Private Sector Engagement

Private sector engagement (PSE) is a strategic approach to international development where donor agencies and nongovernmental organizations consult, strategize, align, and implement activities with the private sector for greater scale, effectiveness, and sustainable outcomes. The topics include: private sector partnerships, mobilizing private capital for development, relationship management, co-creation, value proposition, and shared value.

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January 12, 2022

USAID recognizes that the private sector is a critical stakeholder in driving and sustaining outcomes capable of moving countries beyond the need for assistance. Today, the private sector is playing an unprecedented role in creating and shaping opportunities that improve the lives of the people and communities USAID supports. USAID has, therefore, committed to a major cultural and operational transformation in the way development programs are conceived, designed, and delivered – emphasizing collaboration, co-designing, and co-financing with the private sector.

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Related to Private Sector Engagement

January 12, 2023

The fourth iteration of the ‘Enduring Results Study’ (ERS) explores what drives enduring results in USAID’s partnerships with the private sector.

Exploring the Drivers of Sustainability in USAID’S Partnership with the Private Sector

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Thoughtful monitoring, evaluation, and learning processes allow for programmatic shifts to increase effectiveness and improve results.

Approaches to economic growth should start with analysis, consider public and private contributions, and leverage possibilities across all sectors.

Inclusive economic growth creates opportunities for all people to engage through their labor and assets to meet market demand.

Market actors respond to the opportunities and constraints shaped by rules and norms at the global, national, or local levels.

Market participation requires a range of financial solutions and investments to meet the needs of individuals, households, and firms as well as to meet national and sub-national financing requirements...

Market facilitation catalyzes market actors to create durable change for more competitive, inclusive, and resilient market systems.

The ability of individual firms to enter, compete, grow, and engage in value chains locally or internationally is what drives market development and economic growth.

Working with and through markets can help speed recovery and limit economic impact during and after disasters.

Sustainable poverty escapes require enabling vulnerable people to manage and mitigate risks while ensuring shocks and stresses don’t undermine development gains.

Women’s economic empowerment exists when women can equitably participate in, contribute to, and benefit from economic opportunities as workers, consumers, entrepreneurs, and investors.

Young people need opportunities for education, jobs, and income. Strategies that empower and engage youth economically contribute to growth and poverty reduction.