60th Conference February 19-22, 2020

St. Louis, Missouri

BACKGROUND MATERIALS

General Assembly Second Committee Prepared by: Caitlin Hopper, Kenisha Gransberry, and Allison Koelzer

Contributions from: Khaiuna Ayetimiyi

All materials ©2019 Midwest Model United Nations. For any questions regarding preparation for committee, contact Under-Secretary-General of Operations Kyle Callen at usgo@mmun.org or

Assistant Secretary-General of Operations Lydia Magalhaes at asgo.mmun.org@gmail.com

General Assembly Second Committee

Committee Mandate

In 1945, the Charter of the United Nations established the United Nations General Assembly (UNGA), which is the main deliberative body and one of the principal organs of the United Nations.1 The UNGA is comprised of all 193 Member States of the United Nations (UN) and serves as a high-level platform for diplomacy. The UNGA presents an opportunity to all Member States to create and adopt non-binding resolutions which lay out policies or international norms on certain topics. The General Assembly is broken into 6 subsidiary committees. The General Assembly Second Committee is the Economic and Financial committee of the UNGA. Second Committee addresses development and economic policy having to do with, inter alia, international trade, sustainable development, globalization, and eradicating poverty.2 The General Assembly Second Committee works with other intergovernmental development bodies, such as the World Bank and other relevant stakeholders. These partnerships ensure that actions taken both within and outside of the UN system are for the maximum developmental benefit of Member States.

Membership

As part of a plenary committee of the United Nations, the UNGA Second Committee is comprised of all UN Member States. It’s currently chaired by H.E. Jorge Skinner-Klee of Guatemala.3 The UNGA operates on the notion of sovereign equality, which guarantees all Members a single, equal vote.4 No states receive a special veto or a weighted vote.5 Some Member States lack adequate staff to have representatives at every subsidiary committee sessions or during informal debates. Typically, more delegates review and vote on draft resolutions during the UNGA Plenary sessions than during a meeting of a subsidiary General Assembly committee.6

Reporting

While some UNGA committees have direct subsidiary bodies, the Second Committee has no bodies or commissions with which it has a special reporting relationship.7 The UNGA Second Committee sets its own agenda, with input from the UNGA plenary. While in session, delegates of this committee discuss and debate a topic to develop a working paper, which can then be adopted as a draft resolution by a simple majority vote of the committee. Draft resolutions from the UNGA Second Committee and, indeed, all 6 of the General Assembly subsidiary committees, are passed on to the UNGA Plenary for a second vote and, ultimately, adoption via majority vote.8 Any resolution adopted by the General Assembly is a representation of the will of the international community.

1 United Nations Conference on International Organization, Charter of the United Nations, 1945. 2 United Nations General Assembly, “Economic and Financial Committee (Second Committee),” n.d 3 Ibid. 4 United Nations Conference on International Organization, Charter of the United Nations, 1945. 5 Ibid. 6 United Nations General Assembly, “Economic and Financial Committee (Second Committee),” n.d 7 Ibid. 8 Ibid.

Bibliography

United Nations Conference on International Organization. Charter of the United Nations. 1945. https://www.un.org/en/sections/un-charter/un-charter-full-text/. United Nations General Assembly. “Economic and Financial Committee (Second Committee).” N.d. Accessed on August 30, 2019. http://www.un.org/en/ga/second/.

General Assembly Second Committee

Topic A: International Migration and Development

Introduction

International Migration and development are significant priorities for the work of the United Nations (UN) and impactful issues for the international community. The International Organization for Migration (IOM) defines a migrant as any person who has moved across an international border or within a state away from their habitual place of residence regardless of the person’s legal status, whether the movement is voluntary or involuntary, what the causes for the movement, or the length of their stay within the host country.9 As of 2017, there were 258 million people living in a country other than their country of birth.10 In 2017, high-income countries hosted 64%, or nearly 165 million of the total number of international migrants worldwide.11 Though South to North migration was typical in the 20th century, the 21st century has seen an increase in South-South and North-South migration.12 Both internal and international migration contribute towards poverty reduction and sustainable economic development.13 The United Nations General Assembly (UNGA) Second Committee has recognized the importance of protecting the rights of migrant workers and ensuring that positive impacts of migrants on development, globalization, and sustainability continue to grow. Migration has economic, social, and cultural implications for countries of origin, transit, and destination. With increased migration, Member States can harness the benefits of migration to address migration challenge and to improve the global governance of migration.14 Migration impacts the welfare of the household, community and economy. The welfare implications of migration on the origin country are most often, though not always, sizable and positive.15 Migration can help to alleviate poverty through remittances, smooth consumption, create financial capital to start a new business, as well as tapping into the knowledge and resources provided by the international community of the migrant diasporas.16 The Sustainable Development Goals’ (SDGs’) central reference to migration is made in target 10.7: to facilitate orderly, safe, regular and responsible migration and mobility of people, including through the implementation of planned and well-managed migration policies.17 Other targets that directly reference migration mention trafficking, remittances, and international student mobility.18 In addition to this, migration is indirectly relevant to many more targets across topics. Migration has contributed to the security and stability of all citizens by decreasing poverty levels, curbing unemployment and

9 United Nations General Assembly, International migration and development, A/68/190, 2013. 10 United Nations Department of Economic and Social Affairs Population Division, Population Facts, 2017. 11 United Nations General Assembly, International migration and development, A/68/190, 2013. 12 International Organization of Migration, Migration and the United Nations Post-2015 Development Agenda, 2013, page 11. 13 Global Thematic Consultation on Population Dynamics, Population Dynamics in the Post-2015 Development Agenda, 2013, page 13. 14 United Nations General Assembly, International migration and development, A/68/190, 2013. 15 Ratha, “Impact of migration on economic and social development: a review of evidence and emerging issues,” The World Bank, 2011. 16 Ibid. 17 United Nations, “International Migration Day,” n.d. 18 United Nations General Assembly, Transforming our world: the 2030 Agenda for Sustainable Development, A/RES/70/1, 2015.

expanding experiences and opportunities to the populations.19 Migrants can contribute to sustainable development through diversification of skills of skills, providing job security for the labor force, contributions to cultural diversity, and contributions to promoting the lives communities in their countries of origin through the transfer of skills and financial resources.20 Mass migration and ever-changing demography can cause both positive and negative economic consequences on the development patterns for Member States.21

Background

In the last four decades, international migration has been one of the most visible manifestations of globalization.22 In spite of its positive effect on global efficiency and well being, there has been little progress made in designing and promoting a normative framework to allow a better global governance of international migrations.23 The UNGA Second Committee has been working towards protecting migrant rights and encourages Member States to do the same by adhering to existing frameworks and conventions on the economic, social, and political protection of migrants.24 Such agreements include the International Convention on the Protection of the Rights of all Migrant Workers and Members of Their Families and the International Labor Organization’s (ILO’s) Multilateral Framework on Labor Migration, which both call upon Member States to develop and implement policies to protect migrants from discrimination and abusive treatment. The International Convention on the Protection of the Rights of all Migrant Workers and Members of Their Families specifically draws attention to the dehumanization of migrant workers and members of their families, many of whom were stripped away of their basic human rights.25 The UNGA regularly discusses migration issues, with the most recent discussion on international migration and development held during the 71st session of the UNGA.26 The New York Declaration for Refugees and Migrants was adopted in 2016 and is the most recent major UN agreement on migration.27 It was developed by world leaders to save lives, protect rights, and share responsibility on a global scale.28 It not only addresses current challenges, but considers impacts on the future through the consideration of, inter alia, protection of human rights, providing education to refugee and migrant children, assisting countries hosting large migrant populations, combatting xenophobia and its impact on the financial solvency of migrants, and the expansion of opportunities for refugees and migrants through freedom of movement and employment.29

Current Situation

UN entities, including the UNGA Second Committee, have been working to assist both voluntary and involuntary migrants since the birth of the UN. In recent decades, migration has been seen as a significant means to reduce poverty and was a large contributor to progress made towards

