Responsible Investment for Development and Human Rights: Assessing Different Mechanisms to face Possible Investor-State Disputes from COVID-19 Related Measures
Developing and least developed countries (LDCs), particularly in Africa, are especially vulnerable to the unfolding effects of the COVID-19 pandemic. According to UNCTAD, foreign direct investment flows will drop drastically up to 40% during 2020-2021. A number of developed and developing countries, including LDCs, have introduced a number of measures aimed at limiting the effects of the pandemic, protecting domestic industries for strategic sectors (e.g. health industry, energy sector, telecommunication, food production, etc.), and safeguarding the real economy, particularly by offering bonds or bailouts for companies and the public in general.
Law firms and risk managers are already advising foreign investors about the possibility of initiating investor-State dispute settlement (ISDS) claims against host States on the grounds of the alleged breach of their investors’ rights, based on provisions such as : (i) full protection and security; (ii) fair and equitable treatment; (iii) national treatment and most-favoured nation treatment; and (iv) unlawful expropriation.
Lessons from COVID-19: Pharmaceutical Production as a Strategic Goal
By Dr. Carlos M. Correa
As often said, major crises bring about challenges but also opportunities. The strategic importance of a local pharmaceutical industry has been growingly recognized as a result of the COVID-19 crisis. Developing countries should take advantage of this opportunity to strengthen their pharmaceutical industry, including biological medicines. Industrial policies would need to be reformulated under an integrated approach so as to expand value added & create jobs while addressing public health needs. South-South cooperation may also play an important role in increasing the contribution of developing countries to the global production of pharmaceuticals.
Webinar on Tax Policy Options For Funding the Post-COVID Recovery in the Global South
The COVID-19 pandemic has negatively affected tax revenue collection globally, with the Global South especially hard-hit. The decline in economic activity has meant reduced corporate profits, declining consumption and increasing unemployment. This in turn implies declining revenue from corporate income taxes, goods and services taxes and personal income taxes. Resource-rich countries are especially being affected by the drop in global commodity prices and decline in international trade. This reduction in revenue collection is limiting developing countries’ ability to effectively respond to the COVID-19 crisis. It is therefore necessary to explore what are the concrete tax policy measures developing countries can take to raise revenue at this critical time. Measures pertaining to the digitalized economy are of particular importance given the increasing sales of tech companies and highly digitalized businesses during the lockdown.
The adverse human rights impact of economic inequality
By Blerim Mustafa
Increasing economic inequality is a defining challenge of our time. Economic growth can often be disproportionate and unequal, adversely affecting marginalized and disadvantaged groups in society. Economic inequality has had adverse economic, social and political impacts for social stability and cohesion, political participation, poverty reduction, as well as the enjoyment of human rights. The realization of human rights cannot be separated from broader questions of economic and social justice.
South Centre Statement to the United Nations High Level Dialogue on Financing for Development
Four years after its adoption, Agenda 2030, “Transforming Our World,” the United Nations’ (UN) most recent and most ambitious development agenda, is off-track. Various estimates of the spending needed to achieve the Sustainable Development Goals (SDGs) range from $1 to $3 trillion. Domestically mobilized resources are critical to achieve these goals. A main source of the inadequate scale of public revenues are shortfalls in corporate tax collection, which are largely explained by international corporations hosted by or doing businesses in developing countries that take advantage of facilities offered by the international tax standards and practices to avoid full payment of taxes in those countries. A substantive global reform process involving a variety of multilateral platforms is underway. The question is not whether the system of global tax standards and practices will change, but in what direction it will change. Drawing lessons from the developing country context will be critical if the ongoing process of global tax reform will benefit developing countries and achieve substantial success in generating the income needed to effectively attain the SDGs.
Stemming ‘Commercial’ Illicit Financial Flows & Developing Country Innovations in the Global Tax Reform Agenda
By Manuel F. Montes, Daniel Uribe and Danish
Illicit Financial Flows generated due to the commercial activities of multinational enterprises are quantitatively the most important challenge faced by developing countries in achieving the Sustainable Development Goals. Current efforts for stemming these illicit flows and reforming the international tax system are however being led by developed countries, with developing country interests poorly reflected in the reform agenda. This research paper highlights the tax issues of great priority for developing countries and how international tax cooperation can contribute to preventing such illicit flows.
Input of the South Centre to the UNCTAD Intergovernmental Group of Experts on Financing for Development
This is a contribution by the South Centre to the first session of the UNCTAD Intergovernmental Group of Experts on Financing for Development (IGE-FFD) that will take place on 8-10 November 2017. (more…)
Title: Rethinking Development in the Context of the 2030 Agenda – A South Centre interaction with developing country delegations on key issues and challenges ahead in the implementation of the Agenda 2030 and the UNGA 72 session
Date:Thursday,21 September 2017, 16:00-18:00
Venue: Conference Room D at the UN Headquarters, New York