innovation & development cooperation- trends in public-private collaboration
TRANSCRIPT
PapelesNº 1. November 2010
CeALCI
Fundación
Carolina
Innovation and Development Cooperation:Trends in Public-Private Collaboration
Carlos Botella, José Andrés Fernández, Ignacio Suárez*
Innovation for Development
Research and innovation have become key driving forcesbehind economic growth and development. They providethe basis for a new economic model based on knowledge,growing productivity and competitiveness, generatingquality employment. Research and innovation are potentialtools for governments to face major current challenges suchas poverty or climate change.
The positive effects of innovation are of particularrelevance to developing countries. In the short terminnovation can be used to overcome crises. In the long termit facilitates reduction of the “technology divide” affectingsuch countries.
The significance of innovation has been emphasised by anumber of international organisms. The decisive importanceof science and technology for development objectives isrecognised in the 2005 United Nations World Summit’s FinalDocument. This also calls for an environment favourable topublic-private alliances and identifies innovation as an agentin economic growth and the eradication of poverty.
A political strategy for intelligent and sustainable growthis also outlined in the European Commission’s Europe 2020communication. Innovation is highlighted as a keycomponent of this. It is aimed at strengthening adevelopment model based on knowledge and the effectiveuse of resources.
Initiatives aimed at supporting applied research fortechnological innovation have also been promoted by theIbero-American Community of Nations. These are based onthe idea of public-private collaboration for innovation.
Alliances are fostered between firms from the region,research and development agencies and universities.
The private sector as a potential partner
The private sector plays a significant role in trade andfinancial relationships with developing countries1.Collaboration with private companies is thuscomplementary to public activities aimed at reducingpoverty and improving the living conditions of the mostvulnerable.
Some firms have become aware of their power oftransformation, and have incorporated social, ethical andenvironmental criteria in their relations with developingcountries. Furthermore, new initiatives have arisen inwhich firms’ ‘core business’ is adapted to the situation ineach country.
The promotion of public-private collaboration must beseen in this context. Donors’ cooperation policies payincreasing attention to collaboration with the private sectorand develop new types of relationships. The resultingdynamics and financial support can counteract what isknown as “donor’s fatigue”. Likewise, they have the potentialto reinforce the prominence of development on theinternational agenda.
papeles nº 1. fundación carolina - cealci 1
–––––––––––––––* Researchers at Fundacion Carolina
1. According to estimates made by the United Nations Conference forTrade and Development (UNCTAD), Foreign Direct Investment indeveloping countries totalled more than $400,000 million US in 2009(UNCTAD, 2009).
This document is a result of the project: Latest trends in cooperation: governments and private companies invest in development,undertaken by the authors from April to October 2010 according to an initiative of the director of Fundacion Carolina, RosaConde. The research team was coordinated by Marisa Revilla, director of the Fundacion Carolina’s Centre of Studies for LatinAmerica and International Cooperation. Its objective is to analyse the most recent international cooperation initiatives in rela-tion to public-private collaboration for the promotion of R&D and innovation as part of development strategies. The results ofthis research will be published in their entirety by Fundacion Carolina in its series “Documentos de Trabajo”.
and evaluate the programmes. The launch of a public-private forum for sharing experiences, developing ideas orbuilding capabilities could be also considered.
• Consolidate the areas of collaboration among publicauthorities to promote innovation for development. This isrequired by the transversal and interdisciplinary nature ofthe topic. From an institutional perspective, the channels fordialogue between the Ministry of Foreign Affairs andCooperation and the Ministry of Science and Innovationcould be reinforced. Political and strategic guidelines shouldbe translated into shared lines of action between the SpanishInternational Development Cooperation Agency (AECID)and the Centre for the Development of IndustrialTechnology (CDTI).
• Take advantage of the Spanish companies’ potential. TheSpanish private sector has a valuable expertise in certainsectors and geographic contexts. Focus should be placed oninvolving their core business through innovative activities.Inclusive businesses could result in a greater development ofthe concerned communities.
• Foster linkages between public sector, private companies anduniversities. Convergence between public and private areasmust be broadened to include universities. Indeed, they havea consolidated research tradition. The resulting alliancecould be a driving force behind generating innovation fordevelopment. Therefore, the public sector would fulfil itsmandates based on development cooperation policies. Atthe same time, private companies could develop newbusiness avenues with a positive impact on development.Finally, universities could perform their function ofenlarging the frontiers of knowledge, with increasedopportunities for its practical application.