19 United Nations, International Migration Day, n.d. 20 Mendel University, International Migration and Development, n.d. 21 Ibid. 22 United Nations General Assembly, International migration and development, A/68/190, 2013. 23 Ibid. 24 Ibid. 25 United Nations Educational, Scientific, and Cultural Organization, 2017, International Migration Convention. 26 United Nations Department of Public Information, General Assembly of the United Nations, “Second Committee; Documentation for the 71st session,” N.d. 27 United Nations. Refugees and Migrants, “New York Declaration,” 2019. 28 Ibid. 29 United Nations General Assembly, New York Declaration for Refugees and Migrants, A/RES/71/1, 2016.

the Millennium Development Goals. 2006 saw the development of the Global Migration Group (GMG) as an outcome of the first High-Level Dialogue on International Migration and Development.30 This inter-agency group works with 18 international organizations, including the Second Committee, on “coherent, comprehensive, and better coordinated approaches to the issue of international migration.”31 An example of this coordination is through a partnership with the GMG and the ILO, the Decent Work initiative, which aims to help countries in the formulation of legislation and policies that support migrant workers and their human rights.32 Due to the growing pace of economic globalization, unemployment and increasing poverty have prompted many workers in developing countries to seek work elsewhere, while developed countries have increased their demand for labor, especially unskilled labor.33 The International Labor Organization promotes international standards on freedom to associate, collective bargaining, the abolition of forced labor and equal opportunity and treatment.34 ILO standards on migration provide tools for both countries of origin and destination to manage migration flows and ensure adequate protection for this vulnerable category of workers.35

Economic Impacts of Migration and Development

Migration can generate large economic, social, and political benefits for migrants, their families, their host countries, and their countries of origin. Through migration, workers can increase their earnings, which can lead to considerable improvements of the welfare and development of their families and communities, especially through remittances.36 According to the World Bank, “migrants from the poorest countries, on average, experienced a 15-fold increase in income, a doubling of school enrollment rates, and a 16-fold reduction in child mortality after moving to a developed country.”37 Emigration, or the act of migrants leaving a country, can also reduce unemployment and underemployment, contribute to poverty reduction, and foster economic and social development.38 Private capital has become more mobile and moves across national borders and remittances are perhaps the most tangible and least controversial link between migration and development.39 As of 2016, USD 429 billion worth of remittances were sent to migrants country of origin, which is more than three times the amount of official development assistance worldwide.40 According to the IOM, remittances are defined as “private international money transfers that migrants make, individually or collectively.”41 While remittances to developing countries declined modestly in 2009 because of the global financial crisis, these flows have remained resilient compared to private capital flows and have become even more important as a source of external financing in many developing countries.42 Remittances can provide 30 United Nations General Assembly, International migration and development, A/68/190, 2013. 31 Global Migration Group, “About,” 2016. 32 International Labour Organization, “Decent Work,” 2019. 33 International Labor Organization, “International Labor Standards on Migrant workers,” 2019 34 Ibid. 35 Ibid. 36 International Organization of Migration, World Migration Report 2018, 2017, page 3. 37 Ibid. 38 Ibid, page 4. 39 United Nations Department of Economic and Social Affairs, International Migration and Development: A review in light of the crisis, 2011. 40 International Organization of Migration, World Migration Report 2018, 2017, page 4. 41 International Organization of Migration, Glossary on Migration, 2019, page 178. 42 Ratha. “Impact of migration on economic and social development: a review of evidence and emerging issues,” The World Bank, 2011.

significant financial capital flows and a relatively stable source of income for populations that may not otherwise have access to such funds. Destination and host countries also experience economic and social benefits of migration. Migrants can fill holes in a workforce, bring skills that are complimentary to those of domestic workers, and increase the gross domestic product of the host country.43 Migrant workers help to increase the average standard of living in destination countries and supply labor in sectors that may otherwise be lacking.44 In 2013, the Organization for Economic Cooperation and Development conducted a study which concluded that the taxes migrants pay are higher than the cost of government services they receive, resulting in a net-positive of government funding from migrant workers.45

Addressing Challenges and Roadblocks for Migrants

People working outside of their home country need economic opportunities in order to avoid falling into poverty, dependency, and systemic unemployment and underemployment.46 It also suggests that if Member States invest in skills and education that are in demand within their labor force, they can fill existing gaps and not endanger the security of the host community’s labor force.47 Migrants, particularly women, face high levels of discrimination, unequal treatment, violence, exploitation, and human trafficking.48 Almost half of all migrants are women, which forces gender issues to compound upon existing xenophobia, violence, and discrimination that migrant workers face.49 The UNGA Second Committee has worked for protection of all migrant workers and seeks to eliminate these roadblocks in order to allow for migration to have the greatest possible impact possible through the promotion of policies that protect migrant workers, especially women. In addition to social and economic roadblocks faced by migrants, systemic roadblocks often stand in the way of migrants assisting in economic development. For example, migrants who are looking to send remittances back to their families face issues of high transaction and foreign currency fees. This forces migrants into using less secure channels of delivery, such as delivery by hand.

Case Study: Internal Migrants in China

China has seen an unprecedented number of internal migrants to its coastal area due to increased economic growth.50 Rapid urbanization, especially by young people, is expected to cause more than 300 million internal migrants in China over the next 15-20 years.51 Internal migrants in China have faced the same challenges faced by migrants elsewhere, but China has worked with international organizations such as the ILO to improve living conditions and protections for migrants.52 Capacity building and strengthening existing laws have helped the Chinese government to help migrants achieve fair pay and to protect migrants and their families

43 International Organization of Migration, World Migration Report 2018, 2017, page 4. 44 Ibid. 45 Ibid. 46 The World Bank Group, Forcibly Displaced: Towards a Development Approach Supporting Refugees, the Internally Displaced, and Their Hosts, 2017, page 8. 47 Ibid, page 10. 48 United Nations General Assembly, Declaration of the High-level Dialogue on International Migration and Development, A/68/L.5, 2013, page 2. 49 United Nations General Assembly, Violence against women migrant workers, A/68/178, 2013. p. 2. 50 Council on Foreign Relations, “China’s Internal Migrants,” 2019. 51 “Changing migration patterns: Welcome home,” The Economist, 2012. 52 International Labour Organization, “Labour migration in China and Mongolia,” N.d.

from unsafe conditions, human trafficking, and unemployment.53 This was achieved through the implementation of the Capacity-Building for Migration Management (CBMM) program in China, which came out of a collaborative effort between the ILO, the IOM, and the Chinese government.54

Future Outlook

Demographic shifts and economic forces will continue to influence migration and development.55 Today’s middle- and low-income countries will enjoy higher economic growth in the near future thanks to the influence of migrants.56 As more countries are lifted out of poverty and join the growing middle class of emerging economies, the driving factors of migration will change.57 Such trends of the economy will continue to unfold and demographic changes will be driven by decreasing birth rates and increasing life spans.58 International Migrants Day is held annually on December 18 to recognize the efforts, contributions, and the rights of migrants worldwide.59

Focus Questions

• What does your Member State view as achievable measures towards international

cooperation on international migration? • How is your state affected by migration? Your region? • What can the international community do to help empower migrants and their host

countries? • How will investment into effect international migration and development? • How can the private sector contribute to the positive economic impact of migrants?

53 International Labour Organization, “Labour migration in China and Mongolia,” n.d. 54 International Labour Organization, “Capacity Building For Migration Management in China Project Phase II,” 2019. 55 United Nations Department of Economic and Social Affairs, Population Division “Migration and Population Change: Drivers and Impact,” 2017. 56 Ibid. 57 Ibid. 58 Ibid. 59 United Nations Department of Public Information. “International Migrants Day,” n.d.

Bibliography

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International Organization of Migration. Glossary on Migration. 2019. http://publications.iom.int/system/files/pdf/iml_34_glossary.pdf. International Organization of Migration. Migration and the United Nations Post-2015 Development Agenda. 2013. https://publications.iom.int/system/files/pdf/migration_and_the_un_post2015_agenda.pdf. International Organization of Migration. World Migration Report 2018. 2017. https://publications.iom.int/system/files/pdf/wmr_2018_en.pdf. Mendel University. “International Migration and Development.” N.d. Accessed on August 31, 2019. https://is.mendelu.cz/eknihovna/opory/zobraz_cast.pl?cast=61470;lang=cz. Migration Policy Institute. “Frequently Requested Statistics on Immigrants and Immigration in the United States.” 2019. Accessed on August 31, 2019. https://www.migrationpolicy.org/article/frequently-requested-statistics-immigrants-and-immigration-united-states. OECD Development Centre. “Our Work on International Migration and Development.” N.d. Accessed on June 27, 2019. https://www.oecd.org/development/migration-development/Migration-and-Development-Brochure.pdf. Overseas Development Institute. Migration and the 2030 Agenda for Sustainable Development. 2018. Accessed on May 13, 2019. https://www.odi.org/sites/odi.org.uk/files/resource-documents/12422.pdf. Pecoud, Antoine. "Suddenly Migration Was Everywhere": The Conception and Future Prospects of the Global Migration Group. Febuary 5, 2013. Accessed on May 13, 2019. https://www.migrationpolicy.org/article/suddenly-migration-was-everywhere-conception-and-future-prospects-global-migration-group/. Ratha, Dilip, et al. “Impact of migration on economic and social development: a review of evidence and emerging issues.” The World Bank. February 1, 2011. http://documents.worldbank.org/curated/en/617151468332982240/Impact-of-migration-on-economic-and-social-development-a-review-of-evidence-and-emerging-issues. The World Bank Group. Forcibly Displaced: Toward a Development Approach Supporting Refugees, the Internally Displaced, and Their Hosts. 2017. https://openknowledge.worldbank.org/bitstream/handle/10986/25016/9781464809385.pdf?sequence=11&isAllowed=y. United Nations. “Migration and Development.” N.d. Accessed on May 13, 2019. https://www.un.org/en/events/migrantsday/background.shtml. United Nations. “Migration Index.” N.d. Accessed May 23, 2019. https://www.un.org/en/sections/issues-depth/migration/index.html. United Nations Department of Economic and Social Affairs Population Division. Population Facts. 2017. https://www.un.org/en/development/desa/population/publications/pdf/popfacts/PopFacts_2017-5.pdf.

United Nations Department of Economic and Social Affairs. “Migration and Population Change: Drivers and Impact.” Population Division. December 2017. https://www.un.org/en/development/desa/population/publications/pdf/popfacts/PopFacts_2017-8.pdf United Nations Department of Economic and Social Affairs. 2006. Analysis prepared by the United Nations Department of Economic and Social Affairs. Accessed on August 1, 2019. https://www.un.org/migration/desa-analysis.pdf. United Nations Department of Economic and Social Affairs. International Migration and Development: A review in light of the crisis. 2011. https://www.un.org/development/desa/dpad/wp-content/uploads/sites/45/publication/CDP-bp-2011-11-E.pdf. United Nations Department of Public Information. “International Migrants Day.” N.d. Accessed on August 26, 2019. https://www.un.org/en/events/migrantsday/. United Nations Department of Public Information. General Assembly of the United Nations. “Second Committee: Documentation for the 71st session.” Accessed on August 26, 2019. https://www.un.org/en/ga/second/71/documentslist.html. United Nations Educational, Scientific, and Cultural Organization. “Migration and inclusive societies.” N.d. http://www.unesco.org/new/en/social-and-human-sciences/themes/international-migration/. United Nations Educational, Scientific, and Cultural Organization. “International Migration Convention.” 2017. http://www.unesco.org/new/en/social-and-human-sciences/themes/international-migration/international-migration-convention/. United Nations General Assembly. Declaration of the High-level Dialogue on International Migration and Development. A/68/L.5. 2013. https://undocs.org/a/68/l.5. United Nations General Assembly. International migration and development. A/68/190. 2013. https://undocs.org/a/68/190. United Nations General Assembly. New York Declaration for Refugees and Migrants. A/RES/71/1. 2016. https://undocs.org/a/res/71/1. United Nations General Assembly. Transforming our world: the 2030 Agenda for Sustainable Development. A/RES/70/1. 2015. https://undocs.org/a/res/70/1. United Nations General Assembly. Violence against women migrant workers. A/68/178. 2013. https://undocs.org/a/68/178. United Nations Press Release. “UN takes action on international migration to address urgent.” N.d. Accessed on May 30, 2019. https://www.un.org/en/ga/68/meetings/migration/pdf/Press%20release_closing%20of%20HLD_%20Migration%204%20October_final.pdf.

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General Assembly Second Committee

Topic B: Entrepreneurship and Human Capital Development for the Achievement of Sustainable Development Goal 8

Introduction

Sustainable Development Goal (SDG) 8 promotes inclusive and sustainable economic growth, full and productive employment and decent work for all, and seeks to create tangible impacts on local, regional, and national economies.60 The international community has seen recent success in the promotion of SDG 8 in the forms of increased labor productivity and decreased unemployment rates.61 Though these measured changes have positively impacted gross domestic product (GDP), there have been disproportionate effects on Least Developed Countries (LDCs) in the past decade.62 Efforts towards the promotion of SDG 8 are visible through investing in entrepreneurship and human capital development. Human capital development has been defined as the means of investing in the knowledge and capabilities of citizens for the benefit of society.63 As the world has become more globalized, human capital has become a commodity to a productive economy.64 Human capital development has the protentional to deliver increased GDP as well as non-economic benefits such as “enhanced health status, enhanced personal well-being, and greater social cohesion.”65 The General Assembly (UNGA) Second Committee is mandated to discuss economic and financial content and solutions, rather than social issues.66 To achieve SDG 8 through entrepreneurship and human capital development, Member States can consider the inclusion of youth and the promotion of private sector involvement.67 The inclusion of youth in initiatives of the UNGA Second Committee has been discussed at length at recent sessions with consideration that the youth play a crucial role in the achievement of sustainable development.68 According to the Sustainable Development Goal Report of 2018, young adults ages 18-24 were three times more likely to be unemployed than adults.69 The report highlights key instances in which specific factors impact the overall economic opportunity of an individual.70 The report further draws attention to pervasive earning inequalities based on gender. In 2017, men earned 12.5% more than women in 40 out of 45 countries analyzed.71

Background

60 United Nations General Assembly, Transforming our world: the 2030 Agenda for Sustainable Development, A/RES/70/1, 2015. 61 United Nations, The Sustainable Development Goal Report: 2018, 2018. 62 Business for 2030, “Goal 8: Promote Economic Growth,” n.d. 63 United Nations, Human Capital Guide, 2016. 64 Ibid. 65 Ibid. 66 United Nations General Assembly. “Economic and Financial Committee (Second Committee): Second Committee,” n.d. 67 Business for 2030, “Goal 8: Promote Economic Growth”, n.d. 68 United Nations, The Sustainable Development Goal Report 2018, 2018. 69 Ibid. 70 Ibid. 71 Ibid.

The Universal Declaration of Human Rights (UDHR) states that everyone has the right to work, to free choice of employment, to just and favorable conditions of work, and to protection against unemployment.72 Though the UDHR was adopted by the UNGA as a result of the Second World War, it remains a guiding principle for agencies that work to incorporate entrepreneurship and human capital development in to economic, social, and political impacts. Multiple UN bodies, programs, and agencies are actively involved in supporting the achievement of SDG 8 through entrepreneurship and human capital development. For example, the United Nations Development Programme (UNDP) serves as an agency that both collects and analyzes data from present and past UN development initiatives. UNDP’s data, accessed by States through reports, can be used as a framework for States. Other UN agencies, affiliated partners, and UN sponsored or hosted conferences contribute additional programs, reports, and on-the-ground support for SDG 8 such as: the United Nations Office on Trade and Development, the World Bank, the International Monetary Fund (IMF), the World Trade Organization, The United Nations Capital Development Fund.

In succession of the Millennium Development Goals, the Sustainable Development Goals (SDGs) were created to merge the humanitarian efforts of the United Nations (UN) with sustainability and innovation in the modern era.73 In coordination with multiple UN agencies and the private sector, each of the 17 SDGs has frameworks and active programs in or available to Member States.74 To track progress and share resources, the UN publishes reports and guides such as the Sustainable Development Goals Report 2019. This report is the most recent annual report that details recent best practices, key outcomes, successes, and barriers to progress. Tracking mechanisms are developed, maintained, and published on each goal.75

Current Situation

The UNDP publishes a yearly report on Human Development called the Human Development Report (HDR). The HDR brings together information across a wide array of relevant stakeholders, such as international financial institutions. In addition to information sharing and other forms of technical assistance, the World Bank and IMF play important roles in connecting the private sector to development opportunities by providing incentive to investors and companies alike.76 The World Bank and IMF’s major role in supporting the SDGs is striving to help each Member State overcome its unique challenges.77

The High-Level Political Forum on Sustainable Development (HLPF) reviewed SDG 8 in early July of 2019.78 At the HLPF, Member States took to the floor with passion towards recommitting the international community to sustainable development.79 Non-governmental organizations called for Member States to promote economic policy that empowers local economies to thrive.80 The HLPF’s recommended policy also included partnering with the private sector and emphasizing the importance of globalization and interdependence.81

72 United Nations, The Universal Declaration of Human Rights, 1948. 73 United Nations General Assembly, Transforming our world: the 2030 Agenda for Sustainable Development, A/RES/70/1, 2015. 74 Ibid. 75 Ibid. 76 International Monetary Fund, “Fact-sheet: The IMF and the World Bank,” 2019. 77 Ibid. 78 United Nations, “High-level Political Forum 2019 Under the Auspices of ECOSOC”, 2019. 79 United Nations, Sustainable Development Knowledge Platform, 2019. 80 Ibid. 81 Ibid.

Promoting the inclusion of the Private Sector, Governments, and Civil Society in development

Engaging with the private sector remains a priority for UN agencies and Member States.82 During the 73rd session of the UNGA, the Second Committee developed resolutions promoting the inclusion of the private sector, local governments, civil society and the international community. They adopted multiple resolutions that serve as a framework for the international community’s current goals towards including the private sector in development initiatives. A/RES/73/246 details the inclusion of sustainable development initiatives that support the eradication of poverty and implemented the Third United Nations Decade for the Eradication of Poverty (2018-2027).83 The Organization for Economic Co-operation and Development (OECD) has developed processes and support for Member States and inter-governmental agencies for the support of engaging employers in human capital development.84 In a report highlighting OECD’s work with the Association of Southeast Asian Nations (ASEAN), the ‘skill-gap’ is discussed.85 The ‘skill-gap’ is the lack of qualified workers available for job openings.86 As skill demand rises in local economies, there can be skill-shortages.87 OECD calls for each sovereign nation to design their own processes for engaging the private sector as this model has seen measurable success in ASEAN’s Member States.88 Multinational corporations that have incentives or missions to promote the SDGs provide financial support of the SDGs. Private sector companies are encouraged to meet SDG target 8.1 to sustain per capita economic growth in accordance with national circumstances, and 8.2 to achieve higher levels of economic productivity through diversification, and other initiatives including technological upgrading and innovation through a focus on high-value added and labor-intensive sectors.89 Monsanto, Bechtel, and Google are a part of an initiative under the United States Council for International Business, called Business for 2030, that promotes the partnership of sustainable development with the resources of the private sector.90

Promoting Entrepreneurship and Human Capital Development in LDCs

Inadequate access to economic infrastructure such as financial services, markets, and loans exacerbates poverty in developing communities and makes it impossible for the full realization of human rights.91 Microfinance is a form of small-scale loan that can encourage entrepreneurship in LDCs through economic empowerment and agreeable lender contracts.92 It is a method of sustainable economic development that targets low-income people or business owners in developing countries, that utilizes low interest rates to allow individuals to gain credit and increase their entrepreneurial protentional.93 The microfinance industry has expanded in 82 United Nations, “High-level Political Forum 2019 Under the Auspices of ECOSOC”, 2019. 83 United Nations General Assembly Second Committee, the implementation of the Third United Nations Decade for the Eradication of Poverty, A/RES/73/246, 2018. 84 Organization for the Co-operation of Economic Development, Bridging the Gap: The Private Sector’s Role in Skills Development and Employment, 2016. 85 Ibid. 86 Ibid. 87 Ibid. 88 Ibid. 89 Business for 2030, “Goal 8: Promote Economic Growth”, n.d. 90 Ibid. 91 Newman, Microfinance and entrepreneurship: An introduction, International Small Business Journal, 2017. 92 Ibid. 93 Ibid.

