BUS604: Innovation and Sustainability

Key points

• Achieving the Global Goals opens up an economic prize of at least US$12 trillion by 2030 for the private sector and potentially 2-3 times more.
• Well over 50 percent of the prize is located in developing countries.
• 15 out of the 60 market "hot spots" in the four economic systems reviewed by the Commission – food and agriculture, cities, energy and materials, and health and well-being – account for 50 percent of this prize.
• Achieving the Global Goals in these four economic systems could create 380 million new jobs by 2030, almost 90 percent of them in developing countries. One market hot spot, affordable housing, accounts for almost one fifth (70 million) of these jobs.
• Pricing in environmental costs such as climate change increases the "real" size of the prize by a further 40 percent.

The 60 fastest growing market opportunities opened up by achieving the Global Goals across the world in just four key economic systems could be worth up to US$12 trillion a year for the private sector by 2030, according to research for the Business and Sustainable Development Commission. This amount represents about 10 percent of forecast global GDP in 2030.

The 60 opportunities, in food and agriculture, cities, energy and materials, and health and well-being, could also generate almost 380 million jobs, or work for more than 10 percent of the forecast labor force in 2030. 

The Commission has made a conservative scaling of this analysis across other sectors critical to sustainable development, including information communication technologies, education, and consumer goods. This indicates a further US$8 trillion a year of value could be created from business opportunities opened up in a world pursuing the Global Goals. Pricing in externalities pushes the total higher.

Economic gains from achieving all the social Global Goals add substantially to the total prize that could be shared by the private sector. Research from the McKinsey Global Institute indicates that achieving gender parity alone would add at least US$12 trillion to global growth by 2025, and up to US$28 trillion. Better health and education will increase labor productivity. Reduced social inequality and environmental stress will reduce political uncertainty, lowering business risks and multiplying returns on investment. Seen in this light, the Global Goals offer a compelling growth strategy for individual businesses, business generally, and the world economy.

This section describes the 60 fastest-growing opportunities and their impact.