The private sector encompasses a range of diverse actors engaged in development although they do not provide official development assistance. In the OECD statistical glossary, the private sector comprises private corporations, households, and non-profit institutions serving households.

Different international surveys show that development aid from the private sector is becoming more significant both in terms of volume and experience. Recently, there is growing recognition of the role that the private sector must play as a vehicle to create income growth by advancing innovation, creating wealth, income and jobs, mobilizing domestic resources and in turn contributing to poverty reduction.

So the purpose of this policy brief is to analyse the current state of private sector participation in development aid submitted to recipient countries in order to suggest measures for achieving more sustainable development results.