US$6.4 Trillion Shortfall Spurs Call for Deeper South-South Cooperation at Global South Economic Forum - Middle East Business News and Information
The UAE's Comprehensive Economic Partnership Agreements CEPAs are ideal examples of South-South cooperation that is helping UAE to increase its trade with its partners. Thanks to CEPAs, the UAE recorded a 49 percent jump in its total foreign trade reaching Dh5.23 trillion US$1.42 trillion in 2024, compared to Dh3.5 trillion US$949 billion in 2021, according to the World Trade Organisation WTO.
The development financing gap for the Global South could surge to US$6.4 trillion by 2030, according to a recent report published by OECD, underscoring the urgent need for deeper cooperation among developing economies. This call to action was a key message from government leaders and experts convening at the inaugural edition of Global South Economic Forum GSEF, held at Anwar Gargash Diplomatic Academy (AGDA) in Abu Dhabi.
As globalisation gives way to a new, multipolar world order, the forum emphasized the growing importance of South-South cooperation in accelerating trade, investment, and strategic partnerships across the developing world through its five thematic sessions.
In his Key Note address, His Excellency Ahmed Al Sayegh, Minister of State, Economic and Trade Affairs, Ministry of Foreign Affairs, UAE, said, 'The nations of the Global South are no longer peripheral in global economic affairs. They are central to shaping the agenda, contributing to ideas and advancing frameworks for equitable cooperation. Collectively, these nations are helping recalibrate partnerships and offering pragmatic solutions rooted in shared ambition and mutual respect.'
The UAE, he said, believes that the voices, values, and visions of the Global South are indispensable to shaping a more inclusive and balanced international system.
'The Global South today holds unmatched potential as engines of growth and innovation, as stewards of critical resources and cultural heritage and as advocates for a more just and resilient global economy,' he said.
'To realise this potential, we ought to work together to harness emerging technologies including artificial intelligence, clean energy and digital finance, for sustainable development; deepen economic integration through trade corridors, smart infrastructure and investment facilitation; reclaim global narratives toward inclusivity and strengthen South-South and equally important South-North partnerships based on mutual respect, shared opportunity and strategic autonomy,' the Minister said.
He further stated, the UAE is proud to contribute to the Global South vision in various ways, including its outward-looking economic diplomacy.
'Whether through investments in clean energy, digital connectivity, food security or development financing, we remain committed to enabling pathways for shared prosperity,' he said, adding, 'As a nation at the crossroads of continent and cultures, the UAE sees its role not only as a bridge but also as a collaborator and catalyst for cooperation that transcends geography,' H.E. Ahmed Al Sayegh added.
The UAE's Comprehensive Economic Partnership Agreements (CEPAs) are a leading example of South-South cooperation in action. As a result of these agreements, the UAE's total foreign trade surged by 49 percent, reaching Dh5.23 trillion (US$1.42 trillion) in 2024, up from Dh3.5 trillion (US$949 billion) in 2021, according to the World Trade Organization WTO.
Nickolay E. Mladenov, Director General of AGDA, said: 'Through the CEPAs, the UAE is sought to build bridges at a time when others build walls. We hope that the Global South Economic Forum is part of that process of openness, building bridges and allowing countries and thought leaders to align together around ideas for the future ahead of us.'
According to a recent Boston Consulting Group BCG report, Global South is becoming a powerhouse of economic growth. Excluding China, the bloc of 133 nations accounts for roughly 18 percent of global GDP. Including China, that share rises to 40 percent – and represents 65 percent of the global population. The combined GDP of these nations is projected to grow by 4.2 percent annually through 2029, more than double the 1.9 percent expected for advanced economies.
Trade within the Global South is also rising, with South-South trade projected to grow at a CAGR of 3.8 percent through 2033, compared to 2.2 percent for North-North trade. By 2033, Global South trade could reach US$14 trillion annually. However, the OECD's Global Outlook on Financing Sustainable Development 2025 paints a stark picture. While external finance to developing nations reached US$5.24 trillion in 2022, it still falls short of the US$9.24 trillion required annually to meet the UN 2030 Agenda. The financing gap has widened due to climate change, geopolitical tensions, and slower-than-needed increases in available resources.
'Between 2015 and 2022, financing needs rose 36 percent, while actual resource flows increased by just 22 percent – leaving a 60 percent shortfall,' the OECD warned. Without structural reform, this gap could hit US$6.4 trillion by 2030.
