The OECD Ministerial Conference Meeting (MCM) took place in Paris June 9-10, focused on “The Future We Want: Better Policies for the Next Generation and a Sustainable Transition,” with a ministerial conference statement promoting sustainable economic recovery in the post-pandemic world, transition to sustainable and inclusive development, adoption of resilient health systems, among other important initiatives. Importantly, ministers at MCM adopted roadmaps for accession to the OECD for Brazil, Bulgaria, Croatia, Peru and Romania, opening up a key opportunity for USCIB to work through Business at OECD to advance member priorities in these countries.
At a side event, “Strengthening Sustainable Investment Policies,” Chair of the USCIB Trade and Investment Committee and Chair of Business at OECD Rick Johnston promoted the OECD FDI Qualities Initiative and the newly unveiled FDI Policy Toolkit for supporting sustainability goals. According to Johnston, the FDI Qualities Initiative is not only important to OECD members states but also to the developing markets they serve. “Sustainability indicators must be part of FDI regimes or the host country will not only suffer bad investments but also collateral problems.” He underscored that the private sector takes seriously sustainable FDI and urged countries to work closely in partnership with business in adopting policies that “make sense.”
On 10 June, the OECD Council Recommendation on FDI Qualities for Sustainable Development was adopted by OECD ministers. USCIB through Business at OECD (BIAC) strongly contributed to the FDI Qualities effort. Launched in 2018, the OECD FDI Qualities Initiative aims to better link FDI with sustainable development, focused on four Sustainable Development Goals (SDGs): productivity and innovation, job quality and skills, gender equality, and decarbonization. The Initiative includes:
- The FDI Qualities Indicators provides data measuring the impacts of investments on SDGs in host countries; the FDI Qualities Indicators report for 2022, includes new sections on the green economy and resilience to the COVID-19 pandemic.
- The FDI Qualities Policy Toolkit is a new product to help governments identify priorities to align investment policy and institutional reforms to sustainable development goals.
- The FDI Qualities Policy Network is a platform for stakeholder consultation and exchange on sustainable investment policies.