Christina Tewes-Gradl

Passionate about enterprise solutions to development, curious about how societal change and value creation works. At Endeva, we do build knowledge on inclusive business through research, share our insights in workshops and trainings, and apply the knowledge in consulting projects to create innovation within organizations.

G20 develops a framework on Inclusive Business Policies

Policy and Government
Global
11. May 2015

In December 2014, the Turkish G20 Presidency proposed to initiate work on the role of the private sector in development from the viewpoint of inclusiveness in business. Representatives of member states endorsed the proposal. They agreed that the G20 could develop a G20 framework on inclusive business, incorporating specific principles/guidelines and a set of policy options for the private sector, G20 and non-G20 countries and International Finance Institutions.

The G20 is a forum of the world’s 20 largest advanced and emerging economies, representing about two-thirds of the world’s population, 85 per cent of global gross domestic product and over 75 per cent of global trade. The work of G20 members is supported by several international organizations that provide policy advice. In addition, engagement groups from business (B20), civil society (C20), labour (L20), think tanks (T20) and youth (Y20) are holding major events during the year, the outcomes of which will contribute to the deliberations of G20 leaders. Putting inclusive business on the agenda represents a major opportunity to align agendas among societal sectors and engage governments, including those of developing countries, in the inclusive business agenda.

A workshop in Ankara on 8 April 2015 brought together representatives from government, business and academia from G20 countries to start a dialogue around a G20 framework on inclusive business. Many of the presentations referred back to earlier work of the G20 on Inclusive Business, in particular the G20 Challenge on Inclusive Business, the Policy Note on an Enabling Environment for Inclusive Business, and the G20 Note Inclusive Business Policies. The latter introduces a typology of policy measures that directly support business collaboration between companies and low-income people.

The discussion surfaced a broad agreement on the enabling environment that helps inclusive businesses scale. Put differently, the absence of a conducive regualtory environment, market information, access to financial services and implementation capacities and structures often hinder the success of these market-based approaches to poverty alleviation. Governments have a mandate and an interest to set free the power of business for development by reducing constraints and providing incentives.

The G20 could act as a forum to:

  • Put inclusive business on the policy agenda
  • Develop recommendations for national strategies
  • Organize peer-learning exchange, and
  • Support results measurement

We will keep you in the loop on how the framework is shaping up and look forward to your contributions.

For further information about policy options for supporting inclusive business activities and examples policies can best be implemented read the Policy note on Inclusive Business Policies.