Latest news with #FinancingForDevelopment
Zawya
9 hours ago
- Business
- Zawya
South Africa to participate at the 4th International Conference on the Financing for Development in Spain
At the invitation of the President Pedro Sánchez Pérez-Castejón of the Government of Spain and United Nations Secretary - General António Guterres, the South African government, led by Minister of International Relations and Cooperation, Hon. Ronald Lamola will lead South Africa's participating delegation to the 4th International Conference on the Financing for Development Summit that is taking place in Seville on 30 June 2025 - 3 July 2025. This conference aims to address new and emerging issues in financing for development, including the need to fully implement the Sustainable Development Goals (SDGs) and reform the international financial architecture. President Ramaphosa has delegated Minister Lamola as the Head of Delegation for the Summit following recent political developments that require close monitoring and management in the country. South Africa's participation at the Summit aligns with its G20 Presidency objectives of solidarity, equality and sustainability in complementing and supporting the Summits' goals of reshaping the global financial system in support of the Sustainable Development Goals. On the margins of the 4th Financing for Development Summit, South Africa will convene a side event under the theme: 'Forging a common agenda to achieve debt sustainability in developing economies'. South Africa seeks to advance through cooperation and collaboration, sustainable solutions to tackle high structural deficits and liquidity challenges and to extend debt relief to developing economies which disproportionately affects countries in Africa. This event will bring together leading voices from various debt-related initiatives to identify synergies and areas of convergence. It will seek consensus and highlight solutions that enjoy broad support. South Africa's delegation to the 4th International Conference on the Financing for Development Summit comprises the Minister in the Presidency for Planning , Monitoring and Evaluation Hon. Maropene Ramokgopa, Deputy Minister of Finance David Masondo and senior government officials. Distributed by APO Group on behalf of The Presidency of the Republic of South Africa.
The Independent
2 days ago
- Business
- The Independent
Why it is time for a new era for global aid and development
Traditional models of aid are no longer fit-for-purpose. The global challenges we face, are becoming increasingly complex and interconnected. The world is shifting rapidly. Our approach to development is changing too. Next week in Seville, Spain, the world will come together for the Fourth Financing for Development Conference (FfD4) to set out a new vision for how we can collectively use finance to drive global progress on development over the next decade – tackling the climate and nature crisis, investing in health and education, and creating growth and jobs. It comes at a critical moment. Unprecedented levels of conflict and the impact of climate change are driving record humanitarian needs and threaten to reverse decades of development gains. We must make choices on how we use public funding innovatively and raise greater volumes of finance from all sources, including the private sector. Global South countries want a different relationship, and we are ready to offer a new approach. One based on listening; offering partnership not paternalism; sharing expertise; acting as investors, not donors, supporting countries to raise their own finances and driving reform across the Global Financial System. Global prosperity and security are crucial for delivering on our Plan For Change in the UK too. The summit in Seville must set a clear roadmap towards achieving three major changes. First, we will show we have listened to countries by helping them raise their own revenues. They have told us they want to become self-sufficient so we will offer partnership and expertise to help them build their own tax and economic systems, so that in time, they can thrive without aid. This means tackling money lost through crime and corruption. The UN estimates that Africa loses $90 billion to illicit finance flows, undermining public finances but also public institutions, affecting trust, political stability and national security. This hidden money is a problem for us all. We will work with partners to take urgent action on unsustainable debt. More than 50 per cent of lower-income countries are either in, or at high risk of, debt distress. That is why we are championing reform, so countries with unsustainable debt get quick and effective support. We are also pressing for more responsible and transparent lending, and have championed Climate Resilient Debt Clauses, which pause debt repayments when crises hit. Secondly, we know the costs of solving these challenges cannot be met by governments alone. We need more investment from the private sector. Through the City of London, the UK is a world-leading green financial hub. We are well placed to lead the charge, providing opportunities