Public policies for responsible business conduct

In recent years, a growing number of governments have introduced policies, laws and regulations embedding expectations for business to carry out or report on responsible business conduct due diligence. Many of these draw on international due diligence standards, including the OECD Guidelines for Multinational Enterprises on Responsible Business Conduct and accompanying Due Diligence Guidance. 

The OECD supports the effective design, implementation and uptake of due diligence policies. This includes by offering technical support to promote consistency with international standards, providing analysis and data on the impact and effectiveness of policy measures, and facilitating co-operation and exchange between governments.

Governments have an important role to play in leading by example. For instance, governments are the largest buyers of goods and services. On average, public procurement accounts for around 13% of GDP in OECD countries and is critical to the delivery of services like infrastructure, health and education. State-owned enterprises, an important actor in many economies, are increasingly implementing RBC standards. Government-provided equity, debt, grants, loans, guarantees, or insurance can also incentivise companies towards more responsible business practices.

The OECD carries out analyses of policies and practices for integrating responsible business conduct in the commercial activities of governments and facilitates sharing of experiences and good practices within and between governments. Read some of the recent publications: