The Least Developed Countries Report 2014

Growth with Structural Transformation - Post-2015 Development Agenda for LDCs

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As we reach the target date to meet the Millennium Development Goals (MDGs), the LDC Report analyses the performance of the LDCs in progressing towards these goals and provides a framework for their development policies in the post-2015 period. The Report shows that there is a high degree of differentiation among LDCs’ performance towards the MDGs, but most of these countries will not be able to attain most MDGs. This disappointing outcome is surprising given that LDCs have experienced historically high economic growth rates over the last 20 years, and domestic and international policies for LDCs have set MDGs as top priority. In the coming post-2015 period, the LDCs will face the challenge of achieving the sustainable development goals (SDGs), for which structural transformation will be a precondition.

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From MDGs to SDGs: Reconnecting economic and human development

In some respects, 2015 marks a turning point for development: a transition from a period when development efforts focused on the Millennium Development Goals (MDGs) to a period that will focus on a post-2015 development agenda covering a broader and much more ambitious set of Sustainable Development Goals (SDGs) to be achieved by 2030. The outcome of the discussions under way for such an agenda and the accompanying SDGs will play a major role in shaping the context and discourse of development over the next 15 years – a role even more prominent than that of the Millennium Development Goals (MDGs) since their adoption in 2000. A key issue will be the relationship between human development and economic development. This connection is discussed in the present chapter, as follows. Section A explains the interdependence of human and economic development, and how they relate to the MDGs and the planned SDGs. Section B defines structural transformation and sustainability, and shows how they are linked to development and the SDGs. Section C analyses the major requirements to meet the latter sustainably.

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