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WHERE IS THEMONEY?

Financing SustainableDevelopment

uradha Rajivan

ian Development Bank 

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An “Inequality Crisis” is receivinggl!al attentin"

• #ault lines from systemic disparities - by design

• WEF !ap bet"een the richest and the rest gotaired# $%& consumption of the top '( ')*times that of the poorest

• +ne,uality is cumulative and cross-generational

economic "ealth. political po"er. social statusoverlap

• Elites kno" that e/treme ine,uality anddemocracy may not co-e/ist for long

• 0he 1D!s are one attempt to redress e/tremedisparities to change ho" money is applied

for more durable bene2ts

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Cohesion

Capital Capacity

Collaboratio

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Cohesion

CapitalCapacity

Collaboratin

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3+!3 A4B+0+%51. FRA!4E50ED F+5+n this region of savers it is less a cha

funds. more one of 2nanceCapital

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B60 03+1 W%570 3A88E5 B93ERE ARE $3A::E5!E1 0

%;ER$%4E

 P U B L I C 

 R E S P O 

 S I B I L

 I ! "

Bul# o$ the $un%s are in priv

han%s& %isperse%'oney is investe% else(he

richer countries& not in locamost in nee%

ot %irectly programmableOD)SD investments are ris#ier&

term& less pro+table

Long term $un%s yet to be u ,

 P R I .) !

 E 

 R E S P O 

 S E

'DBRole

Capital 

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Cohesion

Capital

Capacity

Collaboratin

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8umping money alone is not su

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0o make best use of all sources of fCapacity $A8A$+09 4A00ER1 0% A::

• 5ational governments. public institutions ,  'anage contra

ris#s an% re(ar%s o$ ne( #in%s o$ partnerships

• 1ub national. parastatals. municipalities , Prepare an% 4ual+nancing options 2%ebt mar#ets& muni bon%s3

• $orporates ,  Buil% ne( s#ills to re*orient pro+t mo%els aroun%

aims

• +nvestment funds , Shape a(areness an% e5pertise to incorporpurpose in investments

• $ivil society. think tanks ,  In$orme% %ialogue& help incentiviseto(ar%s %evelopment

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Cohesion

Capital Capacity

Collaboration

A 1t ti 8 i t f + t t d R

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A 1tarting 8oint for an +ntegrated Re1D!s provide a net"ork of targets "ith in

opportunities forE$%5%4+$ 8R%18ER+09 = 1%$+A: E>

E5;+R%54E50A: RE18%51+B+:+0 

Source6 U DES)& Towards integration at last? The sustainablea network of targets, 7or#ing Paper o8 9:9

$ohesion 

;ELP US !O BE O !;E S)'EP)1E& ) S;)REDFR)'E7OR< !O6

• Respond better tocountry-customi?edplans

• +dentify ne" investmentopportunities

• 1pot projects to bephased out

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Cohesion

Capital Capacity

Collaborati

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Collaboration5% %5E $A5 D% +0 A:%5E

E/plore $ollaborations for 1ystemic Alignment "iDevelopment

Formali?ed and non-formalarrangements

1hared perspectives across in@uencersand decision makers!lobal. bilateral. sub-regional

collaborations

• 0a/ havens. transfer pricing

•

$ross border mobility

• $ommon markets

• Environmental responsibilities

• Data and monitoring$%::AB%RA0+%5 +1 E9 F%R +116E1 03A0 $A5 %

8AR0+A::9 ADDRE11ED 5A0+%5A::9 

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Collaboration8AR05ER13+81 F%R 1610A+5AB:E DE;E

8ublic. 8rivate

86B:+$. 8R+;A0E• 888 4odels - Un%erstan% (hat has (or#e% an% (hat has not=

shi$ts role $rom sole $un%er an% operator to $ocus on $acilitation&

accountability• 1teering 8rivate Resources - 'anagement o$ natural resourc

+nance• 5ational Development Banks , Sector %evelopment• 8rivate 0ransactions 8roviding 8ublic Bene2ts - Carbon P

Financial !ransaction !a5

B61+5E11E1. 03+5 0A51. $+;+: 1%$+E09 86B:+$ A5D• Develop benchmar#s>%ashboar%& principles an% in%icators & $or

$or sustainable %evelopment investments 2currently only OD) i

46:0+:A0ERA:1. %03ER 8AR05ER1• +mprove support for results in contrast "ith bigger inves

• 1ector development. capacity for projects vis-C-vis di

)sia has the $un%s

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Cohesion

Capital

Capacity

CollaboPartnerships atall levels *connectperspectives *

public an%rivate

Interlin# S$or amonitore%%urableresponse

)sia has the $un%s&but %isperse%&investe% else(here

LeveragePublicresponsibility

Private Response

Pumping notenough

'a#e%estinations o$+nance attractivetoo

THE $ Cs TO %RIN& IN MONEY TO THETHREE 'I((ARS O# S)STAINA%(E

*E+E(O'MENT 

• Economic Prosperity• Environmental Responsibility• Social E4uity

h ld

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1hould "e• $onsume more or invest more

• 8ay fair "ages before high dividends

• 1hare ta/ burden in a progressive "ay andclose loopholes

• >uestion aggregate !D8 as the mainmeasure of human progress

• $hannel longterm savings into longterminvestments

h l

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+n the longrun "e mayall be dead

But not all atthe same

time

+t is up to us

to make