Charting the Course for SDG Financing in the Decade of Delivery
By Charlotte Petri Gornitzka and Gavin E. R. Wilson
Despite a tremendous increase in the number of initiatives dedicated to sustainable development since the adoption of the 2030 Agenda in 2015, a persistent $2.5 trillion annual financing gap stands in the way of the Sustainable Development Goals (SDGs). The international community has committed to turn promises into reality as we enter the “decade of action and delivery”, acknowledging that the progress made so far has been very slow in many areas.
The first step in financing the SDGs is to ensure that capital is actually deployed where it has true sustainable development impact. Global GDP in 2018 amounted to an estimated $85 trillion. This means that if only 3% of the global GDP was invested for sustainable development, the world would be able to close the SDGs financing gap – the global community would be able to meet our sustainability ambitions and collectively achieve the 2030 Agenda.
Many obstacles, however, stand in the way. The Global Future Council on Development Finance, convened by the World Economic Forum and comprising 24 experts active in the field, is focusing on innovative ways to overcome the systemic challenges that limit the flow of development finance. For the Davos Annual Meeting 2020, we created the new Development Finance Transformation Map, summarizing the key dimensions characterizing the ecosystem.
Photo courtesy of Isriya Paireepairit.
