This policy brief highlights why democracy is essential for achieving inclusive and sustainable social development and shared prosperity. Drawing on new findings from International IDEA’s Global State of Democracy Indices and scholarly evidence, it shows that democracies consistently outperform non-democracies on welfare, equality and corruption outcomes, and that strong rule of law, representation, electoral integrity and rights protections are key pathways linking democratic governance to shared prosperity. As the 2025 Doha Declaration renews the global commitment to people-centered development, the brief argues that democracy must be treated as a development imperative. It outlines actionable recommendations for enhancing delivery and rebuilding the social contract while protecting rights and strengthening rule of law to ensure that democracy delivers tangible progress for all.