23/06/2023 - This Summit has been an incredibly important opportunity to affirm our shared commitment to a stronger and better quality global financial architecture.

And importantly to focus on concrete, meaningful actions to achieve this.

Official development assistance – which reached more than USD 200 billion in 2022 – is and will remain a critical source of external finance for developing countries.

And it will become increasingly important when it comes to filling financing gaps for cross-border challenges, in particular tackling climate change and responding better to pandemics.

But it cannot solve all development challenges given the scale of financing needed.

The OECD welcomes and is committed to deliver, in partnership with all of you, this Summit’s “Roadmap for Delivery” – to strengthen the global development finance architecture and to fill in the gaps.

 

We will deliver follow-up actions in five key areas:

First, we will continue to lead efforts to help strengthen domestic resource mobilisation in developing countries, including through the highly effective joint OECD-UNDP Tax Inspectors Without Borders initiative.

We will also launch an operational task force to increase and co-ordinate efforts on technical assistance and capacity building on tax.

We will deliver by the G20 Leaders’ Summit in Delhi a joint action plan with our partners to support developing countries’ implementation of the Two-Pillar tax reform designed to make our international tax arrangements fairer and work better in an increasingly digitalised and globalised world economy.

These efforts to improve international tax cooperation, in particular through the 15% global corporate minimum tax, will be a source of significant additional revenue for developing countries, which will no longer be forced by undue pressure to adopt low or non taxes in order to attract investment.

The OECD will also partner with the International Monetary Fund to develop and present at the COP28 in Dubai measures to support increased price transparency and effectiveness for domestic carbon markets.

Second, we will support countries to mobilise more and better private finance at scale, including through leveraging innovative instruments such as blended finance, green and social bonds, and debt-for-nature swaps.

We will develop guidelines for financing nature-based solutions and deliver later this year a groundbreaking Supervisory Framework for central banks, supervisors and banks to assess biodiversity- and nature-related financial risks.

On green infrastructure, the OECD will work with institutional partners to explore how best to foster the development of vibrant secondary markets for infrastructure assets.

This could include developing a platform or a financing facility with governments and development banks to mobilise capital for green infrastructure from mainstream institutional investors.

We will also set up a Task Force to discuss progress and assess best practices on mobilising private finance for sustainable development, tackling climate change and protecting biodiversity.

This will build on our upcoming annual report on progress toward the goal of providing and mobilising USD 100 billion of public and private finance for action on climate, which will be released before COP28.

Third, the OECD will propose a new narrative for sustainable development and better metrics to capture sustainable finance flows including through our new tool on “Total Official Support for Sustainable Development”.

This newly updated tool will help to better integrate support for action on climate, biodiversity and water, better reflect private sector involvement, and improve the accountability, coherence and effectiveness of official donors’ assistance.

Fourth, as a founding partner of the “Paris Dialogue on Financing for Sustainable Development” launched yesterday, the OECD will help better co-ordinate the efforts of international institutions, and foster innovative ideas to bridge the financing gap for sustainable development.

Fifth, we will continue to support policymakers in ensuring a sound approach to development.

We will provide evidence-based policy recommendations in support of developing countries’ efforts to remove barriers to trade, investment and remittances.

And we will help policymakers ensure responsible business conduct, including preventing green washing, or sustainability washing, through our global standards and practical guidance.

In closing, the OECD supports meaningful, impactful policy action based on data and solid evidence.

The OECD will do everything we can to help build on the momentum, the commitments and the ideas of this Summit for a New Global Financing Pact.

Working with over 100 countries, the OECD is a global policy forum that promotes policies to preserve individual liberty and improve the economic and social well-being of people around the world.