Harmonious cities - UN-Habitat

Take China for example, which today accounts
for half the global construction volume.
It is also enjoying one of the highest economic
growth rates worldwide. But the China
example needs to be contextualised. It should
not be seen as the recipe for development,
especially in today’s global quest for reduced
consumption patterns. However, the link between
urban development and national development,
correlated to the private sector’s
growth cannot be underplayed.
There is a general fear that the private sector,
in its struggle to meet international competition,
might push governments to adopt
urban policies less dedicated to the needs of
communities or social equality. There is also
concern that local governments are becoming
more visibly market centred, promoting ‘good
business climates’ and courting the private
sector to lure jobs and money. Liberalisation
leads to structural changes with critical implications
for urban policy and planning. It also
has great impacts on urban living conditions.
Civil society is continuously warning the
international community about the danger of
such trends that work to the detriment of the
lower income bracket in society and against
social development and security.
“While we already have decades of experience
working with governments in the developing
world, we now recognise the importance
of working with other development actors,
from grassroots civil society organisations
to multinational enterprises, to ensure that
the poor are not left behind,” said Mr. Mark
Malloch Brown, the former Deputy Secretary
General of the UN in a foreword to a UNDP
publication entitled, Private Sector: Building
Partnerships for Development.
Preserving safety nets for the urban poor
and strengthening local governance capacity
to balance market forces are important objectives
supported by the UN. In fact, it has
to play a critical role in bringing together the
private sector, governments – including local
governments – and civil society to keep a balance
that allows a harmonious urban development.
But while it is increasingly important for
the UN to partner with the private sector, global
civil society watchdogs have long warned
about the clashing motives of private sector
players—particularly multinational corporations—and
the UN.
While business is about minimising costs
and maximising profits, the UN is about
promoting international co-operation on development,
humanitarian assistance, human
rights and security.
The UN positions itself here by saying that
the private sector can contribute in several
ways to the realisation of UN goals through the
mobilisation of “financial resources, access to
technology, management expertise and support
for programme”.
The UN partnership approach intends to
go beyond the so called clashing motives of
businesses and those of the UN. To concur
with that approach, the business community
seems to increasingly promote a new discourse
whereby those differences are ironed out.
“What I’m saying to business is that business
cannot succeed in a society that fails -
we have a clear business interest in helping
to create functioning societies that are good
Private sector
IN-FOCUS
places for doing business, otherwise we don’t
have a platform for doing what we’re supposed
to do,” said Mr. Bjorn Stigson, President of
the World Business Council for Sustainable
Development.
To establish successful partnerships between
the private sector and the UN, it is crucial
to understand the motives and requirements
of both. At the same time, issues such
as climate change have triggered a new quest
for common objectives. The private sector is
increasingly aware of the importance of sustainable
social and economic development
for the successful conduct of its activities.
Private sector actors also recognise the need
Ph o t o © WBCSd
“Business cannot suceed in a society that
fails.” — Bjorn Stigson, President of the World
Business Council for Sustainable Development
to invest in human resources and infrastructure
in order for businesses to thrive.
They need to invest in the city of
tomorrow. u
u r b a n
November 2008 WORLD 31