Latest news with #FFD4
Scoop
3 days ago
- Business
- Scoop
Ahead Of UN Summit, Countries Finalise Landmark ‘Compromiso De Sevilla'
On Tuesday, Member States at UN Headquarters endorsed the finalized outcome document, known as the Compromiso de Sevilla (the Seville Commitment), following months of intensive intergovernmental negotiations. It is intended as the cornerstone of a renewed global framework for financing sustainable development, particularly amid a widening $4 trillion annual financing gap faced by developing countries. A reinvigorated framework Co-facilitators of the outcome document – Mexico, Nepal, Zambia and Norway – hailed the agreement as an ambitious and balanced compromise that reflects a broad base of support across the UN membership. 'This draft reflects the dedication, perseverance, and constructive engagement of the entire membership,' said Ambassador Alicia Buenrostro Massieu, Deputy Permanent Representative of Mexico. 'Sevilla is not a new agenda. It is a strengthening of what already exists. It renews our commitment to the Addis Ababa Action Agenda and aligns fragmented efforts under a single, reinvigorated framework,' she added. Nepal's Ambassador Lok Bahadur Thapa called the outcome a 'historic opportunity' to confront urgent financing challenges. 'It recognizes the $4 trillion financing gap and launches an ambitious package of reforms and actions to close this gap with urgency,' he said, highlighting commitments to boost tax-to-GDP ratios and improve debt sustainability. United States withdrawal The agreement came despite sharp divisions on several contentious issues, culminating in the United States decision to exit the process entirely. 'Our commitment to international cooperation and long-term economic development remains steadfast,' said Jonathan Shrier, Acting US Representative to the Economic and Social Council. 'However, the United States regrets that the text before us today does not offer a path to consensus.' Mr. Shrier voiced his country's objection to proposals in the draft, which he said interfered with the governance of international financial institutions, introduced duplicative mechanisms, and failed to align with US priorities on trade, tax and innovation. He also opposed proposals calling for a tripling of multilateral development bank lending capacity and language on a UN framework convention on international tax cooperation. Renewal of trust Under-Secretary-General for Economic and Social Affairs Li Junhua welcomed the adoption of the document, calling it a clear demonstration that 'multilateralism works and delivers for all.' He praised Member States for their flexibility and political will in finalizing the agreement, despite challenges. 'The FFD4 conference presents a rare opportunity to prove that multilateralism can deliver tangible results. A successful and strong outcome would help to rebuild trust and confidence in the multilateral system by forging a renewed financing framework,' Mr. Li said. For the common good The Sevilla conference, to be held from 30 June to 3 July will mark the fourth major UN conference on financing for development, following Monterrey (2002), Doha (2008) and Addis Ababa (2015). It is expected to produce concrete commitments and guide international financial cooperation in the lead-up to and beyond the 2030 deadline of the Sustainable Development Goals (SDGs). 'We firmly believe that this outcome will respond to the major challenges we face today and deliver a real boost to sustainable development,' said Ambassador Thapa of Nepal.
