Public policy is needed to create the enabling environment at all levels necessary to encourage entrepreneurship and a vibrant domestic business sector. The Monterrey Consensus tasked Member States with building transparent, stable and predictable investment climates, and many countries have made great strides in this area.
The Addis Ababa Action Agenda commitments brings the financial inclusion and regulatory agendas together, by acknowledging the implication of regulations on access to financial services, while also noting the importance of robust risk-based regulatory frameworks for all financial intermediation. Inclusive finance strives to enhance access to and usage of financial services for both individuals and Micro, small and medium-sized enterprises (MSMEs).
Remittances are multidirectional, voluntary, and private international monetary transfers from migrants to their families and contacts in their countries of origin.
The Addis Ababa Action Agenda pledges to facilitate the flow of remittances and commits to:
Domestic capital markets have an important role to play in mobilizing private capital to finance domestic development. By giving companies the ability to borrow domestically in local currencies, domestic capital markets can also reduce currency mismatches for borrowers, thus reducing systemic risks. At the same time, government bond markets create tools to manage macroeconomic and fiscal risk and provide important pricing benchmarks.
The Addis Ababa Action Agenda commits to incentivizing the expansion of direct investment/foreign direct investment (FDI) to underfunded countries and priority sectors, while ensuring the maximum contribution to sustainable development and other national and regional goals.
Specifically, the Addis Agenda:
The Addis Ababa Action Agenda welcomes voluntary initiatives and encourages greater accountability by the private sector to embrace business models that have social and environmental impacts, and that operate sustainably. At the same time, it also emphasizes the importance of policies and regulatory frameworks.
In terms of private-led voluntary initiatives, the Addis Agenda:
The Addis Ababa Action Agenda welcomes the rapid growth of philanthropic giving and the significant financial and non-financial contribution philanthropists have made towards achieving our common goals. It encourages philanthropists to partner with Governments, as well as increased transparency and accountability in philanthropy.
Specifically, the Addis Agenda:
The Addis Ababa Action Agenda calls for increased investment in sustainable and resilient infrastructure, including the areas of energy, water and sanitation for all, as prerequisites for achieving the Sustainable Development Goals.
The Addis Agenda: