President Ruto’s Financial Architecture Reform Call Adopted By G7
The G7 summit has responded positively to President William Ruto’s call for greater support for Africa’s development.
During the summit in Italy, Ruto urged G7 leaders to advocate for international financial architecture reform to promote equity and inclusion.
He stated that the reforms would provide the Global South, particularly Africa, with access to concessional, long-term, and flexible financing, as well as increase developing countries’ participation in decision-making.
The G7, for its part, has committed to modernizing the international financial architecture and preparing it to meet contemporary global challenges.
As part of their resolutions, the G7 promised to support initiatives like the G20 Compact with Africa and the Paris Pact for People and Planet(4P).
These initiatives seek to improve collaboration among global stakeholders while also increasing funding for development, climate solutions, and private-sector investment.
The G7 leaders also urged the international community to provide more sustainable and transparent financing for developing countries that are committed to significant reforms and private investment.
They emphasised the importance of domestic resource mobilization, as outlined in the Nairobi-Washington Initiative launched by Presidents Ruto and Joe Biden during the Kenyan leader’s state visit to the United States last month.
The leaders also pledged to collaborate with various stakeholders to provide coordinated assistance from multilateral development banks.
They will also facilitate beneficial private financing and encourage private sector participation to ensure that multilateral assistance benefits developing countries.
They also agreed to work with the International Monetary Fund, the World Bank, and other key institutions to advance the plan, test it in various countries by the end of 2024, and eventually implement it.
The G7 also promised to increase support for African countries working for sustainable development, democratic governance, global stability, prosperity, and adherence to the United Nations Charter.
The G7 intends to align its efforts with the African Union’s Agenda 2063 and African countries’ specific needs and priorities, such as improved local and regional food security, infrastructure, trade, and agricultural productivity.
The group also stated that it will support the implementation of the African Continental Free Trade Area, which its members believe will be critical to Africa’s growth in the coming decade.
The G7 reaffirmed its unwavering commitment to the 2030 Agenda for Sustainable Development, promising to double efforts to accelerate progress toward the SDGs.
Their goal is to achieve long-term sustainable development while maintaining high environmental, social, and governance standards and fostering global shared prosperity.
President Ruto’s Financial Architecture Reform Call Adopted By G7