• Strengthen development finance instruments. There is roomto develop a new model appropriate to the magnitude thatreimbursable aid could acquire in the next years.Collaboration with the private sector could be fosteredthrough an existing structure or by means of a new one.
Ultimately, the strengthening of the links between science,innovation and development would set the bases for asustainable human development model. Spain has taken afirst step in this direction by promoting science and
innovation in European strategies to fight against poverty.The way is now open for the inclusion of innovation andknowledge in the international development agenda.
References
ADAM SMITH INTERNATIONAL (2009): Support to“Business for Development”: A review of new approachesand donor agencies experiences (Draft report), London.
ASHLEY, C. (2009): Harnessing core business for developmentimpact. ODI Background Note, February 2009. London.
EUROPEAN COMMISSION (2010): Europe 2020. Astrategy for smart, sustainable and inclusive growth,Commission Communication COM(2010) 2020,Brussels.
UNITED NATIONS CONFERENCE ON TRADE ANDDEVELOPMENT- UNCTAD (2009): World InvestmentReport 2009. Transnational Corporations, AgriculturalProduction and Development, New York and Geneva.
CONWAY, G. and WAAGE, J. (2010): Science and Innovationfor Development, UK Collaborative on DevelopmentSciences, London.
STUDY GROUP ON THE FUTURE OF THE EUROPEANUNION (2010): Project Europe 2030. Challenges andopportunities, Report to the European Council.
MINISTRY OF FOREIGN AFFAIRS AND COOPERATION(2009): Plan Director de la Cooperación Española 2009-2012.
UNITED NATIONS (2005): Final Document of 2005 WorldSummit, A/60/L.1, New York.
UNITED NATIONS EDUCATIONAL, SCIENTIFIC ANDCULTURAL ORGANISATION – UNESCO; OECD(2009): Innovation for Development: ConvertingKnowledge to Value. Summary Report, UNESCO, Paris.
ORGANISATION FOR ECONOMIC COOPERATIONAND DEVELOPMENT - OECD (2010a): The OECDInnovation Strategy: Getting a Head Start on Tomorrow,OECD, Paris.
(2010b): Innovation and the Development Agenda, OECD,Paris.
IBEROAMERICAN GENERAL SECRETARIAT – SEGIB(2010): Bases para un nuevo Programa Iberoamericano deInnovación.
Fundación Carolina - CeALCIC/ General Rodrigo, 6, 4º. Edif. Germania.28003 Madridwww.fundacioncarolina.es
Depósito Legal: M-47.560-2010
CeALCI
Fundación
CarolinaPapelesNº 1. Noviembre 2010
The promising role of firms in technology andknowledge transfer to developing countries must beemphasised. Hence the relevance of analysing the privatesector’s potential for the generation and spread ofinnovation.
Business innovation for development
International cooperation initiatives, private sector activitiesand R&D&I2 policies converge at a single point: businessinnovation for development (see Figure 1). The significanceof business innovation as a factor in development is due tothe role of firms not only as generators of economic activityand employment, but as the introducers of newenvironmentally sustainnable technologies.
Companies are responsible for defining global valuechains. They can contribute to innovation by involving themost vulnerable segments of developing countries as clients,employees, producers or entrepreneurs. This approach,known as “inclusive businesses”, suggests that firms shouldadopt economically sustainable solutions in order to satisfythe needs of low-income communities. The result is a win-win situation. Such a business model enables vulnerablecommunities to become organised and enter the economicsphere, widening the limits of production and consumptionand providing access to public services.
Ultimately, the idea is to reinforce the positive impact ofbusiness activities on development through a greaterinclusion of the societies concerned.
New Donors’ Initiatives
Public-private collaboration has grown in importance onleading donors’ agenda. Furthermore, most of them haveadded ‘business innovation for development’ as a new field ofactivity. These experiences share a series of commonelements, as described below.
