Finance and foreign ministers gathered this week to push for radical changes in the international financial system, support developing countries in global institutions, and direct trillions of dollars towards sustainable development in Africa and other developing regions.
United Nations Member States met in Addis Ababa, Ethiopia, to revisit the Addis Ababa Action Agenda after nine years to renew efforts towards sustainable development financing and achieving the Sustainable Development Goals (SDGs).
In a video message to the conference, UN Secretary-General António Guterres emphasized the challenges developing countries face in financing the SDGs due to high debt burdens and capital costs. He called for ambitious reforms to provide affordable long-term financing and address the outdated and unfair international financial system.
With the impact of various global crises, the annual SDG financing gap for developing countries has reached USD 4 trillion. This gap, along with escalating debt challenges, has hindered progress towards international targets set in 2015, highlighting the need for structural reforms in the international financial architecture.
Mr. Li Junhua, Secretary-General of the FfD4 conference, stressed the need to reshape the global financial system to better address development needs. Ministers and experts proposed reforms in international taxation governance and mechanisms to handle countries in debt crises.
African countries are advocating for more inclusive and effective responses to their challenges within the international financial architecture. The preparatory meeting in Addis Ababa brought together representatives from over 100 countries, multilateral organizations, and stakeholders to discuss financing issues.
Future sessions leading up to the FfD4 Conference in Sevilla, Spain, in 2025 will focus on international financial architecture reform. The Preparatory Committee will convene in New York and have a one-day multi-stakeholder hearing in 2024 before the conference.
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