The Debt-Climate Nexus in Africa and Development-Centered Solutions

Official African Climate Summit Side Event

Sub-Saharan African countries are at the forefront of increasing debt distress and climate vulnerability. Yearly debt servicing costs from 2022-2028 for the region will amount to 80 percent of annual climate finance needs alone, and the cost of capital and new financing is out of reach for responsible fiscal policy making in the region.

In the face of this challenge, it is imperative that multilateral cooperation around the evolution of the sovereign debt restructuring system center the needs of the most vulnerable countries, ensuring that a reformed system promotes debt sustainability as well as climate and development goals.

In pursuit of a fit-for-purpose international debt architecture, finance ministers of the Vulnerable Group of 20 (V20) and other developing countries have announced the Emergency Coalition for Debt Sustainability and Climate Prosperity, which will formally launch at the 2023 International Monetary Fund/World Bank Group Annual Meetings and provide a platform to coordinate and amplify demands of the Global South.

On Tuesday, September 5 from 5:30-6:30 EAT, join us for an official African Climate Summit side event highlighting potential climate and development-centered frameworks that could provide alternatives to the G20 Common Framework and deliver on comprehensive, inclusive and timely debt restructuring. Most critically, this event will provide an opportunity for participants to share considerations and critical feedback on proposed alternatives to hone a collective voice for to pursue debt relief and climate positive growth.

This event is in-person only.

Panelists:

  • Abebe Shimeles, African Economic Research Consortium and University of Cape Town
  • Jason R Braganza, Executive Director, AFRODAD
  • Kevin Gallagher, Director, Boston University Global Development Policy Center
  • Sara Jane Ahmed, Finance Advisor to the Vulnerable Group of Twenty (V20) Ministers of Finance of the Climate VulnerableForum
  • Hanan Morsy, Deputy Executive Secretary and Chief Economist United Nations Economic Commission for Africa

Location:

African Climate Summit, Kenyatta International Convention Centre, Nairobi, Kenya.

Room TBD