Caribbean requires quality social and environmental investment

The quality of investment inflows into Latin America and the Caribbean, especially in social and environmental terms, is key for the region’s sustainable development. This is according to senior authorities from Latin America and the Caribbean and the European Union at the opening day of a seminar held at the headquarters of the Economic Commission for Latin America and the Caribbean (ECLAC) in Santiago, Chile.
“Investment is the virtuous mechanism for making progress towards a more knowledge-intensive production structure with greater productivity and high levels of job creation,” said ECLAC Executive Secretary Alicia Bárcena, speaking at the opening, where she was accompanied by Chilean Foreign Affairs Minister Alfredo Moreno, Swedish Trade Minister Ewa Björling, and European Union-Latin America and the Caribbean Foundation President Benita Ferrero Waldner.
The seminar on “investment for economic growth, social inclusion, and environmental sustainability”, which ended last Friday, was organised by the European Union, the government of Chile, the European Union-Latin America and the Caribbean Foundation and ECLAC.
Participants include ministers, deputy ministers, international officials, and representatives from the private sector, civil society, and the diplomatic corps of various Latin American and European countries. This is one of the main preparatory activities for the summit of heads of state and government of the Community of Latin American and Caribbean States (CELAC) and the European Union, under the theme, “Alliance for Sustainable Development: Promoting Social and Environmental Quality Investments”, planned for January 2013 in Chile.
Foreign Affairs Minister Moreno gave details of the summit organisation, which he described as “the largest international event to take place in Chile”. He also raised a few questions to guide the debate on investment: “How can we maximise the positive effects of investment in social and environmental terms? How can we ensure that such quality investments contribute to the development of countries? How can we ensure that investments take into account their setting and strengthen local capacities?”
Minister Björling, speaking on behalf of the European Union, stated that Europe is Latin America and the Caribbean’s second trading partner, and European flows to the region represent 40 per cent of all foreign direct investments received.
She expressed concern about the protectionist trend observed in the world market and stated that the European Union intended to reach free trade agreements with all of the region’s countries.
Similarly, President Ferrero Waldner said the bi-regional relationship offered great opportunities. “We have to be able to take advantage of these opportunities. I am sure that the Chile Summit and the preparatory process itself can be a turning point in the process of endowing the strategic association with content to increase its relevance for the development of our societies.”
The EU is the main collaborator, the top direct investor, and the second trading partner of Latin America and the Caribbean, Secretary Bárcena said, as she emphasised the fact that “deeper association between Latin America and the EU would enable our region to speed up economic growth, make progress in structural change towards more knowledge-intensive sectors, reduce poverty, increase social inclusion, and guarantee environmental sustainability”.
The various panel discussed topics such as corporate social responsibility; the green economy; energy efficiency and renewable energy as investment opportunities for sustainable growth; and local capacity building in terms of innovation, technology transfer, and internationalisation of small- and medium-sized enterprises.