Introduction: On April 9, 2024, the United Nations Department of Economic and Social Affairs (UN DESA) released the 9th edition of the “Financing for Sustainable Development Report 2024 (FSDR 2024)” by the Inter-agency Task Force on Financing for Development. The theme of the report is “Financing for Development at a Crossroads.”
Key Findings:
- Investment Needs: An estimated USD 4.2 trillion in investments are required to close the development financing gap, up from USD 2.5 trillion before the COVID-19 pandemic.
- Economic Transitions: Achieving sustainable development goals (SDGs) necessitates unprecedented investment levels.
Report Preparation:
- Collaborating Agencies: The report is a joint product of over 60 UN agencies and international organizations, coordinated by the UN DESA Financing for Sustainable Development Office, in cooperation with the World Bank Group, IMF, WTO, UNCTAD, UNDP, and UNIDO.
Highlights:
- Financial System: Advocates for a financial system that boosts SDG investments and adapts swiftly to crises.
- Debt Burdens: Rising debt burdens and borrowing costs are major challenges, particularly for the poorest nations.
- Debt Servicing: LDCs face debt servicing costs of USD 40 billion between 2023 and 2025, up from USD 26 billion in 2022.
- Interest Payments vs. Social Spending: Around 3.3 billion people live in countries where government spending on interest payments exceeds spending on education or health.
- ODA Increase: Official Development Assistance (ODA) from OECD countries reached USD 211 billion in 2022, up from USD 185.9 billion in 2021, but still insufficient for development needs.
- Country-Specific Aid: Only Luxembourg, Sweden, Norway, and Germany met the 0.7% GNI target for aid in 2022.
- Poverty Projections: If current trends continue, nearly 600 million people will still live in extreme poverty by 2030, with over half being women.
Future Events:
- UN Summit of the Future: Scheduled for September 2024, providing a crucial opportunity to change course.
- 4th International Conference on Financing for Development (FfD4): To be held from June 30 to July 3, 2025, in Spain, focusing on closing the development financing gap and investing in the SDGs.
- ECOSOC Forum on Financing for Development: Provides a platform for Member States to discuss sustainable financing measures.
- SDG Investment Fair: Brings together government officials and investors for sustainable investment opportunities.
About UN DESA:
- Head: Under-Secretary-General (USG) Li Junhua
- Headquarters: New York, United States
- Establishment: 1948
Recent Related News:
- India’s Contribution to UN Budget: On January 31, 2024, India contributed USD 32.895 million to the UN Regular Budget for 2024.
- State of the World’s Migratory Species Report: Launched on February 12, 2024, at the 14th Meeting of the Conference of the Parties to the CMS in Samarkand, Uzbekistan.
The report underscores the critical need for increased investment and strategic planning to achieve sustainable development goals and address global challenges effectively.
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