Summary report, 28 April – 1 May 2025

Official development assistance to vulnerable countries is expected to decrease by 50% by the end of 2025, while the financing gap to achieve the Sustainable Development Goals (SDGs) is estimated at USD 4 trillion annually. These stark new realities come at a time when the world has just five years to achieve the commitments contained in the 2030 Agenda for Sustainable Development and its 17 SDGs. They join a chorus of global crises: climate change, trade wars, supply chain challenges, armed conflicts, biodiversity loss, pollution, and populism, to name a few. All of these feature in a world struggling to restore trust in multilateralism.

With just two months before the much-anticipated Fourth International Conference on Financing for Development (FfD4) in Sevilla, Spain, delegates met at UN Headquarters in New York for the Economic and Social Council’s (ECOSOC) Forum on Financing for Development (FfD) and the first meeting of the fourth session of the FfD4 Preparatory Committee (PrepCom4.1).

Coming right after the Spring Meetings of the International Monetary Fund and the World Bank Group, the Forum provided high-level delegations with an opportunity to reflect on the nested crises facing the world, and how best to close the development financing gap. From the highest office at the UN, calls were made to reform the international financing architecture to give a voice to the most vulnerable and address ever increasing global inequalities.

During PrepCom4.1, delegates shared their views on how best to deal with the most outstanding issues in the first draft of the FfD4 outcome document. They did not engage in line-by-line negotiations but rather engaged with panelists on issues contained in the draft outcome document. They considered the rapidly changing landscape of official development assistance (ODA), debated if and how best to reform the global debt architecture and outlined their priorities for science, technology, and innovation. Many delegations also called for a fit-for-purpose system for monitoring and follow-up to track the implementation of commitments.

At both meetings, delegates also shared candid views on the breakdown of the multilateral rules-based trading system, threatened by a recent raft of tariffs imposed on over 100 countries by the US government.

The ECOSOC Forum on FfD and PrepCom4.1 convened back-to-back at UN Headquarters in New York from 28 April – 1 May 2025, jointly bringing together over 300 representatives from governments, intergovernmental organizations, civil society, academia, and the private sector.

Report on the ECOSOC Forum on Financing for Development

On Monday, ECOSOC President Bob Rae opened the session and said that the Forum would lay the groundwork for financing for development for years to come. He stressed the need to bridge the gap between the UN General Assembly in New York and the international financial institutions (IFIs) in Washington, D.C. Lamenting that 3.3 billion people are living in countries whose governments are spending more in servicing debt than in investing in the development infrastructure, he underscored the need to reform the debt architecture. He underlined the critical role of national taxes for development. He reinforced the importance of reducing barriers to trade, lamenting the US imposition of tariffs, and underscored the importance of data in monitoring development goals.

UN Secretary-General António Guterres highlighted the harsh truth of: donors pulling the plug on aid commitments; trade barriers being erected at a dizzying pace; the USD 4 trillion development finance gap; and prohibitively high borrowing costs draining away investment in development. Lamenting that multilateralism is being actively questioned, he underlined trade barriers as a danger to international development. He urged making good on the commitments made in the 2024 Pact for the Future. He called for a commitment to lower the cost of borrowing and improve debt restructuring, including the establishment a dedicated facility to help developing countries manage liabilities and enhance liquidity in times of crisis. He also urged the G-20 to speed up work on the Common Framework on Debt Treatments and extend support to middle income countries (MICs) facing difficulties, also calling for a shift in the modalities of credit rating agencies. He called to “rev up the engine” of multilateral development banks (MDBs). He called for a fair and inclusive global tax regime, and underlined that donors should honor their ODA commitments.

Philemon Yang, President of the UN General Assembly, noted that FfD4 represents an opportunity, but highlighted challenges such as crippling debt servicing requirements that jeopardize development, and conflicts in global trade. He underlined the need to close the financing gap, and called on delegations to commit to accessible, affordable financing, to unlock financial flows to developing countries and to reaffirm the Addis Ababa Action Agenda (AAAA).

Organizational Matters

On Monday, delegates adopted the agenda and other organizational matters (E/FFDF/2025/1). Rae noted the modalities were the same as at previous Forums, following ECOSOC’s rules of procedure. Delegates agreed to apply the same formula to this meeting.

Introductory Remarks by the FfD4 PrepCom Co-Chairs

On Monday, PrepCom Co-Chair Zéphyrin Maniratanga (Burundi) underscored that the Ministers will give life to the commitments made in Sevilla at FfD4. He noted that increasing tensions in the multilateral system are affecting developing countries’ capacity to finance development in their countries. Pointing to the enormous financing gap, he called for resource mobilization, establishing measures for debt restructuring and adopting measures to reform the international financial architecture (IFA).

PrepCom Co-Chair Rui Vinhas (Portugal) noted this is the time to sharpen priorities for the strengthening of commitments at FfD4. He urged delegates, including civil society and institutional partners, to engage fully in the Forum to bridge the gap between New York, Geneva, and Washington, D.C. He hoped for convergence and potential compromise to make FfD4 count for people and planet.

As host country of FfD4, Eva María Granados Galiano, Secretary of State for International Cooperation, Spain, highlighted the unprecedented challenges in achieving the SDGs, reiterating Spain’s commitment to multilateralism and noting their participation in the global tax cooperation discussions at the G-20, at the April 2025 Spring Meetings of the World Bank and the International Monetary Fund (IMF), and in the FfD4 talks. Calling for Sevilla to give the world a much-needed paradigm shift, she announced the Sevilla Partnership for Action. She underlined that the cost of inaction will be higher than the financing gap, underscoring the need to restore trust and political will to reach consensus in Sevilla.

Ministerial Fireside Chats

Throughout the day on Monday, delegates convened in five fireside chats.

Lowering borrowing costs and advancing development-oriented debt solutions: Claver Gatete, Under-Secretary-General and Executive Secretary of the UN Economic Commission for Africa (UNECA), moderated this fireside chat.

Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, Egypt, underlined the need for clear messaging on reforms and on engagement with the private sector. She noted that private sector engagement will be key to financing development agendas. She highlighted that bilateral debt swaps could be redirected to development projects of mutual interest, with less uncertainty for markets. She called to distinguish between commercial and concessional debt, pointing to policy-based lending that can improve macro-economic resilience and open up private sector lending.

On lowering borrowing costs, William Roos, Ministry of the Economy, Finance and Industrial and Digital Sovereignty, France, called for a global approach to preempt debt including by strengthening debt management units, increased domestic resource mobilization, and an increased capacity for MDBs to enhance catalytic financing. He underlined the need for the Common Framework to extend to MICs, and invited countries to engage in the review of the Debt Sustainability Framework under the Bretton Woods Institutions.

Gareth do Espírito Santo Guadalupe, Minister of Finance, São Tomé and Príncipe, called attention to the country’s commitment to environmental conservation and debt resilience as a small island developing state (SIDS), including protecting forests, but highlighted the sacrifices that national special reserves represent to the country’s gross domestic product (GDP). They called for a new and bold metric for debt restructuring, called for a massive expansion of concessional financing, and emphasized the need for climate resilience to be taken into account in debt restructuring considerations.

Patricia Miranda, Red Latinoamericana por Justicia Económica y Social (LATINDADD), lamented the reduced fiscal space to finance essential services, underscored that the Common Framework has been unable to solve the debt crisis, and underlined the need for a UN framework convention on sovereign debt with binding principles on borrowing and lending. She also stressed the need for a public global debt registry and reform of the credit rating system.

In the ensuing discussion, the AFRICAN GROUP lamented the continent’s external debt burden, underscoring the need for a multilateral sovereign debt workout mechanism, and the establishment of a global debt authority. They called to address the role of credit rating agencies. They underscored the need for technical assistance for unrated countries to access the global financial market and called for a separate ratings process to prevent the ratings impasses hindering market access.

TANZANIA called for contingent debt instruments and GDP linked bonds, access to affordable credit servicing, and restructuring with development in mind.

PORTUGAL called for: strengthening debt transparency; supporting the three-pillar approach of the IFIs for assisting low income and vulnerable countries facing liquidity challenges; providing technical assistance including support for the Antigua and Barbuda Agenda for SIDS (ABAS); and improving efficiencies of existing mechanisms such as the Common Framework and enhancing innovative pathways such as debt-for-development swaps.

MALDIVES underscored that SIDS no longer see debt as a development tool, and proposed a debt forgiveness for resilience building model, which reduces risks and frees up resources for development investments.

MEXICO underlined the need to strengthen macroeconomic and institutional frameworks and the risk profiles; underlined the importance of a debt architecture that promotes responsible financing and indebtedness; and called for contingency tools and resilience clauses for restructuring sovereign debt.

Underlining that debt servicing costs reached USD 800 billion in 2023, BRAZIL lamented that the poor were financing the rich and queried the existence of political will in developed countries to address the debt crisis and supported a sovereign debt mechanism under the UN. ANGOLA called for the adoption of instruments that build fiscal resilience, including climate resilience funds.

CHINA called for addressing symptoms and root causes of unsustainable debt and called on developed countries and IFIs to address the debt burdens and noted the country’s work to assist in debt relief. CUBA underlined the need for a UN platform on sovereign debt, noting that multilateral initiatives to address debt have failed as they favor creditors.

INDONESIA called for a predictable rules-based system to address the deteriorating debt crisis and underlined the need to address fiscal risk before it materializes. They called for the reform of credit rating agencies by promoting independent non-western rating agencies.

Mobilizing private investment to drive impact: Claver Gatete also moderated this fireside chat, noting that the session would explore the barriers to investment and the mechanisms to unlock private financial flows for development.

Jozef Síkela, Commissioner for International Partnerships, European Commission (EC), underscored that Europe has been a committed partner, underlining that they would be able to create investment-friendly conditions in partner countries to attract investment. He prioritized job creation efforts, underlining the need for derisking instruments to create certainty in developing country markets

Underscoring the opportunities to upscale climate finance on the road to the 30th meeting of the Conference of the Parties to the UN Framework Convention on Climate Change (UNFCCC COP30), Tatiana Rosito, Secretary for International Affairs, Ministry of Finance, Brazil, highlighted that only 10-15% of climate financing goes to developing countries. She emphasized the need to reform the IFA and called for enhancing the interoperability of climate markets and promoting better risk assessments, among others. She noted the launch of a Circle of Finance Ministers for COP30 to build a Baku to Belem roadmap for mobilizing climate finance.

Observing that ODA is on track to decline by 50% by the end of 2025, Diana Janse, State Secretary for Swedish International Development Cooperation, noted the importance of reducing trade barriers, underlined the need for using the available funding to catalyze private finance, and shared her country’s methods to mobilize financing, including credit guarantees to promote renewable energy and energy efficiency in sub-Saharan Africa.

Underlining the need for a renewed approach to the role of private finance in development, April Porteria, Asia Pacific Forum on Women, Law and Development, urged FfD4 to discontinue the “billions to trillions” approach to development. She supported calls by developing countries for a UN process to review the sustainable development impacts of financing instruments established to leverage private finance and urged the ring fencing of social services from market forces to ensure universal access.

