Second Interactive Roundtable on the Theme “Innovative Solutions to Unlock SDG Investments”
Innovative Approaches and Partnership to Boost Private Finance for the SDGs
Υour Excellency,
Distinguished Participants,
Our world is confronted with a poly-crisis that could threaten the achievement of the Sustainable Development Goals (SDGs). At the same time, the SDG financing gap is widening, affecting disproportionately the furthest left behind. While there is a widespread consensus to bridge this gap, progress is still falling short. The SDG Stimulus calls for a significant increase in financing for sustainable development, roughly estimated at $500 billion per year at a minimum, to be delivered through a combination of concessional and non-concessional finance, in a mutually reinforcing way.
Could it be that we are using yesterday’s tools to address tomorrow’s challenges? Are we perhaps lagging behind collectively as regards the necessary response to the challenges posed by climate change –or rather a climate crisis- for ourselves and for future generations? It is becoming evident that the current international financial system is unfit for purpose when today’s compounded crises ask for more complex, innovative and sustainable solutions. To unlock the much-needed private finance potential and to better tackle global challenges, the international financial architecture should become more inclusive, bold and creative.
What is also needed today is (a) mobilization of private investments by removing barriers and improving enabling environments through regulatory and legal reforms. We should address how to create incentives to make the private sector a solid partner in development, for instance de-risking, finding a more equitable sharing of risks between the public and private sectors and creating business conditions and regulatory frameworks that are conducive to investment. (b) Support reforms of Multilateral Development Banks (MDBs)/IFIs that will generate more development finance, also for addressing climate change. (c) Develop a multipronged mobilization agenda, with Official Development Assistance (ODA) strategically leveraging other sources of finance for developing countries and ensuring the qualitative and policy aspects of ODA. Focus would be on the potential for leveraging resources from the private sector, through specific modalities for blended finance and by contributing to creating investment friendly conditions and better enabling environments in partner countries (with regard to anti-tax evasion, anti-corruption and anti-illicit financial flows efforts).
I would now like to present concrete examples of how development cooperation efforts with broad-based partnerships (private sector, governments and civil society organizations) contribute to the implementation of the SDGs:
A. As the negative impacts of climate change become more pronounced everyday, islands across the world are in a position of increased vulnerability aggravated due to their limited carrying capacity and vulnerability of natural resources as insular areas. In this context, the recently launched “GR-Eco Islands Initiative” indicates the commitment of the Greek Government to promote the green and digital transformation of Greek islands, coupled with the project of their decarbonization, constituting an innovative policy approach that can inspire change across the world. The “GR-eco islands” initiative aims to transform Greek islands into innovation hubs and models of green economy, energy autonomy, digital innovation and eco mobility. This Initiative aims to enhance the public-private partnerships, in order to effectively ensure funding, construction and operation of specific projects.
B. Greece attaches great importance to the health of women and children. In this context, the Ministry of Foreign Affairs (Hellenic Aid) and a London-based Foundation, have partnered to implement a Fetal Medicine Programme for the period 2022-2025 in selected priority partner countries (Albania, Armenia, Ethiopia, Moldova and Republic of North Macedonia), as well as in Kosovo. The aim is to contribute to the reduction of maternal and perinatal mortality in developing countries through training in the use of ultrasound and the creation of fetal medicine units to improve the care of pregnant women.
C. Initiated by the Hellenic Federation of Enterprises (SEV), the Greek - Ukrainian Startup Gateway action aims to support Ukrainian startups by offering the founders, the employees and their families temporary relocation to Athens for networking with Greek Startups and Greek investors.
Your Excellency,
Distinguished Participants,
We recognize the crucial role of the private sector in achieving the SDGs and leaving no one behind. By fostering collaboration and holding companies accountable, we can harness the private sector’s potential to create a sustainable and inclusive future for all.
September 20, 2023