 welcome to this virtual session of a new development agenda. How do we leapfrog out of the pandemic economy, create a better world in which people are able to prosper a more inclusive world and a sustainable world? That's the bold ambition of this session and I'm delighted to have four highly qualified panelists to help us think about these issues. I'm Ian Golden. I'm the professor of globalization and development at the University of Oxford and I've been involved with the World Economic Forum since I was made a global leader of tomorrow in the 1990s when I was working as advisor to President Mandela and running the state bank in South Africa. Subsequently, I was vice president and had a pause at the World Bank and left in 2006 to come to Oxford where I'm now based. I'm joined by Fatou Marta Bar, the founder and executive chair of Django, which is in France and she's a global leader of tomorrow as well, a younger version of the cobalt that I was of so many years ago. Alfred Hamming, who is the executive director of the Alliance for Financial Inclusion in Malaysia. Actually, today he's in Germany. Dej Udrum Napodol, the chief sustainability officer of the CP Group based in Thailand. He's in Bangkok. Deborah Revolotella, who's the chief economist of the European Investment Bank in Luxembourg and she indeed is in Luxembourg. The question we want to address today is how do we find new approaches? What is the practical pathway from the disruption we experiencing today towards a more inclusive development around the world? It's a bold agenda. It requires multiple dimensions and the different panelists today offer different perspectives on this. Clearly technology, finance and all sorts of policy changes are going to be needed and all of this in the context of getting to zero carbon emissions. Let's begin with Deborah Revolotella from the EIB and the question for Deborah is what new approaches to development policies have been taken by the development finance institutions to steer economies towards the sustainable growth trajectories and has there been a change in policy as a result of the pandemic? Thank you very much and I'm really happy to have the honor to kick start this debate and I think the answer to your question really comes the second part is really important. So are development policies changing because of the pandemic? And the answer is yes. I think what we are seeing is that the crisis is having a massive impact and that really requires NDB and DFI to adapt their approach and to deal with two angles. The one of the short term immediate response and the angle of having a look at the long-term challenge and using the switch from the short term to the long term somehow to leapfrog as you are mentioning and trying to look at the potential that are related to I would focus on three elements on the one side impact investment and sustainable investment and then the opportunity of moving for creating jobs trying to push for the demographic dividends that are some of the countries in the region are. This is the key message that I would like to pass but I would like to qualify a couple of the elements that I was mentioning. The crisis is having a massive impact and we have been working on defining something that is the economic vulnerability indicator for emerging markets and developing economies. What we have been looking at is the economic vulnerability to a crisis like the one generated by this specific pandemic. So we look at the three elements, the health of the health sector and then exposure of the population in terms of age exposure, age composition of the population. Then the economic structure of the countries, the dependency on commodities, global value chain, tourism and also the dependency on remittances and then the capacity to withstand the shocks looking at the eyes but also at the sovereign and financial sector strengths. What we see is a number of areas of immediate vulnerability of the economy that actually are the vulnerability to the economy that we were detecting already starting from February, March, March are now materializing as actual issues and immediate threat for some of the economies. So we start seeing the financial situation and the capacity of the countries to respond in the short term to the shock at risk and that's a compromise the full story of the support that we can provide. So what we have been doing as the IDE, people may not know the European investment banking very well known for the activities in Europe but on an annual basis we lend some 7.8 billion out of the European Union. When the crisis came what we did was to try to front load as much as money on the ground that we could 5.2 billion part of the team Europe effort has been directed and trying to try to move very fast supporting the health sector mostly the public sector health sector and then supporting the private sector and looking at the opportunities that can can can be used for for the future and in looking at the private both the public and the private sector intervention we try to focus on three concepts on the one side impact investment we very strongly embrace the idea of as a multinational development bank but also the FI the impact investment where we try to maximize the social and the economic externalities and not only looking at the short term financials this is particularly important in a moment like the one that we are leaving now and what we do is that we commit to measure a report on the output outcome of what we do exactly to maximize the impact this is one way in which we are moving more but that's obviously in the short term you have to be fast in the medium to long term you have to maximize the impact so the moving fast on the one side is also to be accompanied by a better way for internalizing what are the the externalities of the project the second point where we are moving is what I was mentioning before so focus on sustainability and the the demographic dividend out of of the countries on the one side we think that the effort both in terms of sustainability and most in terms of sustainability but also in terms of secular transformation on the job market they are quite important on the one side Deborah sorry can I ask you to begin to wrap up you've already taken five minutes yeah yeah I'm sorry no what I'm saying is that both sustainability and and the secular transformation in the job market they have a factor that may be challenging in the short term but they also associate a lot of job opportunities in the transformation so what we are trying to do is to try to look at the job opportunities that this generate and trying to focus on projects where the job creation in particular decent job creation is is important so just wrapping up completely I think MDV and DFI have a clearly minor there is a short term shock and that's requiring immediate action on the other side there is a medium to long term transformation that needs to be to be accompanied and supported and that's where impact investment sustainability investment and focus on a decent job as to come in thank you thanks very much and that is very clear short term shock how to deal with it and long run transformation needs