Engaging the private sector in development is crucial to ensuring the growth and sustainability of business operations as well as to advancing development goals. Especially in the Least Developed Countries (LDCs) the private sector is the engine for development and wealth creation by providing employment, income, products and services that meet the economic and social needs of the poor. However, due to the challenging economic, political and social context, establishing collaborative ventures in LDCs seem to be more difficult than in other developing countries.
For donor countries and their respective development agencies it is therefore crucial to mobilize existing knowledge, capacities and resources aimed at collaborating with the private sector in LDCs in order to jointly promote economic growth and the achievement of the Millennium Development Goals (MDGs).
The report “Partners in Development – How Donors Can Better Engage the Private Sector for Development in LDCs” explores how donors can effectively support public-private collaboration efforts in LDCs in order to attract sustainable investments and foster development. The report was jointly published by the Bertelsmann Stiftung, the United Nations Global Compact and the United Nations Development Program (UNDP) and launched at the Fourth United Nations Conference on the Least Developed Countries (LDC-IV) in Istanbul from 9-13 of May.
Based on interviews with donor agencies, private sector representatives and international experts, the study takes stock of existing donor programs aimed at engaging the private sector in development activities and offers successful examples of public-private collaborations in LDCs. Also, the report identifies shortcomings and promising approaches of current donor programs, and offers recommendations on how donor programs can be improved along design, outreach, implementation and evaluation in order to attract more public private collaboration into LDC environments.
One approach to make collaboration with the private sector more effective in LDCs, so the study indicates, might be to become more strategic, e.g. by reflecting the special challenges of LDCs and matching the priority development areas of countries with those of companies, both domestic and foreign.
The Bertelsmann Stiftung is glad to provide a hard copy of the Report. In this case, please send an e-mail.