Ensuring that growth is equitable and sustainable, leaving no one behind, will be a hallmark of SDG achievement. UNCDF’s finance models that unlock public and private resources, especially at the domestic level, are strongly relevant to the AAAA and the SDGs. Both stress that international public finance remains central to achieving the SDGs.
The financial requirements for LDCs to achieve the SDGs and structural transformation are enormous. ODA makes up more than two thirds of external finance for LDCs. LDCs can face major constraints in mobilizing other resources for development and in channeling them into social and economic infrastructure and productive investments. Still, there is a need for multiple sources of finance, especially from the private sector, and those resources must work together effectively. This is echoed in the Paris Agreement on climate change.
UNCDF and the ADDIS ABABA ACTION AGENDA
WHAT: In July 2015, the UN’s Member States agreed to overhaul global financing and to generate new investments to help tackle a range of social, environmental and economic challenges.
UNCDF’S ROLE: Increased public and private financing is essential for achieving international development goals. UNCDF programmes make it possible for governments to access public and private investments and domestic resources in support of development that is inclusive, resilient and sustainable. UNCDF incubates public-private financing and development models, expanding the frontier of finance. It does this by:
UNCDF and the PARIS AGREEMENT UNDER THE UN FRAMEWORK CONVENTION ON CLIMATE CHANGE
WHAT: In December 2015, 195 countries and the European Union unanimously signed off on an historic agreement to combat climate change. The Paris Agreement aims to strengthen the world’s ability to deal with the effects of climate change and limit further global warming, and to take the necessary action to keep global warming levels “well below” 2 degrees Celsius above pre-industrial levels.
UNCDF’S ROLE: The Agreement recognizes the role of the subnational level in strengthening resilience to climate change. UNCDF’s own financing models attract resources and channel them into secondary cities and peri-urban and rural areas that find themselves on the frontlines of climate change. This resource redistribution helps these localities meet the growing demands they face for clean energy, efficient public transportation and resilient infrastructure.
UNCDF and the ISTANBUL PROGRAMME OF ACTION FOR LEAST DEVELOPED COUNTRIES
WHAT: In 2011, the Fourth United Nations Conference on Least Developed Countries adopted the Istanbul Declaration and the Istanbul Programme of Action for the decade 2011-2020 (IPoA). The IPoA contains eight priority areas of action to enable at least half of the world’s LDCs to graduate from that category by 2020.
UNCDF’S ROLE: As the UN’s capital investment agency for the world’s 47 LDCs, the IPoA informs UNCDF’s development approach in support of LDC graduation ambitions. In fact, UNCDF’s work contributes to all of IPoA’s priority areas of action, with the exception of those on trade and commodities.
Get the latest news, resources and insights delivered directly to your inbox