Finance is not working for people or the planet
The global wealth is estimated at around US$430 trillion but under the current financial system finance is not going where it is most needed, and often it goes to the “wrong things”. Current decision-making over both public and private investments are negatively impacting the environment beyond repair and concomitantly exacerbating poverty and inequality, contributing to social tensions.
The answer lies in an sustainable finance architecture based on the SDGs.
The world needs a financial and economic governance architecture deliberately designed to support governments, development agencies, civil society and private sector come together to make decisions that prioritize investment in the SDGs.
UNDP works with multiple partners to realize a sustainable finance architecture and calls on its partners to join UNDP in its $1 trillion ‘Moonshot’ target to help mobilise game-changing public and private sector resources towards the SDGs.
SERVICE OFFERS 4+1
Public Finance
Official Development Assistance while critical is not enough to address the development financing needs. UNDP’s public finance offer focuses on the alignment of public finance with the SDGs through
- raising domestic revenues aligned with the achievement of SDGs
- raising public finances –SDG aligned bond issuances
- sovereign risk financing instruments to protect assets and enable investment
- SDG aligned fiscal planning and expenditure management
Unlocking Private Capital and Aligning Business operations for the SDGs
SDGs provide the blueprint framework to make investment decisions that are driven by impact not by profit alone. UNDP’s service offer contributes to promoting the alignment and mobilization of private capital towards the SDGs through
- originating SDG investment project pipelines
- accessing public and private capital for SDG investment
- aligning business operations with the SDGs
- supporting and enabling policy environment for SDG investment
SDG Impact Management and Finance Tracking
World needs to move to a system where all capital is deployed responsibly and sustainably. UNDP’s service offer aims shift the current systems of decision-making towards investment with positive impact on people and the planet.
- Policy frameworks and accountability for SDG IMM
- Public sector systems for tracking public and private finance towards SDG impacts
- SDG IMM for private sector entities
- Impact assurance and standards for public and private actors
Integrated National Financing Frameworks (INFFs) and Portfolios
INFFs in more than 80 countries bring together a wide range of existing public and private actors to mobilize and align financing for sustainable development and the SDGs at the country level. UNDP leads the technical assistance through
- designing integrated national financing frameworks
- delivering risk-informedfinancing strategies
- building Country Office SDG finance portfolios
- accessing knowledge and expertise through the INFF Facility
SDG Finance Academy
SDG Finance Academy enables and ensures the success of the four service offers acting as a foundation in support of their delivery, reach and implementation by building the capacities across UNDP and other key actors through:
- tailored learning and training modules
- building a community, exchanging knowledge and curating experts
- generating engagements