Global South Economic Forum GSEF 2025, convened by the Centre of Geoeconomics for the Global South (COGGS) in collaboration with AGDA, Emirates Centre for Strategic Studies and Research (ECSSR), and China's Academy of Contemporary China and World Studies (ACCWS), brought together over 100 delegates – several senior government officials and members of the diplomatic corps in UAE. The forum aims to shape dialogue on geoeconomic challenges, promote regional integration and technology adoption, and enhance collective frameworks for reshaping global economic governance. The Bureau of Research on Industries and Economic Fundamentals has facilitated the presence of the Indian delegation at the forum.
Mohammed Saqib, an Economist and Convenor of COGGS, remarked: 'The world is on the cusp of a new economic order. Global South is emerging as a driving force in shaping global systems, and our collective voice is gaining strength in a multipolar world. We are committed to building equitable economic frameworks.'
The forum also addressed investment trends. According to the World Investment Report 2024, FDI flows to developing countries declined by 7 percent to US$867 billion, driven largely by an 8 percent drop in developing Asia. Despite over 1,000 new greenfield project announcements in developing countries, most were concentrated in Southeast Asia and West Asia, with Africa and Latin America seeing limited activity.
'GSEF wasn't an echo chamber of ideas – the forum is a crucible of tested wisdom, where real-world experience met real-time challenges. Far from exclusive, GSEF thrives on inclusion, bringing diverse voices to the same table to shape a tomorrow that's moving in many directions,' Ayanangsha Maitra, co-ordinator of GSEF, remarked.
About Global South Economic Forum GSEF:
Global South Economic Forum (GSEF) is a forum convening ministers, former heads of state from Global South nations. Inaugurated by a ministerial session, the forum is hosted at the Anwar Gargash Diplomatic Academy (AGDA), Abu Dhabi, a globally recognized institution frequented by world leaders and diplomats.
GSEF is positioned as a solution-offering platform for the Global South, addressing unfulfilled promises of traditional elite forums. The Forum emphasizes economic resilience, sustainable finance, technological innovation, and inclusive growth for Global South nations. The expert discussants will prescribe actionable solutions to real-world challenges facing the Global South. The Forum aims to secure the interests of Global South nations, with a narrative of empowerment and transformation of institutions and organisations in the age of multi-polarity.
About Centre of Geoeconomics for the Global South COGGS:
Centre of Geoeconomics for the Global South (COGGS) is bringing together Global South countries with a focus on economics, but its vision extends to broader development, resilience, and economic as well as social collaboration. COGGS is committed to publishing research papers in partnerships with prestigious partner organisations worldwide, including the UAE, Argentina, Egypt, India, and Indonesia.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mid East Info
14 hours ago
- Mid East Info
MBRSG to Host Fifth Round of the Public Administration Forum Under the Theme ‘Strategic Horizons' - Middle East Business News and Information
The Mohammed Bin Rashid School of Government (MBRSG) hosted today the fifth round of the Public Administration Forum 2025 under the theme 'Strategic Horizons: The UAE Economic Diplomacy Report 2024-2025 – Advancing Policy, Trade, and Global Partnerships Through Evidence-Based Insights'. The event took place at the School's premises in the Dubai World Trade Centre (DWTC), gathering an elite group of decision-makers, diplomats, economists and public policy experts, who discussed the evolving landscape of the UAE's economic diplomacy and explored its future trajectory amid ongoing geopolitical shifts and rapid global transformations. This year's forum serves as a strategic platform for unveiling the UAE Economic Diplomacy Report 2024-2025, prepared by the Anwar Gargash Diplomatic Academy (AGDA) in collaboration with MBRSG, with contributions from local and international researchers. His Excellency Dr. Ali bin Sebaa Al Marri, Executive President of MBRSG, said: 'We take great pride in this platform that brings together distinguished experts and decision-makers to explore emerging economic trends. The forum represents a pivotal milestone in supporting the UAE's efforts to build a forward-looking model of economic diplomacy – one grounded in knowledge and analysis, and aimed at enhancing the effectiveness and competitiveness of government decision-making. Our partnership with the Anwar Gargash Diplomatic Academy reflects our deep belief in the value of strategic collaboration in strengthening national capabilities to respond to global economic developments.' His Excellency added: 'This year's report highlights the UAE's growing international prominence through clear indicators that reflect the strategic use of investment flows, economic partnerships, and sovereign wealth funds. We are confident that the forum's outcomes will help shape more agile and impactful economic policies, ensuring the UAE's readiness to address future challenges and seize emerging opportunities.' From his side, Dr. Mohammed Ibrahim Al Dhaheri, Deputy Director-General of the Anwar Gargash Diplomatic Academy, emphasized the importance of the forum, stating: 'The Government Administration Forum serves as a strategic platform to reimagine economic diplomacy as a tool that reflects the nation's identity and global aspirations.' He explained that economic choices are no longer isolated technical decisions, but rather part