By Peter Ochieng
President William Ruto is now calling for far-reaching reforms in the global financial strategy to address what he termed as ‘destabilising debt and climate vulnerabilities’ in the African continent.
He said there is an urgent need to address the current situation, since African countries are struggling with high financing interest rates, while at it, dealing with climate shocks and constrained government revenues.
“A better, more responsive, and fairer international development financial architecture is urgently needed. Time is of the essence,” he said.
President Ruto was speaking during the official opening of the 59th Annual Meetings of the African Development Bank Group, and the African Development Fund at the Kenyatta International Convention Centre (KICC), in Nairobi.
He added that Africa needs to raise resources to invest in infrastructure, and industrialisation in a bid to ensure rapid economic growth.
“However, we face the rigid barrier of a global financial architecture that is fundamentally misaligned with our aspirations.”
Denis Sassou Nguesso of Congo, Paul Kagame (Rwanda), Emmerson Mnangagwa (Zimbabwe), Hassan Sheikh Mohamud (Somalia) and Mohamed Menfi (President of the Presidential Council of the State of Libya), Burundi Vice-President Prosper Bazombanza and Prime Ministers Saara Kuugongelwa-Amadhila (Namibia) and Ali Lamine Zeine (Niger) were among the leaders present.
Others present included African Development Bank President Akinwumi Adesina and African Union Commission Chairperson Moussa Faki Mahamat.
“We are told it is safe to mine in spaces where there is conflict, but it is risky to lend to African economies. What a contradiction?” President Ruto paused.
He urged African States to work together to unlock barriers to intra-African trade using the African Continental Free Trade Area Agreement.
President Kagame emphasised the need for a new global financial architecture, that addresses the continent’s interests. “We can’t afford to move slowly. It’s urgent and long overdue,” stated Kagame.
Dr Adesina on his part called for reforms in the global financial architecture to better cater to the development needs of Africa, noting that the African Development Bank is already undertaking similar reforms.