Today, the UN’s Joint SDG Fund announces a historical $US60 million grant to close the SDG financing gap. The multi-year commitment, with an initial disbursement of $29 million being released this month, is considered the largest systemic UN led initiative on SDG financing in its history. With funding to be distributed across all continents, 40% will invest in Least Developed Countries and ten initiatives are to be implemented in Small Island Developing States.
“We have a historic opportunity to advocate for change, to curb inequalities and to invest in building resilience and sustainable development,” stated Deputy Secretary-General Amina Mohammed at the recent SIDA Development Talks, Building back better – Finance and Development Leaders in Joint Action[i].
The Joint SDG Fund is committed to supporting a coherent and cohesive UN system. The investments in 62 Joint Programmes will offer pragmatic solutions, all assessed as relevant in the context of the COVID-19 crisis: from addressing reduced fiscal space to align with the SDGs amidst COVID-19 recovery and financial planning to co-creating a new generation of risk-sensitive and responsive Integrated National Financing Frameworks. The results of the investment in SDG financing interventions will begin to materialize in the first quarter of 2021.
In March 2020, the Joint SDG Fund received 258 proposals to support SDG financing interventions in over 100 countries. The proposals were submitted to co-create a Sustainable Development Goal (SDG) financing architecture at the national level and support countries by integrating the SDGs across national public financial systems and more effective public-private collaboration, ensuring that no one is left behind.
Mongolia’s Minister of Finance, Khurelbaatar Chimed commented, "The approval of the Joint Programme marks an important milestone in Mongolia's sustainable finance journey. The programme aims to catalyze more financial flows to deliver on the newly approved ambitious Vision-2050 by implementing several reforms that ensure better governance, coordination, and monitoring of integrated national SDG financing strategies. These strategies will also contribute to shaping a post-crisis future for Mongolia - one that is more resilient, inclusive, and ensuring gender equality. We highly appreciate the UN's timely support and partnership on this important initiative that will inspire local, regional and global stakeholders."
The current health and economic crisis are a unique opportunity to make the world more inclusive and sustainable and this unique opportunity will not end here. The Joint SDG Fund will announce the results of the selection of Component 2, through the funding of catalytic investments able to mobilize financing at scale, in July 2020. This will give more countries an even greater opportunity to recover better.
With sincere appreciation for the contributions from the European Union and Government of Denmark, Germany, Ireland, Luxembourg, Monaco, Kingdom of Netherlands, Norway, Portugal, Spain, Sweden, Swiss Agency for Development and Cooperation and the Private Sector funding, all continents will receive the historic opportunity to build back better.
Learn more: SDG Financing portfolio.
Building back better – Finance and development leaders in joint action. Wednesday, 3 June, 2020. Webinar, organized in Stockholm. https://www.sida.se/Svenska/aktuellt-och-press/development-talks/inbjudningar/building-back-better/