Post 2015: Global Action for an Inclusive and Sustainable Future

this chapter first looks at some of the limitations
of the mDGs, based on a definition of development
as a process of achieving structural economic
transformation, and discusses the role of trade and
investment in promoting it. It goes on to examine
recent changes in the structure and flows of trade
and investment, and the specific challenges faced by
lIcs and lDcs. the chapter then looks at current
and future Eu policies on trade and investment,
and finally proposes elements related to trade and
investment for a post-2015 global development
agenda, focusing in particular on four key areas: (a)
the promotion of modern-sector exports in lDcs
and lIcs; (b) reducing vulnerability to shocks; (c)
enhancing productive investments; and (d) improving
global coordination on investment policy.
8.2 Contours of a ‘beyond-MDGs’
agenda on trade and investment
8.2.1 MDG8: development without
development
the roles of trade and investment feature only
as sub-goals of mDG8, which is fundamentally
about achieving a global partnership to generate
Table 8.1: MDG 8 targets and indicators on trade and investment
the resources, opportunities and skills needed
for developing countries to achieve the first seven
mDGs. three of its six targets (8.a, 8.b and
8.c) relate specifically to trade and investment
(summarised in table 8.1, below). mDG8 also
includes indicators to monitor progress, but
although target 8.a partly relates to investment
issues, there are no specific indicators to monitor
progress in improving the global financial system.
the mDGs are both a product and a reflection
of a particular understanding of development
(nayyar, 2011). In the decades following World War
II, development was defined mostly in economic
terms and measured by growth in national GDp
and per capita incomes (Sen, 2000). In the late 1980s
and 1990s, however, several development thinkers
presented a different thesis, conceptualised as ‘human
development’ (Streeten, 1994; Desai, 1991; Sen, 1989;
Haq, 1995). they argued that development must
be about human wellbeing, and enlarging people’s
choices and freedom. according to this view, although
economic growth is important, it is not sufficient.
as Sen argues, ‘the basic point is that the impact of
economic growth depends much on how the fruits of
economic growth are used’ (Sen, 2000: 44).
Targets Indicators
• 8.A: Develop further an open, rule-based,
predictable, non-discriminatory trading
and financial system.
• 8.B: address the special needs of the lDcs.
• 8.C: address the special needs of
landlocked developing countries and SIDS.
• 8.6: proportion of total developed country
imports (by value and excluding arms)
from developing countries and lDcs
admitted free of duty
• 8.7: average tariffs imposed by developed
countries on agricultural products and
textiles and clothing from developing
countries
• 8.8: agricultural support estimate for
oEcD countries as a percentage of their
GDp
• 8.9: proportion of oDa provided to help
build trade capacity
poSt-2015: Global actIon For an IncluSIvE anD SuStaInablE FuturE
The MDGs are
both a product
and a reflection
of a particular
understanding of
development.
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