. In that context, she had some particularly interesting observations on the Chinese economy and China’s economic relationships with the world. Mann is very interested in finding ways to strengthen private sector input into OECD’s work on economics and in other important areas.  Her very candid and thought-provoking observations gave members some interesting issues to ponder.

Business Welcomes Revised OECD e-Commerce Recommendation

Published on March 31, 2016

Smartphone_mobile_globeThe revision of the 1999 OECD Guidelines for Consumer Protection in the Context of Electronic Commerce (1999), which was initiated in 2014, came to a conclusion with the adoption by the OECD Council on March 24 of a revised Recommendation.

The Business and Industry Advisory Committee (BIAC) to the OECD welcomes the update which takes account of significant evolutions in the technical landscape as well as in consumer habits. From the onset, the BIAC Consumer Policy Task Force contributed actively to the works of the OECD Committee on Consumer Policy, pointing to the benefits of e-commerce and recommending a flexible approach rather than focusing on challenges.

The revised Recommendation will be discussed by ministers and high level experts during the consumer trust panel at the OECD Ministerial on the Digital Economy on June 22 in Cancun, Mexico.

Strong Business Participation at OECD Integrity Week

Published on March 31, 2016

scalesA strong business delegation will participate in the OECD Integrity Forum on April 19-20, which this year will focus on Global Trade Without Corruption. The Forum will bring together different policy communities as well as the private sector, civil society organizations and academia, and will encourage discussion on key issues, such as preventing corruption in customs, protecting supply chains, improving business in emerging markets and countering illicit trade.

The Business and Industry Advisory Committee (BIAC) to the OECD policy group leadership and experts will also be represented as speakers at the Forum. The BIAC Task Force on Anti-Bribery/Corruption will organize a preparatory meeting on the evening of April 18. BIAC will furthermore participate in the Working Party of Senior Public Integrity Officials and in a Symposium on Building integrity for inclusive growth: translating the vision into action which will take place during the OECD Public Governance Committee meeting the same week.

Back-to-back with the Forum, the OECD is organizing a seminar on Enhancing Integrity for Business Development in the Middle East and North Africa (MENA) Region on April 18 to identify good practices in improving business integrity and actions required to level the playing field for companies, and identify priorities for the OECD MENA work going forward. Please click here for more detailed information.

International Business Takes a Stand on International Investment Agreements

Published on March 30, 2016

by Shaun Donnelly

The Business and Industry Committee (BIAC) to the OECD in Paris recently issued a policy paper on “Why International Investment Agreements Matter”.  The paper was issued in connection with a March 14 OECD conference in Paris on International Investment Treaties.  BIAC is the formally-established business consultation network among the 34 OECD member nations. USCIB played a leading role with BIAC in the development of this investment policy paper. As USCIB’s vice president for investment and financial services, I was a panelist at the OECD Conference on Investment Treaties last week.

The BIAC policy paper lays out the importance of strong international investment agreements in promoting and protecting foreign direct investment (FDI) flows, which, in turn, are major drivers of economic growth, job creation and improved competitiveness.  FDI and investment agreements have recently come under increased political attacks from opponents of economic engagement in today’s and tomorrow’s globalized economy.  This BIAC document lays out a clear exposition of views of international business on the importance of FDI and strong investment agreements.

Read the full post at Investment Policy Central

Business Urges Policymakers to Avoid Trade-Distorting Data Privacy Measures

Published on March 21, 2016

dataflows

Paris and New York, March 22, 2016 – Some 10.2 billion new connected devices are expected to come online over the next five years – nearly double the number in existence today. Many of these devices will transmit user data for processing across borders. But a proliferation of forced localization measures and other government policies to restrict cross-border data transfers threaten to choke off essential cross-border electronic commerce.

Businesses from across the developed world are urging policymakers to avoid imposing rules on data privacy and security that distort global trade. In a new paper, BIAC, the Business and Industry Advisory Committee to the OECD, points to the crucial role of cross-border data flows for the recovery and future of the global economy, and calls on the OECD and governments to develop policies and regulatory frameworks that address concerns for security and privacy in the least trade-distorting way.