In the ensuing discussion, LESOTHO underlined the importance of reforming the investment climate. GUINEA underscored the need for transparent debt restructuring, and for the reform of the IFA.

TANZANIA called for an alignment of private investment with national goals. INDIA underscored the need for an enabling environment to attract and sustain private investment and stressed the importance of the reform of the IFA to lower capital costs in developing countries. They pointed to blended finance as a tool for national development.

ZIMBABWE called for a seismic shift in private investment. BANGLADESH underlined the potential of social business approaches as a model for investments in social impact, channeling private resources to address challenges in food security and energy sectors, among others.

Lamenting that 18% of the country’s revenues go towards debt financing, LIBERIA shared the country’s interest in creating derisking tools to encourage investment. UGANDA noted the linkages between debt restructuring and private sector investment and highlighted the country’s projects to attract private sector investments in infrastructure, education, and health. URUGUAY underlined the need for efficiency in private financing and stressed that MDBs should be included in efforts to mitigate investment risk.

CROATIA shared the country’s environment and energy efficiency fund, their bank for reconstruction and development, and investments in green bonds, which are set to grow to 30% by 2030.

European Network on Debt and Development (EURODAD) underlined the need for a reality check for private financing, highlighting the World Bank’s admission that the “billions to trillions” agenda was a “fantasy.” They called for a cautious approach to blended finance, noting the risks, and instead prioritized public finance for development.

FINLAND acknowledged the importance of ODA in least developed countries (LDCs). They stated that the simplification and standardization of blended finance standards could ease access to these finances for developing countries.

SPAIN called: to include environmental, social, and governance (ESG) factors in the investment equation; for more private financing in local currencies; to create norms to improve international interoperability; and to strengthen social dialogue. The NETHERLANDS called to use ODA to mobilize private financing only where necessary.

Revitalizing development cooperation for impact and inclusion: In opening remarks, Stine Renate Håheim, State Secretary for International Development, Norway, stated that while there will be a steep decline in ODA in 2025, it is still expected to address an increasing number of development concerns. She noted that Norway had met the 0.7% of gross national income (GNI) for ODA commitment and urged other developed countries to do the same. She called on delegates to address the fragmentation in ODA and underscored the urgency of addressing climate impacts in financial planning.

Underlining that Sevilla is just the starting point towards reforming the system, Navid Hanif, UN Assistant Secretary-General for Economic Development, moderated this fireside chat. He noted that data shows that development cooperation is fragmented, misaligned with the SDGs, and has burdensome reporting requirements for recipient countries. He said nine countries had announced that they would be decreasing development aid, with some calling for international finance discussions to go “beyond ODA.”

Calling on LDCs to take the lead in their own development and create real transformation, Kenyeh Laura Barlay, Minister of Planning and Economic Development, Sierra Leone, highlighted the country’s rapid development plan, which was welcomed by development partners. She noted the need for a sector-wide approach to consolidating ODA, underlined the need for transparency and accountability through data sharing, and called to foster inclusive partnerships focusing on impact and results. She called for large-scale investment in infrastructure.

Aleksandr Pankin, Deputy Minister of Foreign Affairs, Russian Federation, noted that ODA has been ineffective and underlined the need to reconsider the system that is now in crisis. He outlined the need to depoliticize the system and stop imposing conditionalities for financing related to issues like human rights and climate standards. He underscored that the focus should be on the needs of recipient states, including infrastructure development, digitization, public health, and education. He noted that a new financial architecture should focus on cooperation and collaboration between developing and developed countries. He underscored the need for reform discussions to occur at the UN and not through mechanisms under the Organisation for Economic Co-operation and Development (OECD).

Fahad Hamad Al-Sulaiti, Director-General of the Qatar Fund for Development, called to build the development ecosystems of developing countries by leveraging natural resources, promoting coordination between donors and recipient countries, aligning with developing country needs, and enhancing MDB’s role in assisting countries in infrastructure development. He noted the need for innovative financing to close the financing gap.

Patricia Akakpo, Network for Women’s Rights in Ghana, underlined the role of country leadership and democratic ownership of development cooperation programmes are key to addressing fragmentation. Calling for a reform of international development cooperation governance, she supported a UN intergovernmental process to review IFIs and MDBs. She noted the role of MDBs in FfD, and urged them to channel concessional resources, work towards national priorities and respecting human rights, and operate in a transparent and accountable manner.

In the ensuing discussion, REPUBLIC OF KOREA, for MEXICO, INDONESIA, TÜRKIYE and AUSTRALIA, shared wide-ranging priorities for FfD4, including bridging the financing gap, reforming the IFA, and fostering cooperation and coordination.

GUINEA noted this was a time to reinvent the ODA system as one geared towards impact, underlining the need to build transformative systems in health and education. Noting their increase of ODA despite global challenges, PORTUGAL proposed, inter alia, aligning cooperation with national priorities, and fostering inclusive partnerships. EL SALVADOR lamented that ODA has continued to diminish, underlining that ODA is a catalyst of change, and called for renewed cooperation in the lead-up to FfD4.

To make FfD4 a turning point, MOROCCO called to: address the challenges of MICs; go beyond GDP in the measurement of development; and allow MDBs to expand their support especially to MICs. Decrying unilateral coercive measures (UCMs), VENEZUELA called for new conditions to finance development, stressing the importance of cooperative partnerships and South-South cooperation framed in solidarity.

SENEGAL underlined the need for the international community to “find its humanity again” and stressed the importance of renewing this common will to ensure Sevilla marks a new dawn for international development. SLOVENIA called to implement the multidimensional vulnerability index (MVI) and underlined the importance of a human rights based approach to development.

Decrying the weakened commitments by some countries in supporting development, GUATEMALA underlined the need to reform the IFA and go beyond GDP as a measure of development. HONDURAS stressed that MICs face different crises and called to rethink current criteria in terms of access to ODA and urged MDBs to redesign their instruments to address MICs’ needs.

YEMEN called for designing financial structures to address the needs of countries in conflict and called for MDBs to reform their instruments to better address the needs of fragile states.

SPAIN highlighted the need to recalibrate international cooperation, fight against illicit financial flows (IFFs), and strengthen inclusivity and spaces for debate. URUGUAY noted that international cooperation strengthens bilateral and regional relationships and pointed to their role as both a beneficiary and a donor of development aid. MEXICO underscored the need for accountability, called to include the Gini Index and the MVI as development indicators, and emphasized their commitment to South-South and triangular cooperation.

Harnessing trade and technology for sustainable development: This fireside chat was moderated by Mariana Mazzucato, University College London, who noted that the benefits of the multilateral trading system have disproportionately benefited the Global North. She underlined that international trade has come under strain, pointing to raising tariffs and inequalities in digital technology access.

Fatoumata Bako Traore, Minister for the Budget, Burkina Faso, drew attention to the multiple crises facing the world which make LDCs and landlocked developing countries (LLDCs) even more vulnerable. She reaffirmed that trade is not a luxury nor a mere driver for growth but a tool for transformation, calling for it to be aligned with national priorities including in the creation of employment. She stressed that technology is a driver for change, and underscored Africa’s role as a partner in the development of a new global trade system.

Ismaël Nabé, Minister of Planning and International Cooperation, Guinea, underlined the role of trade and technology as accelerators of transformation for all. He highlighted the country’s new plan for processing iron ore, noting the benefits for the country and the continent. He said proceeds from this plan include the development of commerce, trade, and industry, and the financing of agriculture and social services. He underlined the importance of a robust national development agenda, highlighting the country’s long-term financial “planification,” which prioritizes green growth.

Steven Collet, Deputy Vice Minister for Foreign Trade and Development, the Netherlands, called for the restoration of trust in the international trade system, noting the transformational power of trade. He underlined the important role of national and regional agendas and the Netherlands’ support for the African Union’s Agenda 2063 and the African Continental Free Trade Area; and highlighted their investments in agricultural trade corridors in East Africa to secure job creation, poverty reduction, and economic development, through the European Commission’s Global Gateway.

Erica Levenson, Regions Refocus and Society for International Development, highlighted that it is women who bear the brunt of tariffs, which act as UCMs. She lamented that the digitalization of trade has increased structural inequalities, pointing to the enormous costs of the consistent renewals of the World Trade Organization (WTO) e-commerce moratorium; and highlighted that mechanisms such as the investor-state dispute mechanism undermine economic outcomes for developing countries. She noted the international trading system’s role in hindering environment and climate action and called for the global trading system to be reoriented to reduce inequalities, stay within planetary boundaries, and align with developing country priorities.

In the ensuing discussion, CUBA lamented the precarious position of developing countries in the face of evolving technologies including artificial intelligence (AI), and underlined the need to close the digital divide including by renouncing UCMs. MEXICO decried growing tariff barriers, and urged for the outcome document to include binding clauses on ESG provisions. She underlined the need for public and private investment to close the digital divide, and highlighted the need for ethics in AI development and deployment.

BANGLADESH and ETHIOPIA called to uphold the rules-based multilateral trading system and highlighted the importance of trade bodies to support the needs of developing countries, including supporting e-commerce frameworks. HONDURAS called for trade to align with the SDGs, underlined the need for an inclusive trade environment, and called for multilateral bodies to invest in digital technologies.

BRAZIL noted the links between technology and trade and called to fight the rise in protectionism and preserve market access for developing countries to ensure that the engine of trade does not break down.

LESOTHO lamented recent tariff impositions that exclude some countries from trading altogether and stressed the need to recognize the rules-based multilateral trading system. They called for digital inclusivity at the global level to ensure all countries can operate on an equal footing.

CHINA underlined that inclusive trade is an engine for development, and decried the recent imposition of tariffs, which will impede the achievement of the SDGs. They underscored that countries should unite to safeguard the rules-based multilateral trading system.

The CIVIL SOCIETY ORGANIZATION (CSO) FFD MECHANISM called to strengthen the participation of micro-, small, and medium-sized enterprises (MSMEs) in global trade and build inclusive digital infrastructure.

The AFRICAN UNION supported a rules-based, non-discriminatory, open, and inclusive multilateral trading system, noting this will support industrialization in African countries, as well as structural transformation.

Investing in data to accelerate development: This fireside chat was also moderated by Mariana Mazzucato, who noted that the countries that did best during the COVID-19 pandemic were those that had invested in digital platforms.

Seedy Kaita, Minister of Finance and Economic Affairs, The Gambia, said the return on investment on data is huge, stressing that “data is the new gold.” He highlighted the gender, climate change, and governance data gaps in The Gambia, and pointed to their plans for a ministry on data that will enhance compliance and service delivery to citizens. He underscored data and technology as the tools to fight IFFs. He called for a global compact for development data, and for a legal framework on the ethical use of data.

María Luisa Ramírez Coronado, Vice Minister of Foreign Affairs, Guatemala, underscored the value of information for decision making, and called for high-quality disaggregated data. She noted that better data ensures better system design; and underlined the need for collaborating with Indigenous Peoples and local communities to generate better data. She called for a multi-stakeholder process to broaden data sources and analysis, and called for data for evidence-based, inclusive policies.

Dehpue Yenpea Zuo, Deputy Minister for Economic Management, Ministry of Finance, Liberia, underlined the importance of disaggregated data, mobile and citizen data collection to support national priorities, and pointed to the national project dashboard to track development financing throughout the country.

