Major new report on private finance urges post-2015 focus on quality not quantity

An interesting report commissioned by the European Parliament, with a clear message for all those engaged in the growing debate about the role of external private finance in development: quality matters far more than quantity.

"The way forward ?

So, if focusing on trying to leverage more external private finance into developing countries is the wrong agenda, what’s the right one? Simple – remember that rules, policies and institutions that developed countries control remain extremely important."

The the reports provide suggestions:

• "Recognise the severe flaws in investment treaties which have reduced developing country space to protect their economies from destabilising exits of capital during difficult times.
• Take action to curb illicit capital flows and reduce tax avoidance and evasion by European companies, for example, by introducing country by country reporting and public registries of beneficial owners.
• Support efforts to introduce fair and transparent debt workout mechanisms, conduct audits, and reduce the unsustainable debt burdens in many developing countries.
• Show global leadership in the creation and adherence to responsible financing standards."

http://eurodad.org/Entries/view/1546189/2014/04/10/Major-new-report-on-private-finance-urges-post-2015-focus-on-quality-not-quantity