Pedro Sánchez: "Spain is fully committed to a vision in which economic profitability, environmental sustainability and social justice go hand in hand"

FIBES Conference and Exhibition Centre, Seville

The President of the Government of Spain, Pedro Sánchez, speaks at the opening of the International Business Forum, part of the 4th United Nations International Conference on Financing for Development (Pool Moncloa / Borja Puig de la Bellacasa)

Together with UN Secretary General, António Guterres, and before representatives of the international economic and business world, Pedro Sánchez stated that "Spain is fully committed" to a vision in which "economic profitability, environmental sustainability and social justice go hand in hand". He also called for "building solid alliances between the public and private sectors", because "sustainable development is not possible without a much more decisive participation of companies".

The head of the Spanish Executive began his speech by stating that "the 2030 Agenda is totally threatened by insufficient progress, but also by backward political movements that attack it without any basis". Global challenges are only growing and against this backdrop "we need a new collective ambition to push back the storm clouds" that "threaten peace, world trade and thus the multilateral order". This ambition "must include the private sector, as one of the key players to achieve it", said Sánchez, who unequivocally stressed that "more investment is needed".

Measures along three main axes

Consequently, the Spanish leader believes that governments and multilateral institutions must assume their responsibility and "create the conditions" to make business investment possible. We will do this," Sánchez said, "with measures along three main lines. The first is to reduce and share risks", by multiplying blended finance instruments, credit and first loss insurance and guarantees, and other mechanisms that amplify the scope and effectiveness of investments.

Secondly, "steps must be taken to facilitate public-private partnership projects", which generate quality jobs and economic and social progress in the countries that need it most, and also in education, digitalisation, health and the green economy. And finally, "there is an urgent need to reform the international financial system" so that it can play its full role as a catalyst for development.

"We can see progress as a zero-sum game, with winners and losers, or conceive of it as an opportunity for shared prosperity". Personally, and also from the Government of Spain," said Sánchez, "we are convinced of the latter: it is a question of political will. On this point, the head of the Government of Spain stressed that "we will not let the short-sightedness of the present make us see those who could be our partners and allies in the future as competitors. Because the stability and prosperity of the Global South are essential for the economic security and prosperity of the world as a whole. Sustainable development will therefore only be possible if we include everyone, and we are determined to act on the three avenues I have just mentioned to achieve it.

More investment and sound fiscal systems

The President of the Government of Spain, Pedro Sánchez, speaks at the opening of the International Business Forum, part of the 4th United Nations International Conference on Financing for Development | Pool Moncloa / Borja Puig de la Bellacasa

Before the private sector participants in this conference, Sánchez insisted on asking "the business community" to "bet on developing countries and invest where others still see uncertainty"; in short, "to help generate wealth, employment, technology and sustainable value chains" in these countries.

"We know it is not easy", but no one is "asking for a pipe dream". As the theologian and mathematician William George Ward said, "The pessimist complains about the wind; the optimist expects it to change; the realist adjusts the sails. And I encourage you to adjust the sails together. All together: public and private sector, government and business," he stressed.

"We have a great opportunity ahead of us to combat the poverty, climate change and financial volatility that afflict developing countries. So that we do not leave behind the millions of people who live just 14 kilometres from our shores, but also so that the achievements we make mean the best for those of us who have the privilege of living on this other shore".

"We are in time to expand innovative financing mechanisms that drive innovative transformations, stable investments, long-term investments that generate real opportunities in the recipient countries," said President Sánchez. "Developing countries must create a more enabling environment, so more legal certainty", and businesses must invest, create jobs and pay the taxes that allow them to progress; "that is what the global contract for sustainable development we are proposing is all about".

"Let us not forget: without sound fiscal systems, these nations will not be able to finance essential public services, infrastructure and institutional stability which, in turn, are necessary conditions for their investment. Prosperity must be a virtuous circle and not a zero-sum game.

Let us connect ideas with capital, needs with solutions, proposals with alliances, and people with possibilities," insisted the President of the Government of Spain. "The cost of doing nothing is hundreds of missed opportunities for our companies, but also millions of lives that may be lost along the way".

Non official translation