In her remarks, Dana Imad Hamzah, Assistant Undersecretary for Sustainable Development, Ministry of Sustainable Development, Bahrain, shared the country’s work to revamp its open data portal; and underscored their commitment to strengthening data as a transformative tool to leave no one behind.

Elizabeth Lockwood, Stakeholder Group of Persons with Disabilities and Society for International Development, underlined the importance of open data to drive innovation, and stressed that states should affirm that data is a cross-cutting issue and called to disaggregate data.

In the ensuing discussion, CABO VERDE called to enhance partnerships with the private sector on digital transformation and called for the digital compact.

International Institute for Democracy and Electoral Assistance (International IDEA) underlined that SDG 16 (peace, justice and strong institutions) is a driver of development, and called for data on governance, gender, and climate. REPUBLIC OF KOREA underscored that data assists in efficient resource allocation, and called to include the Global Partnership for Effective Development Co-operation (GPEDC) in the FfD4 outcome document. MALDIVES underlined the need to finance the data systems we need for the future we want.

CHILE underlined the importance of evidence-based decision making, and highlighted data gaps in gender, climate change, and governance, and called for more citizen data and disaggregated data from all countries.

Sharing the country’s actions to mobilize data for decision making, ZIMBABWE stressed that high quality, timely data is the foundation of service delivery, among others, and called for comprehensive investment in data collection, disaggregation, and dissemination. LESOTHO pointed to the nexus between good data and technology, and called for investments in data analytics infrastructure.

INDIA noted the need to address persistent data gaps in gender and governance is crucial, and called for investment in data analytics, partnerships, and skills development. MEXICO underlined the need for interoperable data, and welcomed the Cape Town Global Action Plan for Sustainable Development.

The MAJOR GROUP FOR CHILDREN AND YOUTH called for a dedicated intergovernmental process for data and information to enhance national reporting systems. INDONESIA shared the country’s experience in disaggregating data, including integrating citizen and community data, and supported inclusive data governance frameworks.

ECUADOR noted their multi-stakeholder SDG implementation strategy, including a plan for statistical development. She noted that to address data gaps, there is a need for viable technical and financial support for developing countries.

Dialogue with Senior Representatives of the Bretton Woods Institutions

On Tuesday, delegates engaged in a dialogue with the World Bank and the IMF, the two Bretton Woods Institutions (BWIs). ECOSOC President Rae, who chaired the session, stressed the importance of improving the dialogue between the UN and the IFIs.

Joining the session virtually, Axel van Trotsenburg, Senior Managing Director, World Bank Group, called to build a positive and factual narrative around development finance, and lauded several countries in East Asia that have made tremendous progress through domestic resource mobilization (DRM) and international support. He said several commitments under the AAAA had been met, including leveraging private finance and changes to MDB models to address debt vulnerabilities, also highlighting the Multilateral Debt Relief Initiative under the International Development Association (IDA) in this regard.

He cautioned against thinking that World Bank financing has been ineffective, noting the Bank’s efforts to: assist countries to broaden tax bases and modernize tax systems; support low-income countries with concessional loans and grants through IDA; and address solvency challenges, with work on the Common Framework. He called on countries to implement the World Bank Group (WBG)-IMF three pillar approach through implementing reforms, increasing international support, and supporting liability management. Pointing to the Global Sovereign Debt Roundtable, he highlighted new measures for transparency and speed of debt restructuring processes. He underlined that introducing a new process to address debt under the UN would increase fragmentation, and called to improve existing mechanisms, underlining the importance of debt transparency.

Bo Li, Deputy Managing Director, IMF, underlined the need to come together to support members, noting a downgrade in the IMF’s global economic outlook, pointing to a drop to 3% in 2026. He said the IMF is assisting countries to adapt to this new environment, providing over USD 350 billion to nearly 100 countries since 2020 through the Poverty Reduction and Growth Trust (PRGT), and the Resilience and Sustainability Trust (RST). For FfD4, he called to prioritize strong domestic reforms and support global innovation and coordination among development partners to assist with policy advice, capacity building, and financial support. He underlined that the forthcoming comprehensive surveillance review will ensure the Fund can better monitor fiscal exchange and financial sector policies, underlining the importance of this surveillance tool for cutting edge analysis of risks from changes in the financial system, such as non-bank financial institutions, crypto assets, and the use of AI.

He noted the need to make capacity building more flexible and tailored, and pointed to the Fund’s global public finance partnership. On lending instruments, he noted that surcharge reform has lowered borrowing costs and stressed the Fund’s commitment to PRGT reforms. He drew attention to the review of programme design and conditionality, which will ensure that macroeconomic imbalances are addressed, and pointed to the review of short-term liquidity lines to strengthen precautionary facilities. On debt, he noted the Fund’s analytical work, support for ongoing debt restructuring processes, and engagement at the Global Sovereign Debt Roundtable. He noted the IMF would update the 2020 stocktake on international architecture for resolving sovereign debt involving private sector creditors and would finalize the Debt Sustainability Framework for low-income countries.

In response to Rae’s question on how to improve on-the-ground cooperation between the UN system and the BWIs, Li observed that a powerful way to strengthen coordination is a country platform, that is owned, driven, and managed by the country that promotes strong cooperation with the BWIs and with the UN. He also noted the WBG-IMF work to strengthen collaboration on climate finance. Trotsenburg pointed to work with the World Food Programme (WFP) and the World Health Organization (WHO) on focused issues. He noted that the Bank has channeled USD 12 billion through the UN to address challenges in low-income countries. He also underscored the need to be present in the field. He noted that they are less effective in places where operational relevance is unclear.

Special High-level Meeting with the BWIs, WTO and UNCTAD

On Tuesday, delegates convened in a high-level meeting with the BWIs, WTO, and UN Trade and Development (UNCTAD), chaired by ECOSOC President Rae.

In his opening remarks, Ryadh Alkhareif, International Monetary and Financial Committee, IMF, underlined the importance of constructive dialogue between all stakeholders. Noting that the world economy is at a pivotal moment, he reported on the discussions at the Spring Meetings, noting the path ahead is challenging. He noted transformative forces such as digitalization and AI, which can be harnessed to, among other things, break from the low-growth high-debt path.

Via video message, Elisabeth Svantesson, Chair of the Development Committee, WBG, called attention to the Bank’s commitment to job creation, especially for women and young people. She noted the WBG’s focus on energy access, climate adaptation and mitigation, and disaster risk. She noted the work of IDA, and underscored the need for partnerships to improve lives. She noted the Bank’s expected engagement at FfD4.

Also via video message, Saqer Abdullah Almoqbel, Chair of the General Council, WTO, underlined the importance of a shared ambition towards FfD. He noted the intersection of trade policy and international development, underscoring the importance of a transparent rules-based trading system. He underlined the importance of the collaboration between UNCTAD, the BWIs, and the WTO.

Via video message, Paul Bekkers, President, Trade and Development Board, UNCTAD, called for a spirit of shared purpose towards FfD4, noting the need to take stock on whether we are being bold enough. He said trade has brought prosperity to many but today it is under threat, and it is the most vulnerable countries that feel the tremors first. Trade must remain a driver of opportunity not a source of risk, he added, so it must be integrated into the global sustainable development agenda. He lamented that billions in debt servicing could have been invested in essential services. He underscored the need to make sure development is not the casualty of larger tensions.

Deep dive on the IMF’s contribution to the FfD agenda: Its role in strengthening global macroeconomic and financial stability: Moderated by Veda Poon, IMF Liaison Committee Chair, the panel included Krzysztof Szczerski, Poland and Vice-President of ECOSOC, and Kamal Ramburuth, Institute of Economic Justice of South Africa. Poon noted the links between the WBG-IMF Spring Meetings and the FfD4 talks, noting the recent downgrade in global economic growth and the ripple effects of the US tariffs. She underlined that debt risks were elevated in 2025, noting that decision makers will be faced with increased fiscal trade-offs. She noted the Fund’s role as a lender of last resort.

Szczerski recalled the need to deepen the dialogue and mutual understanding between the UN and the IFIs and underscored that there is still much to do to “speak the same language.” He called for less silos and blame games and more synergies, mutual trust, and joint efforts. He noted the need to explore the effects of the high debt servicing costs to developing countries and called on the IMF to be part of the solution for addressing this crisis. On the work of the IMF and WBG’s work in countries in conflict, he called for discussions on how best to keep the momentum on prevention, peacekeeping efforts, and building resilience.

Ramburuth underlined the need for a UN sovereign debt mechanism to replace the shareholder governance structure of the IFIs, cautioning against reliance on the IMF where one country has veto power. He supported calls for a UN intergovernmental process to review the governance structure of the IFIs, underlining that these institutions will not reform themselves

Ingrid Solberg, Nordic-Baltic Constituency, IMF, pointed to the IMF’s bilateral surveillance work, which contributes to policies addressing climate change, education, structural reforms, and debt vulnerabilities. She called for the cautious issuance of Special Drawing Rights (SDRs), noting that their liquidity provisions sometimes delay reform progress.

Al Rashed, Executive Director, IMF-Saudi Arabia, underlined that the Fund supports sustainable development also by helping stabilize struggling economies. He stressed the importance of capacity building, noting the work of regional IMF offices for capacity development delivery. He noted the regional office in Saudi Arabia, and described the country’s partnership with the IMF including as hub for knowledge training and peer learning. He pointed to the Middle East Technical Assistance Center, which has supported Lebanon in strengthening tax policy, among others.

In the ensuing discussion, CHINA lamented that unilateralism, protectionism, and economic bullying is running rampant in the world today and called to uphold multilateralism with the UN at its core, and the multilateral trading system with the WTO at its core.

Palau, for the Alliance of Small Island States (AOSIS), prioritized the need for more affordable finance for SIDS, alignment on the special circumstances of SIDS across the UN system and the IFIs, and enhanced participation and decision making in the IFIs for SIDS. MEXICO called for adapting the financial system to national realities and aligning with national priorities.

MALI noted that we cannot keep doing the same thing and expecting different results, underlining the need to reform the IFIs’ governance and procedures, and called for solutions to the exponentially rising debts of developing countries. He called for the reduction of austerity measures imposed by IFIs.

ZAMBIA underscored the financing gap and resilience challenges and underlined the need to maintain the focus on jobs and economic transformation at the Spring Meetings. They called on the IFIs to make concrete announcements in Sevilla.

MOROCCO highlighted, inter alia, the need for eligibility criteria that goes beyond GDP, faster implementation of resolutions to debt servicing, reform of the IFIs, and massive scale up of climate finance and finance for loss and damage.

BRAZIL stressed that FfD4 will be a test of multilateralism and noted the need to mobilize trillions in climate finance. He lamented that ODA will be cut by half by the end of 2025 and called for a discussion on how to address both debt servicing and the decrease in ODA.

CUBA called for urgently reforming the current financial architecture to enable true investment in developing countries, and queried how to ensure the IMF is aligned with climate and the sustainable development agenda.

CHRISTIAN AID underscored that the IMF is not a development institution, which excludes it from considering issues pertaining to human rights; and raised questions on the Fund’s undemocratic governance structures.

