The Alliance for Development in Democracy (ADD) made significant strides toward enhancing regional economic growth and strengthening supply chains during its third Joint Consultative Dialogue on December 16 in Panama City. The meeting, led by Under Secretary for Economic Growth, Energy, and the Environment, Jose W. Fernandez, brought together Ministers of Trade and senior officials from Costa Rica, the Dominican Republic, Ecuador, and Panama, alongside key stakeholders from the ADD Business Council and the Inter-American Development Bank (IDB).
This year’s session built upon the commitments established in the 2022 Memorandum of Understanding (MOU) between the U.S. and ADD countries, reaffirming a shared vision for bolstering economic resilience and advancing partnerships for mutual growth. One of the key areas of focus was enhancing the region’s supply chain resilience, particularly in critical sectors such as medical devices and pharmaceuticals.
Strengthening Regional Supply Chains
A central theme of the dialogue was the importance of improving supply chain connectivity across the ADD region and the United States. The global disruptions caused by the COVID-19 pandemic and subsequent geopolitical challenges have highlighted vulnerabilities in international supply chains, especially in sectors crucial to public health and economic stability.
“The ADD is uniquely positioned to play a pivotal role in creating more resilient and efficient supply chains, particularly in vital sectors like medical devices and pharmaceuticals,” said Under Secretary Fernandez. “By deepening our collaboration, we can not only ensure more robust supply chains but also foster sustainable economic growth for our citizens.”
Discussions focused on collaborative efforts to streamline and fortify trade relations, with an emphasis on building greater self-reliance in critical industries. The participation of private sector leaders through the ADD Business Council was noted as crucial in aligning these goals with market realities and identifying opportunities for investment and innovation.
Moving Toward 2025: Concrete Action Steps
The dialogue also outlined actionable steps for 2025, including measures to reduce trade barriers, simplify regulatory processes, and facilitate cross-border investments. The Inter-American Development Bank (IDB) introduced ideas for regulatory harmonization, proposing a unified framework to streamline business operations across the region, which could attract greater foreign direct investment (FDI) and accelerate economic integration.
IDB representatives emphasized that creating a common regulatory framework could lower operational costs, promote greater competition, and ultimately enhance the region’s ability to attract and retain investment in key sectors.
Reaffirming Commitment to Inclusive Economic Growth
The representatives of Costa Rica, the Dominican Republic, Ecuador, Panama, and the United States expressed renewed commitments to deepening their partnerships and advancing mutual goals of economic prosperity and inclusive growth. They highlighted the importance of promoting sustainable, democratic governance as a cornerstone for future success.
The ADD countries pledged to take concrete actions in 2025 to improve the investment climate, which they see as essential for long-term economic growth. Officials underscored the need to balance open markets with strong institutions that support democracy and the rule of law, ensuring that development benefits reach all citizens.
“This partnership is not just about growing our economies—it’s about improving the lives of our people,” said Panama’s Minister of Trade during the meeting. “Our collaboration is rooted in our shared values of democracy, transparency, and respect for human rights, which will continue to guide our efforts moving forward.”
Looking Ahead: A Unified Approach to Regional Growth
As the meeting concluded, the dialogue underscored the critical role of strategic coordination among the five nations to address ongoing global challenges while capitalizing on the region’s unique strengths. The ADD countries and the United States affirmed that their collaboration would extend beyond supply chains, focusing on broader economic development, climate resilience, and innovation.
The dialogue’s outcomes represent an important step toward a more connected and resilient Western Hemisphere, one that can leverage its democratic values and economic potential to face the challenges of the 21st century.
As Under Secretary Fernandez concluded, “This partnership between the United States and ADD countries reflects our shared commitment to a future of inclusive growth, regional cooperation, and shared prosperity. Together, we can ensure that our economies are stronger, our supply chains are more resilient, and our democracies remain the foundation for sustainable progress.”
Next Steps
The outcomes of this meeting will guide the next phase of collaboration, setting the stage for new initiatives and actions to be implemented in 2025. Both the U.S. and ADD countries are committed to working closely together to achieve these ambitious goals, ensuring that the region remains competitive and resilient in the face of global challenges.
For more details on the ADD and the U.S. collaboration, visit the U.S. Department of State’s website.