Building equitable futures through the Ibero-American Social and Solidarity Economy Network

Following the adoption of the UN Resolution on the Social Economy in April 2023, Chile, Colombia, Brazil, Guatemala, Mexico and Spain have formed the Ibero-American Network for the Promotion of Social and Solidarity Economy to actively shape a collective vision to foster sustainable economic growth and social justice.

Representing a historic milestone for the Ibero-American region, the network was incepted through a pivotal agreement that sets out its goal to promote, encourage, support and strengthen democracy and social justice in the region. The network’s primary focus is on fostering sustainable economic and social development, aligning with the shared commitment sparked by the resolution.

In the face of escalating structural inequalities and environmental challenges, the social and solidarity economy presents a solid alternative where social objectives, solidarity and mutual support are prioritized over profit maximization, in which various organizations already participate.

The Ibero-American network intends to catalyze this economic approach, laying the groundwork for fair trade. Its fundamental purpose is to democratize economic processes of collective production, consumption and savings, alleviating inequalities and prioritizing people over capital.

The international community already recognizes the responsibility to promote the social and solidarity economy as the key to achieving sustainable development and well-being, not only through the resolution but through the commitments of the UN to sustainable development, the International Labour Organization (ILO) for decent work and the European Union’s support for social enterprises and cooperatives, for example.

Latin American countries have also pioneered key policies and legal frameworks supporting the social and solidarity economy, such as Ecuador’s Organic Law of the Popular and Solidarity Economy and the Public Sector’s Financial Economy or Bolivia’s Law of Productive, Communitarian and Social Economy.

Brazil established within the Ministry of Labour and Employment the National Secretariat of Solidarity Economy, which provides financial support, training and technical assistance for solidarity economy enterprises, among other initiatives.

The Ibero-American Network for the Promotion of Social and Solidarity Economy will further promote the creation of social enterprises with economic, social and environmental benefits for the communities in the region. Its overarching goal is to consolidate a regional bloc that promotes the social and solidarity economy, establishing conducive conditions for developing fair trade that addresses deep-rooted structural inequalities.

The network will be guided by its statutes that align with the principles of the Organization for Economic Co-operation and Development, the ILO and the UN General Assembly representing these key missions:

Cementing the union, representatives from the network’s six member countries gathered in Mexico City for the first Framework Conference, which took place between 29 and 31 January 2024 and was convened by the Mexican government’s National Institute of Social Economy.

During this event, Minister Yolanda Díaz, the second vice president of the government of Spain, highlighted that the social and solidarity economy was not just of regional importance but was an important global vision. The current economic model is inadequate for the weight of today’s problems, said Joel Hernández García, undersecretary for Multilateral Affairs and Human Rights of the Ministry of Foreign Affairs of Mexico, as he advocated for more events to create fairer and more fraternal societies.

The current integration of countries is a first step to find common instruments to strengthen the economy of the people, said Juan Manuel Martínez Louvier, the Director of the institute and a recently awarded social public innovator at the World Economic Forum.

There is no more urgent time to confront the dominant economic model and build a social state with collective interests, concluded Jesús Ramírez Cuevas, spokesperson for the Presidency of Mexico, adding that Mexico is immersed in the process of change. He called on more countries to join this movement, highlighting the importance of building tangible and real connections through the Ibero-American Network.

This significant step forward is not limited to creating an economic network but projects itself as a comprehensive political, social and community initiative.

The Ibero-American Network for the Promotion of Social and Solidarity Economy emerges as a sign of hope and a collective commitment to sustainable, supportive and equitable development in the region.

While these initiatives are encouraging signs, unlocking the full potential of the global social economy requires more public support, private investment and partnerships. The recent UN resolution on Social Economy marks a crucial step towards building international momentum. The next imperative step is for all member states to commit and implement these visionary initiatives.