Five countries in the Middle East and North Africa region have adhered to the OECD Guidelines for Multinational Enterprises for Responsible Business Conduct (RBC) but their capacities to promote RBC are still relatively weak. Moreover, the lack of favorable framework conditions and investment risk/return profiles makes it harder for developing countries to attract direct and portfolio private investments.

Overall, the contribution aims to improve practices and policies 1) to foster RBC in developing countries, and 2) to attract and mobilize private investments and finance for development impact.

In the area of RBC:

Outcome 1: Policy coherence on RBC is fostered on economic policies for responsible supply chains.

Outcome 2: National Contact Points for RBC in Egypt, Tunisia and Morocco are strengthened.

Outcome 3: Businesses' understanding and capacity to implement due diligence is increased

In the area of investment for digital transformation and for sustainable development:

Outcome 4: Policymakers' understanding of policies to attract investment that enables digital transformation has improved.

Outcome 5: Policymakers' understanding on how to harness the benefits of Foreign Direct Investments (FDI) for sustainable development has improved.

In the area of mobilizing private finance for sustainable development:

Outcome 6: The role of the enabling environment as part of the revised OECD's blended finance principles got strengthened.

Expected results:  

To achieve the targeted outcomes, the umbrella project will provide capacity building, policy guidance and promote peer learning, awareness raising and knowledge sharing for better RBC practices and policies. It will produce country reviews that formulate practical policy recommendations on how selected developing countries can attract international investment that enables digital transformation and supports sustainable development. Moreover, it will develop guidance and best practices that facilitate the translation of overarching principles in the area of private capital mobilization into practice.