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Aid for Trade and the Sustainable Development Agenda

OECD 2016.12.15
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The 2030 Agenda for Sustainable Development with the Sustainable Development Goals at its core calls to “(…) increase aid-for-trade support for developing countries, in particular least developed countries.” This call echoes a similar appeal in the Addis Ababa Action Agenda of the Third International Conference on Financing for Development. In response, the OECD Action Plan on the Sustainable Development Goals: Better Policies for 2030 also argues for further promoting aid for trade and ensuring that it supports the achievement of the Sustainable Development Goals. This paper discusses how aid for trade can contribute to these goals. It argues that the Aid-for-Trade Initiative already takes an integrated and multi-dimensional approach to promoting trade, economic growth and poverty reduction. Aid-for-trade programmes are critical to turn trade opportunities into trade flows, but more is needed to make trade an engine for green growth and poverty reduction for both men and women. International companies are already increasing their financial and technical contribution to building trade-related capacities in developing countries. Strengthening private sector engagement further could be achieved by expanding platforms for project-based collaboration that create multi-stakeholder value. Such approaches will better facilitate trade for development and strengthen the contribution of aid for trade to the 2030 Sustainable Development Agenda.

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