The setbacks caused by COVID-19 (coronavirus) need not be permanent, and it is possible to regain the momentum and move ahead towards the SDGs. It is even possible to convert the COVID-19 crisis into an opportunity for recovering better, by directing much of the resources earmarked for recovery toward investment in promoting the SDGs. While the impact of COVID-19 for many prosperity-related SDGs was negative, its impact for many planet-related SDGs has been positive: greenhouse gas emissions declined; air and water quality improved; and nature's regeneration was witnessed in many areas. These opposite impacts revealed that current ways of achieving prosperity conflict with the health of the planet.

The Global Outlook on Financing for Sustainable Development 2021 calls for collective action to address both the short-term collapse in resources of developing countries as well as long-term strategies to build back better following the outbreak of the COVID-19 pandemic.

The setbacks caused by COVID-19 (coronavirus) need not be permanent, and it is possible to regain the momentum and move ahead towards the SDGs. It is even possible to convert the COVID-19 crisis into an opportunity for recovering better, by directing much of the resources earmarked for recovery toward investment in promoting the SDGs. While the impact of COVID-19 for many prosperity-related SDGs was negative, its impact for many planet-related SDGs has been positive: greenhouse gas emissions declined; air and water quality improved; and nature's regeneration was witnessed in many areas. These opposite impacts revealed that current ways of achieving prosperity conflict with the health of the planet.

After a disappointing 2019, growth prospects in developing Asia have worsened under the impact of the current health crisis. Signs of incipient recovery near the turn of this year were quickly overthrown as COVID-19 broke out in January 2020 in the region’s largest economy and subsequently expanded into a global pandemic. Disruption to regional and global supply chains, trade, and tourism, and the continued spread of the outbreak, leave the region reeling under massive economic shocks and financial turmoil. Across Asia, the authorities are responding with policies to contain the outbreak, facilitate medical interventions, and support vulnerable businesses and households. Assuming that the outbreak is contained this year, growth is expected to recover in 2021. Especially to face down fundamental threats such as the current medical emergency, innovation is critical to growth and development. As some economies in developing Asia challenge the innovation frontier, many others lag. More and better innovation is needed in the region to sustain growth that is more inclusive and environmentally sustainable. Five key drivers of innovation are sound education, productive entrepreneurship, high-quality institutions, efficient financial systems, and dynamic cities that excite knowledge exchange. The journey to creating an innovative society takes long-term commitment and hard work.

The OECD Business and Finance Outlook is an annual publication that presents unique data and analysis on the trends, both positive and negative, that are shaping tomorrow’s world of business, finance and investment.

Contains insights on current issues in research on sustainable development, featuring the SDG Index and Dashboards.