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ESCAP's Economic and Social Survey of Asia and the Pacific 2019 The shaded areas of the map indicate ESCAP members and associate members.* The Economic and Social Commission for Asia and the Pacific (ESCAP) serves as the United Nations regional hub promoting cooperation among countries to achieve inclusive and sustainable development. The largest regional intergovernmental platform with 53 Member States and 9 Associate Members, ESCAP has emerged as a strong regional think-tank offering countries sound analytical products that shed insight into the evolving economic, social and environmental dynamics of the region. The Commission’s strategic focus is to deliver on the 2030 Agenda for Sustainable Development, which it does by reinforcing and deepening regional cooperation and integration to advance connectivity, financial cooperation and market integration. ESCAP research and analysis coupled with its policy advisory services, capacity building and technical assistance to governments aims to support countries’ sustainable and inclusive development ambitions. *The designations employed and the presentation of material on this map do not imply the expression of any opinion whatsoever on the part of the Secretariat of the United Nations concerning the legal status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries. ECONOMIC AND SOCIAL SURVEY OF ASIA AND THE PACIFIC 2019 Ambitions beyond growth ECONOMIC AND SOCIAL SURVEY OF ASIA AND THE PACIFIC 2019 Ambitions beyond growth Armida Salsiah Alisjahbana Executive Secretary Hongjoo Hahm Deputy Executive Secretary Hamza Ali Malik Director, Macroeconomic Policy and Financing for Development Division United Nations publication Sales No. E.19.II.F.6 Copyright © United Nations 2019 All rights reserved Printed in Bangkok ISBN: 978-92-1-120786-6 e-ISBN: 978-92-1-047938-7 ISSN: 0252-5704 eISSN: 2412-0979 ST/ESCAP/2853 Photo credits: Cover: Shutterstock (1299694894); Chapter 1: Shutterstock (758510677); Chapter 2: Shutterstock (102141010); Chapter 3: Shutterstock (211760089); Chapter 4: Shutterstock (423542260). This publication may be reproduced in whole or in part for educational or non-profit purposes without special permission from the copyright holder, provided that the source is acknowledged. The ESCAP Publications Of- fice would appreciate receiving a copy of any publication that uses this publication as a source. No use may be made of this publication for resale or any other commercial purpose whatsoever without prior permission. Applications for such permission, with a statement of the purpose and extent of reproduction, should be addressed to the Secretary of the Publications Board, United Nations, New York. ECONOMIC AND SOCIAL SURVEY OF ASIA AND THE PACIFIC 2019 iii FOREWORD FOREWORD In Asia and the Pacific and around the world, our times demand stronger multilateral partnerships in the face of profound challenges from globalization, technology and climate change. Countries in the region have made great strides in reducing extreme poverty thanks to high economic growth from vibrant trade and investment. However, rapid growth has also generated rising inequalities and a looming environmental disaster. If present trends continue, the region is unlikely to reach most Sustainable Development Goals by the 2030 target date. We urgently need a shift in mindset and policy direction. This means looking beyond economic growth to pursue, holistically, human well-being and planetary health. Given current economic stability and the fiscal space available to countries in the region, now is the time for a decisive push to accelerate progress towards achieving the Goals. This year’s Economic and Social Survey of Asia and the Pacific provides a practical guide to policymakers on a critical aspect of the 2030 Agenda for Sustainable Development: how much does it cost to achieve the Goals? The report shows that the investments required to build an equitable and green future for the region are largely affordable, especially considering the synergies among the Goals. While the Goals are generally within reach for most countries, the least developed countries in the region face large financing gaps. To mobilize additional resources, the Survey stresses that – in addition to making public spending more efficient – the international community and the private sector need to step up. The Survey’s multidimensional policy recommendations and country examples outline a walkable path towards a prosperous and inclusive future. They serve as a basis for dialogue, not only among policymakers, but also academia and civil society. As we strive to raise ambition on climate change and make globalization and technology work for all, I recommend this timely analysis and policy advice to a wide global audience. António Guterres Secretary-General of the United Nations iv ECONOMIC AND SOCIAL SURVEY OF ASIA AND THE PACIFIC 2019 AMBITIONS BEYOND GROWTH PREFACE As Asia and the Pacific enters the fourth year of implementing the transformative2030 Agenda for Sustainable Development, the news from this area of the world is mixed. The region has emerged as an economic powerhouse, but progress towards achieving socially inclusive and environmentally sustainable growth is insufficient. Despite recording rapid increases in wealth, too many people are being left behind and are poorly protected. To ensure that socioeconomic progress does not damage the environment, a giant leap is needed towards a more sustainable model, based on resource-efficient consumption and production. What will it take to realize the “future we want” as set out by the 2030 Agenda? The 2019 edition of the Economic and Social Survey of Asia and the Pacific highlights three priorities in working towards that future. First, we must raise our ambitions beyond just economic growth. Our current development path is neither sustainable nor desirable. The 2030 Agenda and its 17 Sustainable Development Goals provide a clear blueprint for raising our ambitions. It calls for a change in mindset and an economic philosophy which puts people and the planet first. Second, we must invest more strategically to achieve the Goals. The Survey for 2019 looks at the investments required to accelerate progress. It concludes that an additional annual investment of $1.5 trillion is required to attain the Goals by 2030. At $1 per person per day, such an investment would enable 400 million people to escape extreme poverty and malnutrition. It could deliver a quality education for every child and youth; basic universal health care; improved access to transport, clean water and sanitation, information and communications technology; universal access to electricity and clean cooking fuels; increased use of renewables; more energy-efficient transport, buildings and industry; climate and disaster-resilient infrastructure; fundamental changes to the way we produce and consume; and stronger environmental protection. Third, we must develop strong partnerships and regional cooperation to ensure that no country is left behind. Closing this investment gap is within reach for many countries, but the gap is widest in countries which can least afford to narrow it. This includes least developed countries and small island developing States, which are the most heavily affected by climate change. Guided by the Regional Road Map, North-South, South-South and triangular cooperation as well as strengthened multilateral financing mechanisms will be essential to accelerating the pace of sustainable development. The Survey’s analysis of the investment gaps which need to be closed to achieve the Sustainable Development Goals complements ESCAP's forthcoming SDG Progress Armida Salsiah Alisjahbana Report. It provides tools for policymakers to translate ambitions into actions and has Under-Secretary-General benefited from the contributions of regional and national think-tanks, academia and the of the United Nations and broader United Nations development system. My hope is that its recommendations will Executive Secretary of support all ESCAP stakeholders in their efforts to promote sustainable development in ESCAP Asia and the Pacific. ECONOMIC AND SOCIAL SURVEY OF ASIA AND THE PACIFIC 2019 v EXECUTIVE SUMMARY EXECUTIVE SUMMARY The 2019 Survey calls upon the Asia-Pacific region to prioritize ambitions beyond economic growth and invest in people and the planet Although the region has emerged as an economic powerhouse, increases in wealth have not been shared widely, and intensive use of natural resources has come at steep financial and environmental costs. To move towards a more harmonious path of development, characterized by synergies rather than trade-offs, the region needs to urgently address investment shortfalls in people and the planet. This would require a reallocation of capital of about 4-5 per cent of GDP, on average, in the region. Doing so would put the region on track to achieve the Sustainable Development Goals by 2030. It would also support productivity growth and improve the long-term health of the regional economy. The 2019 Survey consists of four chapters. Chapter 1 lays out the rationale for going beyond economic growth. Chapter 2 takes stock of economic conditions and policy challenges that the region is facing. Chapter 3 estimates the investment needed in people, prosperity and the planet to achieve the 2030 Agenda, and suggests how to fulfil those ambitions through integrated planning and financing. Chapter 4 concludes, with emphasis on partnership and regional cooperation. Short-term
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