for UK businesses and investors and ultimately unlocking growth, jobs and trade. Only a small fraction of the money from big investors like pension funds currently goes to low- and middle-income countries. Shifting this by even a small amount would be game-changing for financing development and climate action. That is why the UK has recently set up an industry-led Investor Taskforce - bringing together investors and government to take action that will unlock more private capital for emerging markets and developing economies. We will launch a coalition in Seville that aims to help unlock trillions of pounds in untapped high-quality investment for developing countries through use of public markets. Finally, we must focus on making the international system work better for developing countries, creating a fairer system where they have greater voice and participation to shape the outcomes they need. That is why the UK is calling for just this in the World Bank and the International Monetary Fund. We also need to ensure countries can better manage climate shocks. Since 2015, 1.7 billion people's lives have been devastated by the climate crisis. Despite the fact that we can predict and model over a third of climate events, just 2 per cent of crisis finance is pre-arranged and ready to go before a disaster strikes. Putting finance in place ahead of disasters means it can be immediately released to countries and communities in moments of crisis. Tackling this is vital to ensure long-term growth and development. The launch of the global coalition in Seville will also enable us to scale up availability of pre-arranged finance, working with the UK insurance industry towards an ambition of increasing it tenfold by 2035. No nation can tackle global challenges alone. Seville must be the beginning of a new chapter in how we work together to deliver global development.
LBCI
4 days ago
- Politics
- LBCI
FM Rajji discusses upcoming development conference and UNIFIL role with Spanish Ambassador
Lebanon's Foreign Minister, Youssef Rajji, met with the Spanish Ambassador to Lebanon, Jesús Santos Aguado, who briefed him on the ongoing preparations and details of the upcoming International Conference on Financing for Development, scheduled to take place at the end of this month in Seville, Spain, with Lebanon set to participate. The meeting also touched on Lebanese-Spanish relations, particularly at the political level. Ambassador Aguado praised the leadership of former UNIFIL commander, Spanish General Aroldo Lázaro, and reaffirmed Spain's commitment to UNIFIL's role in Lebanon. He also presented Minister Rajji with an overview of the cultural activities organized by the Spanish Embassy in Lebanon.
The Independent
6 days ago
- Business
- The Independent
The stakes could not be higher in this global aid crisis
Leaders will soon gather in Sevilla, Spain, on a rescue mission: to help fix how the world invests in sustainable development. The stakes could not be higher. A decade after the adoption of the 17 UN Sustainable Development Goals and many global commitments to finance them, two-thirds of the targets are lagging. And the world is falling short by more than $4 trillion annually to provide the resources developing countries need to deliver on these promises by 2030. Meanwhile, the global economy is slowing, trade tensions are rising, aid budgets are being slashed while military spending soars, and international cooperation is under unprecedented strain. The global development crisis is not abstract. It is measured in families going to bed hungry, children going unvaccinated, girls being forced to drop out of school and entire communities being deprived of basic services. We must correct course. That begins on 30 June at the Fourth International Conference on Financing for Development in Seville, where an ambitious, globally supported plan to invest in the Sustainable Development Goals must be adopted. That plan should include three essential elements. First, we must help accelerate the flow of resources to the countries who need it most. Fast. Countries must be in the driver's seat, mobilizing domestic resources by strengthening revenue collection and addressing tax evasion, money laundering and illicit financial flows through international cooperation. This would provide much-needed resources to prioritise spending on areas that provide the greatest impact such as education, healthcare, jobs, social protection, food security, and renewable energy. At the same time, national development banks need to come together to finance major investments. To support this, the lending capacity of these banks needs to triple so developing countries can better access capital on affordable terms with longer timelines. This increased access should include re-channeling of unconditional reserve assets — or Special Drawing Rights — to developing countries, preferably through Multilateral Development Banks, such as the World Bank, to multiply their impact. Private investment is also essential. Resources can be unlocked by making it easier for private finance to support bankable development projects and by