Mid East Info
5 days ago
- Business
- Mid East Info
Arab Coordination Group (ACG) provided US$ 19.6 billion in 2024 to promote global sustainable development - Middle East Business News and Information
The ACG Heads of Institutions gathered in Vienna today for their 20th annual meeting hosted by the OPEC Fund for International Development (the OPEC Fund). Ahead of the Fourth International Conference on Financing for Development (FFD4) which is scheduled to take place from 30 June to 3 July 2025 in Spain, the group reaffirmed its commitment to scaling-up financial assistance for sustainable development. The top three sectors supported by ACG financing last year were energy (29 percent), agriculture (20 percent) and the financial sector (16 percent). Over 45 percent of the total financing promoted global trade, ensuring the movement of critical products and supporting small and medium-sized enterprises. In 2024, approximately 20 percent of the ACG's commitments were dedicated to Africa, aligned with the US$50 billion pledge made by the group in November, 2023. During their meeting in Vienna today, the Heads of Institutions pledged continued and increasing support to the most vulnerable communities in Africa. The commitment aims to provide financing for energy security and energy transition; food security; enhanced integration of the Arab and African regions; gender and youth initiatives; and private sector support. The ACG will celebrate its 50th Anniversary in October 2025, marking a significant milestone in its journey of fostering sustainable development worldwide. This momentous occasion will provide an opportunity to reflect on the Group's remarkable legacy, achievements, and challenges, while also reaffirming its commitment to global development. This event will not only document the Group's accomplishments over the past fifty years but also inspire renewed commitment to advancing impactful development solutions worldwide. Distributed by APO Group on behalf of Arab Coordination Group (ACG). About the Arab Coordination Group ACG: The Arab Coordination Group (ACG) is a strategic alliance that provides a coordinated response to development finance. Since its establishment in 1975, ACG has been instrumental in developing economies and communities for a better future, providing more than 13,000 development loans to over 160 countries around the globe. Comprising ten development funds, ACG is the second-largest group of development finance institutions in the world and works across the globe to support developing nations and create a lasting, positive impact. The Group comprises the Abu Dhabi Fund for Development, the Arab Bank for Economic Development in Africa, the Arab Fund for Economic and Social Development, the Arab Gulf Programme for Development, the Arab Monetary Fund, the Islamic Development Bank, the Kuwait Fund for Arab Economic Development, the OPEC Fund for International Development, the Qatar Fund for Development and the Saudi Fund for Development.
Mid East Info
5 days ago
- Business
- Mid East Info
Arab Coordination Group ACG provided US$ 19.6 billion in 2024 to promote global sustainable development - Middle East Business News and Information
The Arab Coordination Group ACG, the world's second-largest development finance group, extended US$19.6 billion collectively to fund nearly 650 operations in more than 90 countries in 2024. This significant financing was geared towards developing critical infrastructure, addressing global challenges like climate change and food security, and supporting international trade. The ACG Heads of Institutions gathered in Vienna today for their 20th annual meeting hosted by the OPEC Fund for International Development (the OPEC Fund). Ahead of the Fourth International Conference on Financing for Development (FFD4) which is scheduled to take place from 30 June to 3 July 2025 in Spain, the group reaffirmed its commitment to scaling-up financial assistance for sustainable development. The top three sectors supported by ACG financing last year were energy (29 percent), agriculture (20 percent) and the financial sector (16 percent). Over 45 percent of the total financing promoted global trade, ensuring the movement of critical products and supporting small and medium-sized enterprises. In 2024, approximately 20 percent of the ACG's commitments were dedicated to Africa, aligned with the US$50 billion pledge made by the group in November, 2023. During their meeting in Vienna today, the Heads of Institutions pledged continued and increasing support to the most vulnerable communities in Africa. The commitment aims to provide financing for energy security and energy transition; food security; enhanced integration of the Arab and African regions; gender and youth initiatives; and private sector support. The ACG will celebrate its 50th Anniversary in October 2025, marking a significant milestone in its journey of fostering sustainable development worldwide. This momentous occasion will provide an opportunity to reflect on the Group's remarkable legacy, achievements, and challenges, while also reaffirming its commitment to global development. This event will not only document the Group's accomplishments over the past fifty years but also inspire renewed commitment to advancing impactful development solutions worldwide. About the Arab Coordination Group ACG: The Arab Coordination Group (ACG) is a strategic alliance that provides a coordinated response to development finance. Since its establishment in 1975, ACG has been instrumental in developing economies and communities for a better future, providing more than 13,000 development loans to over 160 countries around the globe. Comprising ten development funds, ACG is the second-largest group of development finance institutions in the world and works across the globe to support developing nations and create a lasting, positive impact. The Group comprises the Abu Dhabi Fund for Development, the Arab Bank for Economic Development in Africa, the Arab Fund for Economic and Social Development, the Arab Gulf Programme for Development, the Arab Monetary Fund, the Islamic Development Bank, the Kuwait Fund for Arab Economic Development, the OPEC Fund for International Development, the Qatar Fund for Development and the Saudi Fund for Development.
Zawya
5 days ago
- Business
- Zawya
Arab Coordination Group (ACG) provided US$ 19.6 billion in 2024 to promote global sustainable development
The Arab Coordination Group (ACG) ( the world's second-largest development finance group, extended US$19.6 billion collectively to fund nearly 650 operations in more than 90 countries in 2024. This significant financing was geared towards developing critical infrastructure, addressing global challenges like climate change and food security, and supporting international trade. The ACG Heads of Institutions gathered in Vienna today for their 20 th annual meeting hosted by the OPEC Fund for International Development (the OPEC Fund). Ahead of the Fourth International Conference on Financing for Development (FFD4) which is scheduled to take place from 30 June to 3 July 2025 in Spain, the group reaffirmed its commitment to scaling-up financial assistance for sustainable development. The top three sectors supported by ACG financing last year were energy (29 percent), agriculture (20 percent) and the financial sector (16 percent). Over 45 percent of the total financing promoted global trade, ensuring the movement of critical products and supporting small and medium-sized enterprises. In 2024, approximately 20 percent of the ACG's commitments were dedicated to Africa, aligned with the US$50 billion pledge made by the group in November, 2023. During their meeting in Vienna today, the Heads of Institutions pledged continued and increasing support to the most vulnerable communities in Africa. The commitment aims to provide financing for energy security and energy transition; food security; enhanced integration of the Arab and African regions; gender and youth initiatives; and private sector support. The ACG will celebrate its 50 th Anniversary in October 2025, marking a significant milestone in its journey of fostering sustainable development worldwide. This momentous occasion will provide an opportunity to reflect on the Group's remarkable legacy, achievements, and challenges, while also reaffirming its commitment to global development. This event will not only document the Group's accomplishments over the past fifty years but also inspire renewed commitment to advancing impactful development solutions worldwide. Distributed by APO Group on behalf of Arab Coordination Group (ACG). About the Arab Coordination Group (ACG): The Arab Coordination Group (ACG) is a strategic alliance that provides a coordinated response to development finance. Since its establishment in 1975, ACG has been instrumental in developing economies and communities for a better future, providing more than 13,000 development loans to over 160 countries around the globe. Comprising ten development funds, ACG is the second-largest group of development finance institutions in the world and works across the globe to support developing nations and create a lasting, positive impact. The Group comprises the Abu Dhabi Fund for Development, the Arab Bank for Economic Development in Africa, the Arab Fund for Economic and Social Development, the Arab Gulf Programme for Development, the Arab Monetary Fund, the Islamic Development Bank, the Kuwait Fund for Arab Economic Development, the OPEC Fund for International Development, the Qatar Fund for Development and the Saudi Fund for Development.
