According to the World Bank Group, developing countries have experienced growing structural weaknesses over the last decade. COVID-19 and climate change have further aggravated these, worsening poverty and inequality, and starkly exposing the interdependence between people, the planet, and the economy.
A business-as-usual recovery package that ignores these interlinkages would likely result in a lost decade of development addressing neither the structural weaknesses nor the interrelated challenges confronting the world.
This has raised the need for a GRID approach that pursues poverty reduction and shared prosperity
through a sustainability lens. The Green, Resilient, and Inclusive Development (GRID) approach departs from previous development strategies in that it promotes economic growth that goes hand in hand with environmental goals and inclusion. The approach addresses the risks to people, the planet, and the economy in an integrated manner that is tailored to country needs and objectives.
It sets a path that achieves lasting economic progress that is shared across the population, providing a robust recovery, and restoring momentum on the Sustainable Development Goals (SDGs). It will therefore require urgent investments at scale in human, physical, natural, and social capital to address structural weaknesses and promote economic growth. Additionally, transformational actions are required in key systems that drive the economy—like energy, agriculture, food, water, land, cities, transport, and manufacturing—which also have a large environmental footprint, accounting for around 90 percent of global greenhouse gas emissions. Notably, with the GRID approach, private sector-led growth will be key, and countries face a historic opportunity to chart a better way forward.
See below an outline of the GRID approach:
See below the document with further details on the GRID, what is takes to achieve it and the implementation process.Download pdf