VENEZUELA lamented the opaque IMF policies in the country, including during the COVID-19 pandemic; and underscored the need for IMF reform to prevent it from joining countries in imposing UCMs.

UN HABITAT stressed the need to scale up investments in social and urban areas and called for increased investments in cities and strengthened sub-national finance at the city level. The WORLD CUSTOMS COUNCIL underlined the role of customs in generating domestic revenue mobilization and drew attention to work with the IFIs on facilitating trade. The INTERNATIONAL RENEWABLE ENERGY AGENCY (IRENA) noted that funding remains insufficient to meet global energy transition demands and underlined the need to close the finance gap through innovative risk mitigation programmes coordinated at the international level.

Deep dive on the WBG’s contribution to the FfD agenda, specifically regarding reducing poverty and promoting sustainable development: Moderated by Matteo Bugamelli, Dean, Board of Executive Directors, WBG, delegates heard from Lok Bahadur Thapa, Nepal and ECOSOC Vice-President, and from Rougui Diallo, International Trade Union Confederation (ITUC). They also heard from Zarau Wendeline Kibwe, Executive Director, Africa Group 1, WBG.

Bugamelli drew attention to the launch of the evolution roadmap of the WBG and underscored that financing the SDGs is unlikely to be realized by 2030 in the current economic climate. He noted the need for concrete and measurable results and underlined the need to make every dollar work.

Thapa underlined that to consolidate efforts to bridge the financing gap, we need to mobilize finances from all sources. He highlighted the Bank’s evolution roadmap in enhancing effectiveness and called on the Bank to improve lending terms and step up local currency lending and implement derisking measures.

Diallo called for discussions on the substantive changes needed to address development needs, underscoring that the evolution roadmap only repackages the status quo. She called for public sector led development, reconsideration of the deregulation agenda, and ambitious targets centered on the International Labour Organization (ILO) decent work agenda. She underscored the need to support a UN intergovernmental process to review the role of IFIs.

Kibwe underscored the work of IDA, which focuses on people, planet, prosperity, and digital infrastructure; and drew attention to the role of the Bank in supporting agribusiness, access to capital, energy, broadband, and social protections especially for women. On jobs, he underlined the importance of knowledge banks in identifying the needs of countries. He noted the role of the International Finance Corporation (IFC) in mobilizing private investment, but underscored that public finance remains pivotal for development.

In the ensuing discussion, ICELAND commended the Bank’s evolution process and welcomed its gender strategy and pro-poor fiscal mechanisms. The WBG underlined the Bank’s emphasis on job creation in their projects, including through strengthening sectors such as healthcare, education, mining (where relevant), and energy.

YEMEN welcomed the Bank’s support for the work in the region and called for a differentiated approach for fragile states and expanding IFC guarantees in the fragile states.

On the shareholding review, the WBG noted the need to enhance the developing country voice at the Bank and pointed to the Lima Principles in this regard.

CHRISTIAN AID underlined the importance of IFI reform, which she noted should be reflected in the FfD4 outcome. Reiterating that the billions to trillions approach failed, they underscored that putting profits before needs will never address the climate crisis. They called for new additional grants-based finance at scale.

NIGERIA noted its fiscal and economic reforms, but described the challenges of promoting private sector investment among other issues. They shared that FfD should be catalytic, including leveraging World Bank resources in critical areas like energy access.

SPAIN called on the Bank to, inter alia, promote harmonization of ESG frameworks, and continue to implement measures such as SDRs. The WBG underlined that the Bank is demand driven and highlighted an innovative approach to indicator measurement through a scorecard that includes details on climate action.

MEXICO underscored that the Bank should focus on climate change, the debt crisis, and social protections, and underlined the need to support transparency in the private sector and support local institutions that are addressing disasters. BURUNDI noted the Bank’s role in infrastructure development and development of human capital among others, and called for the Bank to announce further capital for structural development.

In response to questions raised, Bugamelli underscored that jobs are at the center of the Bank’s strategy and noted their calls for worker protection. He noted the Bank’s review of the needs of fragile countries and countries in conflict. He highlighted the crucial role of partnerships, including towards mobilizing private finance, and underscored the Bank’s extension of its climate co-benefits commitment. He underlined that private capital mobilization is for development outcomes.

Poon underlined the importance of adapting to national realities to help achieve more sustainable results, noting this is part of the IMF’s programme review discussions. She said the Fund advises on improving public resource efficiency to improve social spending. She also noted a focus on resilience, and underscored the need to help countries build buffers and address institutional vulnerabilities, also related to debt management. She underlined the need to communicate stories better and to take feedback into account.

ECOSOC President Rae noted this is an ongoing dialogue that will not quickly come to a conclusion and called for these discussions to become a regular part of both the UN and the BWIs. He underlined that as long as we live in our silos, the more skeptical the global public will be on whether we are working together. He called on delegates to “mind the gap” in financing and investment.

Closing of the Forum

Delegates adopted the report of the meeting, as orally introduced by ECOSOC President Rae. Amina Mohammed, UN Deputy Secretary-General, sounded an urgent call for action for FfD4. She underlined that the renewed commitment has to meet the scale and the urgency of the moment, and underlined the need to deliver a more responsive financing system. She noted that we need to change how we think about financing, as a collective outcome, and underlined the need to place developing countries at the center. She noted that the draft outcome already points in the right direction and sets out critical reforms to the debt architecture. She invited all to take part in the Sevilla Platform for Action and underlined that Sevilla must be a turning point in financing for development.

ECOSOC President Rae thanked delegates for their participation. Noting the range and diversity of voices from CSOs, BWIs, institutional partners, and states, he suggested that the multilateral system is the best we have to deal with our problems. He called to strengthen the institutions we have, and noted that their values of trust, efficiency, and innovation should be upheld. He said that not all debt is bad but called for the space and opportunity to allow states to invest in their countries. He noted the need for private resources, and underlined that markets are not a source of evil but an essential part of the FfD agenda. He underscored the critical role of trade, and underlined that barriers hurt every part of the planet calling for delegations to think of “what is beyond the horizon.” He called for statistics and data, and said the ultimate goal of financing is to ensure our private good and our public good. He called to broaden horizons to work with others so as to reach agreement in Sevilla that will move us forward in a better way. He closed the meeting at 1:01 pm on Tuesday, 29 April.

Report on FfD4 PrepCom4.1

The first part of the fourth meeting of the PrepCom (PreCom4.1) for FfD4 was held on Wednesday, 30 April, and Thursday, 1 May. The Co-Chairs of the Preparatory Committee, Zéphyrin Maniratanga and Rui Vinhas, opened the meeting. Vinhas noted constructive progress on the draft text and called for a focus on convergence and more compromise, cautioning against engaging in an editorial process. He lauded the launch of the Sevilla Platform for Action and highlighted ongoing preparations for high-level roundtables at the FfD4 Conference in Sevilla in June 2025.

Maniratanga called on delegates to have difficult conversations in order to reach common ground, welcoming the voices of stakeholders. He underlined that multilateralism is not only based on principles but is grounded in actions, underscoring the role of strong institutions for implementation.

In his opening remarks, Li Junhua, Secretary-General of the Conference and Under-Secretary-General for Economic and Social Affairs, UN Department of Economic and Social Affairs (UNDESA), appreciated the high-level participation at the ECOSOC Forum, describing it as a testament to the shared commitment to a more sustainable global financial architecture. He called on delegates to build on the momentum from the Forum, noting this offers an opportunity to envision a world where development delivers, and one where the financial architecture is in line with development needs.

As host of FfD4, Eva María Granados Galiano, Secretary of State for International Cooperation, Spain, urged building on the steps already taken on FfD, reiterated the country’s commitment to the ODA target of 0.7% of GDP, called to mobilize domestic and private sector resources, and underlined the need for tax justice. She underlined that Spain would continue to call for a global carbon tax and fight against IFFs, and supported an increase in the issuance of SDRs to the most vulnerable countries. She called for a dialogue between the Paris Club, the G-20, and UN System on the debt crisis, underlined the need to move beyond GDP as a metric of development, and underscored the need for gender integration throughout the FfD4 outcome document.

Organizational matters: On Wednesday, delegates elected Nepal to the PrepCom Bureau, following the Asia-Pacific region’s request to rotate their representation on the Bureau. Delegates then adopted the organization of work (A/CONF.227/2025/PC/CRP.2/Rev.1).

Ministerial Segment

Nuno Sampaio, Secretary of State for Foreign Affairs and Cooperation, Portugal, called for a renewed financing framework resting on diversified and catalytic financing, integrated and inclusive goals, and collaborative multi-actor development. He stressed that FfD does not work in silos but requires a wide-ranging toolbox to advance the SDGs, underscoring the need for a shared resolve for bold inclusive action.

Lauding delegates for their commitment to FfD, Damas Bakuranimana, Ministry of Finance, Budget and Economic Planning, Burundi, underlined the complexity of challenges the world is facing. He noted that FfD is not a one-off effort but one that requires sustained dialogue to attain the SDGs. He noted contributions focused on reforming the international financial architecture and on “the thorny issue of debt” and called for an inspiring discussion that will lead us closer to consensus.

High-level Discussion on a Renewed Global Financing Framework

On Wednesday, LESOTHO underlined that the world is very different from what it was at the last FfD Conference in 2015 and called for action on a renewed financing framework and reform of the global financial architecture. They called to: strengthen the voice of developing countries; enhance commitments to domestic resource mobilization; and commit to providing ODA.

YEMEN pointed to the USD 4 trillion financing gap and the country’s fragile state, and called for the new financing model to: address the needs of countries in conflict; reform the international debt system; enhance capacity building in broadening the tax base; and encourage investment. Spain, for the IBERO-AMERICAN COMMUNITY, highlighted the opportunities offered by FfD4 in Sevilla, including to broaden access to finance. They underlined that the group works to promote innovative and inclusive financing and underscored the importance of the MVI.

The RUSSIAN FEDERATION stressed the instability in the global financial system, including increased tariffs, noting that UCMs worsen these uncertainties and are a flagrant violation of international law. They noted that developing countries are facing an unprecedented debt crisis, underlined that the global financial architecture does not address the needs of these countries, and called for reforming the system.

BURKINA FASO noted the challenges of LLDCs and called for a reform of the global financial architecture including a review of the credit rating system. They called for: large-scale investment to mobilize domestic and international resources; debt restructuring mechanisms; and aligning financing with country priorities.

ZIMBABWE reaffirmed their commitment to the 2030 Agenda and the SDGs, underlined the need to reform the global financial architecture including debt reform, emphasized the need to strengthen the fight against IFFs, and welcomed the focus on the needs of developing countries, particularly LLDCs.

HONDURAS underlined the need to reform the global financial framework, noting the need for a nimble, fair, and inclusive financial framework. They called for, among other things: a technical guide to mobilize financial resources for the most vulnerable countries; overcoming austerity; access to additional financing from all sources; and reviewing the role of credit rating agencies.

The NETHERLANDS underscored the need to manage debt and liquidity challenges and called to build on the Common Framework; and underlined the need for FfD4 to push for private investment. He underlined the need to include women, girls, and vulnerable groups in the action agenda.

