Urgent Demands for Creative Funding and Overhaul of Global Financial System to Attain Sustainable Development Goals in Africa

The tenth Africa Regional Forum on Sustainable Development (ARFSD-10) kicked off in Addis Ababa, Ethiopia with a strong call to action from UN Deputy Secretary-General Amina Mohammed. Urgent action is needed to increase capital flows into developing countries, particularly in Africa, to make the SDGs stimulus a reality.

Ms. Mohammed highlighted the challenges African countries are facing, including high debt servicing, rising interest rates, and limited fiscal space. Debt servicing in Africa reached an all-time high last year, accounting for 47.5% of government revenue in Sub Saharan Africa. This leaves little room for investment in essential services like education and health.

At least $500 billion a year is needed to scale up affordable long-term financing for development, alongside structural reforms in the international financial architecture. The Prime Minister of Uganda, Robinah Nabbanja, emphasized the need for reform to ensure favorable financing terms for developing countries.

The theme of the forum is “Reinforcing the 2030 Agenda for Sustainable Development and Agenda 2063 and eradicating poverty in times of multiple crises.” Claver Gatete, Executive Secretary of the Economic Commission for Africa (ECA), stressed the importance of innovative financing mechanisms and reforms in the global financial architecture to unlock sustainable investment and inclusive growth in Africa.

The forum also discussed the African Continental Free Trade Area (AfCFTA) as a unique opportunity to boost agribusiness and enhance food security. African leaders are committed to realizing the aspirations of Africans through strong institutions and domestic resource mobilization.

Overall, the ARFSD-10 aims to catalyze transformative change, accelerate progress, and unlock new opportunities for inclusive development and poverty eradication in Africa.