Vice President Dr. Philip Mpango has called for a major transformation of the global financial and development financing system, urging world leaders to make it more inclusive, predictable, and responsive to the realities and priorities of developing countries.
Speaking at the Fourth International Conference on Financing for Development (FfD4) in Seville, Spain, Dr. Mpango said current financing structures often disadvantage poorer nations and called for reforms that would reduce interest rates, improve access to concessional loans, and align investments with the needs of low- and middle-income countries.
He stressed the importance of innovative financing solutions, such as converting debt into investments for development projects like environmental conservation, to help nations like Tanzania implement sustainable development initiatives.
“We need a financing system that is fair, transparent and designed to reflect the pressing needs of developing countries,” he said.
Dr. Mpango also called for a review of debt sustainability assessment methods, saying they must be reformed to ensure fairness and promote transparency.
He emphasized that this global conference should lead to concrete solutions to ease the cost of borrowing for developing nations and improve access to long-term, low-cost financing.
Highlighting trade as a key pillar of development, the Vice President urged for support in boosting production and value addition in developing countries so their products can meet global standards.
He emphasized the need for fairness in international trade rules, especially regarding tariffs and export restrictions that often limit access for developing nations.
He further called for stronger collaboration between developed and developing countries to fast-track access to science, technology, and accurate data, which he said are critical for evidence-based policy and effective implementation of development plans.
Dr. Mpango urged rich countries to help reduce risks in investment and financing of large-scale infrastructure and strategic development projects in developing countries.
On climate change, the Vice President emphasized the need for increased funding for biodiversity restoration and climate adaptation projects.
He particularly called for the immediate operationalization of the Loss and Damage Fund, which aims to support vulnerable nations dealing with irreversible climate impacts.
Dr. Mpango also highlighted Tanzania’s significant progress in implementing the United Nations’ Sustainable Development Goals (SDGs), noting that by 2024, the country had achieved about 60 percent of its SDG targets especially in health, food security, gender equality, education, clean water, and energy.
“To build on this progress, we need continued support through affordable financing, coupled with enhanced domestic revenue collection,” he said.
The Seville conference brings together global leaders, policymakers, and development partners to address the growing financing gaps for SDG implementation.
One of its goals is to restructure the global financial system so that it serves all nations fairly, especially those with limited resources.
The Financing for Development conference was first held in 2002 in Monterrey, Mexico, laying the foundation for international cooperation on funding development.
The second meeting in Doha in 2008 resulted in the Doha Declaration, which called for stronger global solidarity during financial crises.
The third conference, held in Addis Ababa in 2015, adopted the Addis Ababa Action Agenda, which emphasized mobilizing domestic revenue, boosting private sector investment, promoting gender equality, and addressing debt challenges.
This fourth conference in Seville, which has now adopted the Seville Declaration, builds on those past efforts while tackling emerging global challenges, including climate change, geopo litical conflicts, and the lingering effects of the COVID-19 pandemic.
The Declaration sets the tone for a more just, inclusive, and responsive global financial system one that developing nations like Tanzania hope will unlock new opportunities for growth, resilience, and prosperity.