Mutual trust and incentives
Mutual trust is a key requirement for the establishment ofeffective collaboration between governments and private
enterprise. It demands dialogue and the acceptance ofcommitments and responsibilities by both parties. Thisprocess is not entirely free from difficulties. Some haveexpressed reluctance about the association’s pertinence andefficacy. Hence the importance of identifying areas in whichincentives can be aligned. Although a complex process, itmust be flexible enough to enable the implementation ofimprovements.
The establishment of mutual trust makes a furtherdemand. Both governments and firms should accept theneed to increase social awareness and improve internalcommunication within their own organisation.
The promotion of innovation against poverty
Donors, aware of the virtues of public-private collaboration,have created programmes in their cooperation agencies inorder to implement their strategic decisions. Recently, donorshave included in these programmes a specific ‘businessinnovation for development’ dimension3.
The small-scale structure of these programmes –at leastfrom an institutional perspective– generates occasional resortto outsourcing. On a functional level, their added value liesnot only in the provision of funding, but in the advisoryservices related to the situation in a particular country orsector, or in intermediating between firms and other agents(such as multilateral organisations, public agencies, NGOs,etc.). Additionally, several donors have created public-private forums for dialogue, information-sharing andtraining purposes.
The rationale behind these programmes stems fromthe ideas of complementarity to other cooperation activitiesand additionnality, as a sum of efforts promoted throughpublic incentives. The goal is to generate a “leverage effect”,that is, the possibility of attracting a significant amount ofprivate funds with relatively modest public contributions.Public support can take several forms. These include theco-funding of studies or pilot projects, financial support forbusiness investments in products and technologies with apossible impact on development and/or the provision ofinformation about investment conditions in a givencountry.
Specific initiatives to support business innovation fordevelopment can be characterised by a number of elements:
Periodic launch of calls for ideas in order to fostercompetitive processes that enable the identification of themost interesting innovative initiatives. They are based on co-funding –normally up to 50%– of feasibility studies forfuture business initiatives.
2 papeles nº 1. fundación carolina - cealci
–––––––––––––––2. Research, development and innovation.
3. This analysis is based on the study of the initiatives promoted by the deve-lopment cooperation agencies of three European donors: Germany, UnitedKingdom and Sweden. They are, respectively, Developpp.innovation (GTZ),Business Innovation Facility (DFID) and Innovations Against Poverty (SIDA).
figure 1: Business innovation for development
Collaboration withthe private sector
Promotion ofR&D&I
Bilateralcooperation
Business innovationfor development
Priority given to the innovative nature of these projects.Importantly, priority will also be given to new businessmodels that can be replicated and are potentially adaptable tolocal needs and social acceptance.
Environmental aspects to be stressed, in order togenerate innovation of interest for both private enterpriseand communities.
Lack of general constraints regarding the sector, thegeographic area (other than specific strategic priorities), thesize of the firms involved, or the source of the aid.
In any case, there is little collaboration betweeninnovation and development agencies in the studied systems.This should be examined, bearing in mind the need foreffective inter-institutional coordination mechanisms inorder to ensure policy coherence.
The role of Development Finance Institutions
A second factor must be emphasised, in parallel to thepublic-private collaboration programmes fostered bycooperation agencies. This is the growing role played by‘Development Finance Institutions’ (DFI) in Europe inrelation to the private sector, largely providingreimbursable financing.
DFIs, of various types depending on the donorinvolved, provide long-term financing to firms in bothdeveloped and developing countries. The aim is to enablefirms to invest in the latter. DFIs currently play a significantrole in international cooperation policies because of theircapability to adequately manage public cooperation funds.Further-more, they are important for their ability togenerate profits and therefore to contribute tosocioeconomic development in less advanced countries.
Opportunities for Spanish Cooperation
An evolving framework
The Spanish Government has exhibited a strategiccommitment to promote sustainable development andsubstantial changes in the pattern of economic growth. Forexample, the Spanish Sustainable Development Strategy(2007) contains a section focused on internationalcooperation for sustainable development. The Strategy for aSustainable Economy (2009) highlights the need to transformthe economic growth model.
The Government has therefore made an effort toconsolidate the role of innovation and knowledge asdriving forces for development, including them in theSpanish cooperation agenda. Additional support has beenprovided by the Ministry of Science and Innovationthrough the Science, Technology and Innovation Bill and theState Innovation Strategy (2010). Both deal with the conceptof international projection of innovation and knowledge, aswell as with collaboration with the Ministry of Foreign
Affairs and Coope-ration. These measures represent anacknowledgement of the contribution made by research,technology and innovation to the poverty reductionstrategies.
Reference should also be made to the organisation of the“Science against Poverty” Conference (April 2010) during theSpanish presidency of the Council of the European Union.The Conference assessed the contribution of science andinnovation to the Millennium Development Goals. Itsconclusions emphasised the need to identify public-privatealliances and methods for increasing the private sector’sinvolvement. These conclusions were presented to the EUCompetitiveness Council of Ministers in May 2010, andadopted as Council Conclusions on the Social Dimension of theEuropean Research Area.
The Spanish development cooperation strategy, asdefined in the 3rd Master Plan 2009-2012, also includesscience and innovation as critical factors. The Master Planis also open to collaboration with the private sector.Therefore, public-private partnerships represent anappropriate modality to articulate projects combininginvestments in innovation and knowledge with effects ondevelopment.
Spain’s development cooperation system is in theprocess of restructuring its main instrument for workingwith the private sector. The old Development Aid Fund(FAD) has been divided into two specific tools: the BusinessInternationalisation Fund (FIEM) and the Fund for thePromotion of Development (FONPRODE). Both couldgenerate a new framework for public-private collaborationregarding innovation.
Future challenges: institutional strengtheningand consolidation of convergence areas
Public-private partnership is a key factor to promoteinnovation as a tool for sustainable human development.Convergence areas have become explicit in various Spanishand European Union initiatives: (i) between science,innovation and development; and (ii) between public andprivate sectors. The consolidation of such areas is still a greatchallenge. Major efforts are required in the field ofinstitutional strengthening.
According to the experience of the most advanceddonors, several opportunities arise for Spanish developmentcooperation:
• Consider the creation of a public-private partnershipprogramme including a business innovation component.This would be a gradual process based on institutionallearning. In its initial phases, such a programme wouldhave to adapt to existing needs and capabilities. A moreambitious approach could be adopted depending on howevents evolve. Appropriate technical skills should beavailable both at headquarters and in the field to monitor
papeles nº 1. fundación carolina - cealci 3
The promising role of firms in technology andknowledge transfer to developing countries must beemphasised. Hence the relevance of analysing the privatesector’s potential for the generation and spread ofinnovation.
Business innovation for development
International cooperation initiatives, private sector activitiesand R&D&I2 policies converge at a single point: businessinnovation for development (see Figure 1). The significanceof business innovation as a factor in development is due tothe role of firms not only as generators of economic activityand employment, but as the introducers of newenvironmentally sustainnable technologies.
Companies are responsible for defining global valuechains. They can contribute to innovation by involving themost vulnerable segments of developing countries as clients,employees, producers or entrepreneurs. This approach,known as “inclusive businesses”, suggests that firms shouldadopt economically sustainable solutions in order to satisfythe needs of low-income communities. The result is a win-win situation. Such a business model enables vulnerablecommunities to become organised and enter the economicsphere, widening the limits of production and consumptionand providing access to public services.
Ultimately, the idea is to reinforce the positive impact ofbusiness activities on development through a greaterinclusion of the societies concerned.
New Donors’ Initiatives
Public-private collaboration has grown in importance onleading donors’ agenda. Furthermore, most of them haveadded ‘business innovation for development’ as a new field ofactivity. These experiences share a series of commonelements, as described below.
Mutual trust and incentives
Mutual trust is a key requirement for the establishment ofeffective collaboration between governments and private
enterprise. It demands dialogue and the acceptance ofcommitments and responsibilities by both parties. Thisprocess is not entirely free from difficulties. Some haveexpressed reluctance about the association’s pertinence andefficacy. Hence the importance of identifying areas in whichincentives can be aligned. Although a complex process, itmust be flexible enough to enable the implementation ofimprovements.
The establishment of mutual trust makes a furtherdemand. Both governments and firms should accept theneed to increase social awareness and improve internalcommunication within their own organisation.
The promotion of innovation against poverty
Donors, aware of the virtues of public-private collaboration,have created programmes in their cooperation agencies inorder to implement their strategic decisions. Recently, donorshave included in these programmes a specific ‘businessinnovation for development’ dimension3.
The small-scale structure of these programmes –at leastfrom an institutional perspective– generates occasional resortto outsourcing. On a functional level, their added value liesnot only in the provision of funding, but in the advisoryservices related to the situation in a particular country orsector, or in intermediating between firms and other agents(such as multilateral organisations, public agencies, NGOs,etc.). Additionally, several donors have created public-private forums for dialogue, information-sharing andtraining purposes.
The rationale behind these programmes stems fromthe ideas of complementarity to other cooperation activitiesand additionnality, as a sum of efforts promoted throughpublic incentives. The goal is to generate a “leverage effect”,that is, the possibility of attracting a significant amount ofprivate funds with relatively modest public contributions.Public support can take several forms. These include theco-funding of studies or pilot projects, financial support forbusiness investments in products and technologies with apossible impact on development and/or the provision ofinformation about investment conditions in a givencountry.
Specific initiatives to support business innovation fordevelopment can be characterised by a number of elements:
Periodic launch of calls for ideas in order to fostercompetitive processes that enable the identification of themost interesting innovative initiatives. They are based on co-funding –normally up to 50%– of feasibility studies forfuture business initiatives.
2 papeles nº 1. fundación carolina - cealci
–––––––––––––––2. Research, development and innovation.
3. This analysis is based on the study of the initiatives promoted by the deve-lopment cooperation agencies of three European donors: Germany, UnitedKingdom and Sweden. They are, respectively, Developpp.innovation (GTZ),Business Innovation Facility (DFID) and Innovations Against Poverty (SIDA).
figure 1: Business innovation for development
Collaboration withthe private sector
Promotion ofR&D&I
Bilateralcooperation
Business innovationfor development
Priority given to the innovative nature of these projects.Importantly, priority will also be given to new businessmodels that can be replicated and are potentially adaptable tolocal needs and social acceptance.
Environmental aspects to be stressed, in order togenerate innovation of interest for both private enterpriseand communities.
Lack of general constraints regarding the sector, thegeographic area (other than specific strategic priorities), thesize of the firms involved, or the source of the aid.
In any case, there is little collaboration betweeninnovation and development agencies in the studied systems.This should be examined, bearing in mind the need foreffective inter-institutional coordination mechanisms inorder to ensure policy coherence.
The role of Development Finance Institutions
A second factor must be emphasised, in parallel to thepublic-private collaboration programmes fostered bycooperation agencies. This is the growing role played by‘Development Finance Institutions’ (DFI) in Europe inrelation to the private sector, largely providingreimbursable financing.
DFIs, of various types depending on the donorinvolved, provide long-term financing to firms in bothdeveloped and developing countries. The aim is to enablefirms to invest in the latter. DFIs currently play a significantrole in international cooperation policies because of theircapability to adequately manage public cooperation funds.Further-more, they are important for their ability togenerate profits and therefore to contribute tosocioeconomic development in less advanced countries.
Opportunities for Spanish Cooperation
An evolving framework
The Spanish Government has exhibited a strategiccommitment to promote sustainable development andsubstantial changes in the pattern of economic growth. Forexample, the Spanish Sustainable Development Strategy(2007) contains a section focused on internationalcooperation for sustainable development. The Strategy for aSustainable Economy (2009) highlights the need to transformthe economic growth model.
The Government has therefore made an effort toconsolidate the role of innovation and knowledge asdriving forces for development, including them in theSpanish cooperation agenda. Additional support has beenprovided by the Ministry of Science and Innovationthrough the Science, Technology and Innovation Bill and theState Innovation Strategy (2010). Both deal with the conceptof international projection of innovation and knowledge, aswell as with collaboration with the Ministry of Foreign
Affairs and Coope-ration. These measures represent anacknowledgement of the contribution made by research,technology and innovation to the poverty reductionstrategies.
Reference should also be made to the organisation of the“Science against Poverty” Conference (April 2010) during theSpanish presidency of the Council of the European Union.The Conference assessed the contribution of science andinnovation to the Millennium Development Goals. Itsconclusions emphasised the need to identify public-privatealliances and methods for increasing the private sector’sinvolvement. These conclusions were presented to the EUCompetitiveness Council of Ministers in May 2010, andadopted as Council Conclusions on the Social Dimension of theEuropean Research Area.
The Spanish development cooperation strategy, asdefined in the 3rd Master Plan 2009-2012, also includesscience and innovation as critical factors. The Master Planis also open to collaboration with the private sector.Therefore, public-private partnerships represent anappropriate modality to articulate projects combininginvestments in innovation and knowledge with effects ondevelopment.
Spain’s development cooperation system is in theprocess of restructuring its main instrument for workingwith the private sector. The old Development Aid Fund(FAD) has been divided into two specific tools: the BusinessInternationalisation Fund (FIEM) and the Fund for thePromotion of Development (FONPRODE). Both couldgenerate a new framework for public-private collaborationregarding innovation.
Future challenges: institutional strengtheningand consolidation of convergence areas
Public-private partnership is a key factor to promoteinnovation as a tool for sustainable human development.Convergence areas have become explicit in various Spanishand European Union initiatives: (i) between science,innovation and development; and (ii) between public andprivate sectors. The consolidation of such areas is still a greatchallenge. Major efforts are required in the field ofinstitutional strengthening.
According to the experience of the most advanceddonors, several opportunities arise for Spanish developmentcooperation:
• Consider the creation of a public-private partnershipprogramme including a business innovation component.This would be a gradual process based on institutionallearning. In its initial phases, such a programme wouldhave to adapt to existing needs and capabilities. A moreambitious approach could be adopted depending on howevents evolve. Appropriate technical skills should beavailable both at headquarters and in the field to monitor
papeles nº 1. fundación carolina - cealci 3
PapelesNº 1. November 2010
CeALCI
Fundación
Carolina
Innovation and Development Cooperation:Trends in Public-Private Collaboration
Carlos Botella, José Andrés Fernández, Ignacio Suárez*
Innovation for Development
Research and innovation have become key driving forcesbehind economic growth and development. They providethe basis for a new economic model based on knowledge,growing productivity and competitiveness, generatingquality employment. Research and innovation are potentialtools for governments to face major current challenges suchas poverty or climate change.
The positive effects of innovation are of particularrelevance to developing countries. In the short terminnovation can be used to overcome crises. In the long termit facilitates reduction of the “technology divide” affectingsuch countries.
The significance of innovation has been emphasised by anumber of international organisms. The decisive importanceof science and technology for development objectives isrecognised in the 2005 United Nations World Summit’s FinalDocument. This also calls for an environment favourable topublic-private alliances and identifies innovation as an agentin economic growth and the eradication of poverty.
A political strategy for intelligent and sustainable growthis also outlined in the European Commission’s Europe 2020communication. Innovation is highlighted as a keycomponent of this. It is aimed at strengthening adevelopment model based on knowledge and the effectiveuse of resources.
Initiatives aimed at supporting applied research fortechnological innovation have also been promoted by theIbero-American Community of Nations. These are based onthe idea of public-private collaboration for innovation.
Alliances are fostered between firms from the region,research and development agencies and universities.
The private sector as a potential partner
The private sector plays a significant role in trade andfinancial relationships with developing countries1.Collaboration with private companies is thuscomplementary to public activities aimed at reducingpoverty and improving the living conditions of the mostvulnerable.
Some firms have become aware of their power oftransformation, and have incorporated social, ethical andenvironmental criteria in their relations with developingcountries. Furthermore, new initiatives have arisen inwhich firms’ ‘core business’ is adapted to the situation ineach country.
The promotion of public-private collaboration must beseen in this context. Donors’ cooperation policies payincreasing attention to collaboration with the private sectorand develop new types of relationships. The resultingdynamics and financial support can counteract what isknown as “donor’s fatigue”. Likewise, they have the potentialto reinforce the prominence of development on theinternational agenda.
papeles nº 1. fundación carolina - cealci 1
–––––––––––––––* Researchers at Fundacion Carolina
1. According to estimates made by the United Nations Conference forTrade and Development (UNCTAD), Foreign Direct Investment indeveloping countries totalled more than $400,000 million US in 2009(UNCTAD, 2009).
This document is a result of the project: Latest trends in cooperation: governments and private companies invest in development,undertaken by the authors from April to October 2010 according to an initiative of the director of Fundacion Carolina, RosaConde. The research team was coordinated by Marisa Revilla, director of the Fundacion Carolina’s Centre of Studies for LatinAmerica and International Cooperation. Its objective is to analyse the most recent international cooperation initiatives in rela-tion to public-private collaboration for the promotion of R&D and innovation as part of development strategies. The results ofthis research will be published in their entirety by Fundacion Carolina in its series “Documentos de Trabajo”.
and evaluate the programmes. The launch of a public-private forum for sharing experiences, developing ideas orbuilding capabilities could be also considered.
• Consolidate the areas of collaboration among publicauthorities to promote innovation for development. This isrequired by the transversal and interdisciplinary nature ofthe topic. From an institutional perspective, the channels fordialogue between the Ministry of Foreign Affairs andCooperation and the Ministry of Science and Innovationcould be reinforced. Political and strategic guidelines shouldbe translated into shared lines of action between the SpanishInternational Development Cooperation Agency (AECID)and the Centre for the Development of IndustrialTechnology (CDTI).
• Take advantage of the Spanish companies’ potential. TheSpanish private sector has a valuable expertise in certainsectors and geographic contexts. Focus should be placed oninvolving their core business through innovative activities.Inclusive businesses could result in a greater development ofthe concerned communities.
• Foster linkages between public sector, private companies anduniversities. Convergence between public and private areasmust be broadened to include universities. Indeed, they havea consolidated research tradition. The resulting alliancecould be a driving force behind generating innovation fordevelopment. Therefore, the public sector would fulfil itsmandates based on development cooperation policies. Atthe same time, private companies could develop newbusiness avenues with a positive impact on development.Finally, universities could perform their function ofenlarging the frontiers of knowledge, with increasedopportunities for its practical application.
• Strengthen development finance instruments. There is roomto develop a new model appropriate to the magnitude thatreimbursable aid could acquire in the next years.Collaboration with the private sector could be fosteredthrough an existing structure or by means of a new one.
Ultimately, the strengthening of the links between science,innovation and development would set the bases for asustainable human development model. Spain has taken afirst step in this direction by promoting science and
innovation in European strategies to fight against poverty.The way is now open for the inclusion of innovation andknowledge in the international development agenda.
References
ADAM SMITH INTERNATIONAL (2009): Support to“Business for Development”: A review of new approachesand donor agencies experiences (Draft report), London.
ASHLEY, C. (2009): Harnessing core business for developmentimpact. ODI Background Note, February 2009. London.
EUROPEAN COMMISSION (2010): Europe 2020. Astrategy for smart, sustainable and inclusive growth,Commission Communication COM(2010) 2020,Brussels.
UNITED NATIONS CONFERENCE ON TRADE ANDDEVELOPMENT- UNCTAD (2009): World InvestmentReport 2009. Transnational Corporations, AgriculturalProduction and Development, New York and Geneva.
CONWAY, G. and WAAGE, J. (2010): Science and Innovationfor Development, UK Collaborative on DevelopmentSciences, London.
STUDY GROUP ON THE FUTURE OF THE EUROPEANUNION (2010): Project Europe 2030. Challenges andopportunities, Report to the European Council.
MINISTRY OF FOREIGN AFFAIRS AND COOPERATION(2009): Plan Director de la Cooperación Española 2009-2012.
UNITED NATIONS (2005): Final Document of 2005 WorldSummit, A/60/L.1, New York.
UNITED NATIONS EDUCATIONAL, SCIENTIFIC ANDCULTURAL ORGANISATION – UNESCO; OECD(2009): Innovation for Development: ConvertingKnowledge to Value. Summary Report, UNESCO, Paris.
ORGANISATION FOR ECONOMIC COOPERATIONAND DEVELOPMENT - OECD (2010a): The OECDInnovation Strategy: Getting a Head Start on Tomorrow,OECD, Paris.
(2010b): Innovation and the Development Agenda, OECD,Paris.
IBEROAMERICAN GENERAL SECRETARIAT – SEGIB(2010): Bases para un nuevo Programa Iberoamericano deInnovación.
Fundación Carolina - CeALCIC/ General Rodrigo, 6, 4º. Edif. Germania.28003 Madridwww.fundacioncarolina.es
Depósito Legal: M-47.560-2010
CeALCI
Fundación
CarolinaPapelesNº 1. Noviembre 2010