recent years to insurance, savings, and mortgage lending; however, the international community has yet to find a universal microfinance solution to reduce poverty and encourage growth that works in every economy.94 Some Member States have expressed concern for how microfinance as a means of economic framework can be damaging to communities without the proper oversight from accountable and transparent third party organizations other monitoring mechanisms.95 For instance, a microfinance bank or credit union requires regulation in order to ensure transparency.96 Studies dating back to 1996 indicate that only certain levels of income can benefit from microfinancing, as households above the poverty line benefit more from small loans than those below the poverty line.97 Furthermore, microfinance as a tool requires region-specific consideration for how each local economy will be impacted.98 Expert commentary recommends initiatives take into account that promoting human capital development programs and tools in LDCs is needed before specific tactical initiatives can be applied. Moreover, tactical initiatives such as entrepreneurship require steadfast commitment to human capital development first.99 The characteristics of initiatives that seek to increase economic opportunity LDCs require innovative and creative approaches that consider local social, economic, and political contexts.100 The Entrepreneurship for sustainable development was passed in 2018 by the UNGA on report of the Second Committee. A/RES/73/225 highlights how UN agencies can assist Member States in entrepreneurial initiatives such as microfinancing in accordance with the SDGs.101 The resolution also expands and recognizes sentiments about the UN’s role in entrepreneurship as a tool to create sustainable development.102 From A/RES/73/225: “. . .the private sector contributes to the achievement of sustainable development and poverty eradication, and that partnerships with the private sector play an important role in promoting entrepreneurship, generating employment and investment, increasing revenue potential, developing new technologies and innovative business models and enabling high, sustained, inclusive and equitable economic growth while protecting workers’ rights.”103 Additional resolutions such as A/RES/73/253 discuss how agriculture and food security are tied to development in that they serve as methods to sustained peace and prosperity in LDCs.104 A/RES/73/253 reiterates the Second Committee’s support for key development resolutions such as A/RES/71/243 and A/RES/72/279 which promote support for the SDGs.105

Future Outlook

In highlighting the successes of the SDGs, Member States can consider how their resources and access to such resources can impact human capital development and entrepreneurship. In the fall of 2019, Heads of State will gather for the High-level Political Forum on Sustainable Development.106 This meeting will make clear where the international community feels the UN’s

94 Ibid. 95 Njiraini, Microfinance: Good for the poor?, n.d. 96 Ibid. 97 Chowdhury, Microfinance as a Poverty Reduction tool – A Critical Assessment, United Nations Department of Economic and Social Affairs, 2009. 98 Ibid. 99 Ibid. 100 Ibid. 101 United Nations General Assembly, Entrepreneurship for sustainable development, A/RES/73/225, 2018. 102 Ibid. 103 Ibid. 104 General Assembly 2nd Committee, Agriculture development, food security and nutrition, A/RES/73/253, 2018. 105 Ibid. 106 United Nations, Sustainable Development Knowledge Platform, 2019.

resources are best used to promote human capital development and entrepreneurship. The UNGA Second Committee will meet at the end of November 2019 for 74th session of the UNGA where they are set to discuss globalization and interdependence, eradication of poverty, sustainable development, and other relative topics.107

Focus Questions:

• How does your Member State promote Human Capital Development and Entrepreneurship within its domestic jurisdiction?

• What private sector initiatives does your Member State support? • What is your Member State’s economic classification and how does that change its

priorities for Sustainable Development? • Does your Member State benefit from regional partnerships that support SDG 8? • What companies are promoting SDG 8 in your country through business and practice?

107 United Nations General Assembly, Provisional programme of work and timetable for the Second Committee at the seventy-fourth session of the General Assembly, 2018.

Bibliography

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