At the United Nations Economic and Social Council (ECOSOC) Forum on Financing for Development, Egypt's Minister of Planning Rania Al-Mashat, called for an enhanced global partnership to address the escalating financing challenges facing developing nations. Speaking at the high-level ministerial dialogue on Lowering Borrowing Costs and Advancing Development-Oriented Debt Solutions, Minister Al-Mashat emphasised the importance of reducing borrowing costs and expanding debt-for-development swap mechanisms to alleviate the financial burdens on developing countries, particularly in Africa. She highlighted that these challenges have limited the fiscal space available for many nations, hampering their ability to fund critical development and climate action projects. The Egyptian minister also stressed the need for clear reform programs, which, alongside an attractive investment climate, are key to attracting private sector participation. "Overcoming the sustainable development financing gap is impossible without genuine partnership with the private sector and a competitive, investment-attractive environment," Minister Al-Mashat noted. The minister pointed out that global economic shifts and tightening fiscal space have made concessional financing more difficult to access. She called for governments to focus on creating "bankable projects" and leveraging international partnerships to stimulate investment. Egypt's own efforts in launching the NWFE Programme were cited as a successful model for creating projects that attract private sector investments. With debt levels rising globally, particularly in Africa, Minister Al-Mashat advocated for increased efforts to mobilise domestic resources. She also underscored the growing importance of debt-for-development swaps, an innovative tool that Egypt has used to direct funds towards development initiatives in exchange for debt relief. She emphasised that this mechanism is gaining traction in the global market, offering a viable solution for easing debt burdens and improving credit ratings. The minister concluded her remarks by reaffirming Egypt's commitment to implementing further structural reforms and continuing its robust engagement with international financial institutions. "Clear reforms and bankable projects enhance countries' credibility with financing institutions and investors," she said, stressing that Egypt's ongoing reforms are designed to create a more favourable investment climate while addressing development challenges. This dialogue is part of preparatory meetings for the 4th International Conference on Financing for Development, set to be held in Seville, Spain, in June 2025. Attribution: Amwal Al Ghad English
