17 April 2014
ECOSOC, IFIs Discuss Financing for Sustainable Development
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The UN Economic and Social Council (ECOSOC) held a two-day special high-level meeting with the World Bank, the International Monetary Fund (IMF), the World Trade Organization (WTO) and the UN Conference on Trade and Development (UNCTAD).

Global private sector and civil society representatives discussed the need for a greater international cooperation in macroeconomic policies and a coherent financing framework for sustainable development, the implementation of international monetary reform, and the creation of a more inclusive system of global governance.

Ecosoc Un15 April 2014: The UN Economic and Social Council (ECOSOC) held a two-day, special high-level meeting with the World Bank, the International Monetary Fund (IMF), the World Trade Organization (WTO) and the UN Conference on Trade and Development (UNCTAD). Global private sector and civil society representatives discussed the need for greater international cooperation in macroeconomic policies and a coherent financing framework for sustainable development, the implementation of international monetary reform, and the creation of a more inclusive system of global governance.

“Placing our world on a sustainable path needs to be infused with a new global partnership for development. This partnership must be based on equity, cooperation and accountability,” said Jan Eliasson, UN Deputy Secretary-General, delivering remarks on behalf of UN Secretary-General Ban Ki-moon. He said the employment situation is dire in many countries and inequalities are growing: the world’s wealthiest 85 people have as much wealth as the poorest half of the global population.

José Antonio Ocampo Gaviria, UN Committee for Development Policy (CDP), emphasized that only international cooperation can reverse the eroded tax basis that has generated a regressive tax system, and called for creating a formal debt-management system as an aid to both developing and developed countries, in line with the Monterrey Consensus. Mansur Muhtar, Co-Chair, Intergovernmental Committee of Experts on Sustainable Development Financing (ICESDF), noted that nobody questions the role of ODA, but we need to look in mobilizing other sources as well.

Erika Karp, Cornerstone Capital Inc., said achieving the Sustainable Development Goals (SDGs) will require trillions of dollars, which could be found in the capital markets. “If we promote the companies, if we promote policies that get corporations, private sector, asset managers, asset owners, all moving, we can meet the challenges,” she urged. In the long run, she argued, there is no dichotomy between pursuing corporate profitability and achieving societal imperatives.

Aldo Caliari, Rethinking Bretton Woods Project, spoke about the concerns related to the ability to mitigate risk in public-private partnerships (PPPs). The profit-maximizing agenda should not be fulfilled at the expense of government handouts, he emphasized. When such partnerships have failed in the health, education and water sectors, he noted, States had to intervene because of their obligation to provide basic services. He cautioned that the possibility of corruption looms much larger over PPPs because of their complexity and the scale of investment involved. He said the question the world should be asking is how much “skin” the private sector should be expected to put on the line.

ECOSOC President Martin Sajdik closed the event noting that “We need a comprehensive strategy that incorporates all forms of financing, including public and private, domestic and international.” [Event Information] [ECOSOC Press Release] [UN Press Release] [IISD RS Sources]


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