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Views from the Center

CGD experts offer ideas and analysis to improve international development policy. Also check out our Global Health blog and US Development Policy blog.

 

How Should Donors Work with the Private Sector? Responding to John Simon

In his post, John Simon, a former CGD visiting fellow, politely disagreed with our suggestion that donors are mainly using the wrong instrument to support private-sector investment. John made some excellent points (which we urge you to read in full). And, as we stressed in our first post, we all agree that private investment is crucial for delivering social returns in developing countries.

How Should Donors Work with the Private Sector?

We are enthusiastic about the growing interest in supporting private investment in developing countries, but it matters a lot how this is done. The sorry history of failed and distortionary partnerships should tell us something about how donor countries can do a better job of working with the private sector.