Timely Reforms of Global Financial Institutions Critical to Africa’s Sustainable Development – ​​Officials

Africa

AFRICAN ministers and senior officials have called for timely reform of global financial institutions and architecture for sustainable development and development financing in Africa.

The officials said this in a statement on the Economic Commission for Africa (ECA) website on Friday.

They spoke during the tenth session of the Africa Regional Forum on Sustainable Development (ARFSD-10) in Addis-Ababa, Ethiopia.

The officials said: “This is the united African message to the Summit of the Future to be held in New York in September.

“The message, which includes commitments in line with Africa’s priorities, should be delivered as part of the planned pact for the future to be presented at the Summit.

Ministers called on the participants of the Summit of the Future to consider and adopt reforms for sustainable development and financing for Africa’s development as part of the planned pact for the future.

“The summit must ensure timely reform of global financial institutions and architecture so that they are fit for purpose and capable of serving Africa’s interests.

“And developing countries elsewhere in the world,” they said.

According to them, the declaration was made against the backdrop of the serious challenges facing African countries.

“It includes threats to inclusive, sustainable and resilient growth arising from conflict and instability, inadequate sustainable financing, debt stress and illicit financial flows.

“It also includes profit shifting, climate change, biodiversity loss, land degradation and pollution, and human rights abuses.

“The declaration calls for the need to ensure the existence of global financing mechanisms that provide African and other developing countries with access to adequate and equitable concessional financing.

“And towards affordable, market-based means to accelerate sustainable development. Moreover, there is a need for reform of international tax management,” they said.

The officials expressed dismay at how the continent was off track in achieving most of the SDGs targets.

Ministers also expressed concern about the serious challenges African countries faced in accessing climate finance and the high costs they pay to mobilize private sector capital.

They criticized the multitude of climate-related funds to finance climate projects in emerging economies and developing countries by 2030 and thus achieve the SDGs by 2030.

They urged the ECA and other entities of the UN system, the African Union Commission, the African Development Bank and their partners to redouble efforts to revitalize institutions, policies, plans and programmes.

“And channel finance to save the SDGs and accelerate the integrated implementation of the 2030 Agenda and the second ten-year implementation plan of Agenda 2063,” they said.

In her speech, ECA Deputy Executive Secretary Hanan Morsy said Africa has the opportunity to reverse trends and accelerate action to achieve the SDGs and the Africa we want.

Morsy, chief economist at the ECA, said this can be done by ensuring access to basic social services, creating jobs and implementing social protection and safety nets to reduce vulnerabilities and inequalities.

According to her, Africa cannot achieve the SDGs and Agenda 2063 without finance.

“Africa needs investments of $1.3 trillion per year to achieve the SDGs by 2030.

“It needs investments of more than $3 trillion in mitigation and adaptation alone to implement its Nationally Determined Contributions.

“The international community must also play its part and deliver on the promises made and take deliberate action to reform the international financial architecture.

“They need to reform debt servicing mechanisms and scale up affordable financing,” she said.

Morsy said Africa must take its rightful leadership position in finding solutions to its development challenges.

The Resident and Humanitarian Coordinator, Ethiopia, Ramiz Alakbarov, said a more tangible commitment is needed from all partners to achieve the SDGs.

Alakbarov said emphasis should also be placed on domestic means for peace and development for the future of the continent.

He said: “Sound African solutions are needed to bring about the change, and more emphasis is needed on global and private partnerships.” (NAN)

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-27 April 2024 at 09:44 GMT|

Keywords: Ramiz Alakbarov