Japan Times
06-05-2025
- Business
- Japan Times
U.N. document shows U.S. seeks to weaken global development finance efforts
The United States is seeking to weaken a global deal aimed at helping developing countries struggling with the impacts of climate change and other issues, an internal United Nations document showed. The administration of U.S. President Donald Trump opposes draft reforms of the world's financial system intended to help developing countries, including around taxation, credit ratings and fossil fuel subsidies. It also wants mentions of "climate," "gender equality" and "sustainability" stripped out. The previously unreported document sheds light on how the Trump administration is seeking to imprint an "America First" agenda, including opposition to efforts to slow climate change and promote diversity, on the institutions at the heart of fixing global systemic crises. The once-a-decade 4th International Conference on Financing for Development (FFD4) in Seville, Spain, in June aims to influence the strategic direction of the world's development finance institutions. Countries agreed at FFD3, for example, to broaden tax cooperation efforts so that developing countries could help set the rules and as of last May more than 140 countries were involved. "This conference is about bringing the world's leaders together and setting the underlying rules and priorities for financing development goals over the next decade," Tom Mitchell, executive director of the International Institute for Environment and Development, said. Compiled by the permanent representatives to the U.N. of Mexico, Nepal, Norway, and Zambia, with help from the U.N. secretariat, the April 11 negotiating draft is annotated with the positions of the 193 nations involved in the discussions. At U.N. negotiations over the FFD4 document in March, the U.S. mission said the draft at that time was too long and prescriptive and denounced "the ever-widening definition of sustainable development." U.N. Secretary-General Antonio Guterres has acknowledged the need to overcome multiple challenges ahead of the once-a-decade 4th International Conference on Financing for Development in Seville, Spain, in June. | REUTERS "The international financial institutions have independent mandates and authorities, and we do not support attempts in the U.N. system to dictate their priorities or activities," the U.S. statement from acting U.N. Economic and Social Council representative Jonathan Shrier said. The U.N. does not hold direct authority over the multilateral development finance institutions. With ongoing changes at the World Bank and International Monetary Fund in the fight against climate change already facing pushback from U.S. Treasury Secretary Scott Bessent, the document showed it was seeking to water down the U.N.'s reform prescriptions. Among specific points in the text that refer to the systemic reform, the document shows the U.S. wants to remove a reference to a "package of reforms" for sustainable development. It wants to replace a line promising to "commit to reform the international financial architecture" with a pledge to "recognize the need to enhance its resilience and effectiveness in responding to present and future challenges and crises." Such changes in language signal the degree of shared commitment that can then be used as support for action or inaction in future talks. U.N. Secretary-General Antonio Guterres has acknowledged the need to overcome multiple challenges ahead of the conference, but urged "all countries to be at the table in Sevilla focused on solutions," spokesperson Florencia Soto Nino said in an email. The Treasury Department and State Department both declined to comment. The White House did not respond to a request for comment. While the U.S.' position on development has become tougher under Trump, the negotiating document shows it remains supportive of efforts that include developing countries working more closely with the private sector, and fostering innovation and financial literacy. A key goal of the global reforms is to better help poorer nations cope with weather disasters, which are worsening due to climate change, and to boost economic development using low-carbon energy rather than traditional fossil fuels. Trump has quit the U.N. Paris climate agreement, slashed U.S. foreign development aid by more than 80% as part of a government overhaul led by billionaire Elon Musk and embarked on a trade war that is hurting many poorer nations. Among areas of the FFD4 document that the U.S. objects to is a call for countries to explore "global solidarity levies" that could include taxes on highly polluting activities or on the superrich to finance sustainable development. If included, the levies could be taken up in U.N. negotiations on taxes this year and would bolster a task force led by France, Kenya and Barbados that aims to develop such taxes among smaller groups of countries. Other countries to object include Russia, Saudi Arabia and China. Filippo Grandi, United Nations High Commissioner for Refugees addresses members of the Security Council at U.N. Headquarters in New York on April 28. | REUTERS The U.S. is also seeking to delete a paragraph calling for companies to pay tax to the countries where economic activity occurs; a paragraph on helping developing countries bolster tax transparency; and another on phasing out inefficient fossil fuel subsidies, the document shows. Many of the world's poorest countries struggle with high debt and the costs of rebuilding after disastrous storms, but the FFD4 document shows the U.S. wants to strike out a paragraph on reforming the credit-rating system. That includes a push for raters to take a more forgiving approach to poorer nations that voluntarily restructure their debt to invest in green projects, it showed. The U.S. also opposes a commitment to ensure countries receive "adequate and uninterrupted funding on appropriate terms of social protection and other essential social spending during shocks and crises," the document shows. While the U.S. has considerable influence as the biggest shareholder in both the World Bank, which provides loans and grants to developing countries, and the IMF, and is currently reviewing its role in both, the draft deal is likely to change further as countries continue negotiations in May, before reaching consensus on a final document in mid-June. The U.S. position puts pressure on other countries to accept a weaker deal, since the talks aim to adopt a deal by consensus.