NIGERIA called for increased domestic mobilization through digitization and broadening the tax base, supported a framework convention on tax cooperation, and urged the FfD4 outcome document to address IFFs. They highlighted the need to address the debt crisis, including through debt swaps.

The GROUP OF 77 AND CHINA (G-77/CHINA) noted rising poverty, rising geopolitical tensions, climate threats, and a widening financing gap. They highlighted the need for inclusive reform of IFIs to ensure developing countries’ voices; underlined the importance of fulfilling ODA commitments by developed countries; and stressed the need to respect national development priorities.

The CARIBBEAN COMMUNITY underscored the need for sustained financing to address their special circumstances as small island developing states. They called for the outcome to address the challenges relating to scale, access, and debt, and noted the need to reform the global financial architecture.

MALDIVES noted that FfD4 must be action-oriented, responsive to the debt crisis, and reforms-based to address the needs of developing countries.

INDIA called for a consensus-based, balanced and responsive global financing framework. They called to strengthen the capacities of MDBs, urged developed countries to fulfil their ODA commitments, called to implement the Common Framework, and promoted digital financial infrastructure.

BELARUS welcomed the first draft of the outcome document, which will be the basis for comprehensive actions for FfD into the future. They underlined the need to address the special needs of MICs, called for metrics that go beyond GDP, stressed the importance of ODA, and condemned UCMs.

Underscoring that they were not seeking charity, Palau, for AOSIS, lamented the threats to multilateralism and underlined that FfD4 must be transformative. They called to scale up new and additional finance including Ocean finance, implement the MVI, reform the debt architecture, and democratize decision making of the global financial infrastructure.

VIET NAM underlined that the need for more coordinated action in resource mobilization will bring shared prosperity and called for MDBs to support national development goals. They reiterated their commitment to a responsive FfD outcome, and supported data and information investments, and drew attention to their commitment to net zero emissions by 2050.

JAMAICA noted that the current financial architecture is lopsided and is unresponsive to vulnerable country needs. She underlined that the renewed financial framework should include climate-resilient debt financing, among other priorities.

REPUBLIC OF KOREA called to enhance the volume and effectiveness of development finance and uphold the rules-based global trading system. They called for the document to provide clear guidance, and noted the need to build on the work of existing platforms.

CÔTE D’IVOIRE welcomed the Sevilla Conference, which comes at a time when the efforts of the UN are being undermined, and noted regional commitments to implement the African Union’s Agenda 2063. They underlined the importance of international cooperation for development and trade and underscored the need for a new global financial framework.

CHILE underlined that FfD4 is a reaffirmation of multilateralism and called to establish an innovative framework to provide a robust roadmap to make headway to build a common future that leaves no one behind. They underlined the need to move beyond GDP, especially to address the needs of MICs; and called to reassess SDRs.

TANZANIA emphasized the need for a new financing framework and underlined the need for a rules-based sovereign debt mechanism, and a fair and inclusive tax architecture.

CABO VERDE called for boldness in addressing the need for a financial architecture that reflects today’s realities and challenges. They underlined the need for the financial architecture to address the needs of SIDS, calling to implement the MVI, and for making financial tools like green and blue bonds available. They also called to finance ABAS and for FfD4 to be a turning point.

URUGUAY lamented that the financing gap represents systemic inequalities, and underlined the need for FfD to ensure social justice and protect global public goods. They reaffirmed support to build bridges and called to build on the AAAA.

SOUTH AFRICA noted that the world may be facing a global financial lockdown that may be worse than COVID. They called for, inter alia: tackling IFFs, scaling private finance mobilization, addressing regulatory spillovers; empowering MDBs to operate at scale; committing to local beneficiaries of local minerals; and lowering the cost of capital.

SAUDI ARABIA called to strengthen cooperation, including through World Bank governance reform to include developing country voices, and cautioned against shifting the burden of financing development to consumers of the Global South. They called for the draft to respect national sovereignties and center on the needs of developing countries.

HAITI welcomed calls to reform the global financial architecture and to mobilize innovative financing for development; supported the reform of IFIs; and called for the strategic use of SDRs for LDCs to improve their budget flexibilities, especially those experiencing constant climate shocks and natural disasters.

TUVALU underscored the need for climate justice through predictable and responsive climate finance, called to fully operationalize the loss and damage fund, and supported the reform of IFIs to respond to the needs of climate-vulnerable nations.

THE GAMBIA called attention to the importance of remittances to LDCs, which are critical funds to address sectoral challenges, and called for the global financial architecture to include remittances and diaspora direct investment.

IRAN underlined that the private sector could pay more taxes and underscored that removing barriers to trade could assist in expanding the tax base for the private sector.

TAX JUSTICE NETWORK AFRICA noted that the current global financial architecture is failing but this offers an opportunity to build something better and to reimagine an equitable and resilient multilateralism. The INTERNATIONAL UNION FOR CONSERVATION OF NATURE (IUCN) called for FfD4 to address the interlinked challenges of climate change, biodiversity loss, and desertification, and called to close the biodiversity financing gap including through reform of all environmentally harmful subsidies. She called for sustained finances for ecosystem services that support food and water security, land, and health.

Underlining that care is the basis of development, AFRICAN WOMEN’S DEVELOPMENT NETWORK called for the FfD outcome center the rights of women, girls and gender diverse peoples, and supported the discussions on the tax cooperation.

AFRICAN TAX ADMINISTRATION NETWORK underlined the need to focus on the gains made under the AAAA, including through expanding the tax base and scaling up development finance; and supported talks on tax cooperation and efforts to combat IFFs.

LATINDADD underscored that the economic model has displaced people and negatively affected the planet. They underlined that Indigenous territories have been eroded and called for upholding the rights of Indigenous Peoples.

The FOOD AND AGRICULTURE ORGANIZATION OF THE UN (FAO) lamented that hunger has increased since FfD3 reaching 750 million people and underlined the role of agrifood systems also in terms of generating economic benefits and employment. They called to mobilize financial flows for agrifood systems, including through blended leveraging tools like green, social, and sustainability bonds. The INTERNATIONAL NETWORK FOR ECONOMIC, SOCIAL AND CULTURAL RIGHTS underscored the need to shift from private finance to public finance to guarantee development and underscored that the FfD4 should not favor rich nations who are the world’s biggest polluters. They called for states to hold IFIs accountable to comply with human rights obligations.

The INTERNATIONAL FUND FOR AGRICULTURAL DEVELOPMENT (IFAD) regretted the removal of language highlighting agrifood systems and underlined the need to invest in food and agriculture to improve economic outcomes for the most vulnerable.

The MAJOR GROUP FOR CHILDREN AND YOUTH highlighted the need to ensure that the context of vulnerable women and youth is in the outcome document, underscored the need to include the silent work of women, and called for an overhaul of the debt architecture culminating in a UN convention. They called on states to establish a fossil fuel non-proliferation treaty; and called on states to heed recommendations from young people.

The OFFICE OF THE HIGH REPRESENTATIVE FOR LDCS, LLDCS AND SIDS (OHRLLS) noted that FfD4 should include the MVI and expand on the Debt Sustainability Support Service (DSSS) to include all SIDS. They called for equitable access to development financing and mobilizing new financial resources.

GLOBAL FORUM FOR MEDIA DEVELOPMENT welcomed the recognition of the media as a partner in the achievement of development goals. They called for the FfD4 to: ensure a free and independent media; support the role of public interest media in ensuring financing for development information for all, including on IFFs; and ensure transparent investments in public media, supporting human rights and user-centered safeguards.

EUROPEAN DEVELOPMENT FINANCE INSTITUTIONS called to scale up and replicate actions under the AAAA, called for FfD4 to standardize investment practices in developing countries and emerging markets, and stressed the need for interoperability in regulatory frameworks worldwide.

UN HABITAT underscored the role of cities in achieving sustainable development and called to scale up investment in cities, noting that over half the world lives in cities. She noted that USD 550 billion will be needed to support cities annually and underlined the need for inclusive well-planned cities.

MIGRATION, YOUTH AND CHILDREN PLATFORM called attention to the contributions of migrant youth, recognized by the AAAA, but noted that gaps remain in access to financial services. They called for the FfD to recognize the multidimensional contributions of migrant youth in the outcome document.

Discussions on the First Draft of the FfD4 Outcome Document

On Wednesday and Thursday, delegates met in an informal meeting, led by Outcome Document Co-Facilitators Chola Milambo (Zambia), Merete Fjeld Brattested (Norway), Lok Bahadur Thapa (Nepal), and Alicia Buenrostro Massieu (Mexico). Through a series of panel discussions, they focused on elements pertaining to sections of the first draft of the FfD4 outcome document.

IFA and systemic issues: This session was moderated by Co-Facilitators Brattested and Milambo, calling for discussions on inputs to a “new playbook” on SDRs, how to address the review of risk calibrations and rating, and how the annual meetings with credit rating agencies can be better designed to meet states’ needs.

Debra-Lee Swanepoel, National Treasury, South Africa, underlined that access to finance is constrained by limited investments and risk perceptions, among others. On the SDR playbook, she called for pre-agreed triggers and political incentive mechanisms for the issuance of these drawing rights, including climate emergencies. She called to endorse the hybrid capital instrument of the African Development Bank, which multiplies SDRs into new financing for the African continent. She called for the reform of the international standard setting agencies to make them more independent. She urged clear rules, local licensing, and competition for credit rating systems, underlining the need for national level and global dialogues with these agencies, including with ECOSOC.

William Roos, Ministry of the Economy, Finance and Industrial and Digital Sovereignty, France, called attention to the international financial architecture working group under the G-20. He underlined the role of MDBs, calling for them to be able to provide lending in local currency, and calling for them to be open to capital increases including through hybrid capital. On SDRs, he noted different ways to support vulnerable countries and queried the proposal on pre-agreed triggers, calling for broad discussions. He noted the call to mobilize USD 100 billion in SDRs for developing countries and the need for a second layer to guarantee this scheme, and called to create momentum around this ahead of FfD4. He proposed precautionary facilities, with access granted to LDCs. He also noted the call for better representation at the IMF. On the financial and prudential regulations of the IMF, he highlighted the need to continue to support a risk-based approach to these regulations, and called for accurate data on investment risk.

Geetu Joshi, Ministry of Finance, India, underlined the need for a more reliable financial safety net, and called on the IMF to ensure timely response for countries in need. She stressed the need to position the fund centrally with the Global Financial Safety Net. She noted that excessive issuance of SDRs has a negative effect in recipient countries. She stressed that MDBs and national agencies must engage with credit rating agencies; and called for the annual meeting to engage with credit rating agencies. She underlined the need for long-term affordable finance to LDCs and developing countries.

Rémy Rioux, CEO, French Development Agency, and President, Finance in Common, drew attention to the Finance in Common movement and highlighted the need for including both national and public development banks in the outcome document.

Jose Antonio Ocampo, Professor, Columbia University, summarized the recommendations including that: the IMF should create a fund to intervene in the bond markets during a crisis; and the need to eliminate the double accounting of the IMF to address SDRs.

