[least developed countries] may remain in extreme poverty by 2030,” read a news release today announcing the report.
Further, noting the urgency of efforts rectify the situation, Lenni Montiel, Assistant Secretary-General for Economic Development at the UN Department of Economic and Social Affairs (DESA) called for “redoubling the efforts to bring the global economy back on a stronger and more inclusive growth path and create an international economic environment that is conducive to sustainable development.”
The report noted that many economies had experienced a marked downturn in private and public investment in recent years. This combined with labour productivity growth slowed markedly in most developed economies and in many large developing and transition economies.
It also stressed the need of investing new capital as a driver of technological change and efficiency gains.
In particular, WESP concluded that investment in key areas, such as research and development, education and infrastructure, can promote social and environmental progress, while also supporting productivity growth.
Some positives in relation to environmental sustainability
Noting that the level of global carbon emissions had stalled for two consecutive years, the report said that this was an indication of declining energy intensity of economic activities and the rising share of renewables in the overall energy structure.
The report also found that renewable energy investment in the developing countries exceeded that of the developed countries in 2015.
It, however, cautioned that without concerted policy efforts from both the public and private sector, the recent improvements in emissions mitigation could easily reverse.
Amid challenges, a more balanced policy approach needed
In the context of a challenging economic and financial environment, the report advocated for a more balanced policy approach to not only restore a healthy medium-term growth trajectory, but also to achieve greater progress on sustainable development.
“The global economy needs policy measures that move beyond demand management,” today’s news release noted, urging for these measures to be “fully integrated with structural reforms that target the various aspects of sustainable development, including poverty, inequality and climate change.”
The report also called for greater international policy cooperation and coordination, particularly in the areas of trade and investment.
Via UN News Centre