The Global Partnership supports evidence-based, inclusive dialogue and policies to scale up private sector engagement through development co-operation.
The scale and scope of the 2030 Agenda calls for increased private sector engagement (PSE) to harness effective financing, job creation, service delivery and innovation. Development co-operation actors are supporting this effort, and adapt their policies and practices to further harness and strengthen private sector engagement through development co-operation. The Global Partnership facilitates inclusive policy dialogue to forge consensus around principles and guidelines for the effective use of public resources for private sector engagement, based on evidence from stakeholders at the country level. The principles and guidelines will be launched at the 2019 Global Partnership Senior-Level Meeting (SLM).
PSE principles and guidelines will aim to help development actors scale up private sector partnerships leveraged through development co-operation in ways that effectively use public resources and attract business investments in order to create ‘shared value’ – for business profits and development impact – with a view to achieving the SDGs and reach those left furthest behind.
The Global Partnership is working with a series of business leaders in a caucus to provide advice on the emerging guidelines. In the run up to the 2019 SLM, it will also facilitate multi-stakeholder dialogue to promote effective ways of using development co-operation to ensure that private sector engagement will:
Global Partnership Areas of Focus
The Global Partnership identifies opportunities and challenges that the business and development co-operation communities are encountering when working together. Based on a mapping of almost 70 other global, regional and sectoral private sector engagement (PSE) initiatives, a range of actors engaged with the Global Partnership agreed to focus on developing practical, context-specific guidance on the effective implementation of PSE projects at country level. With this, it complements other ongoing work on the mobilization of private sector engagement, and on the institutional challenges in sourcing funding from the private sector for the SDGs.
Effective private sector engagement through development co-operation hinges upon at least three pillars:
1) Unleashing the comparative advantages of the development co-operation community
2) Making PSE work in programmes at the country level and;
3) Achieving sustainable results, impact and accountability with PSE projects
This assessment is based on findings from four country case studies – Bangladesh, Egypt, El Salvador and Uganda – and a mapping of 919 PSE projects and a series of interviews. While the findings are illustrative, the exercise offers new insights in how development partners support private sector engagement in practical terms and at country level, and what concerns and challenges stakeholders perceive. The work stream also bases its emerging guidance on a technical analysis of private sector engagement in emerging economies.
Going forward, inclusive consultations will help shape emerging principles and guidelines for effective private sector engagement through development co-operation. This will include an online survey, stakeholder led events and a specialized policy dialogue on private sector engagement in Paris on 16-17 January 2019. Voices by governments, civil society and the private sector will inform the principles and guidelines to be launched at the 2019 SLM of the Global Partnership.
UNDP-OECD Joint Support Team Focal Point
Mr. Thomas Boehler
Policy Analyst, Global Partnerships and Policies
Development Co-operation Directorate, OECD