(Ecofin Agency) - As challenges related to sustainable development, social inclusion, and ecological transition grow more pressing, mobilizing the private sector has become essential to building more resilient economies. In the face of waning public policies and the urgency of the climate crisis, businesses are increasingly called upon to play a central role in transforming societies. It is within this context that the United Nations Global Compact, launched in 2000, operates. While in Abidjan for the Africa CEO Forum 2025, Sanda Ojiambo, UN Assistant Secretary-General and head of the Global Compact, granted an exclusive interview to Ecofin Agency. She discusses the ambitions of the Compact, the challenges encountered, and the opportunities for African businesses to align economic performance with social impact.

Ecofin Agency (E.A): Good morning, Ms. Ojiambo. What is the United Nations Global Compact?

Sanda Ojiambo (S.O) : Good morning. The United Nations Global Compact, or UNGC, works with the private sector to build a cohort of responsible businesses that align with the Sustainable Development Goals, while also demonstrating sound business practices. Right now, there’s a lot of discussion about the value of business and its role in society. We promote ten principles that we believe help businesses become more competitive, more resilient, and more sustainable. We train businesses on how to implement these principles, and we also provide large advocacy platforms—locally, regionally, and globally—so that business leaders can push for ecosystem-wide changes that support responsible business.

E.A : Under your leadership, the Global Compact has doubled its membership. What are the key factors behind this growth, particularly in emerging markets?

S.O : A couple of things. First, as we move toward further development in emerging markets, the relevance of our work continues to grow. Business leaders worldwide are increasingly understanding how sustainability and responsible business add to their overall value. This relevance is attracting more businesses. Even during crises—like the COVID-19 pandemic and today’s global geopolitical turbulence—our membership has continued to grow. Second, we offer a strong value proposition. We provide a space where businesses can lead, learn, and connect. Whether you’re an established or a growing business, you can engage with over 20,000 companies from around the world.
 More than ever, businesses recognize that to survive and thrive in the long term, they must embrace responsible and inclusive business practices.

E.A : How do you balance the ambitions of global corporations and local businesses with the need for local impact, especially in a continent like Africa?

S.O : First, I don’t see these as opposing forces—they can absolutely go hand in hand. Profitability is essential, and business is a vital part of the societal ecosystem. But business must also appeal to society, be inclusive, create jobs and incomes, bridge divides, and contribute meaningfully to communities.
 So, profit and purpose must go together—because businesses operate within the context of people and the planet. A company cannot succeed if the society around it is failing. What does local impact mean? Take Côte d’Ivoire, where we are currently establishing a local network. Businesses here have told us that while agriculture is a key sector, it's crucial to move up the value chain: create jobs, improve incomes, and support farmers year-round. They also highlight the need to improve agricultural quality and increase intra-African trade—key themes at the Africa CEO Forum. These goals generate social impact, but the businesses involved can still be profitable. We’ve had discussions with the Minister of Planning, who emphasized the need to invest in healthcare, education, job creation, water stewardship, and living wages. All of these are compatible with running a profitable business.

E.A : Africa lacks sufficient financial resources to achieve its Sustainable Development Goals (SDGs). While governments rely heavily on public finance, there's a growing call for private sector involvement. What role do you see for businesses in addressing this financing gap?

S.O : This is central to our discussions here at the Africa CEO Forum. Governments globally are under fiscal pressure, and public finance isn’t sufficient. So yes, there’s an urgent need for private sector engagement.
 For Africa, the first step is asking: how can Africa finance itself? Traditional donors have shifted their priorities, so this is a pivotal moment to mobilize domestic capital. At one of the sessions, someone mentioned that there’s about $4 trillion in financial resources on the continent from African financial institutions—capital that can support development. This isn't about aid—it’s about matching public and private finance. Many African countries have been independent for 60+ years; it's time to invest in ourselves. If we view the SDGs as investment opportunities—in infrastructure, energy, climate action—we’ll also see returns. Institutions like the Africa Finance Corporation and the African Development Bank are already doing this. Private capital plays a key role: it helps de-risk new investments, signals confidence, and can bridge the financing gap. Every SDG represents a potential business opportunity.

E.A : SMEs account for 40% to 50% of GDP in Sub-Saharan Africa. How does the Global Compact engage them meaningfully, beyond symbolic participation?

S.O : SMEs are a priority. They create up to 80% of jobs and are essential—not just in Africa, but globally. Multinationals rely on them for inputs, employment, and markets, but SMEs are also valuable on their own. We hear that SMEs want to build resilience. COVID-19 exposed vulnerabilities—many had to shut down or lay off workers. It showed the need for supply chain resilience and for multinationals to invest in their ecosystems. SMEs often lack access to finance, technology, and markets. Many are women- or youth-led, and they face significant barriers.
 Through our SPARK program, we support SMEs by helping them understand sustainable business principles. We also work with multinationals to improve SME resilience—through financing guarantees, skills development, and market access. Long term, we aim to create a marketplace for SMEs to connect and collaborate. Our approach is to walk with them on the journey to resilient, sustainable business.

E.A : What are the most common challenges companies face when integrating the UN Global Compact’s 10 principles?

S.O : Usually, when a company joins us, they already see the value. But challenges do exist. First, it can be hard to align the entire organization—some see sustainability as a side activity. That’s why we emphasize CEO leadership: sustainability must be embedded from the board level down. It’s not just CSR—it’s core to business operations. Second, some still see sustainability as a cost, not an investment. But it pays off in the long term. For example, investing in green tech may be expensive upfront, but the return is significant. Other issues include implementing gender equality and ensuring living wages—these are long-term changes that require leadership. But once that leadership is in place, the rest follows.
 Sustainable business is a journey. It’s not about ticking boxes in the first year. It’s about building long-term value and impact.

E.A : Given the risk of greenwashing, how does the Compact ensure accountability and real progress?

S.O : That’s a key concern, and we ask both large and small companies to avoid greenwashing. We require all members to report on progress.
 We’ve developed a reporting tool called the “Communication on Progress.” It’s now digital, allowing us to track and analyze company data over time. It’s not about perfection—it’s about continuous progress. Many companies also report to regulatory bodies under EU or U.S. guidelines, but our own platform is specifically designed to ensure transparency. Public expectations are rising—consumers and citizens are quick to call out greenwashing. CEOs and companies must understand that transparency boosts brand reputation, investor confidence, and ultimately, business performance.

E.A : Looking ahead to 2030, which sectors or business models do you think are best positioned to drive inclusive growth in the Global South, particularly in Africa?

S.O : I’ll answer based on two of our major platforms: the Africa Business Leaders Coalition, which includes about 72 CEOs, and the Global Africa Business Initiative (GABI), which we lead on behalf of the UN system.
 Energy is a top priority. African economies need access to affordable, sustainable energy to transition to middle-income status and achieve their growth and development aspirations. Second, digital transformation is vital. We’ve seen strong momentum, but we need to scale it further—e-commerce, AI, e-governance, and tech-based innovation all have huge potential. Importantly, Africa must shape its own AI trajectory in terms of content, access, and relevance.
 Third, we must boost intra-African trade. Only about 20% of African trade is intra-continental, compared to over 60% in other regions. The African Continental Free Trade Area (AfCFTA) has immense promise—we must realize it.
 Finally, I’d highlight the creative and sports industries. Africa produces extraordinary talent—in fashion, music, film, arts, and sports—but we haven’t fully supported these sectors. We need stronger policy infrastructure and recognition of their economic contribution. That, too, is a strategic growth area.

Interview by Moutiou Adjibi Nourou