Content
Cooperation with the private sector
Background: Everyone benefits from successful cooperation
Solving the social, ecological and economic problems faced by developing countries is a challenge that cannot be met by the state alone. What is required is intensive cooperation between all sections of society. Governments, civil society and the private sector must assume joint responsibility and take concerted action.
Responsibility borne by the private sector
Private sector companies wield major influence over the globalisation process. They play a key role in helping shape the social and cultural environment, as well as the conditions under which work, production and consumption take place. Their engagement and creativity also generate results in areas where the state wields barely any influence for political, economic or logistical reasons. This is why they are essential partners for German development cooperation.
Businesses operating internationally can play a decisive role in helping establish well-performing economies and a functioning infrastructure in developing countries. Their investments in developing and emerging countries by far exceed official development assistance (ODA). At the same time, though, their major influence on social development also means they bear huge responsibility.
The global economic crisis that was sparked off in 2008 also demonstrated what disastrous effects poor corporate management can have on sustainable development. In light of these experiences it is important that companies face up to their responsibilities and make sustainable development an integral component of their business strategy.
Partnership between the private sector and official development assistance
Germany supports the governments of its partner countries in establishing a social market order that fosters sustainable enterprises and prevents harmful business practices. It promotes the dissemination and application of internationally recognised standards for corporate conduct, and works within the international community to help achieve binding agreements that will create enabling environments for business in developing countries.
To achieve these objectives the Federal Ministry for Economic Cooperation and Development (BMZ) cooperates successfully with the private sector in Germany and internationally on various levels.
Cooperating with the private sector puts not only additional (private) money, but also private-sector know-how at developing countries' disposal. In turn, this increases the efficiency of German development cooperation. In addition, it leads to dialogue between representatives of official development assistance and the private sector that benefits both sides.
Information
Publications
-
Forms of Development Cooperation Involving the Private Sector
BMZ Strategy Paper
(PDF 221 KB, accessible) -
Development partnerships with the private sector
Annual report 2009
(PDF 417 KB, accessible) -
Green Economy
(PDF 1.2 MB, accessible) -
Developing markets, creating wealth, reducing poverty, taking responsibility – The private sector as a partner of development policy
BMZ Strategy Paper
(PDF 419 KB, accessible)
