USAID’s Economic Growth Policy

Speeches Shim

INCLUSIVE, SUSTAINED, AND RESILIENT ECONOMIC GROWTH

Economic growth is critical for countries to plan, finance, and implement solutions to solve their own development challenges, ultimately enabling our partners on their Journey to Self-Reliance. In line with the U.S. National Security Strategy, USAID can play a catalytic role in promoting private-sector-led economic growth, helping the countries where we work become even better trading and security partners. Our new Economic Growth Policy advances the commitment of USAID and the broader U.S. Government to promoting inclusive, sustained, and resilient economic growth in developing countries.

Infographic description at the top of the image: Enterprise-Driven Economic Growth: To enhance the efficiency and effectiveness of our economic-growth programs, USAID’s Economic Growth Policy will follow six central principles. The image consists of six colorful lines feeding into a funnel, with a gray arrow that has a multi-colored border as the output. The six lines are 1) Enable Partners to Become Self-Financing (in bright red), 2) Prioritize inclusion, Sustainability, and Resilience (in light blue), 3

PROPEL SUCCESS THROUGH PARTNERSHIPS, LEARNING, AND EVIDENCE

USAID will strengthen and diversify our partnerships to help developing countries achieve inclusive, sustained, and resilient growth.  We will work with international and local public, private, educational, faith-based, and civil-society organizations to support enterprise-driven development. Enterprise-driven development recognizes the value of private-sector engagement, while also reaching beyond traditional contracting and grantmaking models — to collaborate, co-finance, and co-design programs, tools and initiatives.

Successful economic-growth programming will be strengthened by building upon existing strategies and guidance documents including:

 

ADVANCING THE JOURNEY TO SELF RELIANCE

USAID’s Journey to Self-Reliance reorients our strategies, partnership models, and program practices to achieve stronger development outcomes and work toward a time when foreign assistance is no longer necessary. Unlike alternative development models that are more state-led, undermine a country’s sovereignty, and lead to unsustainable debt, our enterprise-driven development model helps countries go from being aid recipients to partners to, one day, fellow donors. Enterprise-driven development enables USAID assistance to more efficiently improve a country’s market and governance systems. This will be accomplished, in part, by allowing the private sector access to knowledge and financial resources, which ultimately support solving development challenges on their own.