In the ensuing discussions, the G-77/CHINA insisted on the need to restore the voting rights, and to align with the Lima Principles, to reform the World Bank’s shareholding and voting power structure. They called for the expansion of the global financial safety net and an IMF multilateral swap line, and welcomed the SDR playbook.

HONDURAS called for a tailored financial architecture that is agile and responsive to the multiplicity of crises and underscored that the current IFA does not allow equal access to finance for developing countries.

CUBA expressed concern on the dilution of the language in this section, calling for a more active role of SDRs as development finance, and urged reforming the governance structure of the IMF to include the voices of developing countries.

CHINA called to uphold the rules-based international trade system with WTO at its core, reform IFIs’ governance structures, and strengthen macroeconomic policy regulations. TANZANIA called for the IMF to become more agile and factor climate vulnerabilities in lending practices and underlined the need for enhanced oversight of credit rating agencies.

TUVALU underlined the need for IFIs to realign their mandates to address climate vulnerabilities, calling for the IMF to include climate change as a core function; and called to strengthen regulatory practices of credit rating agencies.

COSTA RICA supported text on aligning the financial architecture to achieve the SDGs and to address climate change, underlined the need to reform IFIs, and reiterated commitment to a system committed to sustainable development.

Calling for quota realignments, BANGLADESH welcomed the recognition of the non-representativeness of the governance of IFIs, supported calls to review the voting mechanism under IFIs, and supported an automatic trigger-based mechanism for SDRs for climate vulnerable countries.

Underlining that the current system is 80 years old, CHILE supported reform of the IFA and welcomed the text on improving the representation of developing countries in IFIs and underscored the need to reassess risk assessment to better serve developing countries.

TAX JUSTICE NETWORK underlined the need for credit rating agency reform, calling for a public credit rating agency under the UN to level the playing field and the establishment of a commission under ECOSOC to address this issue.

Debt and the Cost of Borrowing: This session was moderated by Co-Facilitators Brattested and Milambo, calling for discussions on the constraints to lowering the costs of borrowing. Phil Stevens, Foreign, Commonwealth and Development Office, United Kingdom, underlined that debt challenges are not homogenous and require different solutions. He highlighted countries facing solvency challenges which, he noted, can be addressed by the Common Framework and private sector investment. He pointed to the need to address future debt crises, calling for greater debt transparency, natural disaster clauses, and capacity building on debt swaps.

On the fiscal space, Monica Asuna, National Treasury, Kenya, pointed to low domestic resource mobilization and narrow tax bases, which affect domestic resource mobilization. She noted the importance of low-cost financing, and concessional financing extended to MICs. She welcomed capacity building for debt swaps. She highlighted the need to reform the Common Framework and enhance the role of both multilateral and national development banks and called for strengthened frameworks for debt restructuring including addressing credit rating agencies.

Jose Corea, Economic Development, Cabo Verde, underlined debt as an important asset and a means to solve problems. He underlined the need for good debt management, stating that debt should be a means to an end. He called for FfD4 to offer commitments for debt swaps for sustainable development.

Gianpiero Leoncini, Executive Vice-President, Development Bank of Latin America and the Caribbean, highlighted his Bank’s work, including offering blended finance and local currency financing.

The AFRICAN GROUP welcomed the text in the draft on an intergovernmental process on debt and called for stronger language on this, including through the establishment of a global debt mechanism.

AOSIS lamented the vicious debt cycle in SIDS and called for a development-oriented debt architecture, noting that debt swaps are inadequate. They reiterated their proposal for an international convention on sovereign debt authority, supported by ETHIOPIA.

ETHIOPIA called for the outcome to include language on timely and ordering debt restructuring. PAKISTAN underlined the need for a debt mechanism under the UN beyond the ECOSOC annual meeting. BANGLADESH underlined the need to operationalize and expand the DSSS and called for debt forgiveness linked to climate vulnerability.

On debt swaps, COLOMBIA called to lower the costs of transactions and support developing countries, so they do not have to start from scratch. CUBA called for the inclusion of the proposal for a UN convention on sovereign debt restructuring and expressed concern over the role of IFIs in addressing the debt crisis, noting that they have perpetuated and sometimes worsened the debt crisis.

COSTA RICA called attention to the challenges of MICs in achieving debt sustainability, supporting the calls to lower the cost of capital, operationalizing of new instruments including debt for nature swaps.

TUNISIA shared the country’s rising debt levels and noted that they are in talks with the UN Economic and Social Commission for Western Asia (UNESCWA) on a debt swap. INDONESIA observed that the reform of the Common Framework is still currently aspirational, supported debt-for-nature swaps as being transformational, and called for credit rating agency reform to reflect the positive impact of investment in sustainable development.

TANZANIA called for more affordable loans as well as new tools like debt swaps and underlined the role of regional banks in debt sustainability. Noting the need to use existing mechanisms to address the debt crisis, ICELAND underlined that debt can be a strong tool for development and not an obstacle, calling for sound debt management mechanisms and increased transparency to speed up debt restructuring.

Drawing attention to the links between colonialism and debt, LATINDADD expressed concern about governments blocking discussions on debt restructuring, noting this will condemn billions of people to unsustainable debt servicing arrangements. Noting debt swaps are not the answer, they underscored the need for an intergovernmental process under the UN on debt restructuring.

The AFRICAN DEVELOPMENT BANK noted that debt servicing is a third of countries’ revenues on the continent, noted the launch of a multidimensional debt action plan to assist countries, and noted the role of MDBs in providing affordable debt. The BUSINESS MAJOR GROUP underscored the need to include remittances in the debt discussions calling attention the African Institute of Remittances.

Science, technology and innovation (STI) and capacity building: This panel was moderated by Co-Facilitators Massieu and Thapa, who opened discussions on realizing the full potential of STI, increasing investments in digital public infrastructure including AI, and enhancing the digital financial infrastructure.

Ahmed Salman Zaki, Ministry of Foreign Affairs, Maldives, underlined the need for targeted international financing for STI to ensure financial inclusion for all people; called for multi-stakeholder engagement; encouraged investments in youth as the custodians of STI; and called to strengthen states’ capacity on the proper management of data.

Lois Bruu, Vice President, Humanitarian and Development, Mastercard, welcomed multi-stakeholder collaborations as a path to innovation and sustainable development, noting every sector has a role. She described her organization’s building of technological ecosystems and partnership ecosystems, highlighting the Mobilizing Access to the Digital Economy (MADE) initiative to coordinate digitization efforts in rural Africa. She recommended formalizing multi-stakeholder coordination on STI.

Rougui Diallo, International Trade Union Confederation (ITUC), called for a human-rights approach to support “platform” workers like Uber drivers; underlined the need for compliance with labor standards in international trade; and underscored the need for building foundational digital systems that leave no one behind.

In the ensuing discussion, URUGUAY called for the outcome document to prioritize technology transfer to help bridge the digital divide. The G-77/CHINA noted that STI is an accelerant of sustainable development and welcomed the FfD Forum as a catalyst for STI development.

BANGLADESH supported the online university for LDCs and the SIDS bank and underlined the need for an AI Capacity Fund for developing countries, LDCs, SIDS, and LLDCs. COSTA RICA supported the inclusion of language advocating for the responsible use of digital technologies including AI.

CHINA noted that the rapid development of emerging technologies like AI have further widened the digital divide, and called for capacity building for developing countries, and to improve the global governance of AI to ensure the voice of developing countries is heard.

TIMOR LESTE underlined the need to close the digital divide in SIDS and LDCs, lamenting the disparities in digital literacy in these countries. ECUADOR underscored that technology facilitates access to global markets, emphasized that trade barriers are hampering access to digital technologies, and called for technology transfer to support MSMEs in developing countries.

INDIA underlined the transformative power of STI for developing countries, including strengthening financial inclusion to foster sustainable development; and pointed to the Technology Facilitation Mechanism; and supported global principles for safe AI frameworks to support the achievement of the SDGs.

TANZANIA noted the country’s uptake of AI technologies to enhance financial services, and called for equity, transparency, and accountability in the democratization of these technologies. YEMEN noted their progress in digitizing financial services, but pointed to challenges in scaling these services, and called for FfD4 to depoliticize access to finance for STI and to take a multilateral approach to enhance access to digital access.

SOCIETY FOR INTERNATIONAL DEVELOPMENT called for an inclusive mechanism under the UN on new and emerging technologies like AI. NGO COMMITTEE ON FFD underlined the energy demands of large-scale AI models risk countries’ achievement of climate goals and called for improving data equality and promoting partnerships to scale equitable AI solutions.

Domestic Resource Mobilization (DRM): This panel considered domestic public resources and was moderated by Co-Facilitators Brattested and Milambo, who urged discussions on, among others, the possibilities for enhanced support for domestic resource mobilization, and the key components to advance the fight against IFFs.

Josephilda Hlope, Department of Planning Monitoring and Evaluation, South Africa, focused on addressing IFFs, lamenting that the whole section in the first draft is bracketed, including proposals for a meeting to discuss IFFs. She underscored that IFFs pose a risk to the receiving economies and called for the outcome document to include language on, inter alia, improving transparency on money laundering information, leveraging quality data infrastructure, and tracking and repatriating stolen assets. She noted that this would build on the AAAA. She also underlined that billions leave Africa through IFFs.

Felipe Augusto Ramos de Alencar da Costa, Ministry of Foreign Relations, Brazil, called attention to the way domestic resources are spent, pointing to increases in military spending in developed countries, and debt servicing in developing countries. He lamented that ODA will be cut by half in 2025, with no fewer than nine developed countries making cuts, underlining that there always seems to be money for military spending and never enough for ODA. Noting this is not the way to strengthen trust in the multilateral system, he underlined that the “post ODA” discussion is a non-starter for developing countries. He underlined the need for each country to be able to tax activities within their jurisdiction, linking this to IFFs, and supported discussions towards a tax convention.

Alain Siri, Ministry of Economy and Finance, Burkina Faso, proposed aligning fiscal systems with sustainable development while respecting national sovereignty; underlined the need for national tax systems; and called for capacity building.

Mary Baine, Deputy Executive Secretary, African Tax Administration Forum, underlined the need to strengthen fiscal systems in developing countries, underscoring the importance of the UN talks on tax cooperation. She stressed that developing countries require capacity building to broaden their tax bases, noting the role of regional organizations in this regard. She called for tracking the implementation of these proposals, including reform of the IFA.

Anacláudia Rossbach, Executive Director, UN Habitat, stressed the role of sustainable urbanization in driving development, calling for investment in resilient urban infrastructure. She called for the outcome document to include language on investments at the sub-national level, including through sub-national loan guarantees, and called for regional and MDBs to scale up investments in cities.

In the ensuing discussion, the G-77/CHINA underlined the importance of DRM for FfD and called to scale up support to developing countries by broadening the tax base. They also supported language on IFFs, and anti-corruption measures. They supported text on encouraging blended finance and public-private partnerships to spur DRM.

BANGLADESH underlined the need for equity, capability, and support in execution and lamented the exclusion of an asset recovery mechanism from the first draft, noting its importance for DRM. They noted that the tax-base broadening process must be supported by international finance.

GUATEMALA underscored the need to foster the necessary requirements to broaden the tax base, including from the informal sector.

YEMEN supported transparency and accountability in DRM and called for specific capacity-building provisions for countries in conflict and called for financial and technical support to help formalize the country’s economy.

ECUADOR called for strengthening national development banks and underlined the role of debt for nature swaps in the context of DRM. CUBA underlined that efforts to mobilize domestic resources need to be supported by external actors, called on developed countries to address IFFs directed to their economies, and supported the UN process on international tax cooperation.

KENYA underlined that DRM is the most sustainable form of FfD, given the decline in ODA, and underscored the need to tax high-net-worth individuals. They called for a focus on undeclared income and wealth to broaden the tax base. TIMOR LESTE called for international support for DRM in SIDS and LDCs, noting this can be done through providing expertise to design fair tax systems, strengthening capacity to address IFFs, and modernizing tax collection systems.

CABO VERDE noted that the country reached 145% debt to GDP ratio and underlined the need to focus on a private sector strategy, broaden the tax base including through investing in the digital economy and data collection, capacity building for the private sector, and how to mobilize the data to support DRM. BURUNDI shared efforts made to diversify the economy and broaden the tax base, but lamented that servicing debt payments take up most of the country’s revenue. They proposed that the outcome document include technical support for digitalizing tax collection, restructuring of debt servicing taking into account exogenous shocks, and concessional loans with low interest rates.

INDIA underlined the importance of the UN talks on tax cooperation, called for regulatory frameworks and enforcement mechanisms to address IFFs, and highlighted the need for information sharing to combat financial crimes.

SWEDEN called to do more to combat IFFs and offered support for reforms to achieve more efficient tax systems and thus broaden the tax base. They supported the UN framework convention on tax cooperation, noting Sweden serves on the bureau.

LAO PEOPLE’S DEMOCRATIC REPUBLIC noted the country’s DRM strategy, including broadening the tax base and exploring innovative ways to raise taxes including taxes from the use of natural resources. The UK proposed: increasing the use of beneficial ownership registers; investing in capacity building; and taxing tobacco, sugar, and alcohol to combat non-communicable diseases. INDONESIA pointed to taxation as a tool for reducing inequality, and welcomed the UN talks on tax cooperation; and underlined the importance of blended finance and addressing IFFs. GERMANY highlighted that tax revenues must be raised and spent in a socially just manner so as not to increase inequalities.

The INTERNATIONAL CHAMBER OF COMMERCE underscored the need for a clear commitment to achieve tax certainty, and called for specific language on taxing natural resources, while welcoming language on broadening the tax base by integrating the informal sector. TAX JUSTICE NETWORK AFRICA underlined the need for a commitment for a specific threshold for ODA and urged states to promote the process under the UN on international tax cooperation. They called for effective tax transparency standards

The WORLD CUSTOMS ORGANIZATION called for the first draft to recognize the role of customs in DRM by referencing customs alongside tax revenues and in language related to the detection of IFFs. TRANSPARENCY INTERNATIONAL stressed that corruption is a barrier to DRM and called for the draft to include language on inclusive participation in tax systems, the cross-border nature of corruption, and beneficial ownership registries.

ASIA PEOPLES’ MOVEMENT ON DEBT AND DEVELOPMENT highlighted the burdensome tax rules on SIDS, LDCs, and LLDCs, and stressed that the outcome document should include language on taxes for high-net-worth individuals, global solidarity levies, and common but differentiated responsibilities and respective capacities.

FAO called for FfD4 to enhance financing for agrifood systems, particularly in low and lower MICs to ensure food security and nutrition, including through debt swaps.

AFRICA DEVELOPMENT INTERCHANGE NETWORK recommended that the FfD4 outcome include: the modernization of tax collection mechanisms, a multilateral binding framework on taxes, and beneficial ownership registries. They supported the UN process towards international tax cooperation. PARAGUAY called for the elimination of harmful agricultural subsidies and underlined that the reference to the net-zero target in the first draft should reflect the differentiated timelines for developed countries. They noted that implementing innovative financial instruments should not pose additional burdens to developing countries.

International Development Cooperation (IDC): This panel was moderated by Co-Facilitators Massieu and Thapa who noted the announcement of further aid cuts, and called for discussion on enhancing contributions of MDBs and on ODA responding to needs, making use of existing platforms on accountability and monitoring on IDC.

Sergio Vinocour-Fornieri, Ministry of Foreign Affairs, Costa Rica, called to expand access and improve conditions for international loans, underlining that concessional loans should not replace ODA but there is a need to include innovative financial instruments like green and blue bonds. He underlined that the MVI needs to be considered alongside other indices and called also for a reference to public-private partnerships. He noted that fragmentation of IDC can lead to inefficiencies, and called for strengthening the DSSS to ensure data can inform decision making. He added that reducing development cooperation is not the way forward, noting it will increase instability in the global economy.

Encouraging states to do better with less, Markus Dürst, Swiss Agency for Development and Cooperation, noted that ODA is not increasing, underlining that this is a tragedy for international cooperation. He underlined the need to strengthen MDBs to work as a system to allow them to provide concessional financing. He supported local currency financing, including remittances. He underlined the need for localization and called on countries to be bolder in putting forward their needs and priorities, especially given the crunch. He urged giving mechanisms like Total Official Support for Sustainable Development (TOSSD) a chance.

Karolina Krywulak, Ministry of Foreign Affairs, Department of Development Cooperation, Poland, expressed concern over the evolving financing landscape and called to prioritize building resilience in developing countries. She underlined the need to ensure predictability of FfD and stressed the need to include gender and a human rights approach. She noted that the decline in ODA is not a temporary drip but a signal that we need a different FfD model.

Hassatou Diop N’Sele, Vice President, Finance and Chief Financial Officer, African Development Bank Group, underlined that concessional resources are shrinking and called for a more effective approach to development cooperation. She called for MDBs to increase their risk appetites and cooperate on local currency financing; pointed to the success of the SDR channeling under the African Development Bank and Mission 300 on energy security in Africa.

Mary Beth Goodman, Deputy Secretary-General, OECD, noted that ODA fell by 7.1% in 2024 and the OECD is working to develop models on how these drops are affecting the global financial system. She stressed that IDC is a small but important part of the puzzle and called to strengthen DRM and to accelerate private finance, among others.

Matias Bendersky, Manager of Global Partnerships, Inter-American Development Bank, highlighted the need: to capitalize on MDB reform; for more efficient uses of ODA; for new approaches to scale up private finance; more and better tools for disaster risk management; and to scale up solutions to address foreign currency risk.

In the ensuing discussion, the G-77/CHINA underscored the indispensable contribution of ODA, and called for a commitment to reverse the reduction of ODA, among others. They supported strengthening MDBs, and called to address the double counting of climate finance.

PACIFIC SIDS underlined the need for ODA to be ring-fenced for SIDS and called to integrate the MVI in the document. They called for fiscally neutral actions, including through remittance transaction costs. They also called for strategic deployment of ODA to unlock private finance.

URUGUAY underlined the importance of ODA for sustainable development, especially for science, and called to reverse the trend of shrinking ODA flows; and underlined the need to revise traditional criteria and go beyond GDP, especially for MICs. ARGENTINA reiterated the validity of the pre-agreed terms for FfD and underscored that South-South and triangular cooperation are not substitutes for ODA. They called to reassess graduation criteria, including new indicators like the MVI for access to concessional and non-concessional financing.

ECUADOR decried the challenges faced by MICs and called on MDBs to provide tools to address indebtedness. She underlined the need for the MVI to also address the challenges of MICs. They underscored the need to uphold the commitment on ODA by developed countries.

EL SALVADOR stressed the link between IDC and FfD, recognizing the role of ODA and the role of the OECD’s Development Assistance Committee (DAC). They called for a comprehensive revision, going beyond GDP as a metric. They underlined the need for South-South and triangular cooperation, but noted that IDC is essential for achieving effective FfD.

HONDURAS stressed the need for MDBs to redouble their efforts to provide concessional financing for developing countries, including through local currency. They stressed that IDC should be tailored to national specificities to address the challenges of MICs.

CUBA noted the billions of dollars being invested in the arms race mean that there is sufficient global finance for IDC. She called for the outcome document to reaffirm ODA commitments already made, removing all conditionalities and addressing UCMs.

KENYA emphasized: IDC reform that prioritizes country ownership; implementation of the effective IDC principles; addressing fragmentation; and strengthening the role of the GPEDC.

GUATEMALA called for cooperation aligned with national priorities and expressed concern that just when challenges are on the rise ODA is shrinking. They called for reviewing the eligibility criteria moving from GDP as the sole metric.

BANGLADESH called for a timeline to reach ODA targets, and for ODA to align with national priorities. They supported enhancing the effectiveness of IDC and underlined the need to address fragmentation including between donors and recipients.

NICARAGUA highlighted the need to guarantee that IDC is aligned with national priorities, and decried UCMs. They underlined the importance of South-South cooperation to move to a fairer and more inclusive world, noting that North-South cooperation comes with conditionalities.

DJIBOUTI underlined the importance of IDC but highlighted that debt servicing requirements and climate shocks prevent countries from investing in their own infrastructure and social services. He noted that FfD4 should be a new call to action to ensure that all people live in peace and prosperity

Noting that they are on a path to graduate from LDC status, NAURU called for flexible financing, risk sharing mechanisms, and lower transaction costs. They underscored the need to integrate the MVI in development programming.

INDIA called for a results-driven approach to IDC, calling for innovative financing tools, and MDBs to prioritize local currency lending. They underlined that ODA should be applied strategically to ensure it reaches the most vulnerable.

The DOMINICAN REPUBLIC underlined the importance of going beyond GDP to address other vulnerabilities and called for ODA to be aligned with national planning and management policies and underscored the need to address climate change.

YEMEN called for: language on the development-peace nexus; text related to local currency lending and guaranteed instruments for private sector lending; and addressing the challenges of fragile states, including predictable multi-year financing.

Noting that a new dawn is rising at FfD4, UK supported: addressing fragmentation, language on strengthening MDBs, and action on climate. They underlined the need to focus on IDC that supports peace.

COLOMBIA called to move from GDP for concessional loans and called for local currency products. They called for sustained commitments with actions aligned with national planning products and supported aligning with the Paris Agreement on climate finance.

CHILE underlined that weakened ODA commitments undermined trust and supported the language on MICs in the draft outcome document; and endorsed calls for concessional financing from MDBs including through local currency products. SPAIN underscored their commitment to ODA, supported language on multidimensional challenges, and stressed the importance of South-South cooperation.

ICELAND noted that for LDCs the picture of stagnating support has already been felt. They called for more strategic use of the remaining ODA and noted that innovative finance solutions require IDC to be effective. He noted that demand for ODA is higher than ever and noted the role of MDBs in filling this gap by providing concessional finance. CABO VERDE emphasized that for SIDS, IDC must be expanded and focused on building sustainable capacity and stressed the need to include the MVI as an eligibility criterion.

BURKINA FASO noted that ODA is a strategic lever for domestic financing and called to address the fragmentation of aid including through a global indicator. LIBERIA stressed the importance of ODA and recommended: internal strengthening of DRM as well as tax transparency to strengthen ODA; and regional support for MDBs to enhance their capacities in relation to blended financing.

BRAZIL supported the inclusion of vulnerability indices in the draft and underlined the need to address the fragmentation of IDC, which has been tied to programmatic silos, and underscored the need to strengthen institutional capacities in developing countries. VIET NAM advocated for relaxing social and environmental standards and underscored the need for more transparency in climate financing

SOUTH AFRICA said South-South cooperation is complementary to ODA; cautioned against prioritizing private sector financing as the private sector is profit-seeking; and, with several others, called to reinsert language on gender equality. REPUBLIC OF KOREA drew attention to the GPEDC work and called for this to be reflected in the outcome document.

EURODAD underlined the need for greater ambition, aligned with language on ODA targets, and was skeptical about calls for ODA to mobilize private sector investment, noting this is out of touch with reality.

Trade as an Engine for Development: This panel was moderated by Co-Facilitators Massieu and Thapa who, noting rising global trade tensions and threats to the rules-based trading system, welcomed discussions on, among other things, reforming the multilateral trading system and preserving the role of trade as an engine for development.

Guy Lamothe, Ministry of Planification, Haiti, underlined trade as a driving force for development, calling to strengthen global fair-trade policies. He underscored the potential for natural resources and mineral wealth in the trading system, calling to support local and regional transformation in trade. He noted the importance of finished products, and shared plans for regional trade cooperation.

Charles Mujajati, Ministry of Finance, Economic Development and Investment Promotion, Zimbabwe, noted trade can be a powerful catalyst for development and called for the outcome document to include text protecting developing countries from unfair trade practices; and called for support to assist Zimbabwe to produce high-value goods as opposed to raw materials. He noted that Zimbabwe has prohibited exports of raw lithium and chrome, noting this protects youth employment. He lamented UCMs that have prohibited the country’s access to free trade.

Patrick Olomo, Department of Economic Development, Tourism, Trade, Industry, and Mining, African Union Commission, stressed that trade could be an engine for growth but unfortunately it has not been in recent years. He underscored Africa’s commitment to trade, noting the creation of the African Continental Free Trade Area, lamenting its tiny footprint in global trade. He called for the document to insist on the need for a multilateral trading system that works for all countries and supported a digital trading system.

Manuel Montes, Senior Advisor, Society for International Development, noted the calls for an open non-discriminatory rules-based trading system, which will allow economies of different sizes to trade on a fair plane. He underscored that although the WTO is not the sole governing body of trade, there is a need to resuscitate the dispute resolution mechanism.

In the ensuing discussion, the G-77/CHINA noted that tariffs threaten the global trade system, and called for a rules-based multilateral trading system underlining that this would exclude UCMs and unilateral environment-related coercive measures.

ARGENTINA called for the WTO to ensure monitoring and follow up on discussions on agricultural subsidies; and called for the entry into force of the agreement on fisheries subsidies. CUBA called for reform of the global value chain that favors developing countries, and condemned UCMs, which prevent them from participating in free trade, calling for this to be addressed in the outcome document.

YEMEN supported efforts to strengthen the multilateral trading system but underlined that it must be one that is fair and inclusive. They called for concrete actionable programmes to reform the global value chain. URUGUAY supported a rules-based multilateral trading system, and noting the unilateral imposition of tariffs, called on the outcome document to reaffirm the primacy of the WTO in multilateral trading system governance.

INDIA noted that while the WTO has been instrumental in governing the trading system, there is a need for reform, including through upholding special and differential treatment. They underscored the need for ensuring policy space for developing countries to meet their food security needs.

BANGLADESH urged that the outcome extends the commitment on trade preference for LDCs and graduating LDCs. They cautioned against unilateral mechanisms being imposed on LDCs.

HONDURAS stressed their support for the outcome document to include language to ensure that countries with primary resources can benefit from the global trading system. They called to revitalize the international trade architecture to prioritize equity and inclusion.

CHILE reaffirmed the need for an open rules-based multilateral trade system, with the WTO at its center, underlining the need to address the challenges of MICs. They supported the reform of the global value chain, and reform of the WTO to consolidate its role as pillar of trade.

VENEZUELA underlined the importance of the national development priorities and rejected UCM, which undermine the sovereignty of countries, and which impede developing countries’ rights. They supported a rules-based trading system, “focused on the human being.” PARAGUAY pointed out unfair trade practices including non-tariff trade barriers and called for the document to address these.

The WORLD CUSTOMS ORGANIZATION (WCO) noted that customs agencies are vital to the multilateral trading system, and pointed to the WCO’s Revised Kyoto Convention, and the WCO Harmonized System, and called for their inclusion in the outcome document.

REGIONS REFOCUSED and the SOCIETY FOR INTERNATIONAL DEVELOPMENT stressed that the WTO has played a role in the current system, worsening the conditions of women. They underlined the need for developing countries to also use tariffs for their benefit, underlining that free trade is only free for developed countries.

The INTERNATIONAL CHAMBER OF COMMERCE called for predictability for business, supported recognizing the role of customs agencies, and underlined that trade-related environmental measures should enhance trade.

Mobilizing Private Finance: This panel considered domestic and international private business and finance and was moderated by Co-Facilitators Brattested and Milambo. The Co-Facilitators called for discussion on expanding access to affordable credit for MSMEs, the role of local currency lending in mobilizing additional private capital, and how to create enabling environments and regulatory frameworks for sustainable business and finance.

Ramon Boone, Ministry of Finance, Belgium, underlined stability and predictability for private business and finance. He noted that public investments in education and health garner private investment. He stressed that access to credit is not a goal in itself and does not guarantee poverty eradication; and called for a whole of society approach in economic planning. He underlined the role of the MDBs in ensuring long-term strategies for climate and gender. He called for the outcome document to prioritize impact over volume of private financing.

Anthony Swan, Director, Development Finance and Economics, Department of Foreign Affairs and Trade, Australia, underlined that MSMEs are central to economic resilience but do not have access to finance. He called for local fund managers to address this gap to unlock access to larger pools of capital, but lamented that these fund managers are unable to perform as they do not have the track record. He noted that only 4% of capital is invested in LDCs and MICs, and called for standardized innovative finance tools, and increased catalytic capital aligned with national development plans. He called to improve transparency and accountability on the use of capital, and to strengthen regulatory cooperation to decrease risks. He noted local currency lending is expensive, and called to phase this in cautiously to prevent unintended consequences.

Wyatt Yankus, Standard Chartered Bank, called to encourage the growth of institutional investors, like pension funds, to provide long-term investments in infrastructure. He noted that increasing local currency lending should come from deepening local credit pools and noted the need for multi-actor cooperation including private banks. He called for the outcome document to encourage the interoperability of blended finance platforms and strengthening the legal and regulatory framework for capital markets.

Thomas Beloe, Director, Sustainable Finance Hub, UN Development Programme (UNDP), shared reflections on: the importance of enabling environments for private finance; and the need for capital to reach underserved markets, calling for small-scale bottom-up approaches to identify investment opportunities.

In the ensuing discussion, the G-77/CHINA underlined that mobilization of private resources has not met expectations, calling for FfD4 to address structural challenges in assisting foreign direct investment in areas such as energy access. They reiterated that private finance is not a replacement for ODA.

URUGUAY noted that private investment in sustainability remains elusive and called for clear and predictable regulatory frameworks that will encourage trust. They proposed that the text should improve outcomes including related to blended finance.

ECUADOR underlined the need to improve the regulatory frameworks to encourage investment in MSMEs. They supported local currency lending by MDBs and called for innovative financing approaches to address climate change. TIMOR LESTE underlined that the outcome should include a focus on private investment, and called to include integrated financial strategies and resilience financing.

GREECE noted that private finance has not met expectations, called to place an emphasis on derisking tools, and fostering enabling environments. They pointed to a national project, the Greco-Island Initiative, which promotes public private partnership towards decarbonization. YEMEN supported strengthening local currency lending by MDBs and endorsed the suggestion to add a reference to blended finance mechanisms in the outcome document.

CABO VERDE called for support for derisked investments in SIDS, tailored to their national priorities. They underscored the need to address barriers to capital for MSMEs. INDIA underscored the role of private capital flows, and called for the outcome document to include language on: increasing local currency lending through local currency instruments and designing policies reflecting country needs, cautioning against standardized systems for blended finance.

INDONESIA supported the development of interoperable digital payment options to reduce transaction costs; and emphasized the need to scale up innovative finance including the issuance of sovereign “Sukuk,” and blue and green bonds. LESOTHO supported the private sector as a driver of growth and called for the outcome document to include short-term initiatives to bridge the gap on policy implementation and access to finance.

PAKISTAN called for clarity on the proposed pooled technical assistance platform. BANGLADESH underlined that for LDCs, there is a need for private investment aligned with national priorities. They called for a recognition for social business as a model to enhance private investment, and a public market mechanism for LDCs and SIDS.

IFAD underlined the need to mobilize capital for food security in rural communities and emphasized the role of migrant remittances in development financing. DEVELOPMENT ALTERNATIVES WITH WOMEN FOR A NEW ERA (DAWN) lamented the focus on private finance for sustainable development, noting the focus should be on public finance. They underlined that private sector participation widens inequalities, stressing foreign investment only benefits shareholders. INTERNATIONAL CHAMBER OF COMMERCE prioritized enabling environments to attract private finance and underlined the MDBs’ role in affordable lending.

SOCIETY FOR INTERNATIONAL DEVELOPMENT underlined the need for a new narrative on foreign direct investment, noting private finance has been unsuccessful. They did not support the expanded roles of MDBs contained in the draft outcome document.

GLOBAL REPORTING INITIATIVE lauded language in the document on sustainability disclosures on impacts and risks, and called for streamlining reporting standards. GERMAN INSTITUTE OF DEVELOPMENT AND SUSTAINABILITY underlined that the document should commit to reporting requirements or risk assessment rules, and called for capacity building for designing and implementing sustainable finance strategies.

GK PARTNERS SOCIAL ENTERPRISE drew attention to diaspora saving bonds as opposed to diaspora remittances, which he noted are able to leverage co-financing.

Closing Plenary

Co-Chair Maniratanga called on the PrepCom to take note of the themes of the six multi-stakeholder roundtables for FfD4.

FfD4 Secretary-General Li noted that addressing shared challenges will require coordinated, inclusive, multilateral action. He noted that throughout discussions, there was a call for countries to work together to support a debt architecture that does not deprive states of development financing. He called for delegates to find bridging proposals on the FfD4 draft outcome document.

In his closing remarks, Co-Chair Maniratanga thanked delegations for their participation, noting the rich discussions reflecting diverse points of view. He encouraged all states and stakeholders to remain actively engaged in the intersessional discussions on the outcome document. He underlined the need for a robust follow-up mechanism to ensure lasting progress.

Co-Chair Vinhas noted that with 60 days to go there is cause for hope in the calibre of discussions and hope that the PrepCom will remain a space for respectful discussions, and called to continue to work towards common ground on the outcome document. He noted that Sevilla is not the final destination, but the springboard. Sharing that the dates of PrepCom 4.2 will be announced at a later date, Co-Chair Maniratanga closed PrepCom4.1 at 5:52 pm.