ESCAP and the Republic of Korea urge governments to adopt innovative financing measures to advance 2030 Agenda in Asia and the Pacific

General Press Releases Tuesday October 24, 2017 15:56
Bangkok--24 Oct--ESCAP-SCAS

A new report released today by the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), in partnership with the Science and Technology Policy Institute (STEPI) of the Republic of Korea, is calling for governments to adopt innovative financing models to advance the Sustainable Development Goals (SDGs) in the region.

While donor and philanthropic funds add up to billions of dollars, the cost of solving the world's most critical development challenges runs into the trillions, with an estimated annual funding gap of $2.5 trillion to achieve the SDGs by 2030.

"It is imperative to implement innovations that can divert private capital towards development objectives to help bridge the SDG financing gap," explains United Nations Under-Secretary-General and Executive Secretary of ESCAP Dr. Shamshad Akhtar. "The Innovative Financing for Development in Asia and the Pacific report aims to spark ideas and knowledge sharing to help stimulate further action to develop the innovative financing solutions urgently required for the advancement of the 2030 Agenda," she added.

"Public policy plays a key role in enabling innovative financing for development by creating a favourable ecosystem where private capital pays more attention on SDGs," pointed out Dr. Song, Jong Guk, President of STEPI, a leading Korean policy think-tank in the field of science, technology and innovation. "STEPI is very pleased to contribute to this flagship report to highlight the importance of innovative financing for the SDGs," he added.

Since 2009, the Seoul metropolitan government has been implementing social economy policies to address growing inequalities, high youth unemployment rates and an aging society. These comprehensive policies have been highly successful and there are now 3500 social enterprises operating in the city, with sales volumes reaching 1.29 billion USD.

The success of the programme is based on four pillars: a cooperative governance model that encourages private and public stakeholder participation throughout the whole policy cycle, the localization of the social economy through the creation of social economy zones, fostering an ecosystem for the social economy, and expanding the public procurement of services and products offered by social enterprises to provide them with business opportunities.

The report analyses this and other innovative financing mechanisms in five core areas, namely: strategic leadership models that promote impact investing; policies that unlock corporate investment for development; private sector financing products for development; innovative public financing models for science, technology and innovation; and systemic approaches to finance and innovation as means for development.

It also features a range of other case studies from around the region and offers valuable guidelines for policymakers looking to introduce similar mechanisms. Examples include the India Impact Investment Council, the Thai Social Investment Taskforce, India's Corporate Social Responsibility Law and Singapore's Women's Livelihood Bond, the problem-solving R and D programme of the Republic of Korea and the Social Outcomes Fund in Malaysia.

Key recommendations for governments include developing an impact investing strategic road map to guide the development of an innovative financing movement. The report also underlines the need for governments to provide incentives for the private sector (for example through public procurement or tax incentives) to move from economic-driven investments to impact investments that generate social, environmental and financial returns.

The report is part of ESCAP's efforts to support its Member States in promoting social enterprises and impact investment.

Latest Press Release

Summer Delights at Le Meridien Suvarnabhumi, Bangkok Golf Resort and Spa

The iconic desserts from Europe have arrived! Take a big bite or more of our latest sweet addition to Favola Italian Restaurant and Latitude 13º 39' Bar Favola Italian Restaurant Cool down the summer heat with Italian homemade ice cream Gelato....

Seasonal Fruits Delights At Spice Market, Anantara Siam Bangkok Hotel

Savour Thai specialities made with a variety of local fruits in season, from now until 31 August 2018 at Spice Market, Anantara Siam Bangkok Hotel. Chef Warinthorn Sumrithphon, Head Chef at Spice Market carefully prepare a refreshing array of Thai dishes...

KTC boots promotion for sport lovers.

"KTC" or Krungthai Card Public Company Limited, in association with leading sport shops, gives extra privilege to KTC cardmembers who have sports lifestyle. The privileges include step 1 – 20% discount on participating products, step 2 –...

The most sophisticated and beautifully crafted Afternoon Tea Reimagined is divulged at Siam Kempinski Hotel Bangkok

Siam Kempinski Hotel Bangkok is unveiling a new-look week-end Afternoon Tea concept as part of the hotel's magnificent eighth anniversary celebrations this September. The new sophisticated and state-of-the-art "Afternoon Tea Reimagined" expands this...

Celebrate Mothers Day at Anantara Siam Bangkok Hotel

Honour the wonderful women in your life and treat your mother to a delicious dining experience at Anantara Siam Bangkok from 11 - 12 August 2018 with special Mother's Day celebrations. Sunday Brunch at Parichart Court, 12 August 2018. From 11.30 am...

Related Topics