of a broader narrative that requires capacity building, expanded partnerships, and the pursuit of inclusive and sustainable prosperity. He affirmed that the gathering of leaders and decision-makers during the forum reflects this direction and embodies the UAE's commitment to strengthening its global presence through innovation, integrity, and impact. The report provided a comprehensive review of the UAE's economic diplomacy strategy, with a focus on key areas including the analysis of Comprehensive Economic Partnership Agreements (CEPAs) and their impact on national competitiveness, food security, and foreign direct investment (FDI) flows. It also explored the role of sovereign wealth funds and state-owned enterprises in advancing the UAE's soft power and expanding its global economic influence. The report examined the country's approach to navigating changes in global trade, its leadership in integrating the digital economy and climate diplomacy, and presented case studies of successful UAE economic diplomacy in Asia, Africa, and Latin America. Furthermore, it offered strategic recommendations to enhance institutional coordination, build diplomatic capacities, and integrate economic tools within the country's foreign policy framework. Supported by recent indicators and statistics, the report underscored the effectiveness of the UAE's economic and diplomatic strategies. The country recorded FDI inflows of USD 30.7 billion in 2023, while the number of CEPAs reached 24 by 2024, with 16 agreements already in effect. The nation's sovereign wealth funds manage substantial assets, including the Abu Dhabi Investment Authority (USD 993 billion), Mubadala Investment Company (USD 302 billion), and the Emirates Investment Authority (USD 87 billion). The data also revealed the issuance of over 200,000 new business licenses in 2024, bringing the total number of active companies in the UAE to more than 1.1 million. According to the International Monetary Fund (IMF), the country's GDP is projected to grow by 4.2% in 2025. UAE foreign aid remains a key pillar of its human-centred foreign policy, amounting to USD 3.45 billion in 2022, with USD 2.56 billion allocated to the most vulnerable nations. These developments align with the vision of the UAE's leadership. His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, has affirmed that the country, under the leadership of His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE, is steadily advancing towards its goal of achieving AED 4 trillion in non-oil foreign trade by 2031 – four years ahead of schedule. In Q1 2025, the UAE's non-oil foreign trade reached AED 835 billion, reflecting an 18.6% increase. Non-oil exports grew remarkably by 40.7%, reaching AED 177.3 billion and accounting for more than 21% of total foreign trade for the first time. The UAE's GDP stood at AED 1.77 trillion in 2024, with the non-oil sector contributing 75.5%. The forum's activities commenced with an opening speech delivered by H.E. Dr. Ali bin Sebaa Al Marri, followed by a formal speech by HE Dr. Mohammed Ibrahim Al Dhaheri, Deputy Director General of AGDA, who highlighted the importance of economic diplomacy in strengthening the UAE's global standing and strategic partnerships. The forum targeted a broad audience of stakeholders in the economic and diplomatic spheres, including government officials, economic diplomats, trade and policy experts, academics, business leaders, and students specialising in international affairs, fostering knowledge exchange and collaboration to shape a shared vision for the future of UAE economic diplomacy. The event reaffirmed MBRSG's commitment to advancing national and international dialogue on economic and public policy issues, in line with its role as a research and academic institution that contributes to policy development and the nurturing of future Emirati leaders capable of driving economic transformation with agility and foresight. The Forum's sessions covered the role of sovereign wealth funds, implications of the WTO's Abu Dhabi Ministerial Declaration, and policy evaluations linked to economic diplomacy. Discussions addressed the importance of strengthening the UAE's global economic partnerships, with contributions from Dr. Ahmed Rashad, Lead Researcher and General Editor of the Report and Assistant Professor of Economics at AGDA, Dr. Mona Mostafa El-Sholkamy, Professor of Macroeconomic Policies and Public Finance at MBRSG, HE Amb. Husain Haqqani, Senior Research Fellow and Diplomat in Residence at AGDA, Ms. Dina Abdullah – Senior Trade Specialist and Senior Policy Advisor. The Forum Sessions were moderated by Prof. Khalid Al Wazani, Professor of Economics and Public Policy at MBRSG, Dr. Fadi Salem, Policy Research Director at MBRSG, and Mohammed Galal, Head of News at Almal Channel, Dubai TV. The fourth session shed light on the strategic and humanitarian dimensions of the UAE's foreign policy through a lecture titled 'The Strategic Importance of UAE Foreign Aid', delivered by H.E. Amb. Husain Haqqani, Senior Research Fellow and Diplomat-in-Residence at the Anwar Gargash Diplomatic Academy. The lecture explored how the UAE leverages its foreign aid programmes to broaden political and economic influence and deepen international cooperation, reflecting the human-centred foundation of its foreign policy. The forum concluded with an open dialogue session that brought participants together from various disciplines to expand the scope of discussion and encourage cross-sectoral exchange among decision-makers, diplomats, business leaders, researchers, and students in international relations. The session highlighted the importance of knowledge and institutional integration in shaping a forward-looking UAE model of economic diplomacy.
