Entrepreneurship and Human rights

Due diligence plays a central role in the Business Partnership Facility, the LuxAid Challenge Fund and the LuxAid Demonstration Fund, which are among the instruments for partnership with the private sector. Thus, the financing granted to European enterprises and in developing countries is conditional on concrete commitments concerning the socially and environmentally responsible conduct of businesses.

The Directorate for Development Cooperation and Humanitarian Affairs has actively participated in the work of the “Enterprises and Human Rights” working group, responsible for implementing and monitoring the second national action plan on business and human rights. Since September 2023, LuxDev has been a member of the Business and Human Rights National Pact, demonstrating the agency’s concrete commitment to identifying risks and preventing human rights violations. In addition, on 1 June 2023 Luxembourg, together with the Netherlands, Germany and Belgium, signed the Joint Declaration on Living Income and Living Wages. The declaration proposes concrete actions for the implementation of decent wages and incomes in global supply chains.