Rural regions are poised to be pivotal in addressing 21st-century global challenges, from renewable energy to food innovation. While some thrive, others lag behind, facing structural shifts and population aging. Governments must act to ensure national prosperity and cohesion. This policy brief advocates for prioritizing rural areas as engines of growth and outlines strategies to harness their potential. It examines mega-trends shaping rural policy, dispels notions of rural decline, and highlights regional diversity. Emphasizing productivity amidst aging populations, it underscores the tradeable sector's role and urban-rural linkages. Culminating in Rural Policy 3.0, it offers a roadmap for governments to foster rural prosperity and well-being.