Egypt Today
a day ago
- Egypt Today
Egypt 'platform' for int'l cooperation amid regional, global uncertainty: Al-Mashat
Minister Rania Al-Mashat CAIRO - 19 June 2025 — Minister of Planning, Economic Development and International Cooperation, Rania Al-Mashat said that Egypt continues to position itself as a platform for international cooperation and investment, even amid global and regional headwinds. 'This report is being released at a time of rising uncertainty, even more than when it was drafted,' Al-Mashat said during her speech at the launch of the UNCTAD World Investment Report 2025 in Cairo. 'Yet, despite this challenging backdrop, there are silver linings, particularly in Africa, and in Egypt's case, projects such as Ras El-Hekma reflect both direct investment and debt-swaps, which the report examines in detail,' she added. She noted that the report also echoes recent global calls to mobilize more financing for the private sector; a theme aligned with Egypt's national priorities and recent efforts to encourage private-sector engagement in development. Referring to Egypt's recent hosting of the Development Finance to Foster Private Sector-Led Growth & Jobs conference, Al-Mashat said the country serves as an example of how multilateral development partners can work together to support investment and development agendas. She also touched on broader issues raised in the report, including developments in East Asia's green transition and the importance of international experience-sharing through South–South and triangular cooperation. She emphasized the importance of including all countries in global transformations, especially in areas such as digital infrastructure and artificial intelligence. 'The digital divide is no longer just about access to infrastructure, it now includes AI,' she said. 'Without inclusive approaches, we risk leaving countries behind.' Al-Mashat concluded by underscoring Egypt's role as a consistent host of international events focused on investment and development. 'We began this week with strong messages from global institutions on concessional finance and private-sector investment in Egypt, and we're ending it with another important global partner launching a major report from Cairo.'
Mid East Info
a day ago
- Mid East Info
US$6.4 Trillion Shortfall Spurs Call for Deeper South-South Cooperation at Global South Economic Forum - Middle East Business News and Information
The UAE's Comprehensive Economic Partnership Agreements CEPAs are ideal examples of South-South cooperation that is helping UAE to increase its trade with its partners. Thanks to CEPAs, the UAE recorded a 49 percent jump in its total foreign trade reaching Dh5.23 trillion US$1.42 trillion in 2024, compared to Dh3.5 trillion US$949 billion in 2021, according to the World Trade Organisation WTO. The development financing gap for the Global South could surge to US$6.4 trillion by 2030, according to a recent report published by OECD, underscoring the urgent need for deeper cooperation among developing economies. This call to action was a key message from government leaders and experts convening at the inaugural edition of Global South Economic Forum GSEF, held at Anwar Gargash Diplomatic Academy (AGDA) in Abu Dhabi. As globalisation gives way to a new, multipolar world order, the forum emphasized the growing importance of South-South cooperation in accelerating trade, investment, and strategic partnerships across the developing world through its five thematic sessions. In his Key Note address, His Excellency Ahmed Al Sayegh, Minister of State, Economic and Trade Affairs, Ministry of Foreign Affairs, UAE, said, 'The nations of the Global South are no longer peripheral in global economic affairs. They are central to shaping the agenda, contributing to ideas and advancing frameworks for equitable cooperation. Collectively, these nations are helping recalibrate partnerships and offering pragmatic solutions rooted in shared ambition and mutual respect.' The UAE, he said, believes that the voices, values, and visions of the Global South are indispensable to shaping a more inclusive and balanced international system. 'The Global South today holds unmatched potential as engines of growth and innovation, as stewards of critical resources and cultural heritage and as advocates for a more just and resilient global economy,' he said. 'To realise this potential, we ought to work together to harness emerging technologies including artificial intelligence, clean energy and digital finance, for sustainable development; deepen economic integration through trade corridors, smart infrastructure and investment facilitation; reclaim global narratives toward inclusivity and strengthen South-South and equally important South-North partnerships based on mutual respect, shared opportunity and strategic autonomy,' the Minister said. He further stated, the UAE is proud to contribute to the Global South vision in various ways, including its outward-looking economic diplomacy. 