But going forward, it will no longer be possible to rely on monetary policy to create easier financing conditions in support of growth.
Once the pandemic is contained, sound structural policies will be required to allow for the adjustment of the economy to climate change and digitalisation. These policies will need to ensure an equitable long-term transition supported by the appropriate mobilization of private capital.
The current challenges notwithstanding, global cooperation will be essential for the coming transformation to support a broad based rise in living standards.
With its first rate analytical capabilities rooted in the members driven comparative study of best practices, the OECD is ideally positioned to continue to shape the global policy agenda. It can define appropriate policies to help its member states recover from COVID-19, design policies to support more equitable post-COVID growth and help find solutions to the consequential longer-term digital and environmental challenges. Together with its membership, the OECD is also optimally situated to play a forward leaning role with key emerging and developing countries in fostering global cooperation at this critical moment.
To seize this opportunity and maximize its impact, the OECD will have to focus on the most pressing challenges facing its member states. It needs to be inclusive, transparent and purpose-driven. Finally, it must uphold the highest standards of analysis, attract the best talent, allow for diversity of mind and remain relentlessly focused on good governance and operational excellence.
Guided by these principles, the following strategic objectives will provide clarity to the organization and its member states:
- Engage the member states to promote measures to ensure a fair transition to a net-zero emission economy by 2050 and boost growth without relying excessively on increasingly exhausted demand policies.
- Work closely with the membership to understand and address the growing tensions around economic and social inequality which have been such a hallmark of recent eco-nomic developments.
- Promote and reinvigorate cooperation amongst the member countries and the global community in full recognition of the growing fragmentation of the global economy and its societal fabric in recent years.