“Governments must avoid restricting trade through data localization measures”, said Clifford Sosnow, chair of the BIAC Trade Committee and partner with the Canadian law firm Fasken Martineau LLP. “Considering the importance of this issue for competitive markets, this paper offers recommendations to address the impact of data localization and at the same time deal with privacy and security concerns.”

The BIAC paper had significant input from the U.S. private sector via BIAC’s American affiliate, the United States Council for International Business. The paper estimates that, if fully enacted, government forced localization measures currently in place, or under consideration, could reduce global trade by $93 billion annually.

BIAC recognizes the OECD’s unique capacity to gather and develop evidence on trade restrictive measures on data flows, and accordingly requests the OECD to:

  • highlight to governments the impact of data localization on trade and investment
  • raise awareness among all industries on the importance of data flows for business operations and participation in global trade
  • promote policies that enable open flow of data, to support the rapidly growing number of business models that rely on data flows.

BIAC will work with the OECD to promote best practices in the field of cross-border data flows and encourage governments to refrain from measures that compromise the benefits of open markets and investment for growth.

Read the BIAC policy paper.

Defending Investor Protections in Trade Agreements

Published on March 18, 2016
Shaun Donnelly
Shaun Donnelly

Investment protections such as the Investor-State Dispute Settlement (ISDS) mechanism have become the most contentious aspect of many ongoing trade deals, including the Trans Pacific Partnership (TPP). Shaun Donnelly, USCIB vice president for investment and financial services, traveled around Europe this week defending strong investment policies in U.S. trade agreements.

On March 14, Business and Industry Advisory Committee (BIAC) to the OECD Investment Committee Chair Winand Quaedvlieg and Donnelly led business panelists in an all-day OECD conference on “Investment Treaties: the Quest for Balance.” NGO, labor and academic speakers pressed for radical changes and reduced protections ‎in investment agreements. Donnelly’s panel focused on possible changes in the ISDS regime, including the EU’s proposed investment court and appellate body system.

“I argued the U.S. model BIT already offers a balanced investment regime and that many so-called reforms were simply political attacks on investor rights and protections,” Donnelly said. “I, along with other speakers and participants, was skeptical of the EU’s ‎proposals to abandon the ISDS arbitration system.”

USTR’s lead investment negotiator for TTIP, Jai Motwane, was a co-panelist with very similar positions. Senior State Department Investment policy makers Lisa Kubiske and Michael Tracton spoke on other panels.

Donnelly attended other consultations throughout the week in Paris, both formal and informal, on investment issues with OECD Investment Committee members, senior OECD staff, and country delegations. He participated in the OECD’s special ministerial meeting on Anti-Bribery on March 16 with Klaus Moosmayer from Siemens, Chair of the BIAC Task Force on Anti-Bribery and Corruption. U.S. Attorney General Loretta Lynch led the U.S. Delegation to the special ministerial meeting.

Donnelly wrapped up in The Hague‎ on Friday, representing USCIB at the International Chamber of Commerce’s Trade and Investment Commission, chaired by USCIB member Jim Bacchus (Greenburg Traurig). USCIB has contributed to major ICC policy papers on investment and cross-border data flows that were discussed at the meeting.

Read BIAC’s media release: Curbing Bribery and Providing a Level Playing Field for International Business

Curbing Bribery and Providing a Level Playing Field for International Business

Published on March 18, 2016

scalesParis, March 16, 2016 –The Business and Industry Advisory Committee to the OECD (BIAC) actively participated in the OECD Ministerial which brought together Ministers from the 41 State Parties as well as other key partner countries to the Anti-Bribery Convention. BIAC called for close private sector involvement in an ambitious OECD strategy to fight corruption and bribery.

“BIAC recognizes the OECD’s strong capacity to work horizontally in the fight against foreign bribery”, said Klaus Moosmayer of Siemens, who chairs the BIAC Task Force on Anti-Corruption/Bribery. “Close public-private cooperation is essential to effectively curb foreign bribery and provide a real level playing field for international business.”

In preparation for the OECD Ministerial meeting, BIAC identified key business priorities for governments to fight against bribery and corruption:

  • Encourage effective implementation of the OECD Anti-Bribery Convention as well as increase adherence to the OECD Anti-Bribery Convention,
  • Address the demand side of bribery,
  • Recognize compliance efforts and self-reporting from companies.

BIAC calls for a comprehensive OECD anticorruption strategy which benefits from the OECD’s strong capacity to work in a cross-cutting manner and with the private sector as a key partner.

The full BIAC statement is available here.

Read more: Defending Investor Protections in Trade Agreements

BIAC Secretary General Appointed Treasurer of the Global Apprenticeships Network

Published on March 7, 2016

worker_femaleThe secretary general of the Business and Industry Advisory Committee (BIAC) to the OECD, Bernhard Welschke, was appointed treasurer of the Global Apprenticeships Network (GAN) for a term of two-and-a-half years. The GAN is the global coalition of leading companies committed to tackle youth unemployment and skills mismatch by investing in work-based training.

Welschke, who will guide the GAN Board in the financial administration and budget of the Secretariat, commented: “I am pleased and honored to serve as treasurer of GAN, as we all understand that employment opportunities for the young are key for the success of our economies and the future of our societies.”

Working with Alain Dehaze, CEO of the Adecco Group, as chair, Welschke will oversee the financial administration of a coalition that is extending its presence in several countries, including Turkey, Indonesia, Spain and Argentina and will guide its presence in several more countries over the next few years, leading up to its next stage of success.

Internet’s Future to be Discussed at OECD Digital Economy Ministerial

Published on March 7, 2016

Digital GlobeThe rapid increase of information and communications technologies (ICT) and online participation compels us to consider the potentially transformative effects of technology on a broad range of socially beneficial, data driven applications. The upcoming 2016 OECD Digital Economy Ministerial in Cancún is an opportunity to think about the path forward and continue to promote these transformative opportunities in an open, transparent, responsible and inclusive manner, respecting both individual rights and freedoms and the rule of law.

Contributing actively to the development of the next OECD Committee on Digital Economy Policy (CDEP) Ministerial Declaration, a delegation from the Business and Industry Advisory Committee (BIAC) to the OECD led by USCIB ICT Committee Chair Joe Alhadeff is raising business concerns about the future of the digital economy. The drafting session for the Ministerial Declaration, a multi-stakeholder consultation process also including advisory members of the technical community, has progressed substantially from the first draft in September. The next version of the consensus-built OECD CDEP Ministerial Statement will be available during the next CDEP meetings from March 29 to April 1.

Please read “Enabling a Vibrant Digital Economy” by USCIB President and CEO Peter Robinson for more information on USCIB’s involvement in the Digital Economy Ministerial.

BIAC to Hold Forum on Innovation in Health and Well-Being

Published on March 7, 2016

heart_cardio_resized_ssActive and healthy populations are the backbone of our economies. OECD countries are striving to develop more sustainable healthcare systems that harness innovation to achieve better health outcomes, greater productivity, and well-being. To show what the private sector is doing to address these obstacles, the Business and Industry Advisory Committee (BIAC) to the OECD will hold a Forum on Innovation in Health and Well-Being on May 3-4, 2016 in Paris at the OECD Headquarters.

This two day event will feature interactive panel discussions on innovative on-the-ground projects and explore trailblazing solutions from BIAC’s global membership. In 2017, Health Ministers from OECD countries will meet to discuss the next generation of health reforms and provide future orientations for OECD work. Against this backdrop, the event will allow participants to exchange solutions and policy recommendations with high-level representatives from the business community, governments, and leading voices in the field. The discussions will also explore how healthy populations can be a strong pillar for increased economic productivity and societal well-being. Registration details and an agenda will be soon released.