'Whether through investments in clean energy, digital connectivity, food security or development financing, we remain committed to enabling pathways for shared prosperity,' he said, adding, 'As a nation at the crossroads of continent and cultures, the UAE sees its role not only as a bridge but also as a collaborator and catalyst for cooperation that transcends geography,' H.E. Ahmed Al Sayegh added. The UAE's Comprehensive Economic Partnership Agreements (CEPAs) are a leading example of South-South cooperation in action. As a result of these agreements, the UAE's total foreign trade surged by 49 percent, reaching Dh5.23 trillion (US$1.42 trillion) in 2024, up from Dh3.5 trillion (US$949 billion) in 2021, according to the World Trade Organization WTO. Nickolay E. Mladenov, Director General of AGDA, said: 'Through the CEPAs, the UAE is sought to build bridges at a time when others build walls. We hope that the Global South Economic Forum is part of that process of openness, building bridges and allowing countries and thought leaders to align together around ideas for the future ahead of us.' According to a recent Boston Consulting Group BCG report, Global South is becoming a powerhouse of economic growth. Excluding China, the bloc of 133 nations accounts for roughly 18 percent of global GDP. Including China, that share rises to 40 percent – and represents 65 percent of the global population. The combined GDP of these nations is projected to grow by 4.2 percent annually through 2029, more than double the 1.9 percent expected for advanced economies. Trade within the Global South is also rising, with South-South trade projected to grow at a CAGR of 3.8 percent through 2033, compared to 2.2 percent for North-North trade. By 2033, Global South trade could reach US$14 trillion annually. However, the OECD's Global Outlook on Financing Sustainable Development 2025 paints a stark picture. While external finance to developing nations reached US$5.24 trillion in 2022, it still falls short of the US$9.24 trillion required annually to meet the UN 2030 Agenda. The financing gap has widened due to climate change, geopolitical tensions, and slower-than-needed increases in available resources. 'Between 2015 and 2022, financing needs rose 36 percent, while actual resource flows increased by just 22 percent – leaving a 60 percent shortfall,' the OECD warned. Without structural reform, this gap could hit US$6.4 trillion by 2030. Global South Economic Forum GSEF 2025, convened by the Centre of Geoeconomics for the Global South (COGGS) in collaboration with AGDA, Emirates Centre for Strategic Studies and Research (ECSSR), and China's Academy of Contemporary China and World Studies (ACCWS), brought together over 100 delegates – several senior government officials and members of the diplomatic corps in UAE. The forum aims to shape dialogue on geoeconomic challenges, promote regional integration and technology adoption, and enhance collective frameworks for reshaping global economic governance. The Bureau of Research on Industries and Economic Fundamentals has facilitated the presence of the Indian delegation at the forum. Mohammed Saqib, an Economist and Convenor of COGGS, remarked: 'The world is on the cusp of a new economic order. Global South is emerging as a driving force in shaping global systems, and our collective voice is gaining strength in a multipolar world. We are committed to building equitable economic frameworks.' The forum also addressed investment trends. According to the World Investment Report 2024, FDI flows to developing countries declined by 7 percent to US$867 billion, driven largely by an 8 percent drop in developing Asia. Despite over 1,000 new greenfield project announcements in developing countries, most were concentrated in Southeast Asia and West Asia, with Africa and Latin America seeing limited activity. 'GSEF wasn't an echo chamber of ideas – the forum is a crucible of tested wisdom, where real-world experience met real-time challenges. Far from exclusive, GSEF thrives on inclusion, bringing diverse voices to the same table to shape a tomorrow that's moving in many directions,' Ayanangsha Maitra, co-ordinator of GSEF, remarked. About Global South Economic Forum GSEF: Global South Economic Forum (GSEF) is a forum convening ministers, former heads of state from Global South nations. Inaugurated by a ministerial session, the forum is hosted at the Anwar Gargash Diplomatic Academy (AGDA), Abu Dhabi, a globally recognized institution frequented by world leaders and diplomats. GSEF is positioned as a solution-offering platform for the Global South, addressing unfulfilled promises of traditional elite forums. The Forum emphasizes economic resilience, sustainable finance, technological innovation, and inclusive growth for Global South nations. The expert discussants will prescribe actionable solutions to real-world challenges facing the Global South. The Forum aims to secure the interests of Global South nations, with a narrative of empowerment and transformation of institutions and organisations in the age of multi-polarity. About Centre of Geoeconomics for the Global South COGGS: Centre of Geoeconomics for the Global South (COGGS) is bringing together Global South countries with a focus on economics, but its vision extends to broader development, resilience, and economic as well as social collaboration. COGGS is committed to publishing research papers in partnerships with prestigious partner organisations worldwide, including the UAE, Argentina, Egypt, India, and Indonesia.
