Social Watch news

The successful implementation of the 2030 Agenda requires bold and transformative steps that are urgently needed to shift the world on to a sustainable and resilient path. In order for it to be a collective journey, on which no one should be left behind, the scale and ambition of the 17 Sustainable Development Goals and 169 targets require a broad and integrated approach not only to balancing and realigning the normative architecture of the global economy but also to restructuring regional and national political-economic practices. Politics as usual and economics as the determined by the rich and powerful will have no place on this new path. Merely tinkering with uncomfortable edges of the micro-economic status quo will not do. The historical direction and social-structural content of such a shift will involve the modification of the deep structures of poverty in the periphery economies up to and including addressing the different aspects of state autonomy and the underlying democratic deficits that stand on the way of building sustainable national economies.

Every country and every region has something to do in the new global Agenda 2030, said Social Watch coordinator Roberto Bissio in Berlin, interviewed by Internationale Politik und Gesellschaft (IPG). Bissio said that ithe new agenda is more comprehensive. The rich countries are not only required to provide aid but also to introduce changes at home and to look at the footprints they leave, the impact of what they do internally in the global atmosphere, the oceans and the economy. "It is also an Agenda that provides major opportunities for us as citizen groups to interpelate our governments and ask policy makers what are you doing about this agenda that is relevant for all of us."

A few weeks ago the Finance Committee of the National Council moved for Switzerland's official development assistance to be reduced to 0.4% or even 0.3% of gross national income over the coming years. That would mean cutting expenditure on actual development cooperation abroad by 30% to 50%. Care of asylum seekers here at home, which Switzerland absurdly counts as development spending, would then account for one fourth to one third of this expenditure.

In the National Council itself, the Finance Committee's radical cost-cutting proposals will hardly find a majority. It transpires from centre-right circles, however, that a call will indeed be made for cost-cutting in long-term development programmes in order to release more funds for short-term emergency humanitarian aid. The call will also be for development cooperation to be more closely tied to Switzerland's own interests, namely to migration partnerships and agreements for the repatriation of asylum seekers.

The work of central banks is not easily understood and often takes place out of direct public view. Equipped with traditional macroeconomic tools of the trade, central bankers fulfil their main function – to keep prices stable by fighting inflation – through regulation of money supply and interest rates. In addition to this monetary function, some (but not all) central banks are also involved in regulating or supervising the financial sector to ensure the health of financial institutions.

In the aftermath of the global financial crisis, central bank participation in sovereign debt rescheduling and support for the stability of the broader financial system is coming into sharper focus. Depending on the mandate, central banks take on other non-monetary functions as well, such as promotion of economic development, job creation, and financial inclusion. Central banks in developing countries that come under the direct influence of the executive branch (which also raises legitimate questions concerning their independence) tend to make active and creative use of non-monetary functions in ways that can directly benefit individuals and households.