The U.N. Global Compact and the Rockefeller Foundation launched a new framework at a special session of the Rio+20 Corporate Sustainability Forum, which ran June 15-18.
The Framework for Action encourages public and private sector investment in social enterprises, specifically those working in the areas of agribusiness, education, energy, financial services, health, housing and water.
The partners outline three key steps of action for governments and the private sector: Identify rationale for engaging with social enterprises, define strategies and identify approaches for implementation.
The report provides examples, including known companies that have already invested in social enterprises and the benefits they have gained since.
Starbucks, for instance, has invested in a social investment fund that provides financial support and training to rural communities in sub-Saharan Africa and Latin America. This, according to the report, has helped Starbucks stabilize its supply chain.
Technology company Cisco, meanwhile, has invested in a venture fund that promotes development in parts of India. This has helped Cisco align its innovations with the market.
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About the author
Jenny Lei Ravelo@JennyLeiRavelo
Jenny Lei Ravelo is a Devex Senior Reporter based in Manila. She covers global health, with a particular focus on the World Health Organization, and other development and humanitarian aid trends in Asia Pacific. Prior to Devex, she wrote for ABS-CBN, one of the largest broadcasting networks in the Philippines, and was a copy editor for various international scientific journals. She received her journalism degree from the University of Santo Tomas.
