London Stock Exchange welcomes DFID Economists
The Department for International Development (DFID) leads the UK's work to end extreme poverty, tackling the global challenges of our time including poverty and disease, mass migration, insecurity and conflict. DFID's work is building a safer, healthier, more prosperous world for people in developing countries and in the UK too. DFID's strong partnership with the London Stock Exchange helps accelerate poverty reduction whilst connecting the UK with the markets of the future.
The only way we can fulfil this mandate and end poverty is by creating trade, investment, jobs and economic growth. To achieve this we must go beyond aid. We must help develop new trade relationships, create jobs and channel investment to the world's poorest countries. As one of the world's largest capital markets and a global centre of financial expertise, the UK has a central role to play in channelling private capital to developing economies.
International Development Secretary, Priti Patel has outlined how the private sector is a key part of this - it has the expertise to make innovative investments in challenging markets. DFID's first Economic Development Strategy sets out how private sector investment will help developing nations speed up their rate of economic growth, trade more and industrialise faster, and ultimately lift themselves out of poverty.
The UK is making it easier for businesses to invest in developing countries by working closely with the City of London to help it become the go-to location for development finance - helping businesses from developing countries to issue bonds in London. The Department for International Development has showcased London Stock Exchange's success, for example, in building a market for Masala Bonds, with Indian companies now able to access rupee finance through London. This will make sure local issuers can raise capital free of currency risks.
Stefan Dercon, DFID’s chief economist said:
"DFID's work on economic development is bringing new capital into the poorest parts of the world, and in the process creating jobs and opportunities for some of the world's poorest people. We work with countries to improve their investment climate, to foster investment and allow them to access global capital markets. London Stock Exchange and the City of London are in pole position to provide the expertise and capital to take advantage of these opportunities in these newly emerging economies, the UK's markets of the future."