Speeches Shim
USAID recognizes the private sector as a powerful force in driving economic growth, creating jobs, and advancing opportunities that improve the well-being of people and communities worldwide.
USAID is changing the way it does business to better support our partner countries on their journey to self-reliance. Corporations, local companies, financial institutions, investment firms, corporate foundations, cooperatives, business associations, and other commercial entities play a vital role in achieving sustainable development and growth in emerging economies.
By working together, USAID and the private sector can jointly identify, define, and solve key business and development challenges and build mutually beneficial partnerships that help us achieve our respective goals and objectives.
What is a Global Development Alliance (GDA)?
A Global Development Alliance (GDA) is a partnership where USAID and the private sector work together to develop and implement market-based approaches to solve development challenges. Activities under a GDA leverage and apply our respective assets and expertise to advance core business interests, facilitate private sector-led development, and drive sustained development impact. A GDA is just one of several ways that USAID works with the private sector to advance development progress.
USAID prioritizes pursuing market-based approaches and investment across all areas of our work. Market-based approaches use business models and catalyze markets to address development challenges sustainably and at scale.
Core Characteristics of GDAs
Based on Complementary Interests and Objectives: GDAs are built at the intersection of business interests and USAID development objectives. Determining where our interests align provides a promising opportunity for the private sector and USAID to explore how we can work together to address business challenges and opportunities, while advancing sustainable development impact.
Market-Based Approaches and Solutions: GDAs aim to drive enterprise-led development. In order to promote lasting results, GDAs advance market-driven approaches to development that continuously generate valuable results over the short, medium, and long term.
Extensive Co-Creation and Shared Responsibility: A GDA is a partnership that involves extensive collaboration between USAID and the private sector. USAID and the private sector jointly identify and define compelling business and development challenges before collaborating to determine whether and how we can achieve the greatest degree of business value and sustainable development impact. We share risks and responsibilities, and work together to mobilize, leverage, and more effectively apply our respective assets, expertise, and resources.
Private Sector Contributions for Increased Impact: GDAs must mobilize and leverage private sector assets, expertise, capabilities, and resources at a level that at least equals and preferably exceeds the value of resources provided by USAID. Private sector contributions must foster significant development results and impact.
Bringing Value to the Private Sector
By working with USAID, businesses can leverage USAID’s capabilities, expertise, networks, and other assets to advance their core interests and achieve greater success. Collaboration under the GDA approach has enabled private sector partners to improve supply chain quality and reliability, expand access to new customer bases and markets, reduce operating costs, improve workforce productivity, increase access to qualified and skilled talent, and enhance the business enabling environment.
To learn more about the value propositions between USAID and the private sector, please visit USAID and Private Sector Value Propositions and Market-based Approaches.
Interested in Exploring a GDA?
The Global Development Alliance (GDA) Annual Program Statement (APS) is USAID’s invitation to the private sector to co-create market-driven approaches and activities that advance business success and development impact.
If your company or organization is interested in exploring or developing a GDA, the first step is to contact the Private Sector Engagement (PSE) Point of Contact in your country of interest. The PSE POC will work with you to determine if a GDA is the appropriate way forward. For questions on the GDA approach, please contact gda@usaid.gov.
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