The United Nations 2030 Agenda for Sustainable Development covers 17 goals, the 17th of which is “Partnerships for the goals,” namely: Strengthen the means of implementation and revitalize the Global Partnership for Sustainable Development.

Under this major goal, there are 19 targets, the 17.5 of which is “Adopt and implement investment promotion regimes for least developed countries.”

●Current Situation

The World

Least developed countries face significant financing gaps and institutional difficulties

As of April 2023, six LDCs were in debt distress and another 17 were at high risk of debt distress. UNCTAD’s Least Developed Countries Report 2023 calls on the global community to urgently address the critical financial challenges faced by the world’s 46 most vulnerable nations.

Graph: United Nations Conference on Trade and Development

UNCTAD and its partners are building the capacity of over 60 officials from 20 least developed countries (LDCs) in investment facilitation and promotion for greater sustainable development impact. LDCs have borrowed and spent more to strengthen social safety nets and economic support, as at least 15 million more people in LDCs have fallen into extreme poverty since the pandemic. Global foreign direct investment (FDI) fell by 2% to US$1.3 trillion in 2023 amid an economic slowdown and rising geopolitical tensions, according to the World Investment Report 2024.

Graph: United Nations Conference on Trade and Development

In 2023, 29 new international investment agreements (IIAs) were concluded, less than half being traditional bilateral treaties. Reforming older IIAs remains slow, with about half of global FDI still governed by non-reformed treaties, increasing the risk of investor-state dispute settlement (ISDS) cases. This is higher for developing countries (two-thirds) and LDCs (three-quarters). Only 16% of global FDI stock is covered by new-generation IIAs. The total ISDS case count reached 1,332, with 60 new arbitrations in 2023. About 70% of new cases were against developing countries, including three LDCs, with claims mostly in the construction, manufacturing and extractive sectors.

Source: United Nations Conference on Trade and Development

China

China announces zero-tariff treatment for least developed countries

The Customs Tariff Commission of the State Council of the People’s Republic of China issued an announcement that, in order to expand unilateral opening to the least developed countries and achieve common development, from December 1, 2024, a preferential tax rate of zero will be applied to 100% of the tariff items originating in the least developed countries that have established diplomatic relations with China. For products subject to tariff quota administration, goods within the quota will enjoy zero tariffs, while tariff rates on goods exceeding the quota will remain unchanged.

Source: Ministry of Finance of the People’s Republic of China, Xinhua

●Cases

The World

Sustainable energy investments by TotalEnergies

Access to water is fundamental to local development. As part of TotalEnergies’ fuel distribution activities in Africa, they run several Water Sanitation And Hygiène (WASH) programs to provide access to water for local communities in connection with their operations.

In 2023, TotalEnergies started the first local plastics recycling facility in Nigeria, as part of a project supported by UNITAR (United Nations Institute for Training and Research) and the Nigerian authorities. The construction of two additional facilities is scheduled for 2024, and the possibility of collecting plastic waste from rivers is currently under study.

In January 2024, Lionel Zinsou, recognized for his expertise in African economic development, was entrusted with a mission to assess the land acquisition program carried out in Uganda and Tanzania as part of the Tilenga and EACOP projects.

Photo: TotalEnergies

In 2023, TotalEnergies launched the construction of a 216 MW solar plant in South Africa, combined with a battery storage system to manage the intermittency of solar production. Located in the Northern Cape province, the site will supply renewable electricity to the South African national grid for 20 years. In particular, it will supply 75 MW to the national utility Eskom on a continuous basis from 5 a.m. to 9:30 p.m., i.e. for longer than the available sunshine. Expected to be operational in 2025, the project is part of a national program to alleviate the country’s electricity supply constraints.

TotalEnergies plans to invest US$400 million in LPG for “clean cooking,” primarily in cylinders but also in storage and filling facilities.

Source: TotalEnergies

Unilever’s employment promotion and supplier diversity

Unilever’s emerging markets (59% of group turnover) grew underlying sales 5.1%, with 3.8% from volume and 1.3% from price. India grew 1.2%. Africa and Turkey delivered broad-based, double-digit growth, driven by strong volume and price.

In April 2023, Unilever Nigeria announced a 1.85-million-euro partnership to help a local startup expand plastic waste collection nationwide. Unilever Nigeria’s investment will support social enterprise WeCyclers to create over 700 jobs scaling up operations that collect plastic waste from the environment and turn it into raw materials for industry.

Photo: WeCyclers LinkedIN

The supplier diversity program aims to enhance access to new capabilities at the same time as supporting their livelihoods work – and is focused on diverse businesses that are owned, managed and controlled by members of under-represented or minority groups. The program is now active in 25 markets following expansion to Colombia, Chile and the Philippines, with the total spend reaching 1.1 billion euros in 2023. In Latin America, Unilever has partnered with an accelerator program that supports diverse suppliers who are developing sustainability solutions, with potential to benefit their business.

Source: Unilever

DJI’s technological innovations drive agriculture in the least developed countries

DJI Agras drones are vital assets for crop monitoring in regions like South Africa, offering farmers invaluable data and insights to optimize agricultural practices. These drones address pests, diseases, drought, and resource management challenges while promoting sustainability and cost-effective farming in diverse and dynamic agricultural environments. In 2023, DJI Agriculture helped boost small-scale sugarcane farmers’ yields and incomes in South Africa, achieving a maximum sugar yield increase of 1.78 tons per hectare.

Photo: DJI

In August 2023, the Asia-Pacific Plant Protection Commission (APPPC) of the Food and Agriculture Organization of the United Nations held a training course on agricultural drone spraying technology in Nanjing. Nearly 40 people, including representatives and lecturers from the APPPC Secretariat, the Ministry of Agriculture and Rural Affairs of China, and representatives from 10 member countries including China, Indonesia, Laos, Malaysia, Nepal, Samoa, Solomon Islands, Thailand, Timor-Leste, and Tonga, attended the training course.

Source: DJI

Global healthcare investment by Mindray

Mindray has established 62 international subsidiaries in over 40 countries in North America, Europe, Asia, Africa, Latin America and other regions.

To help improve diagnosis and treatment in different regions of the world, Mindray has established a number of ultrasound schools and ultrasound training and research centers in the Middle East, Africa and Southeast Asia. In March 2023, they set up two ultrasound schools at the University Clinic in Kinshasa, Democratic Republic of the Congo and Al Mezan Hospital in Palestine, introducing high-end ultrasound equipment and carrying out a series of training courses and seminars.

Source: Mindray

●Background

Sustainable Development Goals (SDGs) initiated by the United Nations

On January 1, 2016, the 17 Sustainable Development Goals (SDGs), including 169 targets, of the 2030 Agenda for Sustainable Development — adopted by world leaders in September 2015 at an historic UN Summit — officially came into force. Countries will mobilize efforts to end all forms of poverty, fight inequalities and tackle climate change while ensuring that no one is left behind.