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Partnering with the Private Sector for Greater Development Impact, Scale, and Sustainability

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Photo credit: MIDA Advisors
Nov 10, 2021

Today, the world faces an enormous annual gap of $2.5 trillion to finance global development goals, and this gap cannot be made up by foreign assistance alone. In fact, an estimated 90 percent of global financial flows to emerging economies come from private, not public, investment. To achieve a greater development impact, it will be essential to engage and collaborate with the private sector to drive sustainable growth, create jobs, and advance opportunities that improve lives and build resilience worldwide.  

Given the shift in global financial flows, USAID is seeking new partners and private investment to move countries beyond the need for assistance. Globally, the Agency works with partner nations to advance development progress in sectors ranging from COVID-19 response and global health; climate change; democracy, human rights, and governance; economic growth and trade; food security; women’s economic empowerment; and humanitarian assistance. 

Opportunities for private sector partnerships are steadily growing. USAID works with companies where there is strong alignment between business interests and development objectives. This goes beyond issuing government contracts to hire companies, and extends to sharing knowledge, resources, and funds as partners that co-create development progress. 

Development and business leaders alike recognize that collaborating and leveraging each other's unique resources, assets, and skill sets can deliver both business success and inclusive growth.

Indeed, business is good for development, and development is good for business. Partnering with USAID provides businesses with opportunities to achieve core business interests and advance corporate sustainability priorities. The obstacles that businesses face operating in emerging markets are often the development challenges that USAID is already working to address in developing countries – from supply chain stability to community investment and workforce development

By working as co-investor, convener, facilitator, and risk mitigator, USAID offers support to companies that in turn share their resources, assets, and expertise that spur sustainable results through market-based solutions. USAID also helps to level the playing field for U.S. and international businesses by reducing their barriers to entry in emerging markets and opening up business opportunities and investment abroad and in the United States.

In pursuing market-based approaches, USAID seeks more sustainable development impact over time. USAID works with U.S. and global corporations, regional and local businesses in developing countries, and industry associations in a number of ways to solve some of the world’s toughest challenges. 

Learn more about tangible ways that USAID works with the private sector:

 

Interested in Partnering with USAID?

USAID actively seeks to engage companies and investors to explore opportunities to partner with USAID. To learn more about our work and identify areas of potential collaboration for your company, please visit USAID’s Partner with Us page. Please contact the Private Sector Engagement Points of Contact in the country where you would like to work. For specific solicitations across the Agency, visit Search for Opportunities or email globalpartnerships@usaid.gov.

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