30 September 2016 – Socio-Economic Planning Secretary and NEDA Director General Ernesto M. Pernia called for a review of the classification of middle income countries (MICs) from being solely based on income to a multidimensional transdisciplinary approach, at the First Ministerial Meeting of the Like-Minded Group of Countries Supporters of Middle-Income Countries (MICs) held at the United Nations Headquarters in New York on September 23.

In his keynote speech on “Overcoming the Middle-Income Classification through a Multidimensional Approach to Development,” Secretary Pernia underscored the need to consider other poverty and inequality indicators, as well as countries’ susceptibility to shocks in country classification. He stressed that a multidimensional approach will better capture the development status of a country and will allow for more targeted and relevant responses.

Development assistance and cooperation under the UN and the international financial and economic system are currently based on the World Bank classification of countries, which measures only countries’ Gross National Incomes (GNI).

In his statement, Secretary Pernia stressed that development challenges can be more properly addressed through a multidimensional approach. Development partners will likewise be guided in determining the type, mode, level and timeliness of assistance that they should extend to each country which will allow MICs to engage in vertical and horizontal partnerships for more responsive policies and programs to attain the SDGs.

The Philippines is a founding member of the Like-Minded Group of Countries Supporters of Middle-Income Countries (MICs), whose members include Armenia, Belarus, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Jamaica, Mexico and Panama.

The Meeting adopted a Declaration to advance the establishment of a comprehensive UN-wide system and long-term strategy aimed at facilitating sustainable development cooperation and coordinated support towards MICs, to conduct an outreach strategy within the UN community and with the general public to raise awareness of MICs and advocate and promote MICs’ views in sustainable development-related processes within UN bodies, specialized agencies and Funds.

In a video message, UN Secretary General Ban Ki-Moon recognized the crucial role of MICs in achieving the Sustainable Development Goals (SDGs). He stressed that although MICs have achieved remarkable progress in recent decades as major engines of global growth, MICs still face major economic, social and environmental challenges.

UN President of the General Assembly Mr. Peter Thomson and UN President of the Economic and Social Council Frederick Shava also addressed the meeting, where they acknowledged the need to find innovative ways to engage with MICs.

The formal consideration of middle-income countries by the UN General Assembly started in 2008. The 2030 Agenda for Sustainable Development mainstreamed MICS into the UN by drawing attention to the specific challenges of this group of countries whose development needs remained invisible.

Ministers and high level representatives of Ecuador, Ghana, Kazakhstan, Thailand and Vietnam also attended the meeting. END