The State of Play for Sustainable Development in the Joint Statement Initiative on Investment Facilitation for Development

This report by the International Institute for Sustainable Development and CUTS International, Geneva, analyzes the development-oriented elements of the Joint Statement Initiative (JSI) on Investment Facilitation for Development (IFD). It examines the challenges of implementing Special and Differential Treatment (S&DT) for developing countries, proposals for promoting sustainable investments through Responsible Business Conduct (RBC) and anti-corruption measures, and the potential role of home state measures in facilitating outward foreign direct investment.

• Negotiators are attempting to replicate the Trade Facilitation Agreement (TFA) model for Special and Differential Treatment (S&DT), which allows developing and least-developed country (LDC) members to self-designate their implementation commitments across three categories: Category A (unconditional), Category B (transition period), and Category C (capacity building and technical assistance).
• The use of needs assessment reports to determine S&DT categories faces five primary challenges: a broader scope covering the entire investment life cycle, a larger number of stakeholders to coordinate, a significantly tighter timeline (approximately 8 months compared to 5 years under the TFA), uncertainty regarding financing for a trust fund, and the need to adapt standardized templates to a more complex framework.
• Provisions for Responsible Business Conduct (RBC) in the 'Easter Text' are non-binding and focus on four stabilized areas: encouraging voluntary compliance with international standards, engagement with Indigenous and local communities, the use of due diligence for supply chain risks, and the exchange of best practices via the Committee on Investment Facilitation.
• The framework includes stabilized measures against corruption that require host states to implement anti-corruption measures according to their legal systems and international standards, recognize principles of accountability, transparency, and integrity, and share best practices through the Committee on Investment Facilitation.
• The proposed Domestic Supplier Database aims to make information on local suppliers, including micro, small, and medium-sized enterprises, accessible to investors. Some members have proposed merging this with 'supplier development programs' to create linkage-ready domestic firms and optimize development impact.
• A proposal for 'home state measures' suggests that countries from which investors originate should increase transparency of their outward foreign direct investment (OFDI) support. This includes encouraging the publication of facilitation measures and sharing information on the RBC and sustainable investing history of their outward-oriented investors.

APA

Jose, R., & Oeschger, A. (2022). The State of Play for Sustainable Development in the Joint Statement Initiative on Investment Facilitation for Development. International Institute for Sustainable Development. https://www.iisd.org/system/files/2022-04/joint-statement-initiative-investment-facilitation-en.pdf

Chicago

Jose, Rashmi, and Andreas Oeschger. The State of Play for Sustainable Development in the Joint Statement Initiative on Investment Facilitation for Development. International Institute for Sustainable Development, 2022. https://www.iisd.org/system/files/2022-04/joint-statement-initiative-investment-facilitation-en.pdf.

Wikipedia

{{cite report |last1=Jose |first1=Rashmi |last2=Oeschger |first2=Andreas |title=The State of Play for Sustainable Development in the Joint Statement Initiative on Investment Facilitation for Development |publisher=International Institute for Sustainable Development |date=April 2022 |url=https://www.iisd.org/system/files/2022-04/joint-statement-initiative-investment-facilitation-en.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{jose2022state, author = {Jose, Rashmi and Oeschger, Andreas}, title = {{The State of Play for Sustainable Development in the Joint Statement Initiative on Investment Facilitation for Development}}, institution = {International Institute for Sustainable Development}, year = {2022}, month = apr, url = {https://www.iisd.org/system/files/2022-04/joint-statement-initiative-investment-facilitation-en.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }