Jeddah
Saudi Arabia
Deputy Secretary-General's video message to the Islamic Development Bank Group’s 2023 Annual Meeting Side Event, “Sustainable Development Disrupted: Advancing Impactful Partnerships to Rescue the SDGs
Statements | Amina J. Mohammed, Deputy Secretary-General
Statements | Amina J. Mohammed, Deputy Secretary-General
H.E. Dr. Muhammed Al-Jasser, President of the Islamic Development Bank,
Excellencies, Ladies and Gentlemen,
"As-Salaam-Alaikum"
Thank you for the invitation to address today’s side event on “Sustainable Development Disrupted: Advancing Impactful Partnerships to Rescue the SDGs", held in connection with the Annual Meeting of the Islamic Development Bank.
Today’s event is an excellent occasion to commend the IsDB for their increased level of commitment and ambition to accelerating the SDGs.
Over the past several years, the IsDB has made a concerted push to align the Bank with the SDGs, to fill the funding gap for humanitarian and development needs – including through the generous pledge of $4 billion to support Pakistan’s reconstruction – and through increased engagement with the UN on how to better leverage the potential of Islamic social finance.
As we head into the SDG Summit in September, however, which will mark the halfway point to 2030, we must double down on these efforts – while inspiring others to do the same.
According to the 2023 SDG Progress Report, of the roughly 140 SDG targets with data to assess progress, about 12 per cent are on track.
Close to half, though showing progress, are moderately or severely off track, and some 30% have seen no movement or have regressed below the 2015 baseline.
Tighter global financial conditions have further exacerbated the situation in countries with crushing debt burdens.
As always, it is the poorest and most vulnerable that suffer first and worst.
At current trends, 574 million people – nearly 7 per cent of the world’s population – will be trapped in extreme poverty by 2030.
Meanwhile, 60% of the world’s developing countries are either in or at risk of falling into debt distress, while dozens more are right behind.
This is why the Secretary-General called for a large-scale SDG Stimulus to provide immediate relief through at least an additional 500 billion dollars a year.
The SDG Stimulus seeks to tackle the high cost of debt and rising risks of debt distress; massively scale-up long-term financing for development; and expand contingency financing to countries in need.
Multilateral Development Banks – at the heart of the global financial safety net – will be critical to this effort, including by raising their risk appetites, better leveraging existing resources, and improving lending practices to fully align with the SDGs, while adopting a longer-term lens, of 30-50 years.
But SDG Stimulus alone will not be enough.
It is high time that we also reform our unjust and dysfunctional global financial architecture, including by giving developing countries a much greater voice in global financial institutions.
I call on the IsDB shareholders to act on the needed transformations for the benefit of all.
The Secretary-General’s upcoming Policy Brief on Reform of the International Financial Architecture (IFA) will provide concrete recommendations for reforms recognizing that the IFIs are critical to creating a more inclusive, equitable, and resilient global economy.
This includes efforts to make governance more inclusive and representative, reforming quotas and voting shares, and going beyond GDP in the MDBs business practices, including when determining eligibility criteria.
Excellencies,
The time to act is now. Let us not lose this opportunity to provide immediate relief to countries in need while simultaneously progressing much needed systemic reforms to make the financial architecture fit for the world of today.
In this regard, I urge the IsDB to be bold – and to continue being a champion for this cause.
Thank you.
Excellencies, Ladies and Gentlemen,
"As-Salaam-Alaikum"
Thank you for the invitation to address today’s side event on “Sustainable Development Disrupted: Advancing Impactful Partnerships to Rescue the SDGs", held in connection with the Annual Meeting of the Islamic Development Bank.
Today’s event is an excellent occasion to commend the IsDB for their increased level of commitment and ambition to accelerating the SDGs.
Over the past several years, the IsDB has made a concerted push to align the Bank with the SDGs, to fill the funding gap for humanitarian and development needs – including through the generous pledge of $4 billion to support Pakistan’s reconstruction – and through increased engagement with the UN on how to better leverage the potential of Islamic social finance.
As we head into the SDG Summit in September, however, which will mark the halfway point to 2030, we must double down on these efforts – while inspiring others to do the same.
According to the 2023 SDG Progress Report, of the roughly 140 SDG targets with data to assess progress, about 12 per cent are on track.
Close to half, though showing progress, are moderately or severely off track, and some 30% have seen no movement or have regressed below the 2015 baseline.
Tighter global financial conditions have further exacerbated the situation in countries with crushing debt burdens.
As always, it is the poorest and most vulnerable that suffer first and worst.
At current trends, 574 million people – nearly 7 per cent of the world’s population – will be trapped in extreme poverty by 2030.
Meanwhile, 60% of the world’s developing countries are either in or at risk of falling into debt distress, while dozens more are right behind.
This is why the Secretary-General called for a large-scale SDG Stimulus to provide immediate relief through at least an additional 500 billion dollars a year.
The SDG Stimulus seeks to tackle the high cost of debt and rising risks of debt distress; massively scale-up long-term financing for development; and expand contingency financing to countries in need.
Multilateral Development Banks – at the heart of the global financial safety net – will be critical to this effort, including by raising their risk appetites, better leveraging existing resources, and improving lending practices to fully align with the SDGs, while adopting a longer-term lens, of 30-50 years.
But SDG Stimulus alone will not be enough.
It is high time that we also reform our unjust and dysfunctional global financial architecture, including by giving developing countries a much greater voice in global financial institutions.
I call on the IsDB shareholders to act on the needed transformations for the benefit of all.
The Secretary-General’s upcoming Policy Brief on Reform of the International Financial Architecture (IFA) will provide concrete recommendations for reforms recognizing that the IFIs are critical to creating a more inclusive, equitable, and resilient global economy.
This includes efforts to make governance more inclusive and representative, reforming quotas and voting shares, and going beyond GDP in the MDBs business practices, including when determining eligibility criteria.
Excellencies,
The time to act is now. Let us not lose this opportunity to provide immediate relief to countries in need while simultaneously progressing much needed systemic reforms to make the financial architecture fit for the world of today.
In this regard, I urge the IsDB to be bold – and to continue being a champion for this cause.
Thank you.