we'll now turn to Fatima to bar Fatima what are the key barriers that prevent leapfrogging particularly developing countries and what do you think could be some of the ideas to overcome those barriers thank you very much high and this conversation is extremely important especially when we think that currently in Africa we are losing I think every month 60 billion dollars GDP and we already lost three million three million net jobs which is quite critical because we've actually created today three million net jobs and we need to create 20 million of them to cope with the demographic increase and to me there are three huge challenges that help that are preventing today's leapfrog of our economies the first one is really when it comes to investment especially investment available to technology companies in the venture capital space as you know many of these startups today are helping to accelerate and massify access to financial services access to energy access to healthcare and access to education however they raised only two billion dollars last year and if you compare that amount to for instance India it's 17 timeless when you have the same demography in Africa than in India when you have the same GDP roughly three thousand billion dollars GDP and we actually have more internet users in Africa than in India so that's one huge challenge and even looking at how the investment that is already available is split is very inequitable as well geographically first because you have four countries concentrating 90 percent of the investment Nigeria Egypt Kenya and South Africa when you have so many fragile states especially in West Africa and francophone countries you have issues also around you know looking at the gender question I think women in Africa are the most entrepreneurial in the world with a total entrepreneurial activity rate of 26 percent yet you have 42 billion a cap and it's actually preventing us from achieving an extra 150 billion dollars of GDP and that is extremely important to invest in more financial intermediaries that are helping to increase the amount of investment available but also channel it the right way so second aspect is really scalability when you look at intervention that are important to be able to leapfrog development they have to be able to actually touch the masses to be effective and it's so important in the context of Africa where you have actually 54 countries actually 55 African Union member states and I see it's a huge challenge but there are some maybe good news in terms of opportunities because there have been a ratification of continental free trade area that should help more startups but also SMEs and other companies really tap into a broader market it will be actually the largest single market since the creation of WTO when it's really a fully effective and the third dimension is really a regulatory challenges if you look for instance at a study done by BCG they estimate that e-commerce only could create more than three million net jobs by 2025 in Africa yet when you look at an United Nations commission for trade related development index on e-commerce preparedness out of the 10 least prepared countries worldwide nine are in Africa so it speaks very highly of how we are not dared to be able to tap effectively into these opportunities that are not only yielding good financial results but also helping drive social impact and I think these three challenges are exactly what someone like me a former entrepreneur and now an impact investor are really passionate about. Excellent thank you so much for Temata and those very clear messages regarding investment scalability and regulatory harmonisation and their potential impact we'll come back to I hope some of those if we have time. Alfred Hanning what role can financial inclusion policies play in supporting this technological leapfrogging and as a head of an organisation devoted to that we look forward to your comments. Well thanks for bringing us to this forum the question is very timely and I wanted to share a couple of points with you and they're actually quite related to what Temata shared with us on the opportunities. First of all financial inclusion which we understand as the affordable and appropriate and high quality provision of financial services to wider segments of the population that has come into everyone's interest I think since the financial crisis and I think today what we have seen is a broadening of the mandate of the financial regulators particularly in emerging and developing economies that actually have understood that financial inclusion goes hand in hand in a complementary way with their traditional mandate on monetary and financial stability so that is a very important point to make and we have seen it in the last past 12 years I should say and in the network which is a network of 90 countries financial regulators from 90 countries we have actually seen 680 policy implementations that have taken place and that has led to around 650 million that have been included in addition and of course you can be sure that a lot of this has happened because of the technological advances that we have seen but I also would like for a minute to take the micro perspective here and that is we just need to understand that even the access to the smallest financial service for a poor woman can make a huge difference in that life and I think that is why we are doing it now how does leapfrogging work and this is an important point I mean many of us look at East Africa when we discuss these success stories like Kenya Tanzania but there are many other countries who are following suit and I would just for example now take the the Ghana example the Bank of Ghana in fact showcase the role of mobile money innovations in advancing financial inclusion very impressively just to give you this number as of 2018 Ghana had only 15 million bank accounts but 32.5 million mobile money accounts and the mobile money accounts increased in only three years from 2014 to 2017 from 13 percent to 40 percent which is actually the number of adults above 15 years and even when you look at the gender aspect very interesting we we also saw a tripling of access in mobile money accounts for female customers from 12 to 34 percent we have many other countries who have who have noted very similar developments and I think the question is now really what is the potential that we can use especially and I think the first speaker made this distinction between short term and medium term we call it immediate mitigation and recovery phase after the pandemic and I think many countries have started we have seen in our network that regulators have reacted very very effectively already and this is basically around regulations to reduce the reliance on cash-based transactions but how can we leverage this now and I think technology is certainly the first point that we would make and we have seen these examples that I mentioned but there are also other dimensions and these are mostly related to broader objectives like sustainable development goals let's look at gender women's financial inclusion is extremely important and we have seen a huge gender gap closing this gender