promoting solutions that mitigate currency risks and combine public and private finance more effectively. Throughout, donors must keep their development promises. Second, we must fix the global debt system. It is unfair and broken. The current borrowing system is unsustainable, and developing countries have little confidence in it. It's easy to see why. Debt service is a steamroller crushing development gains, to the tune of more than $1.4 trillion (£1tn) a year. Many governments are forced to spend more on debt payments than on essentials like health and education combined. The meeting next week must result in concrete steps to reduce borrowing costs, facilitate timely debt restructuring for countries burdened by unsustainable debt, and prevent debt crises from unfolding in the first place. In advance of the conference, a number of countries have put forward proposals to ease the debt burden on developing countries. This includes making it easier to pause debt service in times of emergency; establishing a single debt registry to strengthen transparency; and improving how the IMF, World Bank and credit-ratings agencies assess risks in developing countries. Finally, Seville must raise the voice and influence of developing countries in the international financial system so it better serves their needs. International financial institutions must reform their governance structures to enable greater voice and participation of developing countries in the management of the institutions they depend on. The world also needs a fairer global tax system, one shaped by all governments — not just the wealthiest and most powerful. The creation of a 'borrowers club' for countries to coordinate their approaches and learn from one another is another promising step toward addressing power imbalances. This finance conference is not about charity. It's about justice, and building a future in which countries can thrive, build, trade, and prosper together. In our increasingly interconnected world, a future of haves and have-nots is a recipe for even greater global insecurity that will keep weighing down progress for all. With renewed global commitment and action, Seville can spark new momentum to restore a measure of faith in international cooperation and deliver on sustainable development for people and planet.
Zawya
20-06-2025
- Business
- Zawya
Global FDI rose 4% in 2024 to $1.5trln: UNCTAD
GENEVA - The United Nations Conference on Trade and Development (UNCTAD) revealed a decline in global foreign direct investment (FDI) value by 11 percent, marking a second consecutive year of contraction. According to UNCTAD's World Investment Report 2025, issued Thursday in Geneva, global FDI increased by 4 percent in 2024 to reach US$1.5 trillion. However, this rise was driven in part by volatile financial flows through several European economies, which often act as investment transit hubs. The report stressed that the findings underscore the urgent need to reshape investment and finance systems to support inclusive and sustainable growth. The report comes ahead of the Fourth International Conference on Financing for Development, which will bring world leaders together to address the widening gap between capital flows and development needs. UNCTAD noted that investment fell sharply in developed economies, particularly in Europe, while flows to developing countries remained broadly stable. Rebeca Grynspan, Secretary-General of UNCTAD, said fragmentation and volatility are distorting investment flows, adding that the investment landscape in 2024 was shaped by geopolitical tensions, trade fragmentation, and intensifying competition in industrial policies. She explained that these dynamics, coupled with elevated financial risks and uncertainty, are redrawing global investment maps and undermining long-term investor confidence. The report highlighted a 22 percent decline in FDI to developed economies, including a 58 percent plunge in Europe, while North America bucked the trend with a 23 percent increase, led by the United States. Regional trends varied: Africa saw a 75 percent surge in FDI, driven by a single large project in Egypt. Excluding this, inflows rose by 12 percent, supported by investment facilitation and regulatory reforms. Asia maintained its position as the leading recipient region. Despite a slight 3 percent decline overall, Southeast Asia recorded a 10 percent rise in FDI to US$225 billion — the second-highest level on record. In contrast, Latin America and the Caribbean saw a 12 percent drop in total inflows, although announcements of new projects rose in key markets such as Argentina, Brazil and Mexico. The report affirmed that the Middle East maintained strong FDI inflows, supported by economic diversification efforts in the Gulf region. FDI flows among structurally vulnerable economies varied: they increased by 9 percent in least developed countries (LDCs) and by 14 percent in small island developing states (SIDS), but declined by 10 percent in landlocked developing countries (LLDCs). Across all three groups, investment remained heavily concentrated in a small number of countries.
