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Policy Coherence for Sustainable Development: Challenges and Opportuni<es
Ebba Dohlman, Senior Advisor Policy Coherence for Development, OECD
is an approach and policy tool to integrate the economic, social, environmental, and governance dimensions of sustainable development at all stages of domestic and international policy making.
PCSD
PCSD -‐ An approach and policy tool
Source: OECD (2014) Better Policies for Development 2014: Policy Coherence and Illicit Financial Flows, OECD Publishing.
Main Objec<v
es
Foster synergies across economic, social and environmental policy areas
Address the spillovers of domes:c policies SUSTAINAB
LE DEV
ELOPM
ENT 1
2
3
SeQng & priori<sing objec<ves:
Poli<cal commitment & policy statements
Coordina<ng policy & its implementa<on:
Policy coordina<on mechanisms
Monitoring, analysis & repor<ng:
Systems for monitoring, analysis & repor<ng
A
C B
The Three Building Blocks for PCD
DEVELOPING COUNTRY
DEVELOPED COUNTRY
Spill-‐over effects
(e.g. suppressed prices
on world markets, lowering returns to developing country farmers)
...which affect
...used to produce
Policy outcomes
(e.g. increase farmers’ incomes)
Policy outputs (e.g. augment produc:on)
Policy inputs
(e.g. price support and subsidies to
agricultural sectors)
A “do no harm” approach to PCD
Agricultural policies
High-‐level outcomes (e.g. reduce poverty and hunger)
Development Coopera<on Policy
outcomes (e.g. increase farmers’ incomes in developing
countries)
Policy outputs (e.g. increase produc:on in
developing countries)
Policy inputs
(e.g. aid to support agricultural
development)
Policy coherence for Inclusive and Sustainable Development
ADVANCED ECONOMIES
OTHER ACTORS (e.g. IOs, private
sector, CSOs, NGOs )
EMERGING AND DEVELOPING ECONOMIES
SUSTAINABLE DEVELOPMENT
High-‐level outcomes
High-‐level outcomes
High-‐level outcomes
Policy inputs
Policy outputs
Policy outcomes
Policy inputs
Policy outputs
Policy outcomes
Policy inputs
Policy outputs
Policy outcomes
ECONOMIC
SOCIAL
ENVIRONMENTAL
POLICY EFFECTS
SYSTEMIC CONDITIONS
Causal rela:ons Side effects
(+ or -‐)
ENABLING ENVIRONMENTS
Monitoring progress on PCSD
Elements Indicators
Mechanism for Coherence • Public commitment • Priori:es and a specific ac:on plan • Inter-‐ministerial coordina:on • Capacity to analyse policy impacts • Analysis of policy coherence (specific issues) • Monitoring and repor:ng systems • Policy efforts
Policy interac<ons • Access to resources • Efficiency in the use of natural resources (energy, land, water, mineral, etc) • Sustainability
Policy effects “Here and now” dimension • Well-‐being indicators (Nutri:on, health, labour, educa:on, etc.) “Elsewhere” dimension • ODA, • imports from less-‐developed countries • Migra:on of human capital • Trans-‐boundary contribu:ons to footprints on land/water/carbon • Imports of energy/ mineral resources • Exports of physical/ knowledge capital • Foreign Direct Investment • Contribu:on to interna:onal ins:tu:ons “Later” dimension • capital stocks (that should be preserved for future)/long-‐term drivers
(economic capital, natural capital, human capital, social capital)
PCSD in the SDG Framework
SUSTAINABLE DEVELOPMENT GOALS (SDGs) GOAL ON MEANS OF IMPLEMENTATION (MOI)
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
Poverty Hunger Health Education Gender Water Energy Economy Industry Inequality Cities SCP Climate Oceans Ecosyst. Peace Finance Tech. Capacity Trade PCSD Partners. data, etc.
• Effects on wellbeing (“Here and Now” dimensions) • Trans-‐boundary effects (“elsewhere” dimension) • Inter-‐generaIonal effects (“later” dimension)
Ins<tu<onal seQngs and processes
Policy design and formula<on
Policy implementa<on
OECD can support your efforts • Strengthening of PCD tools – Revision and expansion of the PCD
Framework feedback from Finland on FS module; new module on IFFs; other country pilots
• Applying a PCD lens to key issues – PCD Flagship report Thema:c chapter; chapter on na:onal experiences; emerging PCD issues; towards a monitoring matrix
• Developing monitoring tools – PCD indicators Food security, Illicit financial flows, and green growth, dialogue, enabling environment
• DisseminaIng evidence-‐based analysis – New policy brief series: Coherence for Development (CODE) NTMs; ITCs, fisheries and aquaculture; Responsible Business Conduct; Compe::on Policy
• Fostering dialogue and knowledge sharing on PCD – Strengthening of the online PCD Pla]orm New func:ons; virtual task teams; pilot dialogue on FS in collabora:on with a Spanish university
Making use of exis<ng OECD work to inform coherent policy-‐making
• Indicators/datasets that indicate policy effort ü Trade Facilita<on Indicators ü Foreign Direct Investment Restric<veness Index ü Total support es<mates for fossil fuels ü Most produc<on-‐ and trade distor<ng support to agriculture
• Policy instruments to create enabling environments ü Policy Framework for Investment ü PISA for Development ü Guidelines for Mul<na<onal Enterprises ü Private Sector Par<cipa<on in Water Infrastructure – Checklist for Public Ac<on
• Dialogue tools for knowledge sharing ü Global Forum on Transparency and Exchange of Informa<on for Tax Purposes ü Policy Dialogue on Natural Resource-‐based Development ü Regional Networks on Corporate Governance of State-‐Owned Enterprises ü Interna<onal Low-‐Carbon Energy Technology Pla`orm
Why worry about illicit financial flows?
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
ODA Corrup<on Money Laundering Tax Evasion (US only)
Why is coherence important for addressing IFFs? Na:onal Organisa:on