gap can have a dramatic impact same with forcibly displaced persons serving this clientele better can have dramatic impact on economic growth and development then of course the youth and this is a point I just wanted to make you know when I talked to my neighbor someday he said to me look my son has never seen a record and we all have seen a record funds but some people have never seen a record in their life they don't even know what it is and I can be very sure that in 10 years down the road we will have young people who have never seen a financial a banknote or a coin in their hand but they are using financial services digital financial services this is dramatic and I think that's a huge potential for us but we also have to protect these people because there are of course many many issues such as privacy and other consumer protection issues now the other element I want to mention is inclusive green finance we can also now make sure that we actually address issues at the lower end of the market when it comes to providing sustainable financial services even through financial inclusion so this is very important and many people talk about resetting the button yeah but what does it mean resetting the button for us it means including these reform elements broadening the lens bringing in the stg relevance into the work of the financial regulators in a complementary way to their traditional mandates on monetary and financial stability so this is basically the first message I wanted to make thank you very much thank you very much very comprehensive an extraordinary reach that you have through your 90 countries so tremendously effective so thank you very much for that mr nappadol what is the role of local and global firms operating in developing countries to achieve this and what should be done to support private sector development sustainably thank you professor golden let me introduce my company a cp group is a tycon comrades with three core businesses agro industry and food retail and distribution media and telecommunication we operate in 21 countries and our products and services are available in 85 countries this year we are 99 years of age the company is fortunate to pursue its long-term quest of value creation based on three benefit principle first benefits to the countries where we are second to the communities we engage in and finally to our company and employees we believe that economic growth can only be sustainable with a solid foundation of strong society with healthy people and healthy environment as an employer we need to ensure all our colleagues are well protected during this health and economic crisis they can continue have good job with adequate income to help drive the local economy along so we put in place strong hygiene measures announced at no layoff policy and provided food and other assistance to our workers as well as healthcare workers and people under quarantine and beyond the community up to the national and international level we partner with the government and healthcare sector to identify the urgent needs for surgical masks which had been in short supply within five weeks we built a world-class factory to supply masks to healthcare workers in thailand and over nine million masks have been distributed so far recognizing that the economy downturn during this pandemic would lead to massive job losses and lack of opportunities for new graduates entering the labor market our retail affiliate cp all hire an additional 20 000 people to help support the e-commerce and delivery businesses right at the beginning of the pandemic as the pandemic is still an ongoing concern we are currently hiring additional 28 000 positions in multiple business units apart from responding to the pandemic and related impacts the business sector is a vital development partner in achieving the sdgs within the remaining 10 years decade of action this movement will require massive investment in multiple areas to help us get closer to the goals many advance meant we have made in the past five years have seen set back during the pandemic to address the various global development challenges we need massive investment the united nation estimated that we need to invest about 3.3 to 4.5 trillion us dollars per year to achieve the sdg by 2030 this kind of investment can only be possible if all sectors come together to share resources as well as to share risk the business sector with its management experience human and financial capital as well as understanding of the market can help public sector entities leverage their resource on development projects initiatives led by business such as r&d partnership knowledge sharing platform technology and skill transfer infrastructure investment can help kickstart development responsibility create better quality job and also enhance worker skill business also need to evolve with growing complexity of the development challenges in the past the development work implemented by private sector alone or through public private partnership often look at the individual projects and initiative to address particular needs this kind of focus project will still be needed but the new reality also require a more comprehensive approach such as development of ecosystem and enabling mechanism through a ppp program the group and his partner are developing Thailand's first high-speed rail line to help spur economic growth and shift road to rail based uh transportation slowing carbon emission as well as road accident as to what should be done to support private sector development i believe that the private sector would appreciate clear government policies and national development strategy as well as open honest dialogues among all stakeholders as equal partnerships with the understanding that we live in a highly dynamic world that national policy and strategy must adapt quickly to changes uh the commitment to address social and economic issues must be agree upon share among all parties through strong partnership for collaboration and exchange of ideas such as working with forum wbcsd ungc in conclusion you know we must put aside our differences and wake up to the fact that the world now needs a much greater degree of collaboration and coordination of efforts and investment thank you professor thank you very much um mr napo doll that was uh very succinct and uh well so thank you for what you're doing uh not only in creating the masks but employing uh 48 000 people at this critical time uh of need is uh of tremendous significance and let me also echo uh your comments and they were raised by other panelists that we need more collaboration and cooperation uh if there's one thing that the pandemic has taught us it's that no company no individual and even the mightiest countries cannot be islands at this time and no wall is high enough to keep out the threats we face and what that does keep out is our ability to cooperate which is what we need more than ever happily in oxford my scientific colleagues are collaborating with others and so we hope we're going to have a vaccine pretty soon towards the end of this year distribution in the first quarter of next year but as i said inshallah let's hope that happens